Trumpf Explained

Trumpf SE + Co. KG
Type:Private (SE/KG)
Industry:Machine industry
Predecessor:Mechanische Werkstätte Julius Geiger
Founder:Christian Trumpf
Hq Location City:Ditzingen
Hq Location Country:Germany
Num Locations:80
Num Locations Year:2022/23
Area Served:Worldwide
Revenue:5,364.5 million
Revenue Year:2022/23
Net Income:€461,8 million
Net Income Year:2022/23
Assets:€5,019 million
Assets Year:2022/23
Equity:€2,700.4 million
Equity Year:2022/23
Num Employees:18,352
Num Employees Year:2022/23

Trumpf SE + Co. KG is a German family-owned[1] company based in Ditzingen near Stuttgart, Baden-Württemberg. It originates from Julius Geiger's mechanical workshop. The Trumpf and Leibinger families transformed the medium-sized company into a globally recognized industrial group.[2] Today, the company is one of the world’s largest suppliers of machine tools and a leader in laser technology. Trumpf is one of the most well-known representatives of the German 'Mittelstand.'[3] [4]

History

Growth in early years

Christian Trumpf bought Julius Geiger's mechanical workshop in Stuttgart, Germany in 1923. The company initially produced flexible shafts. These were used to drive drills and other tools. Following the development of a motorized drive, the shafts were increasingly used in industry, for example in metal and woodworking. The first motorized hand shears for cutting sheet metal were introduced by Trumpf in 1934.[5]

In the 1920s, the company grew to more than 70 employees. In 1933, the administrative and production headquarters were moved to Weilimdorf, a suburb of Stuttgart.[6] To reflect the change in ownership, the company name was changed to Trumpf & Co. in 1937. The new name was used with the additional text "formerly Julius Geiger" for a few years after the change.[7]

During the 1930s and 1940s, Trumpf manufactured mainly flexible shafts and electric hand shears. The company was a supplier to Elektron Co. of Bad Cannstatt, a manufacturer of compressed air systems. This company produced foot pumps that were also used in military aircraft.[8] Trumpf employed around 100 people during the Second World War. A third of them were French forced laborers. Most of them came from Vierzon, south of Paris, France.

Post-war reconstruction

The company's factories remained largely undamaged during the war. As a result, production quickly resumed after the end of the war. By 1950, Trumpf was generating more than one million DM in sales revene. The rapid growth of German economics across all industries boosted demand. During the 60s and 70s, the company was no longer focused mainly on flexible shafts and electric hand shears.

The foreign customer base that Trumpf built up through its presence at international trade fairs also contributed to growth. The first foreign subsidiary was established in Switzerland in 1963.[9] In 1969, the company entered the US market.[10] In 1977, Trumpf entered the Japanese market. Trumpf products were sold in more than 100 countries.

Trumpf continued to expand its production capacity to meet growing demand. In 1972, the company moved its headquarters to Ditzingen near Stuttgart, where new administration and production buildings were built. The company's head office is still located there today.[11]

Ownership transition

As Christian Trumpf had no children, he appointed Hugo Schwarz as commercial director in 1953. Berthold Leibinger was appointed technical director in 1966. Leibinger gradually bought out the Trumpf’s shares, so that by 1972, Leibinger and Schwarz were the sole shareholders.[12]

When Trumpf died in 1977, Leibinger succeeded him, becoming CEO in 1978. Under Leibinger's leadership, many innovations were developed.[13] The first sheet-metal working machine with numerical path control attracted worldwide attention. This machine was based on a patent for coordinate guidance that Trumpf had registered in 1957 as the result of Leibinger's diploma thesis. In 1985, Trumpf also introduced its first carbon-dioxide laser, which formed the basis for a further business division.[14]

Global expansion

In the 1980s and 1990s, Trumpf developed from a medium-sized, southwestern German, or Swabian, company into a global corporation.[15] The company's strategy became an exceptional example of success for the German mechanical engineering industry.[16]

Leibinger played a key role in the company's rise to market leadership. In 2005, he moved from the managing board to the supervisory board, where he remained as chairman until 2012.[17] His daughter, Nicola Leibinger-Kammüller, took over the management of Trumpf.[18] Following Leibinger-Kammüller's installation, turnover has risen from around €1.5 billion in the 2005/06 financial year to €5.4 billion (2022/23).[19] Leibinger-Kammüller broadened the group's base by setting up a bank and expanding software development capabilities.[20] More recently the company has further developed into Industry 4.0 positioning itself in the areas of smart factories,[21] quantum technology and 3D printing.[22]

Operations

Ownership

The holding company Trumpf SE + Co. KG is the organizational umbrella under which the Trumpf group operates. All investments are consolidated at the group level. Trumpf has more than 80 operating subsidiaries.[23]

Trumpf is wholly owned by the Leibinger family (90%) and the Berthold Leibinger Stiftung,[24] foundation (10%). There have been no non-family shareholders since 2003.[25] [26] The Berthold Leibinger Stiftung is a key element of Trumpf's social responsibility efforts. The foundation supports non-profit, charitable, and church organizations, and also undertakes its own sponsorship projects in areas such as culture, science, church, and social welfare. It collaborates with the Doris Leibinger Stiftung, another foundation established by the Leibinger family, to further expand its philanthropic activities.[27]

Management

The managing board of Trumpf consists of seven persons (as of July 2023); the chairwoman is Nicola Leibinger-Kammüller.[28] The other members are Mathias Kammüller (Chief Digital Officer), Lars Grünert (Chief Financial Officer), Berthold Schmidt (Chief Technology Officer) and Oliver Maassen (Chief Humar Resources officer) as well as Stephan Mayer (machine tool division) and Hagen Zimer (laser technology division).[29]

The supervisory board of Trumpf consists of an equal number of shareholder and employee representatives. It consists of twelve members (as of July 2023); four of which are women. The chairman is Peter Leibinger. Other known members are Regine Leibinger and Rainer Neske.[30]

Business activities and divisions

The operational business of the Trumpf group is organized into two divisions for machine tools and laser technology. In addition, there are four operating divisions for high-power lasers, additive manufacturing, laser diodes, and financial services.[31]

Machine tools

Trumpf has traditionally focused on the flexible processing of sheet metal and tubes. Its portfolio includes machines and systems for cutting, punching, bending and welding.[32] These machines are used in the production of simple sheet metal parts, such as brackets, enclosures or housings, or for components of larger products manufactured, for example in machine and plant construction, commercial vehicles, air-conditioning technology and furniture construction.

Laser technology

Laser technology is an alternative to sawing and milling.[33] Trumpf manufactures carbon dioxide and solid-state lasers (disc and fiber lasers). These can be used to cut and weld metal and to mark and process surfaces with lasers.[34] The company's continuous wave, short and ultrashort pulse lasers are used, for example, in the automotive, energy, aerospace and medical technology industries.

High-power laser amplifiers also play a central role in the manufacture of microchips. They are used to generate a plasma that provides the extreme ultraviolet (EUV) radiation for exposing wafers.[35] [36] The portfolio also includes laser diodes, which are used in smartphones or battery components of electrified cars, for example. Employees knowledgeable about Trumpf's laser amplifier technology have been a recruitment target of Huawei.[37]

Locations

Trumpf operates internationally, with a strong presence in major markets across Europe, America, and the Asia-Pacific region. As of the 2021/22 fiscal year, the company has 86 subsidiaries worldwide. Its production facilities are located in several countries, including Germany, China, France, the UK, Mexico, and Switzerland.[38]

In Germany, Trumpf has traditionally had a strong presence in Baden-Württemberg, where 8 of its 14 domestic locations are situated. Over 8,000 employees work for Trumpf in Germany, representing half of the company's global workforce. Despite this, the Asia-Pacific region is a key market, generating around a quarter of the company's total revenue.

Key data

!in Mio. Euro!2017/18!2018/19!2019/20!2020/21!2021/22!2022/23
Turnover3,565,63,784,03,487,73,504,74,222,85,364,5
Profit (EBIT)534,7349,3309,1369,5468,4615,4
Total revenue3,469,83,939,23,914,74,225,04,586,15,019,1
Equity ratio54.1%51.4%51.5%47.7%52.1%53.8%
Employees13,42014,49014,32514,767,16,55418,352

Awards and honours

German Future Prize

In 2013, Trumpf was awarded the German Future Prize (de: Deutscher Zukunftspreis) for its collaboration with Robert Bosch, researchers from Fraunhofer IOF, and Friedrich Schiller University Jena in developing an ultrashort pulse laser for industrial mass production.[39]

In 2020, Trumpf received the German Future Prize again, this time for its groundbreaking contribution to the production of modern microchips using EUV (extreme ultraviolet) lithography. This achievement was the result of a partnership with ASML, Zeiss, and Fraunhofer IOF.[40]

Hermes Award

In 2020, Trumpf was awarded the Hermes Award for its development of the "Omlox" standard. This standard allows for the technology- and manufacturer-independent provision of location data. The development of Omlox involved the collaboration of over 60 industrial companies.[41]

Miscellaneous

In 2022, Forbes included Trumpf on its list of the World's Best Employers.[42] The Trumpf Group is recognised as an example of balancing economic interests with employee satisfaction,[43] implementing measures such as annual working time accounts to support this balance.[44]

Notes and References

  1. Web site: Hirn . Wolfgang . 2020-06-05 . Die Firma als Heimat . The company as home . 2023-05-30 . Manager Magazin . de.
  2. News: Buchenau . Martin-Werner . 2010-10-22 . Comeback: Chinageschäft beflügelt Trumpf . Comeback: China business boosts Trumpf . 2023-05-30 . Handelsblatt . de.
  3. News: Kramer . Bernd . 2022-05-23 . Die Lust, Grenzen zu verschieben: Der baden-württembergische Maschinenbauer Trumpf vereint Pioniergeist und Bodenständigkeit. . The desire to push boundaries: Trumpf, the mechanical engineering company from Baden-Württemberg, combines a pioneering spirit with a down-to-earth attitude. . Badische Zeitung . 6 . de.
  4. News: 2009-07-23 . Unsere Marktführer – Nichts, was es schon gibt. . Our market leaders - nothing that already exists. . Süddeutsche Zeitung . 24 . de.
  5. 2020 . Die Trumpfs und die Leibingers . Trump and the Leibingers . 2023-05-30 . Spiegel . de.
  6. News: Schreyer . Ulrich . 2023-05-12 . Trumpf strahlt im Licht des Lasers . Trumpf shines in the light of the laser . Schwarzwälder Bote . 8 . de.
  7. News: Lutz . Sigrun . 2024-09-09 . Von der Mechanik zur Hochtechnologie . From mechanics to high technology . Stuttgarter Nachrichten . 43 . de.
  8. Web site: 6 November 2023 . Vom Nibbelkönig zum Smart-Factory-Anbieter: 100 Jahre Trumpf und 60 Jahre Trumpf Schweiz – ein Rückblick mit einer interaktiven Timeline . From nibbling king to smart factory provider: 100 years of Trumpf and 60 years of Trumpf Switzerland - a look back with an interactive timeline . 2024-07-22 . Technik und Wissen . de.
  9. News: 2023-11-22 . 60 Jahre TRUMPF Schweiz – von einer Autogarage zum Produktionsstandort . 60 years of TRUMPF Switzerland - from a car garage to a production site . 2024-07-22 . Schweizer Maschinenmarkt (SMM) . de.
  10. Web site: Trumpf USA celebrates 50 years . en . Laser Focus World . 2019-11-05 . 2024-07-16 . David . Belforte.
  11. News: Jaeger . Falk . 2008-10-30 . Der Trumpf-Triumpf . The Trumpf Triumph . Süddeutsche Zeitung . 17 . de.
  12. News: Höltschi . René . 2023-10-10 . Von Trumpf zu Leibinger: Der Chip-Pionier aus Baden-Württemberg . From Trumpf to Leibinger: The chip pioneer from Baden-Württemberg . Neue Zürcher Zeitung . 23 . de.
  13. News: Lutz . Sigrun . 2014-09-09 . Ditzingen: Blauer Horizont als prägendes Element . Ditzingen: Blue horizon as a defining element . 2024-07-23 . Stuttgarter Zeitung . 46 . de.
  14. Web site: Nachrichten . Stuttgarter . Berthold Leibinger prägt Trumpf: Das Licht des Lasers wies den Weg in die Zukunft . Berthold Leibinger shapes Trumpf: The light of the laser pointed the way to the future . 2024-09-20 . stuttgarter-nachrichten.de . de.
  15. 1985-09-13 . Trumpf: Blick über den Zaun . Trump: Looking over the fence . Wirtschaftswoche . 185 . de.
  16. Hartmann . Max . 2013 . Die Wettbewerbsstärke deutscher Unternehmen in der Maschinenbaubranche: Eine theoretisch konzeptionelle Erklärung anhand der Diamant- und Clustertheorie . The competitive strength of German companies in the mechanical engineering sector: A theoretical conceptual explanation based on the diamond and cluster theory . Research Papers on Marketing Strategy . de . 978-3-00-043758-8 . 2023-05-30 . 10419/83889.
  17. News: Heller . Michael . 2015-11-21 . Berthold Leibinger wird 85: Von Trumpf beinahe besessen . Berthold Leibinger turns 85: Almost obsessed with Trump . 2023-05-30 . Stuttgarter Zeitung . 12 . de.
  18. News: Labode . Andrea . 2011-09-30 . Wenn Töchter den Vater ablösen . When daughters take over from their father . 2024-07-23 . Welt . 4 . de.
  19. News: Schmale . Oliver . 2023-07-20 . Maschinenbauer Trumpf blickt vorsichtig in die Zukunft . Machine manufacturer Trumpf takes a cautious view of the future . 2023-07-20 . Frankfurter Allgemeine Zeitung . de.
  20. News: 2014-03-26 . Not macht erfinderisch: Maschinenbauer gründet eine Bank . Necessity is the mother of invention: mechanical engineer founds a bank . 2023-05-30 . Handelsblatt . de.
  21. Web site: Juschkat . Katharina . 2020-10-27 . Trumpf eröffnet dritte Smart Factory . Trumpf opens third smart factory . 2024-09-20 . elektrotechnik . de.
  22. Web site: Gleichauf . Christian . 2023-01-20 . 100 Jahre Trumpf: Laserspezialist will mit Quantentechnik und 3D-Druck nach ganz weit oben - STIMME.de . 100 years of Trumpf: Laser specialist aims for the top with quantum technology and 3D printing - STIMME.de . 2024-09-20 . www.stimme.de . de.
  23. Web site: Trumpf SE + Co. KG . Unternehmensregister . Bundesanzeiger Verlag . 2023-03-01.
  24. News: Schreyer . Ulrich . 2020-11-27 . Der Laser leuchtet auch über der Old Economy . The laser also shines above the old economy . Stuttgarter Zeitung . 9 . de.
  25. News: Schreyer . Ulrich . 2003-09-30 . Trumpf komplett in Familienbesitz . Trumpf completely family-owned . Stuttgarter Zeitung . 11 . de.
  26. News: 2005-03-22 . Eine schwäbische Familienangelegenheit . A Swabian family affair . Stuttgarter Zeitung . 28 . de.
  27. News: 2022-12-08 . Wo Haben und Geben zusammengehören: Die Berthold Leibinger Stiftung (30 Jahre) und die Doris Leibinger Stiftung (15 Jahre) feiern Geburtstag. Bei der Jubiläumsveranstaltung im Alten Schloss treten das Profil der beiden Stiftungen und das der Stifter deutlich hervor . Where having and giving go together: The Berthold Leibinger Foundation (30 years) and the Doris Leibinger Foundation (15 years) are celebrating their birthdays. At the anniversary event in the Old Castle, the profile of the two foundations and that of the donors are clearly highlighted . Stuttgarter Zeitung . 20 . De.
  28. News: Buchenau . Martin-Werner . 2016-01-14 . Die Lichtgestalt . The shining light . Handelsblatt . 20 . de.
  29. News: Buchenau . Martin . 2023-03-22 . Großes Stühlerücken bei Trumpf . Big shake-up at Trumpf . Handelsblatt . 31 . de.
  30. News: 2023-03-22 . Leibinger folgt auf Hambrecht . Leibinger succeeds Hambrecht . Reutlinger General-Anzeiger . de.
  31. Web site: en . 2022/23 Annual Report . Trumpf . 2024-06-25.
  32. 2022-11-14 . Trumpf-Multigreifer punktet auch beim Biegen kleiner Stückzahlen . Trumpf multi-gripper also scores points when bending small quantities . 2023-05-30 . Maschinenmarkt . Vogel Business Media . de.
  33. News: Schreyer . Ulrich . 2018-10-18 . Das Licht des Lasers wies den Weg in die Zukunft . The light of the laser pointed the way to the future . 2023-05-30 . Stuttgarter Zeitung . 11 . de.
  34. Kuhn . Dietmar . 2008-03-26 . Laser als Alternative zum Sägen und Fräsen . Laser as an alternative to sawing and milling . 2023-05-30 . Maschinenmarkt . Vogel Business Media . de.
  35. News: Veitinger . Thomas . 2022-12-02 . Chip-Produktion: Komplizierteste Maschine der Welt kommt von Zeiss und Trumpf . Chip production: most complicated machine in the world comes from Zeiss and Trumpf . 2023-05-30 . Südwest Presse . de.
  36. News: Dierig . Carsten . 2019-05-21 . Diese Maschine sichert unseren Wohlstand . This machine secures our prosperity . 2023-05-30 . Welt . de.
  37. News: Benoit . Bertrand . Lin . Liza . Somerville . Heather . Mackrael . Kim . November 27, 2024 . China Is Bombarding Tech Talent With Job Offers. The West Is Freaking Out. . subscription . live . https://archive.is/0JZod . November 27, 2024 . November 27, 2024 . The Wall Street Journal.
  38. Web site: 2024-01-08 . Arnim Brüchle ist neuer Geschäftsführer von Trumpf Schweiz . Arnim Brüchle is the new Managing Director of Trumpf Switzerland . 2024-09-20 . SMM Schweizer Maschinenmarkt . de.
  39. Web site: Fabian . Schmidt . 2013-12-04 . Deutscher Zukunftspreis 2013 – DW – 04.12.2013 . German Future Prize 2013 - DW - 04.12.2013 . 2024-09-20 . dw.com . de.
  40. Web site: Deutscher Zukunftspreis 2020 . German Future Prize 2020 . 2024-09-20 . www.zdf.de . de.
  41. Web site: Schäfer . Reinhold . 2020-07-15 . Trumpf Werkzeugmaschinen gewinnt den Hermes Award 2020 . Trumpf Machine Tools wins the Hermes Award 2020 . 2024-09-20 . MM MaschinenMarkt . de.
  42. Web site: PEACHMAN" . "RACHEL RABKIN . The World's Best Employers 2023 . 2024-09-20 . Forbes . en.
  43. Web site: 2018-10-16 . Germany's Mittelstand puts happy workers over profits . subscription . 2024-09-20 . www.ft.com.
  44. Web site: 2016-09-13 . Trumpf führt Jahresarbeitszeit ein . Trumpf introduces annualised working hours . 2024-09-20 . MM MaschinenMarkt . de.