Developing construction equipment dealership business globally and regionally
Becoming a leading global dealership group
Sumitomo Corporation has developed a global dealership business to promote sales of various kinds of products. They range from equipment for construction and civil engineering (hydraulic excavators, bulldozers, etc.) to ultra-large dump trucks for mining, forklifts, agricultural and forestry machinery. Our business is one of the largest among the general trading companies. It compares well with the leading global corporate groups of construction equipment sales/rental businesses in terms of sales, workforce and total asset size on a consolidated basis.
The lineup includes ultra-large hydraulic excavators and dump trucks for mining projects
Launching the dealership business
Our construction equipment business started with the wholesale of Japan-made products to independent overseas dealers. As Japanese manufacturers moved production overseas, we launched full-fledged dealership operations in North America and Europe in the 1990s, shifting toward region-based product sales and after-sale services. Under our motto of "Think Globally, Act Locally," we localized management teams in order to respond accurately to customer needs. Currently, the most of our companies are lead by locally hired presidents. Moving ahead, we are now applying our experience and know-how from years of operation in developed countries to expand the dealership business in emerging regions, such as China, Russia and the Middle East. To further increase the value of the group's business, we are encouraging collaborations and best practice sharing among our companies.
Company presidents at a management strategy meeting
Offering round-the-clock access to professional solution services
Construction equipment is indispensable to our customers' businesses, so we have been dedicated to ensuring that the equipment we deliver functions properly over the long term. We provide ongoing, timely, high-quality after-sale services (product support), such as component replacement and troubleshooting. These services are vital to increase our customers' productivity.
Our companies are located around the world, and they have built extensive regional distribution and service networks to supply products and maintenance services. We focus particularly on dependable repair services. Our engineers perform on-site repairs or bring problematic systems back to the workshop for servicing. In Canada and Russia, some of our products are used at mining sites located above the 60th parallel. In these extremely cold areas, the daily high in winter drops to 20C° below zero. Amidst this harsh environment, we support non-stop mining operations with appropriate and immediate service from a 24-hour station set up near the site.
By offering the right service for each customer and meeting needs throughout the entire machine life cycle, our construction equipment dealership business aims to be the one-stop solution provider our customers can count on.
Repairing customer equipment at a dealership workshop
Toward further business growth
Driven by urban development and economic growth associated with a rising global population, demand for general construction equipment and mining machinery is expected to increase, We will respond to this trend by expanding our business based on two strengths: the human and technical resources we have developed through direct, hands-on operation management, and our regional executive teams, which are highly experienced in dealership. Further, we will promote sales to infrastructure improvement projects as well as mining and energy projects, emphasizing our unmatched product support capabilities. Through these strategies, Sumitomo Corporation will contribute to the social and economic development of regional communities, which will in turn support sustainable economic development on a global scale.
Like many other fields, the construction equipment industry is undergoing innovation in information and communication technology, particularly in automatic/semi-automatic operation. Accordingly, customer needs and business styles are also changing rapidly. We must constantly evolve in line with these external changes to achieve our goal of sustainable growth in the construction equipment business. Sumitomo Corporation will draw on our combined strengths to take up also new challenges.
Sumitomo Corporation of America has invested in VeriTread, operator of an online marketplace for construction equipment transportation
- Transportation & Construction Systems Business Unit
- Retail & Service Operations
- Business Unit
- Product or Service