CT ALUMINIUM: The Essential Elements of a Successful Recovery
CT Aluminium is among South Africa’s foremost designers, manufacturers and installers of aluminium windows, doors and shopfronts. Last time we caught up, the company was toasting a long period of uninterrupted growth; a global pandemic has put a brief stop to this, but the company is returning to full strength in double quick time, according to Production Director Gareth Gilks.
Since manufacturing its very first aluminium products back in 2001, CT Aluminium’s combination of extensive technical expertise, outstanding project management and its state-of-the-art Western Cape manufacturing facility have seen it become the country’s go-to supplier of the most abundant metal on the planet.
Aluminium’s benefits are widely known, and its resultant popularity in both commercial and residential applications only continues to grow. It offers a long life, incredible resistance to the elements and is easily shaped so that design possibilities become almost boundless.
Easy to clean, strong and durable and an effective insulator, it is little wonder that this element is among the industrial pillars of the South African economy, where it is produced more than in any other African country.
SURVIVING SETBACKS
“Providing a good product, with good service, all while being competitive,” is how, in 2019, Production Director Gareth Gilks explained CT Aluminium’s unbridled success, its humble beginnings at a Durbanville farm at the turn of the century belying the industry leader we see today.
“Since we moved premises in 2014, all we have done is grow,” he added. “We are now at a point where we need to stop growing so quickly and consolidate everything and streamline so that we can look at growth again.”
Two fairly catastrophic years on and it is difficult to foresee a time when any company will again be in a position to request a slow-down in business. “The last year was not great, for obvious reasons, and was all about survival,” recognises Gilks of this vastly different industrial landscape. “The number one priority was the survival of the company and the livelihoods of our staff.”
An early switch to survival mode and adoption of key new practices have allowed the business to keep running and instances of Covid-19 to remain absolutely minimal – just three, with none fatal nor operationally detrimental. “Upon re-opening after the initial five weeks of hard lockdown, the most important thing to do was implement strict protocols to avoid the spread of Covid-19 within the company,” Gilks tells us.
“Not only was the safety of our staff very important, we also knew that financially, CT Aluminium could not afford to close its operations again for two or even three weeks in the event of an internal spread of the virus.”
Even with this level of mitigation, the business still felt the effects of the pandemic. “The construction sector as a whole restarted quite slowly after the hard lockdown, with residential construction largely affected by delays in approval of building plans and a general shortage of building materials.
“We have also had to absorb quite a few unprecedented price increases over various projects this year, making it difficult to be profitable, especially when are trying to claw yourself out of a horrible 2020.
“We pushed through, however, and as we entered the second quarter, we went on a drive to sell redundant machinery and equipment which were no longer adding value to our business,” Gilks says of the green shoots already beginning to show. “This has placed us in a strong position going forward.
“We believe that we have negotiated the hardest part successfully and look forward to more stability as the number of orders increases.”
TECHNOLOGY INVESTMENTS PAY OFF
The revenue from the machinery sales has been put to shrewd use, Gilks explains, funding one of CT Aluminium’s biggest technological investments to date. “We were able to use the proceeds from those sales to pay off what we owed on our SBZ628 and automated glass cutting tables in order to significantly reduce our monthly expenses.”
Currently the only one of its type in Africa, the revolutionary SBZ628 machine from Elumatec is a fully automated profile machining centre, presenting an enormous competitive edge in terms of efficiency, labour and safety.
“Prior to the hard lockdown, we had been negotiating the purchase of a new DG104 double-header saw with Elumatec South Africa, which was concluded in June 2020 and installed in July,” says Gilks of the company’s further technological additions. “It is programmed using Elusoft software and allows the operator to simply scan the barcode to activate the relevant machining program, meaning our manual cutting and machining department is now a semi-automated department.
“Whilst the majority of our profile machining is still done by the SBZ628, where that isn’t possible this investment has allowed us to increase productivity and significantly reduce waste in this department.”
The installation back in 2019 of a new double-glazing machine has also had a hugely positive impact, Gilks continues. “Manufacturing our own double glazing in-house has greatly reduced costs and eliminated the lead-times due to ordering double glazing from external sources,” he explains.
“This means that we are more competitive when quoting on double glazed projects and are able to manufacture products faster by not having to wait for orders placed with suppliers. We are able to manufacture the majority of our requirements and easily work around the units we have to outsource.”
POST-PANDEMIC POSITIVITY
“We are currently busy with a few housing estate projects for some of our loyal and long-standing customers, who also have similar projects lined up for the near future,” Gilks responds when asked about the company’s current commercial concerns.
“We have also gained traction in the upmarket Clara Anna Fontein housing estate on the outskirts of Durbanville, having now completed a number of projects for six different contractors within the estate, and are currently in the tendering phase for an upmarket 10 storey apartment building in Newlands.
“This project is already underway,” Gilks clarifies. “If we gain the award, we expect to be on site before the end of the year.”
As well as a stuffed order book in more familiar domains, CT Aluminium is also lending its expertise to the vision for a greener future, a key aspect of its mission statement, in the form of a pilot project alongside Sunwiwa South Africa. “The concept is to have a hybrid renewable energy solution, making use of solar and wind technology, connected to a battery system, to provide a constant supply of reliable energy,” Gilks outlines. “The current expectation is that this whole system should be able to provide about 90% of our energy requirements.
“The lack of reliable energy is still South Africa’s greatest hurdle for growth across all sectors,” Gilks adds. “This project is ongoing and we expect completion to be before the end of 2021.
“We remain confident for the future,” Gilks concludes, and his assurance appears extremely well-placed. “South Africa is a resilient nation and the construction sector itself is looking positive. Our order book is looking better than it has since before March 2020, when South Africa went into hard lockdown.
“I will say it again, South Africans are resilient. We will keep on pushing forward, no matter what.”