Oyvind Lilaas |
Terje Akerholt |
One of the leading suppliers of control levers and joysticks for the shipping industry, Lilaas stands out from the crowd in other ways. Where many competitors have outsourced production, for example, Lilaas is committed to retaining its manufacturing capability in-house. From its factory at the centre of Norway's
marine electronics industry in Horten, 75km from Oslo, Lilaas employs a highly trained staff of more than 60 technicians. It ensures that every aspect of product development and manufacturing meets the standards the company sets itself until finished products leave the plant. The 6,000m2 facility produces over 9,000 levers a year for customers worldwide.
Lilaas sales and marketing manager, Terje Akerholt, says: "Having our own in-house production, committed to the development of quality products, is one of the main reasons we are so successful. It allows us to make design changes quickly and easily and we can also offer complete systems with much more
flexibility than companies which do not have in-house facilities."
Lilaas specialises in customised marine and offshore control products and around 50% of its production is tailor-made to meet the specific requirements of individual customers. The Horten factory has been running at close to capacity this year in response to high levels of demand and, as a result, Lilaas is taking steps to expand output. The company recently acquired new facilities on an adjacent site, which will enable it to boost its manufacturing and product development capabilities, and it has also acquired latest-generation CNC machinery to increase operational efficiency at its existing plant.
Terje Akerholt says: "We are seeing very positive trends in the market for our levers and joysticks and if this continues we will need more people, engineers and production capacity within a very short space of time. Buying the new facility is essential to make sure we are ready to meet sustained high levels of demand from our customers."
Lilaas is achieving considerable commercial success, not just in Scandinavia, where it already has a significant market share, but also in Asia. This year the company has secured a number of notable contracts to supply blue-chip customers in Japan, China and Singapore. "We are opening up new
markets and this is another reason why we need to expand," says Terje Akerholt. "Demand from Asia, in particular, is being driven by the requirement for market-tailored products that look good and pack in more
functionality."
To support its presence in Asia, Lilaas recently signed two key service and distribution agreements with companies in Singapore and Shanghai, the first time it has entered into such arrangements in the region.
These are exciting times for Lilaas, says Terje Akerholt, which last year celebrated its 50th anniversary. Two major new product launches, a completely new range of electronic levers and a much improved joystick series, will be unveiled officially at this year's SMM exhibition in Hamburg in September and
market response to these initiatives has already been extremely positive. "This year's SMM will be very special for us as we will be releasing new products that are strong in both design and technology terms," says Terje Akerholt. "SMM is an excellent place to arrange meetings with new and existing customers to highlight and explain the many benefits of these new products, which we believe will put Lilaas firmly in the driving seat."
With the marine technology market increasingly dominated by large multinational groups, Lilaas is proud to be different, not just through its in-house production and quality products, but also as an independent
technology developer. Oyvind Lilaas, son of founder Jan Lilaas, is at the helm of a company which is still very much a family-run concern. "Being a family-owned company makes it easier and quicker to take
decisions," suggests Oyvind Lilaas. "On top of that we are known as a good employer with certain values, and we will keep it that way."