Karcher Inc. – APEA – Asia Pacific Entrepreneurship Awards

CORPORATE EXCELLENCE

Karcher Inc.

Kärcher Inc., a start-up company under the pioneering leadership of Zurich Fernandez as its Country Manager, was established and organized sometime in the first quarter of 2015. A direct subsidiary of Alfred Kärcher SE & Co. KG based in Germany, Kärcher Inc. was founded in the Philippines to expand its growing presence in the Emerging ASEAN region.

The Kärcher brand, known for its extensive range of high-pressure cleaners, vacuum cleaners, floorcare machines, and other cleaning implements and solutions, used to see its way in the local Philippine market through its network of dealers. However, as the demand for high quality and technological cleaning products was significantly growing, it was essential for the company to expand its footprint in the Philippines by establishing its own subsidiary to strengthen brand presence and further provide product, technical, and service support to its wide customer base for both consumer and commercial markets.

Kärcher Inc.’s first employee, Zurich, who had broad experience from leading multi-national companies and specializing in sales, marketing, and strategic management was hired in mid-2015. He was tasked to organize a long-term growth strategy for the newly established local subsidiary. Thus, a local headquarters with an office, showroom and service workshop in a small 150 sqm office unit in Makati City was born.

With the simultaneous task to build the organizational structure and to provide the necessary support for the local sales and service requirements of the market, a small management team and support staff were assembled at the beginning of 2016. It was at the later period of that year that all the necessary requirements were completed, including all the governmental permits and licenses to operate its B2B platform.

An excellent breakthrough was realized at the start of January 2017 when the company had the green light to conduct its local sales operations in support of all direct and indirect customers and partners. By then, the organizational structure had doubled its previous year’s headcount. With the sales and support teams running at full speed, this resulted in an exceptional double-digit sales growth, paving the way for further investments for the development of the subsidiary. This included a plan to open a new and bigger office, showroom, and service facility by the following year.

Apart from strengthening on its core business, Kärcher Inc. also emphasizes on giving back to the community by initiating a corporate social responsibility project to clean the Philippines’ national landmark, the Jose Rizal Monument. This was in line with Kärcher corporate headquarters’ campaign entitled “Kärcher Cleans the World,” which has preserved over 100 global cultural and historical landmarks which included Mount Rushmore, Christ the Redeemer, the London Eye, etc.

According to Zurich, “It’s a tremendous honor for us to restore a monument that embodies Filipino culture, values and the life and works of a great hero that everyone should emulate.” And adding that, “It is through this alone that the monument deserves nothing but the utmost care, and we are pleased that the Philippine government has allowed us to undertake such a task.”

The cleaning of the Rizal monument, thus, was an astounding success and served as the subsidiary’s major milestone. In collaboration with the National Historical Commission of the Philippines (NHCP) and the National Parks and Development Committee (NPDC), the activity became a true testament of the subsidiary’s long-term commitment to nation-building and the preservation of the Philippines’ important and historical landmarks. The project success also had become a highlight of the local management team’s competence by overcoming the overwhelming complexities during the entire preparation and project execution.

With Kärcher Inc. being only considered as a startup subsidiary and still at its infancy during that time, this CSR activity became a model and benchmark of other older subsidiaries in the region as these types of activities were only accomplished by more mature and long-established subsidiaries. The Company subsequently spearheaded another cleaning campaign to clean the People Power Monument in time for its 32nd anniversary in February 2018.

From a 150 sqm small office to a 760 sqm new facility, Kärcher Inc. has recently inaugurated a bigger local headquarters, Kärcher Center Manila, in August 2018 which is now equipped with an industry-leading showroom, training center, service workshop, and sales offices, to better serve the local market and satisfy its consistently-growing customer base. The new facility is now strategically located in the heart of Sucat, Paranaque City, where customers from Metro Manila and nearby South Luzon provinces are able to better access Kärcher’s class-leading products and services.

By the next year, a new Kärcher Center facility in Cebu will be set-up by mid-2019 to further expand the subsidiary’s geographical reach in the Visayas region. Future plans to further expand its footprint in Davao, Iloilo, and in Clark are already in the advanced planning stage which would soon be realized in 2-3 years.

As Kärcher Inc.’s local presence is expected to expand in other regions, employee development will continue to be an important focus initiative. Through the ongoing Culture Excellence, Leadership Excellence, and People Excellence programs, these create a suitable environment for all its motivated employees to develop their personalities, skills, career goals, and aspirations. The subsidiary has not only been providing wellness activities, self-development workshops, diverse training sessions and e-learning platforms, but also actively engaging its employees with potential leadership roles in external activities such as trade events, CSR, etc. in preparation for future career enhancement and development.

Kärcher Inc.’s Local Mission Statement

  • Kärcher Inc. shall continuously grow its sales and service organization by focusing on operational excellence to sustainably support its customers across different business platforms.
  • As an active contributor to nation-building, we are a socially-responsible company upholding high ethical business standards.
  • We will always strive to be the customers’ consultative partner in the field of cleaning and value maintenance, by providing the right solutions and expertise to every cleaning task.
The management of Kärcher Inc believes that this statement should not only be seen as a feel-good statement displayed on a wall, but should be a top-of-mind culture practiced by all its managers and staff.

Kärcher’s global tagline ‘Kärcher Makes A Difference’ as mandated by the corporate headquarters in Germany means that the employees should always make a difference to Their Customers, Their Innovations, Their Products, Their Quality, Their Solutions, Their Service, Their Brand, Their People, and Their Values.

CORPORATE EXCELLENCE

Karcher Inc.

Kärcher Inc., a start-up company under the pioneering leadership of Zurich Fernandez as its Country Manager, was established and organized sometime in the first quarter of 2015. A direct subsidiary of Alfred Kärcher SE & Co. KG based in Germany, Kärcher Inc. was founded in the Philippines to expand its growing presence in the Emerging ASEAN region.

The Kärcher brand, known for its extensive range of high-pressure cleaners, vacuum cleaners, floorcare machines, and other cleaning implements and solutions, used to see its way in the local Philippine market through its network of dealers. However, as the demand for high quality and technological cleaning products was significantly growing, it was essential for the company to expand its footprint in the Philippines by establishing its own subsidiary to strengthen brand presence and further provide product, technical, and service support to its wide customer base for both consumer and commercial markets.

Kärcher Inc.’s first employee, Zurich, who had broad experience from leading multi-national companies and specializing in sales, marketing, and strategic management was hired in mid-2015. He was tasked to organize a long-term growth strategy for the newly established local subsidiary. Thus, a local headquarters with an office, showroom and service workshop in a small 150 sqm office unit in Makati City was born.

With the simultaneous task to build the organizational structure and to provide the necessary support for the local sales and service requirements of the market, a small management team and support staff were assembled at the beginning of 2016. It was at the later period of that year that all the necessary requirements were completed, including all the governmental permits and licenses to operate its B2B platform.

An excellent breakthrough was realized at the start of January 2017 when the company had the green light to conduct its local sales operations in support of all direct and indirect customers and partners. By then, the organizational structure had doubled its previous year’s headcount. With the sales and support teams running at full speed, this resulted in an exceptional double-digit sales growth, paving the way for further investments for the development of the subsidiary. This included a plan to open a new and bigger office, showroom, and service facility by the following year.

Apart from strengthening on its core business, Kärcher Inc. also emphasizes on giving back to the community by initiating a corporate social responsibility project to clean the Philippines’ national landmark, the Jose Rizal Monument. This was in line with Kärcher corporate headquarters’ campaign entitled “Kärcher Cleans the World,” which has preserved over 100 global cultural and historical landmarks which included Mount Rushmore, Christ the Redeemer, the London Eye, etc.

According to Zurich, “It’s a tremendous honor for us to restore a monument that embodies Filipino culture, values and the life and works of a great hero that everyone should emulate.” And adding that, “It is through this alone that the monument deserves nothing but the utmost care, and we are pleased that the Philippine government has allowed us to undertake such a task.”

The cleaning of the Rizal monument, thus, was an astounding success and served as the subsidiary’s major milestone. In collaboration with the National Historical Commission of the Philippines (NHCP) and the National Parks and Development Committee (NPDC), the activity became a true testament of the subsidiary’s long-term commitment to nation-building and the preservation of the Philippines’ important and historical landmarks. The project success also had become a highlight of the local management team’s competence by overcoming the overwhelming complexities during the entire preparation and project execution.

With Kärcher Inc. being only considered as a startup subsidiary and still at its infancy during that time, this CSR activity became a model and benchmark of other older subsidiaries in the region as these types of activities were only accomplished by more mature and long-established subsidiaries. The Company subsequently spearheaded another cleaning campaign to clean the People Power Monument in time for its 32nd anniversary in February 2018.

From a 150 sqm small office to a 760 sqm new facility, Kärcher Inc. has recently inaugurated a bigger local headquarters, Kärcher Center Manila, in August 2018 which is now equipped with an industry-leading showroom, training center, service workshop, and sales offices, to better serve the local market and satisfy its consistently-growing customer base. The new facility is now strategically located in the heart of Sucat, Paranaque City, where customers from Metro Manila and nearby South Luzon provinces are able to better access Kärcher’s class-leading products and services.

By the next year, a new Kärcher Center facility in Cebu will be set-up by mid-2019 to further expand the subsidiary’s geographical reach in the Visayas region. Future plans to further expand its footprint in Davao, Iloilo, and in Clark are already in the advanced planning stage which would soon be realized in 2-3 years.

As Kärcher Inc.’s local presence is expected to expand in other regions, employee development will continue to be an important focus initiative. Through the ongoing Culture Excellence, Leadership Excellence, and People Excellence programs, these create a suitable environment for all its motivated employees to develop their personalities, skills, career goals, and aspirations. The subsidiary has not only been providing wellness activities, self-development workshops, diverse training sessions and e-learning platforms, but also actively engaging its employees with potential leadership roles in external activities such as trade events, CSR, etc. in preparation for future career enhancement and development.

Kärcher Inc.’s Local Mission Statement

  • Kärcher Inc. shall continuously grow its sales and service organization by focusing on operational excellence to sustainably support its customers across different business platforms.
  • As an active contributor to nation-building, we are a socially-responsible company upholding high ethical business standards.
  • We will always strive to be the customers’ consultative partner in the field of cleaning and value maintenance, by providing the right solutions and expertise to every cleaning task.
The management of Kärcher Inc believes that this statement should not only be seen as a feel-good statement displayed on a wall, but should be a top-of-mind culture practiced by all its managers and staff.

Kärcher’s global tagline ‘Kärcher Makes A Difference’ as mandated by the corporate headquarters in Germany means that the employees should always make a difference to Their Customers, Their Innovations, Their Products, Their Quality, Their Solutions, Their Service, Their Brand, Their People, and Their Values.