http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/RSS.ashxVestas Win[d] PagesMon, 14 May 2007 16:10:27 +0200http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=1http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=1Fourteen men and a telephone The world is waiting for G8 Presidential visit from the Ukraine Production stability on the rise An important tick on the report card Vestas and the environment Constitution Project No. 5 It works Vestas to establish its rst factory in North America Experience ensures optimal design Teamwork at Taranto The wind is freshening in France American horizons Vestas No. 08 Year 04 15 May 2007Wind WIND, OIL AND GAS2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=2http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=2The wind keeps blowing The wind energy industry is often described as a young industry. It cannot be denied that we have fewer years experience behind us than many other areas of the energy industry. However and this is very important it must never be used as an excuse for accepting mediocre performance at Vestas. On the contrary. This is precisely why we have stated our vision as Wind, Oil and Gas we are working concertedly to generate the professionalism and the processes required to raise Vestas to the same level as the oil and gas industry. And this is why, once again in 2007, we will be making a series of huge investments to raise our competences investments that will, in particular, be focused on training our employees and establishing new facilities for the development of our technology. We are also working to improve our processes in every link of the value chain. As de scribed in this magazine, we have intensi ed our dialogue with both customers and suppliers. In our relationships with both, we are facing challenges that we take very seriously indeed. Our attitude is that professional working relationships based on clear communication and factbased decisions constitute a precondition for all parties achieving the very best results. Last year, Vestas shipped over 2, 500 wind turbines. This translates into the use of roughly 25, 000 lorry convoys to transport the turbines from our factories to the various sites not to mention the transport by rail and by sea. This is just one example of the scope and complexity of our business, where a single delay or error can trigger a domino effect that disrupts the ow and, ultimately, can have very serious consequences on nances both ours and our customers. This magazine contains articles describing a number of the initiatives we at Vestas have implemented to ensure that we can minimise the associated risks and always act on the basis of systematic collation of data for example through the close followup represented by the weekly meetings of the Vestas Government. This continuous optimisation of Vestas is essential if we are to make the most of the cur rent wave of political awareness about wind energy for example, through the upcoming G8 summit, which is the subject of an article in this magazine. This awareness is generating new demands, but it is also opening up a range of great opportunities. Very best regards Ditlev Engel President and CEO2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=3http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=3Content 4 Next stop Heiligendamm Next month, the heads of state and government from the G8 countries are to meet for their annual summit. Once again, energy and climate issues will have a prominent place on the agenda. 10 The American perspective Following the example of leading politicians in the USA, Americans are becoming increasingly enamoured with wind power. We have talked to a man who is watching this development from the front row. 14 The weekly temperature check Every Wednesday, the Vestas Government holds stateofaffairs meetings an important part of the Vestas Governments ongoing work to keep its nger on the Group pulse. And if you think that the conversation is limited to overriding generalities, you are much mistaken. 18 A long, hard haul After ve years of steadily falling customer satisfaction, this years satisfaction survey reveals that the numerous improvement initiatives are nally beginning to pay off. The arrow is now pointing the right way once more. 22 Vestas to open blade factory in Colorado A more stable market and increased political backing for wind power are the grounds for the decision to establish the rst Vestas factory in North America. 3 24 Wideranging collaboration assures improvements Input from Vestas sales units, production department employees and the service technicians who work with the turbines on an everyday basis is contributing to making the design of Vestas largest turbine even safer and more ef cient. 28 Striking a blow for the environment There are few, if any, people who still doubt the direct environmental bene ts of a wind turbine. But what is actually being done at Vestas to show consideration for the environment during production, too 34 Closer collaboration generates improved quality According to Ditlev Engel, President and CEO of Vestas, the results achieved in 2006 are attributable in particular to the work done to date on Constitution Project No. 5. This project is intended to improve the quality of components delivered. 40 Presidential visit to Vestas The Ukrainian president Viktor Yushchenko took a rsthand look at Vestas products during his of cial visit to Denmark. 42 Full focus on performance at Vestas With the establishment of two new units Global Capacity Planning and Global Sales Forecasting Vestas has established tighter bonds between the individual business units within the Group. 46 France a growing market France has previously stood in the shadow of other countries with regard to the introduction of wind power. However, there are now indications that this form of energy is carving out a serious foothold for itself in a country famous for its devotion to nuclear power. 52 Transformation at Taranto Teamwork and good management have turned Vestas Nacelles Italian factory into a star performer. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=4http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=44 Next stop Heiligendamm2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=5http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=55 All over the world, politicians are now nally beginning to appreciate the good sense in and the downright necessity of adding sustainable and, above all, competitive sources of energy to conventional fuels to create a new energy mix. According to the International Energy Agency IEA, global electricity consumption is set to double in 2030, and against the background of astonishing reports from people such as Sir Nicholas Stern, advisor to the British goverment in the economics of climate change, and, most recently, the second part of the fourth main report from the UN Climate Panel IPCC, forecasts of this kind have put political wheels in motion. As regards the Stern report, one of the main reasons why it has attracted such interest is that it is the rst report to have put a monetary value on both the potential consequences of, and possible solutions to, the climatic challenges facing the world. At the same time, the report makes it clear that efforts to combat climate change and the desire to generate nancial growth need not be mutually exclusive aims. Sustainable growth Speci cally, current political development is resulting in signi cant initiatives in countries such as China, India and the United States. Earlier this year, for example, a report from the Chinese government made it clear that the growth rates that the country is currently experiencing are generating unfortunate side effects such as horrendous pollution, and that global climate problems are posing a serious challenge to China. Likewise, the Chinese government has emphasised that it is essential On 68 June 2007, eight of the most powerful heads of state and government in the world will meet at the annual summit for the coalition of the leading industrialised nations G8. The meeting is to be held in the small German town of Heiligendamm, and under the general heading of Growth and responsibility, the participants will be discussing the balance between continued nancial growth and the necessity of actually having a world in which this growth can take place. This is a theme that puts wind power rmly on the agenda. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=6http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=66 to de ne a wideranging climate policy with clear goals to reduce emissions of greenhouse gases and, at the same time, to develop more climatefriendly technologies. In the Unites States, where energy consumption has not traditionally caused the appearance of too many worried frowns among the population, a new consciousness has begun to emerge in recent years spurred to a great extent by steadily ris ing oil prices, the question of supply reliability, and the issue of changes in the global climate. In Europe, too, people are taking an increas ingly serious view of crucial issues such as delivery reliability and global warming. For this reason, it was considered a signi cant break through in the eld of energy policy when, on 9 March this year, the 27 EU heads of state and government nalised a wideranging and more importantly, binding agreement, which, as one of its central features, decrees that at least 20 per cent of the energy used in the EU is to stem from sustainable sources in 2020. As regards the greater focus on climate problems and energy supply, politicians are fully in tune with the people they represent. For example, a Eurobarometer survey in March revealed that half of the 489 million EU citizens are very worried about climate change, while as many as 83 per cent of them support binding agreements about the proportion of national energy consumption that is to be covered by sustainable energy. In any event, there are both weighty scien ti c reasons and broad popular backing for 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=7http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=7the decision by the G8 leaders to spend some of their time in Heiligendamm discussing how we can generate growth that is sustain able from the perspectives of both the global economy and the future of the world as we know it. Positive indications from Gleneagles and St. Petersburg In 2005, the G8 summit was held in the Scot tish town of Gleneagles. Here, the climate was a crucial item on the agenda for the rst time, and it was on this occasion that Tony Blair, the Prime Minister of Great Britain, described the changes in the global climate as probably, in the long term, the greatest challenge facing the global community. At the meeting in Gleneagles, the heads of state and government agreed on a climate action plan, and the nal statement from the meeting included the declaration that We will take the initiative to promote innovation, energy ef ciency and savings to improve the political, legislative and nancial framework and to encourage the use of cleaner technologies, especially technol ogies that generate lower emissions. At the summit in St. Petersburg last year, energy policy again took pride of place on the agenda, with energy dependency and supply reliability as the central issues, and, again, with sustainable sources of energy playing a crucial role. This summit had an appreciable impact on the prominence accorded to energy depend ency on the political agenda for 2006. Looking to the future, it is already clear that at next years summit in the Japanese city of Osaka, the heads of state and government are sure to follow up on the action plan agreed at Gleneagles in 2005. In other words, the G8 collaboration is the source of many positive indications, and the results of the discussions at this years G8 summit are eagerly anticipated at Vestas. The longterm view On the agenda for the summit in Heiligen damm, the German presidency has chosen to focus on energy ef ciency in the area of climate issues. This move signals an attempt to avoid simply repeating the Gleneagles summit, while striving not to anticipate the agenda for the Osaka summit next year. 72007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=8http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=8Ditlev Engel, President and CEO of Vestas, agrees that intensifying the use of new forms of energy such as wind power should be accompanied by ongoing research into energy ef ciency. However, he is also quick to emphasise that both this research and the development of technologies for storing CO2 another issue on the G8 agenda are long term solutions, while wind power, in contrast, is a reality here and now a reality that not only supplies reliable energy, but, with the technology currently available, does so within a positive nancial framework. Wind power has matured to a stage where it is fully com petitive with other energy solutions, particular ly when you look at the total energy costs and, for example, include the cost of the associated CO2 emissions, he says, and adds There can not be many people today who still question the bene ts of wind power with regard to the environment and the current climate issues. But there is just as much to be said for the signi cance of wind power to important areas such as energy supply, geopolitical tension and the need to establish major production capacity within a short time frame. Ditlev Engel therefore stresses that it is cru cial for politicians to understand and recognise what many of the largest energy producers in the world have already concluded that wind power today is a mature and hitech source of energy, and that there is every reason to focus on it as a nancially sound and credible solu tion, capable of addressing the serious need for expansion of energy production in the immediate future while simultaneously raising the level of energy selfsuf ciency in individual countries. When you are discussing responsi bility in the development of the global econo my, it is, after all, also a question of avoiding as far as possible the potential con icts linked to the fact that the limited reserves of oil and gas are increasingly concentrated in a few regions of the world many of which are not com pletely politically stable, he says and, at the same time, emphasises that Vestas overriding vision is precisely to add wind power to the global energy mix on equal terms with oil and gas. We do not consider wind power to be an alternative to conventional sources of energy, but rather as a thoroughly serious, sustainable and pro table supplement, he says. Water. The next resource in short supply Another factor that has, to an extent, been bur ied under the overwhelming focus on global climate change is the access to clean drinking water despite the fact that clean water may well be one of the next serious challenges fac ing the global community. So while the energy debate continues to rage, it is important to remember that huge volumes of water are re quired to generate energy at plants run on gas, coal and, in particular, nuclear fuel. Moreover, in the immediate future it will become neces sary to position more and more power plants in areas far from coastlines, and as the giant distances involved will make it impossible to use seawater, clean water from underground sources will have to be used instead. In the long term, this may lead to serious problems. With these potential water problems in mind, politicians have yet another good reason to turn their attention to wind power. It takes precisely no water at all to run a wind turbine and, at the same time, some of the turbine models available today have been specially designed to provide maximum performance in inland areas, thus making it possible to meet the requirement for inland energy production without generating impact on the climate or tapping into the limited water resources. A crucial condition According to Ditlev Engel, if the politicians good intentions for the promotion of wind power, etc. are to be more than empty words, they will have to deal with one speci c prob lem Before we can up the pace of the expan sion of wind power, the transmission grid has to be expanded and improved signi cantly. This demands major investment, and2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=9http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=99 Fact le G8 G8 was founded in 1975 as a direct consequence of the 1973 oil crisis and the sub sequent global recession. When the coalition was originally formed, it was known as G6 Group of Six as it comprised the six leading industrial nations of the world at that time France, Germany West Germany until 1990, Italy, Japan, Great Britain and the United States. In 1976, Canada joined the coalition which then changed its name to G7, and in 1997, Russia became a member and the coalition changed its name once more to G8 Group of Eight. However, since 1994 i. e. prior to Russias of cial entrance into the coalition Russian civil servants had held of cial political meetings with the G7 leaders immediately after the annual summits. From the very start, G8 has been an informal forum where the leaders of the worlds leading industrialised nations could meet to discuss a range of issues. For this reason, there is no of cial administrative structure like the one that applies, for example, to other international organisations such as the UN and the World Bank. Nor does G8 have a xed secretariat or of ces for its members. The presidency of G8 rotates between the member countries for one year at a time. The country holding the presidency organises a range of meetings at ministerial level, all which lead up to the annual highlight of the coalitions work an economic and political summit involving the heads of state and government from the eight member countries. The agenda for this summit is decided by the country holding the presidency. Since 1977, the heads of state and government have been joined at their annual summits by representatives of the EU, namely the President of the EU Commission and the President of the EU Council of Ministers. At the summit in Heiligendamm this year, Angela Merkel the German Chancellor will be in attendance as both the head of the German Government and the President of the EU and as the host of the meeting as she is currently head of the G8 coalition. One example of how G8 at professionspeci c levels over and above the summit meetings can in uence international development was the signing in June 2005 by the scienti c communities of the eight countries of a declaration concerning global ini tiatives to combat climate change. It was a declaration that made it clear that scienti c understanding of climate change was now suf cient to demand immediate political ac tion. In addition to the G8 countries, Brazil, China and India three of the largest CO2 emitters in the world after the United States also signed this declaration. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=10http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=10The American perspective 102007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=11http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=11Wind farms are shooting up all over the United States, and wind power an unknown phenomenon to most Americans just a few years ago has now become familiar and accepted as a serious source of energy with a whole range of bene ts. This was highlighted in a national opinion poll conducted by Yale University in May 2005, which revealed that 87 per cent of respondents supported expansion of wind power through the establishment of additional wind farms. One of the people who has been closely involved in the development of wind power in the United States is Michael Skelly, Chief Development Of cer at Horizon Wind Energy in Houston, Texas. He takes an optimistic view of the perspectives for wind power in a country which despite some good intentions still holds the world record for energy consumption per head of population. Horizon Wind Energy develops, builds and operates wind farms all over the United States and expects to have developed as much as 2, 000 MW by the end of 2007. Of this total, 1, 350 MW will be owned by Horizon Wind Energy itself, a strategy that was implemented when the investment bank Goldman Sachs purchased the company in 2005, and which was given an added boost when Horizon was sold to Energias de Portugal, S. A. on 27 March 2007. This company is one of the world leaders in the generation of electricity from sustainable sources of energy, and operates in numerous countries, including Portugal, Spain and France. As Chief Development Of cer, Michael Skelly is responsible for Horizons develop ment activities throughout the country. This means that he is closely involved with the development of the American wind power market which he, along with other sector play ers, expects to reach a total of approximately 45, 000 MW of installed capacity in 2015 i. e. almost four times the 11, 635 MW that had been installed by the end of 2006. The greatest challenge When Michael Skelly evaluates the future of wind power in the United States, he focuses in particular on one challenge It is absolutely essential for us to expand and improve our transmission network, which is currently far from covering all the areas with the best wind 11 Michael Skelly, Chief Development Of cer, Horizon Wind Energy2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=12http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=12resources the areas that are some of the best sites from a wind resource perspective, he says. However, Michael is quick to point out that things are beginning to happen and he relates that in the past year alone, momentum has gathered on a number of grid projects that had been stuck in the discussion phase for years. Wind has typically been a protagonist in these new developments, says Michael Skelly, and mentions, by way of an example, the fact that in Texas hundreds and hundreds of miles of transmission lines are to be laid to areas with excellent wind resources. In other states as well, planning is already well underway on expansion of the trans mission grid, and in many places, projects involving the establishment of transmission grids between two states have been initiated. This is the case, for example, in Wyoming and Colorado with TOT 3, while Kansas and Okla homa have also launched a project called the X Plan that will make it possible to transmit energy stemming from wind power plants across state lines. Broad backing In many American states, legislators are cur rently working to increase their local RPS Renewable Portfolio Standard, i. e. that part of the states energy consumption that is to come from sustainable sources of energy such as the sun, water and wind. Most recently, states including Wisconsin, Minnesota, New Mexico and Colorado have increased their RPS, and Michael Skelly sees these political steps as clear signals that sustainable energy is increasingly gaining the acceptance of the legislators, who have recognised the fact that wind power from a technological perspec tive is mature and reliable, and that it can be included as a competitive element in a states energy mix. The populations of the individual states are also providing broad backing for greater focus on sustainable energy. In this regard, Michael Skelly relates that opinion polls and referenda on subjects such as RPS typically return results showing that more than 75 percent of the voters from all parts of the political spectrum approve an increase in the use of wind power and other sustainable sources of energy at the expense of fossil fuels. Even though the atmosphere around wind energy has become signi cantly more positive in recent years, Michael Skelly still feels that generally speaking, the United States is lagging behind Europe as regards both popular and political backing. As he himself puts it Ameri can individualism is alive and well Local arguments Michael Skelly has no doubt that it is bene cial to the general atmosphere that national leaders such as President Bush and Nancy Pelosi The Democrat Speaker of the House of Repre sentatives embrace renewable energy and wind power in particular. National leadership is important because although many policies are set at a state level, Washington DC can help properly frame the debate at the local level, he says, adding that it did not exactly damage the backing for renewable energy when former Vice President Al Gore, possibly the most prominent environmental rebrand at present, received an Oscar at the awards cer emony in February for his documentary about global climate problems. At local levels, however, Michael Skelly does not feel that the big arguments about global warming and independence from energy im ports carry the most weight. Here, arguments to the effect that wind power will bring in extra tax dollars for the state and create local jobs have much more impact. With regard to the latter, a recent survey showed that increased commitment to wind power in the United States may well generate up to 150, 000 new jobs and perhaps more interestingly these jobs will largely be created in states that have been particularly hard hit by unemployment in recent years. At local county planning levels, Horizon sometimes puts less emphasis on environmen 122007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=13http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=13tal energy independence and other considera tions, when working to build support for a new wind farm, relates Michael Skelly. Instead, we and others in the US emphasise the economic bene ts of wind for landowners, local economic development, and the local tax base. A change of attitude among landowners Generally speaking, American landowners are very positively disposed towards wind energy, particularly because they see it as an economic opportunity. However, as wind power is be coming more and more widespread, land owners have become more sophisticated when negotiating the lease of land for a wind farm. In a number of areas with good wind resources, attorneys have started to specialise in assisting local landowners during negotiations with companies such as Horizon Wind Energy. That is ne by us, and generally speaking, we enjoy good working relationships with both local authorities and landowners in the areas where we build our wind farms, says Michael Skelly, who concludes by mentioning that these are real winwinwinwin contracts, where the state, the local community, the environment and the developer all bene t. 132007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=14http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=1414 The weekly Every Wednesday at precisely 08. 00 CET, the senior managers at Vestas the Government check in for their weekly stateofaffairs telephone conference. The 14 members of the Vestas Government have done so ever since Ditlev Engel took over as President and CEO of Vestas in 2005, and today, the meetings have become of crucial importance to the daytoday management of Vestas and the individual business units. When the meeting ends approximately one and a half hours later, the Government will have done more than simply take the temperature of the Group it will have taken the decisions necessary to keep Vestas on course. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=15http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=1515 temperature check The 14 members of the Vestas Government. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=16http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=16Imagine that you are driving along the motor way. If you see the car in front of you begin to brake, you react immediately. But what if you could also see that the vehicle ve cars ahead was beginning to brake You would surely have much better opportunities to take the appropri ate action. So says Ditlev Engel by way of an introduction to what he and the other members of the Vestas Government are looking to achieve by undertaking to meet up in a shared forum every single week. Fundamentally, it is all about maintaining constant focus on the complexity that distinguishes Vestas, and thereby ensuring that all units and operations are continuously balanced in relation to one another so that we always act as a completely global Vestas, he says and stresses that the principal precondition for establishing constructive dialogue within a management team is to set up a shared plat form. In this context, he is particularly pleased with the results that have stemmed from what is known as Constitution Project No. 6 see the article on page 42. This project has provided the Government with a set of ef cient management tools and it ensures that the members are kept continuously uptodate with a range of crucial Key Performance Indicators KPI. In addition, it has helped streamline reporting and processes throughout the supply chain and between the production units themselves. Looking at individual turbines With regard to the complexity he mentioned, Ditlev Engel relates that last year, Vestas shipped 2, 533 turbines and that, on average, each one involved 10 giant lorry convoys. In other words, more than 25, 000 lorry convoys left our factories, and if you add to these the nu merous ships, railway transports, cranes and the like, it does not take a great deal of imagination to work out how even the smallest deviation can trigger a domino effect and have a major impact on the operation as a whole. For this reason, the weekly Government meetings largely have to do with examining every nook and cranny of the operation, not simply at project level, but right down to the individual turbines. This en sures that the management focus is constantly centred on the mission, which states that At Vestas, failure is not an option. Backed by a weighty organisation One of the participants in the weekly stateofaf fairs meetings at Vestas is Knud Bjarne Hansen, President of Vestas Towers. After more than 17 years with the Group, Knud Bjarne Hansen has experienced the whole journey from medium sized Danish manufacturing company to global industrial group at rst hand, and he has no hesitation in describing the current management structure as exceptional. We have never had as much control of our operations as we have now, and there can be no doubt that the weekly Government meetings help to create a more balanced overview, where all the members of the management team are always up to speed with the global situation at Vestas, he says. In order to ensure that the members of the Government are fully equipped with the in formation they need for the weekly telephone conference, 2030 employees at Group facil ities all over the world and the special reporting unit under Group Finance spend all day and often all night Monday collecting and process ing key gures, KPIs and other data from all the companys business units worldwide. This data covers aspects such as key gures for earnings, cash ow, contracts, production plans, sales plans, various forecasts, quality targets and so on. 16 Knud Bjarne Hansen, President, Vestas Towers The three monkeys See no evil, hear no evil, speak no evil have been a xed item in every one of Knud Bjarne Hansens of ces since he worked on a construction project in the Niger delta in the 1970s. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=17http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=17Once all these data have been processed, they are collected in a detailed report that typically runs to 5080 pages. This report is emailed early Tuesday morning to the individual mem bers of the Government, who then spend much of Tuesday studying it and getting ready for the global telephone conference on Wednesday. The large volume of detailed information puts us in the best possible position to participate constructively and in a futureoriented man ner in the telephone conferences, stresses Knud Bjarne Hansen, who adds that the setup established for the Government meetings helps the participants get a better sense of the actual situation across the organisation and prevents the risk of the meetings disintegrating, as he puts it, into a pointless discussion about nuts and bolts. Always at the cutting edge As mentioned above, one of the most import ant bene ts of holding weekly Government meetings is that the Vestas management team is always at the cutting edge of development and can act in time if things are threatening to run off the rails or run amok. The sharp KPIs provide an excellent overview and, at the same time, form a common frame of reference that makes it easier for us to take the necessary decisions, says Knud Bjarne Hansen. He then adds that it is normally a matter of making sure that every one in the different parts of the organisation understands the meaning of openness and the importance of exposing any and all potential delays in order to give people a chance to nd other solutions to potential problems. In this regard, it is worth bearing in mind that anything hidden has a tendency to smell when it is even tually dug out, says Knud Bjarne Hansen. Skeletons in the closet One of Ditlev Engels pet projects since taking over as President and CEO has been to encour age maximum openness both internally and in relation to the outside world. In this, he has borrowed from the world of politics, setting up a government as a key element of the new man agement structure, a move that has promoted the openness and transparency that today dis tinguish the upper strata of the Group manage ment. Quite simply, the weekly stateofaffairs meetings allow no opportunity for a manager to hide skeletons in the closet and attempt to conceal a potential problem, says Knud Bjarne Hansen. At the same time, he stresses that there is no shame in a manager seeing his business unit appear on the Governments weekly risk list. It is simply a matter of getting on the list in good time, so that the risk can be dealt with before it is too late. As a thoughtprovoking symbol of the openness that now distinguishes operations at Vestas, Knud Bjarne Hansen relates that in his of ce he has three handcarved models of the famous monkeys See no evil hear no evil speak no evil. These monkeys have accom panied him on his travels around the world ever since he worked on a construction project in the Niger delta almost 30 years ago. As he himself puts it They remind me on a daily basis that you will not get very far by shutting out reality even in cases when the reality in question might appear unpleasant. The long run In addition to meeting weekly by phone, the members of the Vestas Government meet in person every 23 months. And according to Knud Bjarne Hansen, these meetings provide clear evidence of the effect of checking day today operations on a weekly basis. Today, we can largely concentrate on laying down the longterm strategy at the physical meetings, and this is a real bene t because important discussions of this kind otherwise have a ten dency to become smothered in here and now problems, he stresses. 172007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=18http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=18Since Ditlev Engel took over as President and CEO of Vestas in spring 2005, the message has been hammered home again and again customer satisfaction is to improve appreciably, and one of the means to this end is an open and honest dialogue. One of the key initiatives in this context is the project entitled Dialogue for Development. This is a project which, in practice, takes the form of an annual customer satisfaction survey based on a list of almost 100 questions designed to quantify in hard numbers a range of aspects concerning the working relationship with Vestas. This year, for the rst time in ve years, the indicators started to point in the right direction, borne on the back of a range of uplifting results from Vestas Americas and Vestas Mediterranean, where the staff have succeeded in making customer focus an integrated and natural part of everyday operations. 18 A long, hard haul2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=19http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=1919 If you ask Ditlev Engel why Vestas devotes so many resources to checking the temperature of customer satisfaction once a year, he replies without hesitation Our customers are one of the most important assets we have. They are the ones who pay all our bills including our wages and salaries so in my opinion, it is absolutely essential that we constantly seek to reinforce con dence and satisfaction among customers. That customer satisfaction is of crucial importance is re ected, for example, in the fact that the results of the annual customer satisfaction survey directly in uence the bonus scheme for the members of the Vestas Govern ment, i. e. the Board of Management and the Presidents of the 12 business units. This bonus scheme is also based on the results achieved with regard to the three parameters that are central to the strategy plan entitled The Will to Win, i. e. earnings before interest and tax EBIT, net working capital and market share. The tide has turned The customer satisfaction survey questionnaire for 2006 was sent to 836 customers at the start of January this year. And to the delight of Kris tine Mørch, Project Manager for Dialogue for Development, as many as 63 per cent of the recipients chose to participate in the survey. This is an improvement on last year and, in itself, a great result that demonstrates a good deal of willingness to enter into a dialogue with Vestas, she says. With regard to the survey, Kristine Mørch explains that all in all, it provides an index gure for customer loyalty to Vestas, a kind of snapshot of how customers perceive the Group as a whole. The index gure Vestas achieved this year was one point higher than last years gure. A gain of a single point may not immediately appear particularly impressive, but what was crucial to Vestas here and now was to turn the tide and it is clear that we have succeeded in doing so, says Kristine Mørch who, at the same time, stresses that there is still a long way to go until the results can be considered satisfactory. Newly launched trophy A dissection of the results of the survey reveals that the modest overall progress conceals a number of very positive elements. For example, the imagerelated parameters are looking very good and our index gure in this area is relatively high, explains Kristine Mørch, who sees the score in this area as a pleasing indica tion that customers are keen to do business with Vestas, and that they have con dence that Vestas will continue to play a dominant role in the wind energy market in the future. There is a wide geographical spread in the results for 2006. Two of the business units that have every right to be pleased with the results of the satisfaction survey are Vestas Mediterranean and Vestas Americas. As top scorer on the overall loyalty index, with a nal total as much as 9 points above the average for the Group, the former won the special award that Vestas introduced this year as part of the Dialogue for Development process. The award takes the form of a trophy awarded annually, and Kristine Mørch does not rule out the possibility that, in years to come, it may be presented to a business unit on the basis of parameters other than the overall score from the survey. However, this year we considered the result achieved by Vestas Mediterranean to be of a level worthy of a special reward, she says. Willie the Wind Ebbe Funk, President of Vestas Mediterranean, relates that the news of the internal award was received with pleasure and pride by the employees, who were quick to nickname the associated trophy Willie the Wind with reference to the title of Vestas strategy plan, The Will to Win. At the end of March, we presented both the overall gures and the coun tryspeci c results to all our employees during a veday tour of workshops in Italy, Greece, France, Portugal and nally two locations in Spain, says Ebbe Funk. During the tour, he was pleased to note that all levels of the organisation were imbued with nocomprom ise c2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=20http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=2020 with the working relationship. And he sees the wholehearted backing for the initiatives intended to enhance loyalty as one of the main reasons why Vestas Mediterranean succeeded in achiev ing such positive results in this years survey. In addition to the general commitment and input, this unit implemented a range of speci c initiatives in 2006 that have been very well received by customers. For example, as part of the work to reinforce the areas of service and project management, Vestas Mediterranean has set up a new extranet that automatically and electronically provides customers with the service reports they require. This initiative marks a clear improvement in communication with our customers, and we are pleased to see that, to a large extent, they are using the extranet as the tool it was intended to be, says Ebbe Funk. At the moment, Vestas Mediterranean is busy holding meetings with customers, at which the results of the survey are analysed in detail with a view to encouraging more indepth feedback. At the same time, work has started to de ne and select the activities that are to maintain the positive mindset and, ideally, generate even better results in 2007. This is an ongoing process, and even though our customers have given us good marks in some areas, there are still others in which we must do even better, says Ebbe Funk, and adds, with a broad smile, that everyone at Vestas Mediterranean would like to congratulate Ves tas Americas on its great progress but that they will be working hard to make sure that their American colleagues do not come quite as close to taking the topscore honours in the customer satisfaction survey next year. The American way As mentioned above, Vestas Americas also had every reason to be pleased that a number of the initiatives implemented over the past year seem to have begun to bear fruit with custom ers and within the organisation. In fact, Vestas Americas is the sales and service unit within the Group that made the greatest progress in relation to the gures from 2005. Jens Søby, President of Vestas Americas, has no doubts as to why his company did so well overall in the survey. The key reason for our success is the fact that we have switched from focusing on the products to focusing on the customers value chain. Our customers needs are now central to everything we do, he says. Jens Søby is particularly pleased that in the satisfaction survey, customers indicated that they felt that Vestas has built up a better under standing of their business, and is therefore in a better position to make a positive contribu tion to their pro ts through consultancy and collaboration. In a business like ours, trustworthiness and good relations are the key factors, stresses Jens Søby, who continues When you spend 50, 100 or even 200 million dollars on a project, it is essential that you trust your partner completely. So it has been important for us to send our customers a clear signal that we are working to build up longterm relationships based on con dence and trustworthiness, rather than simply cherry picking i. e. going after quick, shortterm pro ts. Fortunately, the results of the satisfaction survey indicate that our customers have received and understood this signal. You make a difference Jens Søby relates that immediately after the results of the 2005 survey were published in March 2006, Vestas Americas called in a large group of employees from all parts of the organisation. At the meeting, the results were analysed and the group discussed what could be done from a futureoriented perspective. The company subsequently established a project charter and a project organisation. It was crucial to the ongoing work that the project was rmly deployed among the senior management of Vestas Americas in the same way as it is deployed in the Vestas Government at Group level, says Jens Søby, and adds that for the same reason, the Dialogue for Develop ment projects have been xed items on the agenda at the wee2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=21http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=2121 E b b e Funk, President, Vestas Mediterranean had an in uence on customer satisfaction, under the banner of You make a difference. A pat on the back for the entire Group Jens Søby relates that the project organisation prioritised a range of speci c projects that focused clearly on areas in which customers can immediately identify value in an improve ment. And then it was time to get to work. Everyone at Vestas Americas has worked extremely hard, and it is important to stress that the results we have achieved are actually a pat on the back for the entire Group, because we have depended heavily on the backing of the other parts of the organisation, particularly the production units, which have given us the support we needed every step of the way, says Jens Søby, who makes no secret of the fact that Dialogue for Development proved to be a much bigger process than many people expected when it was rst introduced as a part of Vestas new strategy plan. Personally, I consider Dialogue for Devel opment to be one of the most signi cant initia tives under The Will to Win, and it motivates us all when we can see that our customers have noted the remarkable efforts being made by everyone within our organisation, he says. At the same time, Jens Søby is pleased to note that many of the initiatives that started out as projectoriented changes are now becoming integrated parts of everyday processes. It makes an immense difference, particularly in the context of the challenge to ensure that our constant stream of new employees are con tinuously up to speed with the customer focus that plays such a crucial role in our Dialogue for Development process. Facts and gures prove that Jens Søby is cor rect when he refers to the constant stream of new employees at Vestas Americas. In 2006, the number of employees at the company rose by more than 200 so today, Vestas Americas employs around 650 people at its various sites in the United States and Canada. In Portland, Oregon, alone, the workforce has doubled over the past year, and the facility now em ploys around 200 people at head of ce and at the Vestas Americas Academy. The work continues Following on from the 2006 survey, Vestas Americas in the same way as the other Vestas business units has taken a good hard look at the results and subsequently gone through them with customers, in the form of a range of personal meetings and other initiatives. We have taken a good step in the right direction, but we still view the results with mod esty and have no intention of resting on our laurels quite the reverse, in fact, says Jens Søby, who adds that the entire organisation is strongly motivated to take up the challenge and do even better next time, on the basis of the truism that What was good yesterday is not necessarily suf cient tomorrow. According to Jens Søby, it also has a lot to do with the Vestas business units exchanging knowledge and experience. Even though some aspects may be different on account of culture, etc. there are still all kinds of successes that can be transferred between geographical regions, and I rmly believe that next years survey will show impressive progress for all parts of Vestas. This belief is shared by Ditlev Engel, Presi dent and CEO, who is pleased that the company has nally managed to turn the tide, but who is quick to stress that the work will continue regardless in 2007. We must and I would like to underline must boost customer satisfaction gures even further before we can start talking about being satis ed ourselves, he says and concludes with the words Ultimately, this is all about our customers being very satis ed with their working relationship with Vestas each and every day and at all levels. At the end of the day, that is all there is to it. Je n s Søby, President, Vestas Americas2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=22http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=22Vestas rst factory on the largest market for wind power in the world will become reality when the companys new blade factory opens its doors in Colorado, USA. The decision to build this factory was based on increased demand and on a more stable market. Vestas to open blade factory in Colorado 222007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=23http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=23In the mid1980s, the market of North America provided Vestas with its rst export adventure. Nevertheless, when the new blade factory is completed in Colorado at the beginning of 2008, it will mark the start of a new era the factory will be Vestas rst in the United States. We have been planning to establish pro duction in the United States for quite a while now, but thus far the American market has been distinguished by major uctuations and a lack of longterm energypolitical decisions that would provide a basis for con dence in sustainable growth, explains Jens Søby, Presi dent of Vestas Americas. However, over the past year we have noted a signi cant increase in interest in wind power as well as a rise in political appreciation of the fact that wind power can play an important role in the United States energy portfolio par ticularly with regard to saving the environment from huge volumes of CO2 emissions and en suring an independent, local supply of energy. This gives us con dence in the stability of the market in the future which formed the basis for this decision, he adds. The new Vestas blade factory will be built in Windsor, Colorado, and provide jobs for around 400 people. Before Colorado and Windsor were chosen as the site of the new plant, Vestas analysed a large number of possible locations in a range of states. One of the most important parameters was the issue of logistics. Railway transportation of turbine components is widespread on the American market, and the Windsor factory will be close to railway connections to the north, south, east and west, as Ole Borup Jakobsen, President of Vestas Blades, explains. He adds that the plant location is close to a good road network, which will also be used to transport the blades. With our location in Windsor, we also have around 500, 000 people living in a radius of 30 kilometres. In addition, there are three uni versities in the area, which will give us a good basis for recruiting skilled employees, says Ole Borup Jakobsen. He goes on to say that the location far from the coast makes it clear that the factory is only intended to deliver to the American market, and not to manufacture for export. The Windsor factory is to manufacture 40metre blades for the Vestas V821. 65 MW turbines. The V82 is wellsuited to the wind condi tions in North America. In fact, it is our most popular turbine model in the United States, explains Jens Søby, who is looking forward to seeing the rst blades leave the factory. Our plans have met with overwhelmingly enthusiastic support, and we are very pleased that Vestas is now to become a local manufac turer and that we no longer only will operate as a sales and service unit at the American market. The move is sure to reinforce our competitiveness and will also contribute to strengthening the Vestas brand in the United States, he concludes. Production is expected to come online in early 2008, and at full capacity the factory will be able to deliver 1, 200 turbine blades a year. 23 Tianjin, CHINA Lem, DENMARK Nakskov, DENMARK Taranto, ITALY Lauchhammer, GERMANY Isle of Wight, GREAT BRITAIN Portland, AUSTRALIA VESTAS BLADES FACTORIES2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=24http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=24Bredt sabejderer foringer Bsamade siforbed Wide ranging collaboration assures improvements 242007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=25http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=25amare sikorbed Bredt rbejikrer dringer More ef cient production and an even safer workplace are just two of the results of concerted input to optimise Vestas largest wind turbine a project that draws on personal experience from all parts of the organisation. 252007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=26http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=26edtsamarbesikreredtedtsamsaforbedrimarbemarbetsikreesrrforbedriforbedrideredtredtsikresikresisisikr erteesamarsamarrr forbedriforbedrirberbe o rbedrdesikrsik ger 26 All parts of the Vestas organisation can and must contribute to nding the best possible solutions for Vestas turbines. That is the mind set behind the work to assure closely targeted optimisation of the Vestas V903 MW turbine. Wideranging work groups with representa tives from the development, production, trans port and service departments ensure that input from all parts of the organisation is channelled into tangible improvements of the turbine. Egon Hygom Poulsen of Vestas Technology RD, the man in charge of the work on the improvement initiatives for the V903 MW turbine, explains that the integrated project development approach is crucial to achieving the best possible results. We look at the entire lifetime of the turbine, from initial design through production to instal lation and service. In collaboration with the em ployees who have the expertise and the experi ence from all the different parts of the process, we identify the areas in which futureoriented optimisation is both necessary and possible. This may involve improvements to the technical solutions, better transport solutions or optimisa tion of the production process, he says. Safety takes top priority One of the new solutions chosen involves a new adapter for transporting the turbine na celle. The adapter is positioned on the under side of the nacelle from the moment it is born at the production department. It then remains there up until the nacelle is installed at the site and every step of the way, it makes things easier for the employees. For example, the production department saves time and expen sive transport equipment when the nacelle has to be moved. Moreover, the adapter makes loading the nacelle onto a transporter easier and more exible, as the nacelle can be tted to a lorry in several ways, depending on the region through which it is to be transported. This is a good example of a solution that makes a wide range of work processes both easier and more economical, says Egon Hygom Poulsen. He then explains that the solution, which was developed via a pan Vestas working relationship involving production units, sales and service units, also helps eliminate waiting time in connection with transport because the new solution cuts the amount of equipment required on the lorries. Finally, the new solu tion makes it even safer to work on the actual installation of the nacelle and safety is a key aspect in this regard. At Vestas, safety takes precedence over everything, and safety considerations are para mount when prioritising the tasks in this con text, says Egon Hygom Poulsen, who stresses that attention to safety is increasingly becoming a central point of focus among both designers and service technicians. Improvements targeted directly at safety include a new tool that makes it simple to open the central component of the turbine hub the spinner to allow the fast, safe and easy evacuation of injured personnel from the nacelle. Another of these projects is centred on the working conditions for service 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=27http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=27ejdeinejdeejdeiingerngerjjjjrer nrriibejbejngernger rinrerr technicians in the nacelle. Niels Thomas Bengt son, Project Coordinator at Nacelle Hub Design, Vestas Technology RD, explains The purpose of this project was to identify all the areas in which a change in design could help to make working in the nacelle easier and even safer, he explains. For example, it may have to do with components or pipe channels that make the work to replace parts dif cult in their current position, says Niels Thomas Bengtson. Important personal experience He goes on to stress that individual employees out in the eld have also played an important role in this area. We have received input from all parts of the organisation from Vestas sales units, from employees in the production department, and from service technicians who work in the turbines on an everyday basis. All these people have experience that can be applied to make the design even safer andor more ef cient to work with, he explains. Vestas Technology RD subsequently prioritised the work on the basis of the input received, and prepared a list of improvements in collaboration with Product Engineering at Vestas Nacelles. According to Egon Hygom Poulsen, this is a good example of how wideranging collabor ation ensures that all considerations are noted from the start, to prevent an improvement in one area causing problems in others at differ ent stages during the lifetime of the turbine. As he explains, this approach helps avoid an improvement in the turbine technology caus ing problems in connection with the purchase of components or in the production depart ment. For us, it is all about getting everyone to contribute to helping Vestas supply the best possible turbines to the market, he concludes. 272007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=28http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=28When wind power and Vestas are discussed, the focus of attention is oftentimes on the environmental properties of the products. For example, people mention that during their 20 year service lifetimes, the wind turbines Vestas installs will save the environment from the effects of millions of tons of CO2 every year the gure for 2006 was actually 122 million tons. Or they comment on the fact that a Vestas wind turbine needs to operate for only 68 months to generate the same amount of energy as is consumed by the turbine itself during its entire 20year life cycle from production and transportation, through installation and operation to disposal. All around at Vestas numerous production units, however, numerous initiatives have been implemented with a view to improving the environment, both internal and external. Initiatives, which, in one particular case, stems from the sport of golf. Quite literally 282007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=29http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=29Striking a blow for the environment Today, the bene ts of wind power extend far beyond the environmental aspects wind is an unlimited resource. Wind power plants contribute to energy independence and can be installed very quickly. And as if that were not enough, wind power today is completely competitive on price if the comparison is made on equal terms. Nevertheless, Vestas considers it only nat ural to practice what it preaches, and to ensure that the internal organisation also strikes a blow for the environment. Jakob Larsen, Director of Safety Environment, therefore places great emphasis on ensuring that wherever practicable and appropriate, work is done to lessen the environmental impact made by the company itself. Our factories and other units work con tinuously to introduce environmental improve ments to everyday operations, explains Jakob Larsen, and highlights the area of energy, where in 2006 Vestas covered an impressive 68 per cent of the Groups total electricity con sumption equivalent to 124, 841 MW with supplies from sustainable sources of energy. Complete environmental solution One great opportunity to complete an ef cient environmental improvement arose in 2003, when Vestas purchased a number of foundries in Germany, Sweden and Norway. These foun dries supply components to Vestas Machining in Lem, Denmark, and Uwe Tankred, Main tenance Manager, relates that the acquisition marked the implementation of a return system that provides tangible bene ts for both Vestas and the environment. The cast components we manufacture at the factory can weigh up to 15 tons, and during the process, up to a ton of material is removed in the form of metal shav ings, he says. Uwe Tankred goes on to explain that in au tumn 2004, the factory invested in a briquette press which is a very unusual environmental initative in the machining industry. Previously, we had sold the metal shavings to scrap metal dealers, but the briquette press made it pos sible for us to reuse both the metal and much of the cooling lubricant in which it is coated. This made a major difference to our green audit and our nancial accounts, he relates. The system operates as follows metal shavings from processes involving the two advanced CNC machining centres at the factory are collected in special containers. Once the cooling lubricant has been given time to drip off the shavings, they are transported to the briquette press, where they are compacted 292007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=30http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=30into metal briquettes with a diameter of 90 mm, a length of 100 mm and an average weight of 3. 2 kg. The nished briquettes are then packed in special containers in 7ton batches, and these containers are returned to the foundry, where the briquettes are melted down once more. Free transport One of the interesting aspects of the system is the fact that the transport to the foundry is more orless free from both nancial and environmen tal perspectives, because we always send the briquettes back on the lorries that delivered the nished components, explains Uwe Tankred, who continues And as these lorries would have to return to the foundry in any case, we also avoid the situation of them having to drive empty all the way to Kristiansand, for example. Another signi cant advantage of returning the shavings to the foundry and using them in the casting process again is that the company retains full control of the alloy throughout the process, as the shavings form part of a closed system, so to speak. We are not work ing with oldfashioned cast iron, but with a highly re ned material, so the quality of the casting material is crucial to aspects such as strength, weight and processing properties, says Uwe Tankred. He then relates that great care is taken to keep the shavings free from foreign objects such as pieces of metal that are chipped off the CNC machine tools during the machining process. This means that the waste metal is very pure, which naturally helps to assure the quality of the briquettes we return. Reduced consumption of cooling lubricant Vestas Machining operates what is known as wet processing at the factory, which elim inates problems related to dust, for example. Wet processing involves the cast component being subjected to a constant stream of cooling lubricant that contains a range of additives to protect the cutting tools in the CNC machine during the machining process itself. Out of consideration for both the environ ment and costs, it is very important to reduce 30 In 2006, Vestas covered an impressive 68 per cent of the Groups total electricity consumption equivalent to 124, 841 MW with supplies from sustainable sources of energy. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=31http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=31the volume of cooling lubricant used to a bare minimum, and here, too, the briquette press has generated signi cant bene ts. Every ton of metal shavings poured into the briquette press contains approximately 6 per cent residual moisture in the form of cooling lubricant that did not drip off during the period of storage in the shavings container, says Uwe Tankred, who explains that twothirds of this residual moisture equivalent to 40 litres of cooling lubricant per ton of metal shavings is pressed out of the metal and collected, while the remaining 2 per cent remains in the briquettes. However, the briquette press is not the only initiative to have resulted in a signi cant reduc tion in the consumption of cooling lubricant. Last year, Vestas Machining also started to recycle the large volumes of cooling lubricant separated from the metal shavings even before they are transported to the press. Previously, we were not able to purify this portion of the used cooling lubricant, but in February 2006 we came up with a new type that was not only cheaper but also had bene cial qualities regarding the separation of the lubricant, explains Uwe Tankred. He adds that the separ ation of the lubricant is performed in a special centrifuge unit. The process ensures that the lubricant is free from oil emulsion, sludge and graphite dust before it is sent back for reuse in the two units that supply the machining centres with cooling lubricant. At present, Vestas Machining reuses 6. 04 m3 6, 040 litres of cooling lubricant a week on average. Of this, more than a third comes from the briquette press, while the remainder con sists of the cooling lubricant collected from the shavings containers and puri ed in the special centrifuge. In all, the factory reused 208 m3 of cooling lubricant in 2006, and for 2007, it has set itself the target of recycling 325 m3 i. e. a volume corresponding to 18 per cent of the total consumption. With such a level of reuse, the factory will be able to cut purchases of con centrate for the cooling lubricant mixture by 29, 250 litres, and as a litre of concentrate costs DKK 31. 50, this translates into savings of DKK 921, 375. At the same time, the environment will also bene t hugely from the initiative. Great environmental bene t The disposal of oil emulsion from used cooling lubricant constitutes one of the most signi cant sources of environmental impact from the machining industry. It is also a very costly process. For this reason, it is interesting to see how positive an effect the introduction of the briquette press and the reuse of the cooling lubricant have had on this part of the process. If gures for Vestas Machinings disposal of oil emulsion over the past three years are compared with the corresponding develop ment in the level of activity, the effect becomes very clear As the chart illustrates, the volume of oil emulsion disposed of in 2005 increased by 12 per cent in relation to the preceding year. At the same time, however, the level of activity rose by as much as 41 per cent and according to Uwe Tankred, the difference in these gures stems directly from the acquisition of the briquette press in autumn 2004. The difference is even more striking for 2006, where despite activities increasing by an additional 7. 7 per cent, it actually proved possible to reduce the volume of oil emulsion disposed of by 35. 9 per cent. This reduction is the tangible return on our decision in February 2006 to switch to the new type of lubricant, which made it pos sible for us to reuse an even larger proportion of the total volume, says Uwe Tankred, who is delighted that it has proved possible to create an authentic winwin situation that bene ts both the environment and the company. Norwegian environmental management since 2000 The foundry that plays the biggest role in the return system with Vestas Machining is Vestas Castings Kristiansand in Norway. The plant receives approximately 2, 900 tons of metal 31 Year Activity hours Oil e2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=32http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=32briquettes a year, and Wilhelm Lange, Manag ing Director, is thrilled with the arrangement because, in addition to enhancing environmental initiatives, it also reduces material costs and ensures that the foundry receives briquettes free from chrome and other unwanted substances. The staff at the Norwegian foundry have been working with environmental manage ment for several years, and a key factor in this context was the certi cation of the plant in accordance with the international ISO 14001 standard in 2000. Wilhelm Lange relates that work is currently being done to combine input in the areas of quality, the environment and safety to create a holistic TQM Total Quality Management system. For example, in the area of the environ ment and occupational health and safety, we are working to reduce the volume of dust generated by the production process, and we have also initiated a project intended to introduce a recycling system to reduce our water consumption, he explains and adds There are plenty of areas to work on, and we are naturally starting with the initiatives that combine nancial advantages and environmen tal bene ts in the best possible way. The perfect green One of the most remarkable initiatives from Vestas Castings Kristiansand is a working rela tionship with Norsk Jordforbedring AS, which is part of the Danish Solum Group. The relationship has to do with using some of the used casting sand from the foundry as an ingredient in a special soil mixture. The sand used for the casting moulds is known as furan sand, and through a range of tests, Norsk Jordforbedring discovered that the uniform quality of this sand, its dark colour and its low content of heavy metals make it ideal for the laying and dressing of golf course greens. The analyses carried out by Norsk Jord forbedring indicate that this soil mix generates a range of positive effects, says Wilhelm Lange. For example, the sand has a stimulat ing effect on the grass shoots and it promotes signi cantly better root development as well as counteracting the appearance of moss. As regards the environmental aspects of the process, Wilhelm Lange stresses that a range of ecotoxicological tests have also been carried out and that these clearly demonstrate that no negative effects are linked to the add ition of casting sand to the soil mix. New knockout line in Kristiansand and Magdeburg The staff at Kristiansand are very pleased with many of the improvements that are implemen ted on a regular basis. However, one of the projects that the staff are most keenly looking forward to is the introduction of a brand new knockout line, which is expected to be fully operational in August 2007. The knockout line is the last stage of the casting process. It is here that the cast com ponent is shaken and knocked out of its mould of hardened sand a process that not only generates earsplitting noise, but also lls the surrounding area with a cloud of hot sand. The new system constitutes an appreci able investment of around NOK 50 million, but the returns will be so signi cant that the repayment period is expected to be less than two years, says Wilhelm Lange, who adds that the shortness of the repayment period is attributable in particular to the fact that the new knockout line will eliminate a number of bottlenecks in the production process and thus improve the foundry capacity. Neighbours pleased With the introduction of the new knockout line, the noisy and dusty shaking process will be separated from the other links in the cast ing chain. This will provide a wide range of bene ts, as the staff at Vestas Casting Magde burg Gmb H in Germany another of Vestas foundries will gladly con rm. Here, the new knockout line was brought online immediately after Easter in 2006, and Jochen Hfer, Man aging Director, is clearly delighted with the 322007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=33http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=33returns after the rst year. There are several sides to this investment. Perhaps the most important of all is the fact that our employees are better protected with the new knockout process, which has led directly to a fall in the number of industrial injuries, he relates. In addition to the bene ts in this area, the investment at the German foundry has led to appreciable reductions in the noise level which is an aspect that is greatly appreci ated by both the employees themselves and the neighbours to the plant. It is true that we are located on an industrial estate, but there is a residential area on the other side of the main road, and our new installation has made a real difference to the residents in this area, says Jochen Hfer, who adds that at the same time, the foundry has switched to sealing the sand moulds with a new chemical which has signi cantly reduced the level of odours in the surrounding area. A look at the commercial bene ts of the new knockout line reveals that the foundry in Magdeburg can proudly state that it has suc ceeded in improving capacity by as much as 70 per cent, from 10, 000 to 17, 000 tons a year. ISO 14001 is close While the Norwegian sister foundry, as men tioned above, has been ISO 14001 certi ed since 2000, Vestas Castings Magdeburg is now close to nalising its own international envir onmental certi cation process. Jochen Hfer relates that the internal audit by Vestas central environmental department was completed in April, and that it will be followed up in June by the of cial audit by the German environmental authorities. If all goes well which I have every reason to believe it will the nal certi cation should be granted at the start of July, he says, and stresses that a very large part of the implementation of ISO 14001 has to do with changing the mindset of the employees. Foundry work is heavy, hot, dirty, hard and imbued with tradition, and it has taken quite a while for some of our old sweats in particular to get used to the new procedures, reports, evaluation and so on. Today, however, at titudes are positive across the board, because people can see with their own eyes and feel on their own bodies that the environmental work has brought a wide range of bene ts, concludes Jochen Hfer. 33 THE CASTING PROCESS 1. A model is made of the component that is to be cast. 2. A casting mould i. e. a negative of the component is constructed. The mould is made of silicate that can withstand a temperature of 1200C. However, as the temperature of the metal reaches 1400C, the mould is sealed with the metallic transient element zirconium, which protects the silicate up to a temperature of 2000 C. 3. The mould is left to dry. 4. The two sections top and bottom of the mould are then assembled and tted with the pipes, etc. that are to create hollows and the like inside the cast component. 5. The molten metal is poured into the mould. 6. A range of additives are added which in uence various parameters of the cast component strength, surface, machining properties, etc. 7. When the temperature and a number of other parameters are correct, the component is given a magnesium treatment. 8. The component is cooled. On average, a 10ton component will take three days to cool down after which its temperature will be only around 300 0C. 9. The mould containing the cast and cooled component is transported to the knockout line, where the mould is knocked and shaken off. 10. The component is blown clean and readied for processing at the machining factory. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=34http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=34Closer collaboration generates improved quality 342007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=35http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=35When Ditlev Engel, President and CEO, presented the 2006 annual report for Vestas in London, he naturally mentioned one of the most important challenges facing Vestas the task of continuously improving the quality of the companys products and the individual components. At the presentation, Ditlev Engel was in a position to make it clear that great progress had been made in this area in 2006, but that both Vestas and the Groups suppliers are still a fair way from being worldclass. At the same time, he stressed that two of the 13 Constitution Projects Project No. 5 and No. 8 are intended jointly to solve the remaining problems and ensure that every single turbine that leaves one of Vestas factories is of the highest possible quality. One of the employees who currently lives and breathes Constitution Project No. 5 is Mark Colwell, Assistant Vice President at Testing Veri cation, a unit under Vestas Technol ogy RD Operations. It is no coincidence that an employee from this business unit was chosen to take charge of the project. All 13 Constitution Projects are deployed with one of the Presidents of Vestas business units, and Project No. 5 is the responsibility of Finn Strøm Madsen, President of Vestas Technology RD. Mark Colwell relates that the project is entitled Improvement of the quality of com ponents delivered and thus focuses on the wind turbine components that are manufac tured by either internal or external suppliers. In this context, the four Vestas production units Vestas Nacelles, Vestas Blades, Vestas Towers and Vestas Control Systems are all suppliers, and they have therefore played an important role in the project, in the same way as our numerous external suppliers, he explains. Mark emphasises that at every stage of Constitution Project No. 5, the key concepts have been collaboration and openness, and he is quick to make it very clear that the project has to do with reinforcing and optimising an area of operation that was already a central element of the quality work at Vestas. Every single day, we focus on ensuring the quality of our development and production processes, says Mark Colwell, who continues With this 352007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=36http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=36particular project, we are simply devoting even more resources to the work in an effort to reach the point where we can rightly use the term worldclass about our products includ ing the parts we order from external partners. Important tools The project provides Vestas with better op portunities to map out and visualise the supply chain which, according to Mark Colwell, is of fundamental importance to achieving the desired improvements in quality. For example, a crucial element of the project involved de ning how the Six Sigma improvement tool could best be integrated into the quality organisation. The work to train employees in Six Sigma has been run as a separate Constitution Project, while our task in relation to Six Sigma has been to ensure optimal implementation of the tool in everyday operations in all parts of our business units, explains Mark Colwell with reference to Constitution Project No. 4. This was a project that resulted in the successful training of 120 Six Sigma employees in 2006. The target for 2007 is to train a further 270 employees in this skill, and thus take a giant step closer to the goal of having all quality technicians at Vestas certi ed to yellow belt level in Six Sigma and training all quality managers to black belt, the highest possible Six Sigma quali cation. Eight disciplines In the quality work with its external suppliers, Vestas has applied the internationally recog nised problemsolving method known as 8D. The name stands for Eight Disciplines and the method has to do with improving products and processes on the basis of a format that comprises eight points or disciplines. In each discipline, emphasis is placed on utilising the synergy in a team, drawing on the principle that the quality achieved through collaboration is greater than the sum of the quality parts that each participant can generate individually. We at Vestas have been using the 8D method for many years, even before we launched Con stitution Project No. 5, and it seemed particu larly appropriate for the current context, says Mark Colwell, who adds that Six Sigma itself is in many cases a perfect tool to use as part of the 8D process see box on page 39. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=37http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=37Enhanced capability Mark Colwell explains that Constitution Project No. 5 involves two parts of the Vestas organisation. Firstly, the project involves that part of the organisation which is responsible for developing our suppliers, and which has responsibility for implementing and com municating the various processes and tools to all parts of the Group. Secondly, it covers our quality organisation, which is responsible for the daytoday activities such as collating and processing quality and capability data. As part of the Constitution Project, Vestas is currently working hard to reinforce the use of integrated product development in close collaboration with both internal and external suppliers. The goal of this work is to achieve a higher level of control of the development process so that both Vestas and the companys external suppliers build up a better under standing of variance, with a view to improving quality and raising ef ciency. Continuous analysis of capability plays a signi cant role in the integrated product devel opment process, says Mark Colwell, before going on to explain that the development and production employees can jointly choose one of two approaches when, for example, the analysis results demonstrate that an existing production process does not have the capabil ity to manufacture a newly developed design. We can either attempt to reduce variance 372007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=38http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=38in a number of ways, or we can improve our production processes on the basis of the actual variance by adjusting the process in relation to the technical realities, for instance. Successfully implemented at Vestas Blades One of the production units that has already bene ted from the positive effect of Constitu tion Project No. 5 is Vestas Blades. Here, Piet Dokkedal, Vice President for Quality, Safety Environment, stresses in particular that the introduction of Six Sigma contributed to strengthening the common platform of under standing between the development depart ment at Vestas Technology RD and the pro duction department at Vestas Blades. Today, both contributors to the process are speaking the same language to a greater extent, and this has a major impact on the solutions created in the joint forum, he says. Piet Dokkedal relates that Vestas Blades used the process for the rst time when implementing a new surface treatment system. In connection with the introduction of the system, we needed to start working with a new supplier, and this meant that we had to optimise a manual painting process, he says and explains that, for example, it is not prac tically possible to measure the coat thickness across the entire surface of a painted blade, so Six Sigma was applied as part of the quality assurance process. Today, we take a number of random samples from different parts of the blade and then use the statistical tools in Six Sigma to determine the capability of the paint ing process. The rst rollout following the introduction of Six Sigma into the new surface treatment has now been completed and successfully imple mented into blade production. According to Piet Dokkedal, the project has resulted in an even higher level of assurance of the surface quality. Internal processes under the microscope Against the background of the rst positive ex periences of Constitution Project No. 5, Vestas Blades recently turned its attention to the ve critical parameters of the internal production process. At Vestas Blades, we ourselves have control of the most signi cant parameters of the production process. So it is only natural for us to focus our attention on our internal proc esses as we start to work even more intensely with that part of Constitution Project No. 5 that is intended to reduce the crucial factor of Cost of Poor Quality, says Piet Dokkedal, who then adds that ef cient reduction of this factor involves examining the production pro cess in depth to identify the areas that are not generating suf cient value, and then making the relevant adjustments. In this context, the staff of Vestas Blades have long been working with the concept of Total Productive Manage ment, and in Piet Dokkedals opinion, the introduction of Six Sigma in connection with Constitution Project No. 5 is the perfect way to reinforce this approach even further and thus reduce the Cost of Poor Quality. We have systematised a range of blade pro duction capability analyses to ensure a continu ous ow of useful statistical information to the development department at Vestas Technology RD, explains Piet Dokkedal, who expects that over the course of the summer, the new setup will spawn improvement projects whose solutions are likely to be ideally suited to the application of the new Six Sigma competences. These will probably comprise both projects deployed locally within individual factories, and major interdepartmental projects where our highly skilled Six Sigma specialists will be called in to run the process. Piet Dokkedal is in no doubt whatsoever that Constitution Project No. 5 will help to move Vestas and Vestas Blades up the quality scale. One of the crucial factors in this context is that I have received the full backing of all the managers in the Vestas Blades quality organisa 382007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=39http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=39tion. Right now, the quality staff at our factories all over the world are working relentlessly to implement the initiative, and I am convinced that everyone can see the obvious bene ts that are sure to result from this Constitution Project, says Piet Dokkedal. Well received by the suppliers According to Mark Colwell, Assistant Vice President at Vestas Technology RD, the work under Constitution Project No. 5 has generally been remarkably well received among external suppliers, and not just among the internal production units such as Vestas Blades. All down the line, the project has been recognised as an extension of our existing activities in the area of quality, he says, and continues Both we and our suppliers can already see that the project is helping to reduce capabilityrelated variance in the supply chain, and to eliminate all kinds of errors in the process. As a result, we are generally enhancing our quality and gaining even better control of the process. The provisional results of Constitution Project No. 5 were presented to suppliers from all over the world on 18 April, when Vestas held its annual Suppliers Day. According to Mark Colwell, the dialogue that day provided further con rmation that the close interaction between Vestas and the Groups suppliers is heading steadily in the right direction. Forward. 39 1. Put together a small group of people with the knowledge, time, authority and capacity to solve the problem and to implement the actions required. 2. De ne the problem on the basis of measurable aspects. 3. Implement temporary regulations to reduce the effects of the problem. 4. Identify the cause of the problem and make sure that this actually is the primary cause. 5. Set up measures to solve the problem, and examine their effect. 6. Implement the remedial measures and check the effect. 7. Decide on measures to prevent the problem arising again. 8. Recognise and appreciate the work done by the team participants. The eight disciplines in 8D2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=40http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=40Presidential visit to Vestas 40 Vestas was the only company on the itinerary for the of cial visit of the President of the Ukraine to Denmark. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=41http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=41Viktor Yushchenko, the President of the Ukraine, came to see Vestas for himself on 15 March 2007 during his of cial visit to Denmark. The Ukrainian delegation itself requested that a visit to Vestas be included on the of cial itinerary. As a result, the Ukrainian President and a number of representatives of the Ukrainian Government visited the Vestas test centre in Århus, where they were wel comed by Bent Erik Carlsen, Chairman of the Board, Ditlev Engel, President and CEO, and Hans Jrn Rieks, President of Vestas Central Europe. In the course of the visit, during which he was surrounded by many media reporters, President Yushchenko was given the oppor tunity to take a close look at a 3 MW nacelle and a 44metre blade. The guided tour also took the party inside the nacelle, where the President and the other Ukrainian representa tives had the chance to see how a modern wind turbine ef ciently converts the wind into electricity. The visit to the test centre was subsequently followed up with more detailed discussions involving Ditlev Engel and representatives of the Ukrainian Government, who were accom panied by a trade delegation including a number of representatives of Ukrainian indus trial organisations. These discussions touched on topics such as the large volume of unutilised wind potential in the Ukraine, the need to ensure the correct political framework for the development of wind power, and the options for an intensi ed working relationship with Vestas. We are proud to have been the only com pany that the President of the Ukraine visited during his time in Denmark, and we are look ing forward to continuing the dialogue, said Ditlev Engel after the visit. 41 President Viktor Yushchenko showed a great deal of interest in wind power technology during his visit to Vestas. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=42http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=42Full focus on performance at Vestas 42 Last month, Vestas put the nishing touches to the work on one of the 13 Constitution Projects that were initiated as key elements of the strategy plan entitled The Will to Win. The primary aim of Constitution Project No. 6 is to improve delivery reliability by establishing stronger coherence and clear business channels between Vestas business units, and this project has now advanced to the point where it has been transferred to the line organisations of the individual business units. Here, work is currently underway to implement the new tools and procedures to ensure that in future, the results of this project are fully integrated into the relevant business processes. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=43http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=43During his presentation of the annual report on 20 March this year, Ditlev Engel, President and CEO of Vestas, made it clear that the company would never have been able to reach its goals for 2006 without Constitution Project No. 6. The fact that this project was accorded high priority throughout was also emphasised through Vestas decision in autumn 2006 to establish two new departments Global Capacity Planning and Global Sales Forecast ing as a direct consequence of it. These two departments are housed in the same building in Ringkøbing, Denmark, and according to Tommy Rahbek Nielsen, Vice President for Global Capacity Planning, this in itself demon strates that the intention behind the project was to create a more balanced Vestas with greater coherence in the value chain i. e. be tween sales and production. To put it simply, you could say that we are the glue that holds the sales and service units and the production units together, he says. Transparency and tighter control To a very large extent, Constitution Project No. 6 had to do with promoting transparency in the entire chain from the initial meeting with the customer, through production, deliveries and transport, to handover, explains Tommy Rahbek Nielsen, before adding that at the end of the day, transparency is what provides Vestas with complete control of the entire process so the company can always keep its promises. If we say that we will deliver in a speci c week, we must make sure to do so. And if we should be unexpectedly delayed, we must inform the customer in good time. That is all there is to it, he says. As a part of the process, for example, a range of new business regulations have been introduced which, at rst glance, may make Vestas seem to be a little less exible in some areas. However, if we are to reinforce our per formance, it is essential that we base our input in this area on tighter and above all more uniform control of capacity, says Tommy Rahbek Nielsen. Another very tangible result of Constitution Project No. 6 is the new KPI system that has been developed for the supply chain. These Key Performance Indicators are now used to prepare weekly followup reports for the Vestas Government, so that the senior manage ment always has an uptodate overview of the delivery situation and can intervene in good time if things start to show signs of coming off the rails in any part of the supply chain see the article on page 14. New processes have also been introduced with regard to Vestas numerous suppliers. For example, the company has started to work at global level with Supplier Score Cards, which are used to measure suppliers perform ance continuously against the three primary parameters of time which includes delivery capacity, volume and speci cations. With this 432007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=44http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=44quanti cation of the ongoing performance of suppliers on the basis of parameters that are crucial to Vestas, the company now has much better and, perhaps more importantly, much more structured control of the component deliveries. At the same time, Supplier Score Cards make it possible to develop the suppliers in close collaboration with Vestas, which is naturally bene cial to both parties. Tommy Rahbek Nielsen explains that the Supplier Score Cards system was originally run as a series of pilot projects at each production unit, but that on the annual Suppliers Day last month, it was introduced for all suppliers. This is not a method that we at Vestas have developed ourselves, and many suppliers are already working with it for other customers. So it was positively received in fact many of our suppliers had actually asked if they could start using it with us even before Suppliers Day, he says. Delayed parts One of the Vestas units that was nding it hard est to keep up with demand when Constitution Project No. 6 was introduced was Spare Parts. The unit is part of Vestas Nacelles, and Kjeld Nielsen, Vice President, relates that just a year ago, the challenge was signi cant In May 2006, the situation in Spare Parts was quite complicated there was a severe shortage of space in the warehouse and, at the same time, our capacity to deliver the parts in accordance with the schedules we ourselves had promised our customers was far from satisfactory. Offtheshelf delivery To deal with these problems, a project was launched with the primary purpose of intro ducing a completely new warehousing model. When setting up this model, the employees at Spare Parts prepared a list of all the parts that should always be available on the shelves. The list eventually included 7, 400 out of 23, 000 item numbers. It is interesting to note that the spare parts identi ed in this way which account for only a third or so of our total range of item numbers cover 97 per cent of all the order lines over the past two years, says Kjeld Nielsen. He goes on to explain that precisely the identi cation of the critical item numbers is one of the most important aspects of a wellfunc tioning spare parts department. In principle, you could simply keep large stocks of all spare parts in your warehouse, but this is a two edged sword because the larger the stocks you maintain, the higher your running costs and the risk that you will have to start depreciating your stocks. All the items in stock at Spare Parts today are divided into categories that describe the life cycle of the item in question from cradle to grave. In addition, internal projects have been launched to reduce internal response times, and other projects are already in the pipeline all targeted at improving delivery capacity even further. Visible results Today, a year after work was started in earnest to tackle the giant challenges facing Spare Parts, the unit can proudly present particu larly tangible results. More than 90 per cent of Vestas customers now receive their spare parts on time, which is a vast improvement on the situation a year ago. Our aim is to achieve delivery capability of 99 per cent in relation to the initially con rmed delivery date before the end of 2008, says Kjeld Nielsen, who then adds that the improvements are not just visible 442007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=45http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=45on paper. Our warehouses are now neater, and the results have also had a positive effect on the atmosphere in general after all, it is more fun to be ahead of the game than to have to play catchup all the time Optimism among customers Following the implementation of the new ware housing model, Spare Parts has set up a range of agreements with the Vestas sales and service units around the world. These agreements, called Service Level Agreements SLA, cover issues such as speci ed goals including lead times i. e. the time between the issue of an order and the delivery of the goods for various scenarios. The rst version of the SLA has now been signed by all six sales and service units, and it has been agreed that followup meetings are to be held at Vice President level every six months. At these meetings, the participants will discuss the potential for tightening up and expanding the agreement. Kjeld Nielsen stresses that the continued success of the project in the future is depend ent on input from both sides. It is essential that customers in our case, Vestas sales and service units make an active contribution to reinforcing the delivery situation. They need to take the holistic view and schedule delivery times for the individual orders as late as the project can bear, rather than simply choosing the default option of ordering all the parts for delivery as soon as possible. This will make it much easier for us to plan appropriately, and it is actually crucial to our ability to oper ate with a high level of delivery reliability, emphasises Kjeld Nielsen, who is gradually beginning to prepare the next steps Once we have achieved the desired high level of delivery reliability from Spare Parts in Randers, Denmark, we can move on to the next phase which involves our optimising the spare parts stocks at the sales and service units. Of course, this task can only be dealt with through a close partnership based on close relationships, which factors such as the implementation of the SLAs can help to create. Bearing in mind the starting point Spare Parts had to work from, noone is under any illusion about the time and hard work that will be required for the unit to reach its goals. How ever, in recent months Kjeld Nielsen has been pleased to observe the reemergence of some optimism among customers. We have come a long way, but there is still a very long way to go so it is currently a question of staying focused and resisting the temptation to rest on the laurels we have collected to date. Fortunately, Spare Parts is staffed by skilled and committed people who are prepared to go the extra mile. Ultimate goal of 95 per cent production stability in 2007 and 98 per cent in 2008 Tommy Rahbek Nielsen from Global Capacity Planning states that at overriding Group level, there is still much to be done before perform ance capacity reaches a satisfactory level. Our goal is to achieve 95 per cent production stability within 12 weeks in 2007 and with the remarkable improvements we have achieved thus far, we have almost reached this target already so I have no doubt that we will make it thanks to our new transparency initiative and the streamlining of production, he says. Out to the farthest link The improvements that have been achieved thus far via Constitution Project No. 6 are only of immediate operational signi cance to Vestas own sales and service units. For this reason, these business units have now estab lished a jointly owned support function called the Service Excellence Support Team. On the basis of the recently adopted global service strategy, the new support function is to ensure that the sales and service units have everything they need to carry the improvements through ef ciently for the bene t of the turbine owners, says Tommy Rahbek Nielsen and stresses once again that Vestas will maintain full focus on performance capacity, both now and in the future. 452007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=46http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=46Even though France, which is the largest nuclear power nation in Europe, uses nuclear power to cover 78. 5 per cent of its electricity requirements today, there are clear indications from both public authorities and power generators that wind power is set to play a greater role in the French energy mix of the future. In fact, in 2006 France took a giant leap forward on the European market, installing 810 MW of wind power. As such, it was the country that installed the thirdlargest volume of wind power that year, surpassed only by Spain 1, 587 MW and Germany 2, 233 MW. The staff of Vestas France therefore take an optimistic view of the continued development of the market although there are a few kinks to be ironed out rst. 46 Fran2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=47http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=47By the end of 2006, France had a total installed wind power capacity of 1, 585 MW, with Vestas holding a 21. 3 per cent share of the market. Even though with this accumulated capacity France ranks only seventh in Europe behind Germany, Spain, Denmark, Italy, Great Britain and Portugal the gure of 1, 585 MW is noteworthy, because it demonstrates that for the second year in a row, France has doubled its installed capacity. According to Brigitte Arquilliere, Head of Sales at Vestas France, there is every reason to believe that the French wind power market will expand even further over the coming years, despite the fact that the French Governments of cial target of 13, 500 MW of accumulated capacity in 2010 seems a touch unrealistic. The opinion that is generally shared among both industry players and polit icians is that France has the capacity to reach 10, 000 MW in 2013, of which 1, 0003, 000 MW will be installed offshore, says Brigitte Arquilliere. Fixed prices for windgenerated power The French Government has recently launched two initiatives that are intended to give wind power an added boost. One is the adoption 47 a growing marketce2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=48http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=48of xed purchase prices for electricity stem ming from wind power plants. For onshore wind turbines, the price has been set at EUR 0. 082k Wh for the rst ten years, followed by a 5year period during which wind power plants will be assured between EUR 0. 028 k Wh and EUR 0. 082k Wh, depending on the wind conditions and, as a result, the number of hours a year that a wind farm actually gener ates electricity. Brigitte Arquilliere relates that a corresponding price model has been imple mented for offshore wind farms. The prices here have been set at EUR 0. 13k Wh for the rst ten years, and EUR 0. 030. 13 k Wh for the following ve years again, depending on the total hours of operation per year. Moreover, both models include an annual in ation supple ment of 2 per cent, starting in 2008. Development zones for wind power The other factor of crucial importance to the continued development of wind power in France is the publication of the governments latest Pluriannual Investment Programme PPI, a forecast that is prepared every second year to ensure that the production of electricity in France matches the demand. In the latest PPI, the targets for wind power have been raised to 13, 500 MW by the end of 2010 and 17, 000 MW by the end of 2015. Even though these targets may appear particularly ambitious and, as mentioned previously, perhaps a little unrealistic, they do send a clear signal to the players on the wind power market, stresses Brigitte Arquilliere. In this regard, she expects that the implementation of a completely new political initiative wind power development zones ZDE will have a major in uence on the extent to which the targets are achieved. As of 14 July 2007, only the wind farms erected in the special ZDE zones will be en titled to use the xed prices mentioned above. The zones are de ned by the individual local authorities, and must then be approved by the local prefect, who makes his or her decision on the basis of factors such as the potential of the site, the conditions for connecting wind tur bines to the transmission grid, and protection of the landscape and the environment. Brigitte Arquilliere relates that the principal source of concern in the industry is that prefects may hinder development on a shaky basis one in which the only aspect that carries any real weight is alleged consideration for the land scape. Another fear is that some prefects may demand so much supplementary information that in practice the process will become just as timeconsuming as the processes for individual projects today, and that the new zones will therefore not achieve the catalyst effect that 482007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=49http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=49the government intends, she says and goes on to add that for this very reason, developers are busy at the moment, attempting to have as many projects as possible approved under the current and wellknown system before the new scheme comes into effect on 14 July this year. According to Brigitte Arquilliere, players in the industry agree that the xed purchase prices are good for sites with medium and high wind speeds. On the other hand, there is a concern that it will no longer be pro table to erect wind farms in areas with average wind speeds inferior to 6. 7 ms. And as many of the best sites in France have already been utilised, it is very likely that competition will be exceptionally tough for the remaining sites with reasonable wind speeds. At the same time, there will be little interest in projects at the other end of the scale, says Brigitte Arquilliere, who believes that this situation in particular makes it unlikely that the govern ment will reach its goal of 13, 500 MW of installed capacity in 2010. 49 France2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=50http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=50 A bumpy road Brigitte Arquilliere says that to get as close as possible to the goals, there are a number of challenges that demand rapid action. First and foremost is the alleged impact of the wind turbines on the radar system, she says, and explains that in 2005 the French armed forces, the civil aviation authorities and the French Meteorological Institute recommended ban ning the erection of wind turbines within a ra dius of 30 km of radar stations as a precaution while the actual impact on the radar system was examined in more detail. The limit has since been reduced to 20 km, but neverthe less, the Syndicat des Energies Renouvelables SER, estimates that projects with a total capacity of 2, 000 MW are being blocked by the prohibition. The organisation will therefore be giving the situation very high priority in the coming months. We at Vestas currently have two projects that are being blocked by the radar rule, says Brigitte Arquilliere, and states that the projects in question are an extension of the wind farm by the harbour in Saint Louis twelve V52850 k W turbines for Mistral Energy, and the Nurlu Wind Farm six V802. 0 MW turbines for Eole RES. Over and above the measures to combat the alleged impact on the radar system, Brigitte Arquilliere states that the government has recently introduced new noiselevel require ments. However, it is not yet clear how or even whether these requirements will in u ence projects that have already been planned. Wind power opponents court case underway At the end of 2006, two of the leading French organisations opposed to wind power Vent de Colre and Vent du Bocage led a joint motion to have the new purchase prices suspended or annulled. The two organisations claim that these prices unfairly bene t wind farm owners at the expense of consumers. As a result, the wind power industry and the two organisations will face each other in the High Court of France later this year. In this matter we are, for a change, on the same side as the French Minister of Industry, and if we are on the winning team here, the decision is sure to have major principle and nancial signi cance for future development in France, says Brigitte Arquilliere. Increasing popular backing Even though organisations such as Vent de Colre and Vent du Bocage are vocal in their opposition to the development of wind power in France, Brigitte Arquilliere has noticed that both the French people in general and the mayors of the individual municipalities have become more and more positively disposed towards wind energy. Wind turbines are becoming a common feature of the landscape in France, and of course it does not hurt that the wind farms pour tax income into the local municipal coffers, she says, looking con dent ly to the future development of wind power in France in general and that of Vestas France in particular. 50 Vestas France By the end of 2006, Vestas had installed a total of 224 wind turbines in France, divided between 34 wind farms with a total installed capacity of 333 MW. The largest wind farm installed in 2006 was Cormainville Guillonville, in the centre of France. It comprises thirty V802. 0 MW wind turbines and thus has a total capac ity of 60 MW. 2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=51http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=5151 Close to the city of Poitiers, 350 km south of Paris, stands one of the largest amusement parks in France Futuroscope. Every year, this park welcomes around 2 million visitors, most of whom are families with teenage children and inquisitive adults. And for anyone who has even the slightest interest in a nely blended cocktail of entertainment, games, technology, science and natural sciences, a visit to Futuro scope will be a truly jawdropping experience. The setting alone, and the consistent ap plication of futuristic architecture throughout the park, is worth a visit in itself. And this impressive framework is neatly lled out with a wide range of attractions, including several advanced 3D cinemas centred on various edu cational themes. The latest attraction at Futu roscope opened last month under the banner of Mission clabousse and gives visitors the opportunity to sail out onto an arti cial lake, in the middle of which is a little island. This island is inhabited by a ctitious inventive professor, who has all kinds of stateoftheart technology at his disposal including a 10metrehigh model of a Vestas V903 MW wind turbine The story behind this highvisibility attrac tion is as follows in October last year, Futuro scope contacted Vestas to ask about a model for the new attraction. Vestas was quick to spot the opportunities offered by this different kind of exposure, and therefore decided to sponsor the model which is intended to remain at Futuroscope for the next 10 years. With 2 million visitors every year, the park gives us a very special opportunity to raise our pro le in a different way, and I am convinced that this sponsorship agreement will prove to be a very good investment for us, says Ursula Bækkegaard, Project Manager, Exhibitions Events under Group Communication. Ursula relates that in addition to the wind turbine itself, four large posters have been set up on the island to provide information about Vestas and wind power to the people queuing up for the attraction. The posters give visitors the answers to a range of interesting questions while they wait to take their seats in one of the special boats. For example, they can nd out just how many households a V903 MW wind turbine can supply with clean electricity during an average year. The wind turbine is an accurate model of a Vestas V903 MW turbine on a scale of 114, which means that the distance from the foundations to the tip of the highest blade is 10 metres, and that each blade is 3. 2 metres long. The technical drawings for the scale model were prepared by Allan Laursen Molbech, a designer from the Structural Design Unit under Vestas Technology RD. Allan relates that de veloping the model was an exciting challenge, particularly because it was to be the rst model in Vestas history to be installed outdoors. It is one thing to design a model for an indoor trade fair, but quite another to create a model which is not only to be able to handle the same meteorological in uences as a real wind turbine, but also to meet a wide range of safety requirements. Allan went to France himself to help with the assembly of the turbine over Easter, when it was also given nal safety approval by Veritas. Obviously, a 10metre high wind turbine in the middle of an amuse ment park has to meet a range of particularly stringent requirements to ensure that it is in no way a danger to the public, says Allan Laursen Molbech, who adds that as part of the safety system, the turbine is tted with a fully func tional wind sensor which makes sure that the turbine stops in excessively high winds. Having visited Futuroscope on company business, I would like to go back again with my family as a normal visitor. In addition, I am very proud that Vestas is represented here in such a distinctive and different way, introducing the company to a large, inquisi tive audience at one of the most fantastic and bestmaintained attractions I have ever seen, concludes Allan Laursen Molbech. To nd out more about Fu2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=52http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=5252 In the space of a year, the Vestas Nacelles factory in Taranto has increased its capacity by half and revolutionised its working practices. Transformation at Taranto2007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=53http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=53Its all down to teamwork, says Francesco Velluto, manager of Vestas Nacelles factory in Taranto, southern Italy. He might be being modest, of course, but the facts speak for themselves. In less than a year the factory has increased its capacity by 50 per cent, changed from threeshift to singleshift work ing, found local sources for a large proportion of its components, halved its inventory value, improved product quality, and achieved a nearperfect record in production planning. The Taranto factory builds nacelles for the V52850 k W turbine, plus small numbers of the older V47660 k W for special orders. It started operating in July 2003, before moving to a new site in July 2005 to meet increasing demand. By this time the factory was working 24 hours a day, on a threeshift system. In January 2006 we had a reorganisa tion, and since then we have been able to increase output by 50 per cent even though we changed to singleshift working, says Francesco Velluto. 2006 started with an ambi tious target for the number of nacelles to be produced, and for threequarters of the year the factory met its production plan exactly. In the last quarter there was a shortage of gearboxes due to something that was outside our control, Francesco Velluto continues. As a result, we nished the year having reached 97 per cent of our production target, plus a few nacelles that were completed except for the gearboxes. 532007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=54http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=54The changes required just one extra em ployee and no investment in machinery. Perhaps most importantly, it has also halved the number of quality problems reported by customers, and further improved an already good delivery record. A better way to work To boost production capacity without hiring more people or buying new machinery, Francesco Velluto and his management team changed the way the factory works. Before, the assembly work was done at a series of work centres, he says. Now we have moved to a ow production system, where each employee is responsible for producing his or her own subassembly just when its needed. Everything has to run like clockwork The new way of working has cut by nearly 80 per cent the number of hours a nacelle takes to pass through the factory. It has also consider ably reduced the total number of personhours needed to assemble each nacelle, and as every one gained experience with the new way of working, this gure fell by a further 12 per cent during 2006. One risk in reducing the time we spend producing a nacelle is that quality could suffer, says Francesco Velluto, but in fact we have been able to increase quality. In 2006 we saw a reduction of more than 50 per cent in the number of faults reported by our customers. The improvement in quality, Francesco Vel luto says, comes from giving employees more responsibility for their own activities at every step. Quality used to be much more centralised something that was dealt with at the end, he explains. Now people have a personal respon sibility to get it right rst time. Personal responsibility, dialogue and involve ment have also been key to all the other positive changes at Taranto, he continues Continuous talking with the employees, a daily management presence on the shop oor, frequent feedback, sharing targets among both management and production employees it all helps to improve teamwork. Our employees thinking has changed from I work for Vestas to Vestas is my factory, Francesco Velluto says. For every task, the question is now what will serve Vestas best. All this has helped us create a site with some of the best employee loyalty gures within Vestas we have the kind of teamwork that makes The Will to Win a reality see box. Thinking locally Another key to the success of the new system is the use of local suppliers. This has cut delivery times for parts, and allowed the factory to reduce the value of its warehouse inventory by more than half. Without local suppliers, it would not have been possible to increase production so dramatically without a corresponding increase in warehouse space and employee numbers. Originally, all of the 2, 000odd components that make up each nacelle were imported from Denmark, but at the beginning of 2006 the factory started to source many items locally. The port of Taranto has a long tradition of industry, and is home to Europes largest steel plant as well as many engineering companies who were happy to supply Vestas. We now get almost everything except the gearbox, generator and control systems from Italian companies, many of them in Taranto, says Francesco Velluto. Every item comes from the best supplier available, so we have around 200 suppliers altogether. Of course the value of these local compon ents is comparatively low, he continues, but in terms of numbers they make up at least 80 per cent of our inventory, and thats important because it has given us the exibility we needed to increase production. Making sure that all the components arrive in the right places at the right times has been challenging, and we have added one person to the purchasing and planning department to 542007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=55http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=55The impressive performance at Vestas Nacelles Taranto factory would not have been possible without commitment from everyone on the site. Heres what employees have to say about the Taranto culture Luciano Scarati, nal test area Weve shown that we can deliver high reliability. Now we can use this as a base for more ambitious goals. Marcello De Pasquale, preassembly worker and union repre sentative Dialogue and human relations have been the keys to these achievements. Everything we have done ts with Vestas ethics. By sharing targets with all the employees, management has made everyone feel like a protagonist. Thats the way to cre ate a One Vestas winning team Paolo Restano, shipments When the company reaches its goals, that gives me personal satisfaction. Giovanni Basile, team leader, nal test area At Taranto we are one team, and the aim of a team is to win. Weve done that, and we want to do it again. Santo Mandrillo, production manager We have applied The Will to Win in our daily tasks and we have been winning Giuseppe Pascadopoli, manager responsible for quality, safety, environmental performance and production engineering Our mission statement says that failure is not an option. By reducing nonconformities by 57 per cent in the last year, weve demon strated that. Comments from the sharp end cope with the extra work, Francesco Velluto says. The logistics department receives the incoming components and makes up kits for each working area so that everyone has exactly the parts they need. Good for customers The increase in production has certainly been good news for Vestas, but customers too have bene ted from better product quality and even more reliable deliveries. In the past, the factory had a good record of meeting promised delivery times, Francesco Velluto explains, but this depended on keeping a large inventory. Now, thanks to the shorter production time and more exible supply of components, they can meet the same delivery times with a much smaller inventory, and lower costs to match. As shipments coordinator Daniela Pichierri puts it In 2006 we shipped a lot of items all around the world, without receiving a single notice that the product did not conform to speci cation. We have delivered what we promised our customers, and thats the Vestas way. At Taranto, vision, good management and teamwork have combined to create a factory that Vestas can be proud of. 552007-05-14T16:10:27+02:00http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=56http://nozebra.ipapercms.dk/Vestas/VestasWind/UK/UK807/?Page=56Vestas Contacts Vestas Northern Europe 45 97 30 00 00 Sales and service in the UK, Ireland, Scandinavia, Poland and the Baltic area. Vestas Central Europe 49 4841 9710 Sales and service in Germany, Austria, Benelux, Russia and Eastern Europe. Vestas Mediterranean 34 902 41 98 00 Sales and service in the countries of the Mediterranean region, the Middle East, Latin America, the Caribbean, and North and West Africa. Vestas Asia Paci c 65 6303 6500 Sales and service in Australia, New Zealand, China, Japan, India and the rest of Asia. Vestas Americas 1 503 327 2000 Sales and service in North America. Vestas Offshore 45 97 30 00 00 Sales and service, offshore. For more information about Vestas sales and service units, go to www. vestas. com and click on Find your local Vestas of ce. Vestas Wind Systems AS Alsvej 21 DK8900 Randers Denmark Tel. 45 97 30 00 00 Fax 45 97 30 00 01 vestasvestas. com www. vestas. com EDITORS Peter Wenzel Kruse Editor in Chief and Hanne Poder Sørensen. TEXT Klaus Bundgård, Charles Butcher, and Peter Gisselmann Rasmussen. UK Wind WIND, OIL AND GAS2007-05-14T16:10:27+02:00