Machine Tools DMG Mori becomes leaner, shifts focus on quality, service

Editor: Barbara Schulz

Japan/Germany – Customer service, product quality and pricing policy are high on DMG Mori's agenda. According to CEO Christian Thönes, service prices will be cut by up to 50%, and the machine tool builder's focus will be more closely on quality.

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While DMG Mori President Dr Masahiko Mori (right) emphasised that it was crucial for him to keep the German company as a stock-listed company, he seems to have implemented some changes within the global company, including customer service, product quality and pricing policy.
While DMG Mori President Dr Masahiko Mori (right) emphasised that it was crucial for him to keep the German company as a stock-listed company, he seems to have implemented some changes within the global company, including customer service, product quality and pricing policy.
(Source: Schulz)

After Japan-based DMG Mori Co. had acquired further shares in the German DMG Mori AG and reached a total shareholding of 76% of shares in AG earlier this year, the company's president, Dr Masahiko Mori and DMG Mori's new CEO Christian Thönes appeared united on stage at the machine tool manufacturer's press conference at the recently held AMB show in Stuttgart, Germany. While Dr Mori emphasised that it was crucial for him to keep the German company as a stock-listed company, he seems to have implemented some changes within the global company, including customer service, product quality and pricing policy.

"We have been listening to our customers and have consequently restructured our existing VIP structure," Thönes explained last Thursday in Stuttgart, Germany. "From now on, every customer is a VIP. This is also reflected by our service pricing which has been closely examined and turned upside down."

For instance, DMG Mori has introduced a transparent job flat-rate that is applicable as of now. This flat rate is a one-off charge per service order and technician. There are no longer any additional charges for travelling time, kilometers travelled or any flat charges for expenses and small parts. This adds up to service prices with an up to 50-percent price saving, Thönes explained. Moreover, he added, it was no secret that DMG Mori's spindels were overpriced in the past; as a result, the company continues to offer maximum manufacturer expertise where the spindle service is concerned, but with a new pricing structure. The 18,000 SK-40 OEM spindle is one example where DMG Mori guarantees the best price. The new spindle now comes from €15,990, a replacement spindle from €13,290 and a spindle repair from €9,990.

Another topic on the agenda of change is quality, Thönes said. "In future, we will focus more closely on quality because we are not always the No. 1 for our customers in terms of quality today." This was a task he got from Dr Mori, he said, and there will be no compromise on quality. Thönes added that innovations will still be DMG Mori's focus, but the number of machines introduced to the market each year will be reduced. Additionally, the number of products will be reduced from around 300 today to 150.

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