Semp Toshiba in search of new breath

Five months ago, Affonso Brandão, 84 years, Hennel left his retirement to try reseating the towards Semp Toshiba, a company founded by his father in 1942 and which had been piling up successive years of losses. During this period, made a strong fit in company with lower costs, staff and even brands, and changed the management, with the return of executives who had worked with him. The result, he says, begins to appear: second Hennel, the company back to the break-even point this month and leave behind the negative monthly returns.
"We are in an ascending route," said the Executive, in first interview after interrupting the retirement, started in 1998. He ponders who will need more time to absorb the losses annually. In 2011 and 2012, the company has accumulated negative result of almost r $ 130 million, reflecting the loss of market and the fall in turnover. The electronics of the brand disappeared from stores, stream that has not yet been restored, according to retail sources. Last year, the company's revenue was r $ 1.5 billion, compared with $ 1.6 billion in 2011. In good times, came to earn more than $ 2 billion.
Despite indications that business isn't walking well, both in audio and video segment as in information technology, the market was surprised at the beginning of may, when Hennel spent accumulating the Presidency and the Executive, in place of his son, Alfonso Antonio Hennel, who left the company. Today, Afonso has projects in the segment of appliances of white line.
The changes implemented by Hennel involve cutting product lines, brands, personnel and inventory. The goal is to maintain the solvency of the company, without the need to resort to banks. "I started taking advantages of obsolete products that were in stock: TVs, computers and audio items. The market paid what could, I agreed and kept the solvency, "he said.
The arrangement of the House also included the renegotiation of contracts and the opportunity to settle disputes. With the retreat of the exchange rate in recent months, for example, he sold part of the debt of US $ 512 million to finance imports of components. "At the moment, the debt is at $ 230 million and have balance to pay this quietly."
Barrow Hennel not detailed the exact size of the cuts, but explained that the General contraction under way in company aims to bring it into focus. The intention is to focus fire on profitable products. "In computer science, let's concentrate on tablets and laptops, which give profit," said the Manager. "We're out of mobile and desktop, but doing well in fixed wireless phone." In TVs, where's the DNA of the company, the goal is the thin TV with liquid crystal display (LCD). It was abandoned the previous proposal to keep for a while the TV tube manufacturing. "Let's bet on good quality TVs, capable of competing with the Koreans."
Japanese. Semp Toshiba's weapon to compete with the Korean Samsung and LG, which alternate in the market leadership of TVs, will use the brand name of partner Toshiba, which wasn't being used, and also the technology provided by the Japanese company.
Since 1977, the company has a joint venture with Toshiba of Japan. In recent times, the Toshiba brand lost importance and the partnership weakened. When he took over the company, Brandão Hennel if reproached the Japanese to replace the brand on the market.
Under the new administration, the Toshiba brand will be focused on niche products, more sophisticated. Already the mark Semp, which had been turned off, will the Chancellor, popular items for all rows. The company is already producing tablets branded Semp. And the STI, brand created initially for the computers, but that has been extended to other lines, leave the scene.
Old guard. Along with the reduction of product lines and brands, there was a cut in personnel. "Dumped not less than eight directors here in these five months," said Barrios Hennel. The company ended last year with 2,538 employees scattered between the factories of Manaus (AM) and Salvador (BA) and the administrative and logistics centre in Cajamar. Now there are 2,038 employees. "We're still in the process of simplification, because there was a very large reduction goals and responsibilities. All personnel were advising these areas became expendable, "he explained.
Another step to make profitable the business was expanding the functions of underutilized employees. And, for now, the merit-based salary increases are frozen, he warned.
To help him in the new administration, the President brought back former directors to work in key areas: Ricardo Mr. Schiel, as Director of the factory, and Antonio Wolff, to direct the human resources area.
Even without having completed six months back, the new President already is planning its withdrawal to 2014. He says that the Mission of his successor, who will be chosen for him among employees taken as "Silver House", will be ceasing the annual losses. "I'm 84 years and want to stay here the less time possible. I want to give space and experience for anyone who needs it. Go to the Board and sit back there. "