Dematic
{{Short description|American supplier}}
{{Infobox company
| name = Dematic
| logo = Dematic logo.svg
| area_served = Worldwide
| key_people = Michael Larsson (President, KION Executive Board Member)
| industry = Material handling, Logistics automation, Software
| num_employees = more than 10,000 worldwide
| location = Atlanta, Georgia United States
| homepage =
}}
Dematic is an American supplier of materials handling systems, software and services. With a growth rate of 21.2% in 2021 Dematic was listed as the world's second-largest materials handling systems supplier with a revenue of 3.2 billion USD.{{Cite web|url=https://www.mmh.com/article/top_20_systems_suppliers_2021|title=Top 20 systems suppliers, 2021|website=www.mmh.com|access-date=2021-04-12}} The company employs over 10,000 people and has engineering centres and manufacturing facilities in the United States, Germany, United Kingdom, Mexico, Australia, Belgium, China, Italy, Spain, France, Lithuania and Czech Republic. Its customer base includes small, medium and large companies in several other countries across six continents.
Since November 2016 Dematic has been a member of KION Group.{{Cite web|url=http://www.logisticsmgmt.com/article/kion_completes_its_acquisition_of_dematic|title=KION completes its acquisition of Dematic|website=www.logisticsmgmt.com|access-date=2017-04-12}} Dematic's headquarters are located in Atlanta, Georgia.
History
Dematic began in 1819 in Wetter, Germany with the founding of Mechanische Werkstätten Harkort & Co, which was incorporated into Deutsche Maschinenbau-Aktiengesellschaft (Demag) in 1910, then acquired by Mannesmann in 1973. After the acquisition of U.S. Rapistan (specialised in conveyor systems), Mannesmann Demag Fördertechnik AG was established in 1992. In 1993, Australian racking and shelving manufacturer Colby was added, and in 1997 the company was renamed to Mannesmann Dematic AG. Four years later, Siemens bought the company{{Cite web|url=http://europa.eu/rapid/press-release_IP-00-955_en.htm|title=Commission gives Siemens conditional go-ahead to take control of Mannesmann subsidiaries Dematic, VDO and Sachs.|date=29 August 2000|publisher=European Union|access-date=2017-04-11}} and merged it with its own logistics activities to form Siemens Dematic AG. In 2006 Siemens carved out the industrial and distribution logistics portion as Dematic GmbH & Co. KG. In the same year, the investment firm Triton acquired the majority of shares.{{Cite web|url=http://www.siemens.com/press/en/pr_cc/2006/06_jun/dem060616_1385408.htm|title=Triton takes over Dematic|date=June 14, 2006|publisher=Siemens AG, Official Press Release|access-date=2017-04-11}}
On December 28, 2012, AEA Investors LP ("AEA") and Teachers' Private Capital ("TPC"), the private investment division of the Ontario Teachers’ Pension Plan, completed their acquisition of Dematic from private equity firm Triton.{{Cite web|url=http://www.dgap.de/dgap/News/dgap_media/triton-sells-dematic-private-equity-investor-aea-investors-and-ontario-teachers-pension-plan/?newsID=739415|title=Triton sells Dematic to private equity investor AEA Investors and Ontario Teachers' Pension Plan|date=November 2012|publisher=DGAP-Media|access-date=2017-04-11}}
In February 2016, Dematic announced the relocation of its manufacturing operations in Grand Rapids to its facility in Monterrey, Mexico. {{cite web | url=https://www.wzzm13.com/article/news/local/grand-rapids-central/dematic-moves-forward-with-relocation-from-grand-rapids-to-mexico/69-30246481 | title=Dematic moves forward with relocation from Grand Rapids to Mexico | date=2 February 2016 }}
In June 2016, KION Group agreed to buy Dematic for about $2.1 billion.{{Cite web|url=http://www.newequipment.com/Main/topstories/Kion-Gets-Warehouse-Robotics-With-21-Billion-Demat-1467.aspx|title=Kion Gets Warehouse Robotics With $2.1 Billion Dematic Deal|date=2016-06-21|publisher=New Equipment Digest|access-date=2017-04-11}} In November 2016, KION Group completed the acquisition.{{Cite web |title=Kion completes Dematic acquisition {{!}} 2016-11-02 {{!}} DC Velocity |url=https://www.dcvelocity.com/articles/28313-kion-completes-dematic-acquisition |access-date=2024-07-02 |website=www.dcvelocity.com |language=en}}
On March 13, 2017, Dematic announced the integration of Egemin Automation to create the world's leading provider of automated guided vehicle technology.{{Cite web|url=http://www.dematic.com/en/news-and-downloads/news-and-events/press-releases/2017/2017/03/10/18/45/2017-03-13-dematic-completes-egemin-integration/|title=Dematic completes Egemin Integration|website=www.dematic.com|language=en|access-date=2017-04-11|archive-date=2017-04-12|archive-url=https://web.archive.org/web/20170412061850/http://www.dematic.com/en/news-and-downloads/news-and-events/press-releases/2017/2017/03/10/18/45/2017-03-13-dematic-completes-egemin-integration/|url-status=dead}}
In January 2024, Michael Larsson was announced as President of Dematic after former President, Hasan Dandashly, retired.{{Cite web |last=Staff |first=M. D. M. |date=2024-01-11 |title=Dematic Appoints New President |url=https://www.mdm.com/news/operations/staffing-changes/dematic-appoints-new-president/ |access-date=2024-07-02 |website=Modern Distribution Management |language=en-US}}
In April 2024, Dematic expanded its operations in North Asia with a new office in Taoyuan City, Taiwan, to better serve industries such as retail, e-commerce, and logistics.{{Cite web|lang=en|url=https://www.dematic.com/en-us/newsroom/press-releases/2024/dematic-strengthens-presence-in-taiwan-with-new-office-opening/|title=Dematic Strengthens Presence in Taiwan with New Office Opening|website=Dematic|access-date=2025-02-04}}
In December 2024, Dematic opened a new office in Riyadh, Saudi Arabia, to enhance service capabilities in the Middle East.{{Cite web|lang=en|url=https://www.dematic.com/en-us/newsroom/press-releases/2024/dematic-opens-office-in-saudi-arabia/|title=Dematic Opens Office in Saudi Arabia|website=Dematic|access-date=2025-02-04}}
Acquisitions
On September 15, 2010, Dematic Group successfully completed the acquisition of HK Systems, a North American automated material handling and software provider.{{Cite web |date=2010-09-16 |title=Dematic Group Completes Acquisition of HK Systems - CBS Detroit |url=https://www.cbsnews.com/detroit/news/dematic-group-completes-acquisition-of-hk-systems/ |access-date=2024-07-02 |website=www.cbsnews.com |language=en-US}} The expanded manufacturing footprint allows Dematic to manufacture within the USA storage and retrieval machines and automated guided vehicles in addition to conveyor, sortation and order fulfillment technology.
In January 2015, Dematic acquired SDI Group Europe, a supplier of garment on hanger and flat sorter technology in Europe.{{Cite web |last=Beitch |first=Shara |date=2015-01-26 |title=Dematic Group Acquires SDI Group Europe to Expand and Enhance Offerings |url=https://sourcingjournal.com/topics/business-news/dematic-group-acquires-sdi-group-europe-expand-enhance-offerings-sb-23183/ |access-date=2024-03-12 |website=Sourcing Journal |language=en-US}}
In November 2015, Dematic acquired Reddwerks Corp. pending approval of the shareholders.{{Cite web |title=Dematic acquires Reddwerks to leap into WES software space {{!}} 2015-11-20 {{!}} DC Velocity |url=https://www.dcvelocity.com/articles/27648-dematic-acquires-reddwerks-to-leap-into-wes-software-space |access-date=2024-03-12 |website=www.dcvelocity.com |language=en}} The acquisition became final in December 2015.{{Cite web |last=Trebilcock |first=Bob |title=Behind the Dematic Acquisition of Reddwerks |url=https://www.mmh.com/article/behind_the_dematic_acquisition_of_reddwerks |access-date=2024-03-12 |website=Modern Materials Handling |language=en}}
In March 2016, Dematic acquired NDC Automation, a provider of automated guided vehicles and software.{{Cite web |last=Staff |first=FreightWaves |date=2019-03-02 |title=Dematic acquires Australian AGV manufacturer |url=https://www.freightwaves.com/news/dematic-acquires-australian-agv-manufacturer |access-date=2024-03-12 |website=FreightWaves |language=en-US}}
In March 2020, Dematic acquired Digital Applications International (DAI), a logistics software firm, for approximately $134 million.{{Cite web |title=Dematic acquires logistics automation software company – DC Velocity |url=https://www.dcvelocity.com/articles/20200303-dematic-acquires-logistics-automation-software-company/ |access-date=2020-03-04 |website=www.dcvelocity.com}}
Business segments
Primary markets for Dematic systems include e-Commerce, grocery food and beverage, general retail, wholesale, manufacturing, apparel, parcel, pharma/healthcare, third-party logistics (3PL), and document management (integrated or automated library systems{{Cite web|url=http://www.abc.net.au/radionational/programs/bydesign/robots-find-books-at-new-97-million-macquarie/2932344|title=Robots find books at new $97 million Macquarie University Library|website=Australian Broadcasting Corporation |date=24 August 2011|access-date=2017-04-11}}{{Cite web|url=http://mpegmedia.abc.net.au/rn/podcast/2011/08/bdn_20110824_1518.mp3|title=Podcast: Robots find books at new $97 million Macquarie University Library|date=24 August 2011|publisher=Australian Broadcasting Corporation's Radio National|access-date=2017-04-11}}).
Products and services
Dematic designs and manufactures individual products and material handling equipment such as automated storage and retrieval systems (AS/RS) and different types of conveyors, sortation systems and order picking systems.{{Cite web|url=http://www.cemanet.org/profile-dematic/|title=CEMA company profile of Dematic|publisher=Conveyor Equipment Manufacturers Association (CEMA)|access-date=2017-04-11}} Dematic also offers consultative, planning, and design services.{{Cite web|url=http://www.mhia.org/members/14632|title=MHIA membership profile of Dematic Corp.|publisher=Material Handling Industry Of America (MHIA)|access-date=2017-04-11}} In addition, the company provides software like warehouse management systems and systems that support material flow and paperless order picking operations. Dematic also offers customer services such as the technical operation of facilities and their maintenance, including complete enterprise asset management.{{Cite web|url=http://www.dematic.com/customer-services/ |title=Dematic Customer Services |publisher=Dematic Official Website |access-date=2013-01-07}}