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LINAK and AKK partnership to improve efficiency and create employment in Denmark

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Photo by LINAK A/S

CO2 emissions equivalent to the annual private consumption of 10,000 Danes. That is what LINAK saves by moving production of profiles for electric table legs home to Sonderborg. At the same time attracting jobs to Denmark and Southern Jutland.

Till now, LINAK has transported 3,000 tons of steel tubes 4,000 km around Europe every year. However, LINAK has decided to be a green company that safeguards local jobs, so we searched for a more sustainable solution:

“We need to have production in Denmark to develop and that is why we have to think smart and find innovative solutions. I feel that it is my obligation to contribute to this and with LINAK, I also have a great responsibility for safeguarding Danish and local jobs” says Bent Jensen, CEO and owner of LINAK.

The solution turned out to be closer than expected.

AKK Industri – located in Sonderborg – has manufactured brackets for LINAK for several years and occasionally also a few profiles. And they would very much like to extend the cooperation to produce more profiles.

“Having the growth rate of LINAK in mind I was aware that we had to deliver a very large and increasing volume. At the same time we had to be able to compete with low-wage companies in Eastern Europe, so we had to invest in a really efficient solution”, explains Klaus B. Poulsen, CEO of AKK, who has invested a double-digit million amount in the project.

The solution is a very innovative robot system that can be adapted to the growing volume of the production.

AKK is an incredibly creative sub-supplier that has created a truly unique solution. By using technology and automating in the right way, we can actually attract manpower back to Denmark – because someone has to look after the robots.

“So far, this means 15 new local jobs to gather the 3,000 tons of steel profiles in Sonderborg instead of driving them around Europe. So even though we have a very high hourly rate in Denmark compared to Eastern Europe, this solution can easily compete with the former one. I am very excited about it” states Bent Jensen.

For both LINAK and AKK the short physical distance means that both parties can be much more flexible. LINAK can, for example, quickly send a couple of technicians to Sonderborg, if there is a need for it.

In return, we get high production reliability and short delivery time of AKK, which themselves make drawings, parts and spare parts for punching tools. Furthermore, AKK is able to deliver the items in the special colours that LINAK sometimes needs.

The project has not only generated jobs for AKK but also to a number of local companies that have participated in the making of the system and renovation of the buildings. Local companies will also be involved in the subsequent maintenance of the system.

The agreement has safeguarded local employment in the next five years, and both parties expect it to be extended.

For more information, please visit http://www.linak.com.