Dondi-Quivogne: a farsighted agreement
Distribution, production and innovation are the three principal areas of interest in the Italian company in Bastia Umbra and the French manufacturer. Their purpose is to unite their strengths to optimize costs and thereby free up resources for the creation and development of new models
Dondi S.p.A, the designer and manufacturer of agricultural and industrial machinery in Bastia Umbra, near Perugia, dates back to 1850 as a point of reference in the sector of soil preparation. In 2013 the company completed plans for the expansion of their production facilities, strengthening their communications instruments with a restyling of their website and, more recently, wrapped up an important collaboration agreement with the French manufacturer Quivogne, which also specializes in tilling machinery. The understanding is aimed at strengthening the two enterprises not only in their respective domestic markets but especially in international markets and emerging countries where agricultural mechanization demand is still growing. Mondo Macchina/Machinery World spoke to Dondi CEO Lamberto Pettirossi to gain a better understanding of the details behind this new partnership and the manufacturers’ strategies.
Distribution, marketing and cooperation in a technological environment for the design of new models. This is what the full field collaboration of Dondi and Quivogne looks like, a partnership looking far ahead....
The agreement with the French company is the destination of a commercial cooperation which, begun four years ago, has led to such positive results that we are convinced of the opportunity, actually the need, that promoting a closer integration process between our two enterprises is decisive for strengthening the partnership and extending it from the commercial area – this too has been strengthened further – to the design of new models and technological innovation thanks to sharing our respective knowledge in the technical area. Though this process is still under way, I can say that the earliest signals are extremely encouraging. On the other hand, in the soil preparation sector, Dondi and Quivogne and complementary companies; we’re maintaining as exclusive our ditchers, combined machinery for minimum tilling and road maintenance machines and they for other types of machines, such as cultivators and machines for seed bed preparation. If the results achieved up to now are confirmed in the months to come, there might be a further strengthening of our synergies.
In a time like the present, when many companies are looking for partnerships in emerging countries to reduce production costs, your choice is an alliance with a French industry. In summary, are you aiming for a totally European enterprise model?
One of our objectives, from when we took over the leadership of Dondi in the early 1990s, has been to cooperate with other companies in the sector with an eye on market consolidation. In fact, we find that we are operating in a sector in which competition is increasing fierce. In these conditions, the rationalization of structure is becoming a requirement which cannot be put off, especially for SME (Small and Medium Enterprises) which have to stay in step with the big industrial groups. Groups which, thanks to their size, are able to exploit significant economies of scale in the production process as well as in research and development. So this means partnership with a reliable company like Quivogne with which we share a business philosophy and a modus operandi which allow both companies to optimize their resources. I’m thinking, for example, of the complementary nature of our distribution networks, seeing that we are present in the United States and Australia and they are in Canada and Russia. And I’m also thinking of equipping Dondi and Quivogne models with highly compatible components, used indifferently on some and on others. In this connection, we are planning a common frame for our machines, a base, which both companies can personalize in relation to respective production requirements. Again in complementary terms, the commercial synergies between Dondi and Quivogne machines enable us to offer customers a wide and differentiated range compatible with an ample spread of operations.
Developing innovative technologies is a key factor for remaining competitive on the markets. What are the most interesting areas of research for the sector Dondi is operating in and what advantages can be derived from the development of projects shared with a European partner as is, precisely, Quivogne?
Research and development activities are another great strong point in collaboration with Quivogne. For small and medium enterprises joining forces can be a valid response to budget limitations which often make it difficult to bring in innovations and thus to remain competitive. In the past thirty years, in fact, the technological equipment of agricultural machinery has increase in a very impressive way; this will also happen in the future. We have to be ready for the challenge and bring to the market machines which are not only efficient but especially are respectful of the environment and fuel savings. Reducing costs of operations, moreover, is a strategic requirement for the primary sector where the defense of farm income is one of the priority policy aims. Anyway, so long as this “innovation cooperation” is possible there’s the need to find a serious and reliable counterpart willing to share knowledge in such an acute and sensitive sector as is research. For us we found this partner in Quivogne with which we have identified a GPS, safety systems and new materials for the purpose of developing ever more resistant and lightweight alloys and areas for privileged interventions. But there is also another field, still on the of innovation, in which our synergies can provide excellent results. I’m referring to the possibility of improving our respective models thanks to construction indications and recommendations provided by our technical offices on the basis of experience gained on the machines. On the other hand, the difference in the agricultural mechanics sector is very often made precisely by the details.