Sandvik will merge its Sandvik Mining and Sandvik Construction business areas into a single division known as Sandvik Mining and Rock Technology in the second half of this year. Currently, both divisions offer equipment suitable for quarrying applications.
According to the company, Sandvik Mining and Rock Technology’s operations will be organised in a de-centralised business model with separate product areas based on the product offering, and each product area having full responsibility and accountability for its respective business.
“Products developed for the customer segments mining and construction are based on common technologies with a similar aftermarket offering. In addition, manufacturing units are already largely shared with, to some extent, shared front line resources,” Sandvik president and CEO Björn Rosengren stated.
“By joining the operations into one business area we achieve a leaner and more efficient structure. The de-centralised business model enables an even clearer focus and faster response to our customers.”
The new structure will take effect from 1 July, 2016. The current president of Sandvik Mining, Lars Engström, will head the new Sandvik Mining and Rock Technology business as its president, while Sandvik Construction’s current president, Dinggui Gao, will leave the company upon the new division’s launch.
Quarry contacted Sandvik for further comment on how the operation would impact the Australian market but the company had not responded by the time of publication. Further details on the restructure, however, will be divulged in May this year at Sandvik’s Capital Markets Day.