Valmet as a company and it’s history
Kirjoittanut: Veikko Airas - tiimistä FLIP Solutions.
You might have noticed this brand in a tractor, Helsinki trams, and metro. Or heard the news about Mercedes making their cars and frames in their factory in Uusikaupunki. But this goes deeper than you might realize. Now we will go and dig deep into what kind of like company and what is the history of the company.
How I ended up doing this essay is that it is a big company in Finland and the name pops up here and there I know they have many workers in Finland and in the world so I wanted to figure out what the brand does how it works and where it works.
Valmet has an interesting history, and it has changed it´s for multiple times the list of its products is long. Valmet´s roots go all the way back to the mid 17 hundred. And during their history, they have made Guns, Planes, Trains, Different cars, Cellulose, Bio-oil, Metal, and the list just goes on. The reason why it has such a broad history is that for a long time, it was owned by the Finnish government, and still the Finnish government’s investment company Solidium Oy is the biggest shareholder with a bit over 10% share of the company. It has been used for Finnish government needs for example during the war.
Under Valmet, there have been founded many companies and many companies have been bought in and there are many fusions with Valmet-owned companies. The company structure for a normal guy like me seems complex. So, I will break down the biggest companies and what they do below.
Valmet Oyj. Is the main company of the company structure. On their website, they tell they focus on machinery, automation, factories, and mills for Pulp, Board, paper, and tissues. Its revenue in 2021 was 3,9 billion€ (2021) and the profit for the financial year 2021 was 177 million€
Valmet Automotive was founded in 1968 and for its starting 30 years it mostly was producing cars for Saab-Scania AB in the late 90 early 00 when Saab started to struggle as a company, they started to produce Saabs, Opels, and even Porsches special cars. Now Valmet Automotive focuses on Ev technology they have one factory in Uusikaupuki and they have battery factories in Salo, Uusikaupunki, and a third one in Germany. We received great news in the 22´summer when they got a contract with Mercedes AMG so the topline manufacturer at Mercedes Benz Ag, will be producing the AMG GT 4-door version from Q4 of 23´. This is wery unique and a true test for Valmet’s standards. For the people that don´t know every AMG Mercedes is wery carefully built and they are Mercedes topline models. So, we can see they have improved a lot during the past decades. Nowadays its revenue is 421 million€ (2021) It´s really good that we in Finland as well have our hands in the car industry since we are such petrolheads.
Neles Oyj. was melted into Valmet Oyj. 1.4.2022 Neles produces Valves and valve automation technology. Neles focuses on producing top-line quality for their customers. As their customer promise states “Re-inventing reliability” the brand has customers in 115 countries. And it´s revenue was 611 million€ (2021) and its profit for the financial year was 62 million€ (2021)
What interests me is how big organizations like this operate and work together towards a common goal. And how big companies like this communicate together. Unfortunately, I was unable to find information on how Valmet specifically communicates between these different companies, but I would see they support each other in their own industries. Valmet Oyj probably needed Neles technology, so it made strategic sense to buy it. Valmet Oyj. has in the past years specified its work inside the organization so it makes sense to divide different industries into different companies that way you can get a more clear vision and purpose for the workers and you can identify your name in the industry for customers.
Citations of the essay:
Valmet Automotive Oyj. https://www.finder.fi/Autoliike/Valmet+Automotive+Oyj/Uusikaupunki/yhteystiedot/183314?ref=redirect