HPM Legrand
By Richard Mead.
This article appeared in Electrical Gems Issue 81, October—November 2007
Change of HPM ownership brings new technologies and more choice for customers.
This year's acquisition of HPM by leading international electrical products company, Legrand, marks an exciting shake-up of the local industry. The merger is heralded as levelling the electrical industry playing field, benefiting the industry by providing it with a much needed viable choice of supplier and new product innovations.
Legrand, the world specialist in products and systems for electrical installations and information networks in residential, commercial and industrial buildings, acquired 100 per cent of the HPM Group in February 2007. A little known secret in Australia is the fact that Legrand is the number 1 supplier of bakelite with over 100 ranges sold through 160 countries.
The unification of these two strong brands with equally honourable traditions means that Australian electricians will be able to enjoy a blend of locally made products and world class solutions developed by 1,500 designers working worldwide.
The increased depth and breadth of the product offering will mean that HPM Legrand is competitive in the commercial, industrial, as well as residential market where traditionally it has been a major player.
The acquisition has seen the integration of the sales and marketing teams of HPM and Legrand. Sales representatives are now selling all products across the HPM Legrand portfolio, benefiting customers who can do business more efficiently with one point of contact. The promotional bundling of HPM, Legrand and BTicino products also means greater savings for contractors.
The purchase of HPM was part of Legrand's active strategy of growth through targeted acquisitions. The move has substantially boosted Legrand's presence in Australia and New Zealand since its entry in 1989, and adds to the growing footprint of Legrand in the broader Asia Pacific market.
Legrand's ranges in protection, cable management, VDI and access control as well as technological and market leadership in wiring devices, will extend HPM's product offering and market coverage and give greater opportunities to HPM customers and employees.
Along with the acquisition comes a strong new executive management team with excellent local and international credentials.
The new HPM Legrand Australian headquarters located at Auburn was recently opened by Managing Director Giuseppe Parola, who comes from Legrand's Italian subsidiary BTicino, and Sales and Marketing Director Gary Uren, a familiar face in the Australian electrical industry. The ceremony was also attended by Gilles Schnepp, Legrand's global Chief Executive.
New-look product ranges
The company aims to offer complete electrical solutions including: switches and outlets, smart wiring, intelligent systems, ventilation, emergency lighting, switchboard, power protection and cable management.
HPM Legrand now offers two intelligent systems: BTicino's MY HOME system for domestic and office applications and the HPM iCONTROL system which is suitable for commercial applications as well as domestic use.
The increased depth and breadth of the product offering will mean that HPM Legrand is competitive in the commercial, industrial, as well as residential projects market where traditionally it has been a major player.
1. Power Protection and Industrial
World wide, Legrand is among the top 10 suppliers of Power Protection and Industrial products. HPM Legrand will have the complete offer for MV/LV Distribution Solutions from MV/LV transformers through to ACBs, MCCBs and MCBs, with total selectivity/cascading for the full range. To add to the existing range, HPML has just released new distribution boards (24-84 pole) developed and manufactured in Australia and featuring full accessibility from top to bottom. The distribution boards are also delivered ready to use and equipped with a 250A Main Switch.
In relation to industrial products, HPM Legrand offers Atlantic and Marina industrial boxes, Viking 3 terminals and cable marking and Transcab slotted duct, transformers, plugs and sockets. As a complement to the Industrial products, HPM Legrand offers the highly regarded Lovato motor control systems.
2. Emergency Lighting
Recognised as a world leader in emergency lighting, Legrand offers a complete range of emergency lighting products, including the new Axiom wireless computer-monitored system. The Axiom system can be used in installations such as high rise office blocks and multi-building sites. It is also suitable for industrial and retail applications.
Legrand recently released a highly energy efficient exit sign product – the Slide Connect G2 – which uses up to 70 per cent less energy than a conventional fluorescent solution. The Slide Connect G2 uses a single HB-LED which is under run in normal conditions, ramping up to full brightness in emergency situations.
3. Wiring Devices & Intelligent Systems
Legrand is the number one supplier worldwide of electrical wiring devices such as switches and outlets. HPM's existing range is now bolstered by the BTicino range of Italian designer switches, outlets and home automation products.
The BTicino range includes all the products required for a modern electrical installation including: switches, outlets, dimmers, infrared detectors, touch screens, thermostats and chronothermostats, timers, movement detectors, audio and video door entry systems, surveillance systems, cameras, and burglar alarms.
The award winning BTicino MY HOME automation system offers a range of functions and applications that provide comfort (lighting, temperature control and sound diffusion systems), safety (burglar-alarm systems), communication and control (two wire and digital video door entry systems).
One of the key advantages is that MY HOME devices use the same system technology (based on the digital BUS) making it possible for various system components to be combined - devices can be mixed according to customers' needs and budgets.
Unlike some systems, a consistent look across all switches, outlets and automation devices can be achieved. MY HOME systems can be accessed from outside the home via fixed-line telephones, mobile phones or PC through local network.
The vast range of BTicino switches come in three different styles; cover plates feature different materials (including wood, metal and plastics) and contemporary colours. They add additional design features and a point of difference to all interiors and provide excellent ‘upsell' opportunities for contractors and builders looking for products with higher margins.
Additional customer services
As well as extending the breadth and depth of their product ranges, HPM Legrand is developing a number of new services for the benefit of its customers.
The company is in the process of developing comprehensive training programs and facilities to train contractors. The company envisages the focus will be on automation technologies (intelligent systems), as demand for these systems continues to grow. The company has created a new role with the primary function being to develop and manage training programs for intelligent systems: National Technical Manager - Intelligent Systems.
For further technical support, contractors and wholesalers can now speak with a number of Technical Support Specialists who work within the Customer Service Centre. The Technical Support Specialists can be contacted between the hours of 8.00am and 5.00pm on 1300 369 777.
The company's first Customer Reception Centre has just been opened at the Auburn head office in western Sydney. The centre is designed to showcase HPM, Legrand and BTicino products, including working MY HOME technology systems. Contractors and Systems Integrators are encouraged to use the facilities for their own business to demonstrate products to their customers.
HPM Legrand – from humble beginnings to global player.
HPM was a family-run firm founded in 1925 by husband and wife team Berthold and Doris Herrman. Although the electrical industry was young and fast-growing at this time, electricity was not part of everyday life for all Australians. The forwardthinking Herrmans recognised that electric lights and appliances would soon be commonplace, and they were quick to start up a company to respond to future demand.
The Herrmans had a successful philosophy that profits should be invested and reinvested again in order for a company to maintain its competitive edge and stay at the forefront of automation and technological advances. They continued to reinvest profits in machinery until they had "the biggest and best factory of its kind in Australia". HPM's Darlinghurst headquarters were built in the early 1930s and at the time, were the epitome of modern factory style.
Peter Simon, the son-in-law of HPM's founders, became Managing Director in 1976 and under his leadership HPM became one of the most successful manufacturing companies in the country, at the very forefront of electrical manufacturing.
Foreseeing huge potential ahead, the company focused on research and development and invested heavily in cutting-edge manufacturing technology. Through relentlessly pursuing this strategy, HPM spearheaded the growth of the electrical industry in Australia, with the brand consistently delivering quality products that electricians trusted, and winning numerous design awards for innovative technology.
In 1992 HPM opened a $22 million state-of-the-art factory in Waterloo, at the time one of the most technologically advanced plastics moulding plants in the Southern Hemisphere.
HPM has a long history of investment in the Australian people, and employees have demonstrated their loyalty by remaining at the company for significant periods of time. Over 60 current employees have worked for HPM for over 20 years. Several have worked their entire career at HPM, like Con Kambos, Production Manager of the Plastic Moulding factory, whom has worked for HPM for 42 years. Ivan Chakley, Sales Manager – TAS, has also been working with HPM for over 40 years and has just received a NECA award for over 20 years service to the Tasmanian market.
Legrand's longevity in the industry extends back even further than HPM's. Founded in 1860 with a porcelain workshop on the "route de Lyon" in Limoges, the company was taken over by Mr Legrand in 1904 and he directed it towards the production of switches. In 1944 two industrial entrepreneurs from the North of France, Jean Verspieren and Edouard Decoster, took over the management of Legrand, which then employed 400 people. They gave Legrand the decisive momentum and business direction that were to make it successful. In 1949 the decision was made to focus exclusively on the production of electrical installation wiring devices. Legrand was listed on the Paris Stock Exchange in 1970 and made its first acquisition in 1989 when it acquired leading Italian company BTicino.
Now with a presence in more than 60 countries and a workforce of over 33,000 people, Legrand in 2006 made sales totalling over 3.7 billion, up by 15 per cent in comparison with 2005. The company is devoted to product innovation and new technologies, with almost 1,800 employees dedicated to research and development in 20 countries. The company is pursuing a dual ambition: to become the leader in products and systems for electrical installations and information networks in all markets, and to become the benchmark player in smart electricity by providing innovative solutions and services.
At present the Legrand Group's catalogues include over 130,000 items subdivided into 80 product families. Moving forward, HPM Legrand aims to set the direction for the next generation of the electrical industry, while remaining faithful to its brand values of quality, safety and reliability.