Powerhouse Project 2011
February 2011

Relationships between BEYSAD and BSH which has gained acceleration thanks to valuable efforts of Mr. Axel Fischer, Purchasing Director for BSH Laundry Division, continue to improve rapidly.

The start of intense cooperation between BSH and BEYSAD can be dated back to May 2010. The Supplier Cooperation Event, which was organized thanks to the initiatives of Mr. Axel Fischer, Purchasing Director for BSH Laundry Division as well as intense efforts of the Washing Group Purchasing Team of the BSH Çerkezköy Plant, brought together more than 70 officials from 32 local and foreign companies. During the course of these fruitful meetings Bahadır Balkır, Chairman of the Board of Directors of BEYSAD, and Hasan Danişment, Vice-Chairman of the Board of Directors of BEYSAD, have had the opportunity to know Mr. Fischer and his team closer and discuss relationship between suppliers and OEMs in general terms. These discussions comprised a number of constructive criticisms, too, which laid the foundation for a business relationship that is based on actions that can be taken together. 

Following this event, Bahadır Balkır was invited to the annual global meeting of BSH held in Berlin, Germany in July 2010 and attended by Purchasing Directors of Washing and Drying Groups based in 11 different locations worldwide as well as global senior purchasing executives.  BEYSAD Chairman Bahadır Balkır made a presentation in Berlin entitled “Insight into BSH procurement policies from the perspective of a supplier”. For the first time in 2010, the Chairman of the Board of Directors of BEYSAD was invited to the event on behalf of suppliers. This presentation has strengthened the relationships and led parties to strongly believe business activities can be performed together. 

The next step was the BSH-BEYSAD Meeting held in Istanbul in October 2010. The meeting brought together almost 120 company officials composed of purchasing directors of BSH Germany, Russia, Spain and Çerkezköy washing machine and oven plants and BEYSAD members. The meeting lasted two days and created a basis for future cooperation. 

The latest stage reached in this scope is the meeting in St. Petersburg, details of which can be found on the previous page. Mr. Fischer has spent valuable and constructive efforts to take relationships further to the meeting in St. Petersburg. 

In February 2011 senior executives of BSH's laundry plants met suppliers, most of whom were BEYSAD members, in St. Petersburg upon the invitation of BSH. Hasan Danişment, Vice-Chairman of BEYSAD, attended the meeting to represent BEYSAD. The three-day’s meeting was supported by A.T. Kearney (a leading Management Consulting Firm) and ensured parties could exchange opinions and learn more about expectations. According to Dr. Marc Lakner, Operations expert from A.T. Kearney, the chosen approach to identify the most competitive and sustainable supplier set up, capable to install quickly production in emerging countries is “truly innovative and unique”. 

On the first day BSH provided information about the region and purpose of the meeting. On the second day of the event companies that might come together to do business in a partnership structure had the opportunity to make negotiations. Then, further negotiations were made to evaluate whether groups recommended by BSH can combine their efforts and make investment in Russia together. On the last day of the meeting negotiations were made with companies on an individual basis in line with information compiled on previous days. 

Firms manufacturing plastic parts, rubber parts, electric components and metal parts were invited to the meeting. Based on what we have learnt from our members the meeting was very useful in obtaining information about the Russian market. This meeting organized upon the invitation of BSH actually means a lot. Due to their trust in Turkish suppliers BSH invited them to invest in the Russian market and offered them valuable information at the meeting in Russia. Telling "it is difficult to reach a consensus about a business decision", most BEYSAD members agreed that the second day of the event, on which individual meetings were made, was the most productive session. Negotiations are ongoing with our members who have made progress in terms of a joint investment in Russia as recommended by BSH.

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