Sustainability, innovation and global controlling: Insights into the meeting of the Work Group Heilbronn-Künzelsau
On October 18, 2024, the ICV Work Grouo Heilbronn-Künzelsau met at the Oskar Frech GmbH & Co. KG plants in Schorndorf-Weiler and Plüderhausen.
The ICV work groups offer the opportunity to share best practices, exchange professional and personal ideas and at the same time experience how controlling contributes to achieving goals as a strategic partner in the company.
This Work Group’s meeting offered exciting insights into the outstanding controlling and sustainability approach of a medium-sized company with a global presence and one of the leading technical suppliers in the die casting sector. The participants were particularly impressed by how Frech manages to combine the highest level of technical expertise with sustainability management – a balancing act that is becoming increasingly critical to success.
Technological excellence and efficiency in controlling
As a system provider, Frech covers the entire value chain and uses its machines for foundry mold production for industrial and consumer applications worldwide. Every year, the company builds a three-digit number of foundry machines in different variants. This diversity poses a particular challenge for controlling, as the cost and process structures have to be managed precisely with regard to materials, construction times and different global locations. A key aspect here is the efficiency of the test procedures: The molds produced are tested directly on the company’s own machines and are therefore immediately ready for series production at the customer’s premises – an advantage that has a positive impact on their storage and process costs.
Sustainability as a controlling task: ESG and CSRD in SMEs
In terms of ESG criteria and the new requirements of the CSRD Directive, Frech’s sustainability management is particularly exemplary. The company is committed to resource-conserving processes and energy-efficient measures, which also have an impact on controlling. For example, large photovoltaic systems on the factory roofs help to cover a large part of the electricity consumption – a measure that not only reduces operating costs, but also significantly improves the carbon footprint. This exemplary implementation of sustainable measures is not only impressive from a CSR perspective, but also underlines the role of controlling, which must actively support and monitor sustainability targets in order to secure long-term savings potential and competitive advantages.
Challenges and opportunities due to an international customer structure
With a global customer base that includes DAX companies, Frech operates in a demanding market environment. The company must precisely meet the needs of international customers who place high demands on sustainability and efficiency. The challenge is to maintain both flexibility and product quality at the highest level at all times, which requires a strong integration of financial and production controlling.
Conclusion: Controlling as a business partner for SMEs
The ICV Work Group’s meeting made it clear to the 11 participating controllers that active controlling is just as crucial to success in SMEs as technical expertise and sustainability. Frech has understood how to integrate this triad into its corporate strategy, thereby creating a significant competitive advantage. The Work Group’s meeting was therefore once again a win-win situation for everyone involved.
Fritz Häussermann, Head of the WG Heilbronn-Künzelsau
