Western Cape Business News

Send  Share  RSS  Twitter  29 Aug 2010

ELECTRICAL: Sabelco Shows Exponential Growth


Recent Western Cape Business News

WHEN Sabelco Electrical Industries opened for business in Cape Town’s Montague Gardens 21 years ago, its management team could hardly have foreseen the success it would be today. With a second facility in Johannesburg, the most technologically advanced machinery available, and two equally successful subsidiary companies, Sabelco has established itself as South Africa’s largest supplier of electrical low-voltage assemblies.

Says Marc Moreau, managing director of Sabelco: “About five years ago the management team developed a growth strategy which reached success almost immediately upon implementation. Since then, we have seen between 30% and 50% year-on-year growth.”

He explains that the company’s new strategy was much more customer-orientated and resulted in Sabelco adapting its business model significantly: “We customized our business to meet our customers’ very specific needs, which in turn led to long-term partner relationships based on our ability to deliver quality products in the quickest time possible.”

As the company’s growth sped up, Sabelco made significant investments into human resources to meet increased turnover and production while ensuring it didn’t compromise on the quality of its products or fall behind in its production schedules. To date, about R10 million has also been invested into plant and machinery in its associated companies.

Although not a focus area for Sabelco, the company is also exporting electrical low-voltage assemblies into Africa and its share in this market is increasing. However, Moreau believes there is immense growth potential for this sector in South Africa and feels strongly about focusing on managing growth closer to home.

We’ve built a solid reputation for being quality suppliers who not only offer superior end-products, but also advanced industry knowledge and expertise. This has added immense value to our customers who in turn have been able to grow their own businesses,” says Moreau who is an active participant in various SABS technical committees, and who represents South Africa on the international committee for electrical low-voltage assemblies.

Our growth strategy was built on the tenet that the stronger our customers became in the marketplace, the stronger we would become, and it’s been a very rewarding approach for us,” says Moreau.

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