In 2014, the German manufacturing industry comprised more than 22,000 companies employing 5.3 million people and generated cumulative sales in excess of € 1.6 trillion. In some sectors, such as machinery and plant engineering, the bulk of the production is exported. The German manufacturing industry is characterized by a mixture of internationally operating groups and generally well positioned SMEs, many of which are internationally successful and even global market leaders. Similar structures can be found on the supplier side, which provides manufacturers with anything from simple components to highly complex specialized technical products, including machine control systems and intelligent sensors.
The machine and plant engineering industry generates sales of approximately € 220 billion and supports a workforce of more than one million (2014), making it one of the strongest and most important German industries. Products and services “made in Germany” are renowned all over the world, as can be seen by their 76%-export rate. The industry is cyclical and suffered plummeting order levels, occurring in part in the late cycle, during the 2008/2009 economic crisis. Based on sales per employee, only companies with a staff of less than 50 or in the range of 500 to 1,000 were able to show significant and stable improvement compared to pre-crisis levels. In spite of this, the German machinery and plant engineering industry remains well positioned in international comparison, but it needs to work on maintaining that position for the future. In light of increasing competition, especially from Asia, German machine and plant manufacturers should focus on more extensive production automation, continuous process innovation and integrated solutions. We would be happy to help you meet these challenges.
|Status quo||Internationally operating family office considers investing in a leading manufacturer of innovative packaging systems for products for personal care as well as health care applications|
|Task||Commercial due diligence with a comprehensive market model|
Private equity house assesses investment possibilities regarding the leading manufacturer of fire fighting equipment as well as fire extinguishing devices for fire-fighters and industrial customers
Commercial Due Diligence