01 July 2014
01 July 2014
Elfac in Silkeborg, Denmark, has entered into a strategic partnering agreement with Terma.
As a result of this agreement, the two companies further strengthen a well-established collaboration. Elfac says it has has produced cables for Terma’s radar systems since 2010. Over the last two years, the collaboration has developed from a supplier relation into an actual partnership.
Jens Husted, Vice President, Supply Chain and Procurement in Terma, explains ” As part of Terma’s outsourcing strategy, we have outsourced some of our manufacturing tasks to partners who have demonstrated the ability and willingness to complete tasks better and more cost effectively than we are capable of in Terma. Elfac has gradually completed more and more complex tasks for us, and on their own initiative, they contribute to design and development of their valuable domain knowledge. Elfac supplies customised cables for almost all our radar systems and is involved in the design phase of a new radar that we are currently working on".
Terma and Elfac also eye the possibility of Elfac supplying cables for Terma’s electronic self-protection systems for aircraft, and in the longer term, also for other Terma defence projects.
”It is part of our company mission to establish close and long-term relations with high-tech companies, where we can make a difference through our niche expertise, says Managing Director Lars H. Andersen, Elfac. He continues "We have benefited significantly from our collaboration with Terma. We have to meet strict quality and documentation requirements which we can also benefit from in other contexts. We have also gained a new understanding of the connection between quality and production methods, and our quality system has been tested thoroughly.".
The continued closer relationship is formalsed in a Memorandum of Understanding which was signed today at Elfac, under the presence of Mayor of Silkeborg Steen Vindum (V), who welcomes the agreement “Any measures to boost employment and create activity in the Silkeborg municipality are positive. Over a number of years, we have lost industrial jobs and are in the process of implementing a new business strategy to secure new jobs in close collaboration with the business sector. Our primary task as a municipality is to create the best environment for businesses so they can concentrate on what they are good at. On behalf of Elfac, I am very happy with the developing collaboration with Terma. It has secured several jobs, and there seems to be more jobs on the way."
“For Terma, it is crucial that we have competent and reliable partners such as Elfac which can deliver advanced solutions within modern cable assembly. Terma has an export share of more than 90 percent, and our customers worldwide demand flexible radar solutions for defence, security, and surveillance applications. Elfac’s supplies are part of these solutions. High-tech jobs are also part of the recipe for creating growth and jobs in Denmark, so we are very excited to take the next step and together look at the future requirements for advanced technology, "says Jørn Henrik Levy Rasmussen, Vice President, Terma Global.