The financial crisis impacted on the construction sector more than most, and several businesses dependent on it have been affected aversely. Central to large-scale projects is efficient vertical transportation: how have delays and cancellations interfered with the running of Luxembourg’s most enduring elevator company? They are still thinking long-term: “The elevators, not to mention the Otis brand, have been known in Luxembourg for more than 100 years. In fact, we have a piece of the first one right here in house!” says Geoffroy Durandet, Managing Director of General Technic-Otis in Luxem­bourg. From a business perspective, the company is rather newer, having been created in 1987, “as a result of a merger between Otis’ presence in Luxembourg and a local entrepreneurial company, which was General Technic. Today, however, they are fully separated companies.” As it is in the world as a whole, Otis is the leader of the elevator market here, with a turnover of over 17 million euros.

Durandet clarifies that “all of our competitors offer elevators and escalators. In addition to those, some of us offer parking systems. This is appreciated by our customers here. More specifically, we like to think that there are things we do better than others: the quality and performance of our elevators, for example.” But, to paraphrase football manager Arsène Wenger, “everybody thinks he has the prettiest wife at home.” So what concrete factors set Otis apart? Durandet is keen to emphasise the company’s “environmental angle, with lower electrical consumption and regenerative drives to capture wasted energy from the elevator system, as praised by industry experts.” He continues:  “our client feedback also shows that we provide outstanding customer service. This is measured through a very low incident and down-time rate, not to mention our large pool of very long-term customers.”

Marquee projects

“It has been good, actually. We’ve had a few large orders, like the recently completed EIB project, the Court of Justice and the Belvalplaza commercial and residential site,” replies Durandet when asked about uptake of new orders in the past two years. “All in all, our order book has been decent, considering the environment, although we’d always like it to be bigger! And we have seen some hesitancy and postponements over the past twelve months. That said, we’ve seen an increase in requests and orders since the summer.” He further mentions that the company has enlarged its sales-force. Total staff numbers are, in Durandet’s words, “about a hundred,” slightly at odds with the 120 quoted on the company’s website. He admits that people were let go, but that this was not a direct consequence of the economic situation, but a result of  “internal reorganisation and human resources management.”

The BREEAM-certified EIB project is testament to the fact that the move towards greener construction did not catch Otis cold. Indeed, Durandet points out that “over ten years ago, Otis, among others, had the vision of a zero energy building. With our products we have a role and we can help in this regard. Depending on the building, our efficiency measures reduce elevator energy consumption by 30 to 70%.” An example of this is the flat belt they developed as the main hoisting/traction cables. The benefits? “It allows for a more effective machine compared with traditional round cables, it saves on oil and it is quieter and longer lasting.” On another level, the company’s manufacturing sites carry environmental certificates and have reduced water and energy consumption over the past years, while output has increased.

Such developments lead Durandet to feel optimistic, and he forecasts a steady increase in revenues over the coming years, “from returning and new customers and our maintenance and modernisation services, where we are very proud to have the highest levels of quality, so customers tend to stay with us. And this is setting aside one-off major landmark projects.” Otis aims to be involved in more eco-friendly construction projects in the future, and it is a source of regret for Durandet that they were not already a part of the HQE label constructions Serenity and Vertigo. However, the global project of the year award from trade publication Elevator World for the Dexia building at Belval remains a source of significant pride. Aesthetics have become a vital part of the construction industry. Combining this, with service expertise and environmental savvy should help see Otis remain on top of its game for a while yet. There will be more landmark projects in Luxembourg: “we have a lot to offer, and we will have more to offer. Hopefully Otis will be at the centre of these new projects. We are worth our customers’ investment.”