Knut Heiberg-Andersen

Supply chain challenges continue….. Key Scandinavian builders are severely affected

Like the rest of our industry, It should not come as a surprise to anyone that also Scandinavian builders continue to be challenged by bottlenecks in the supply chain.

Whether building in their home country or having their production bases in Poland or Lithuania, the challenges remain and some of them are having a severe effect on timely production, deliveries to end clients and consequently to their bottom line.

The two most known Swedish builders are faced with increasing shortages in the engine supply and current imbalances between supply and demand have put tremendous price pressure on commodities and components in the supply chains on top of it all. For some builders, engines ordered in late 2020 have not yet been delivered making it close to impossible to plan and as one of the results; -putting their financial position at risk.

The backlog of engine orders is not improving, as promised. Consequently, there is a great concern amongst them all when this is going to turn around for the better as darker clouds are emerging over some market segments.

The softening of markets seems to be on everyone’s agenda and fuel prices alone are the direct reason for lower use of newly delivered boats and new boat sales in the lower segments. This is a common observation in all of Scandinavia.

Two builders we communicate with regularly, expect a plus 30 % drop in sales ( and production) in the coming 12 months period. These are dramatic figures for the industry but most of all for the builders who on top of it are battling tough bottlenecks in the supply chain, increased direct material prices, and higher absence due to new variants of covid.

Is it all going the wrong way? Absolutely not; – there is a strong undercurrent of interest and demand for boats and boating however the economies, inflation, energy prices, the pandemic, and the Ukrainian war have all unpredictable outcomes that need positive outcomes.

Norwegian Council for Sea Rescue – Zero-Vision Plan | Knut Heiberg Andersen, GMBA – Norway

History shows that Norwegians have enjoyed boating and ocean crossing voyages.

We started in the late 7- and early 8-hundred and the Vikings quickly got the knack of plundering, pillaging and indecent behavior. Masters of the seas they were and also known to take pleasure in racing over longer distances.

Pleasure boating of the time.

This is a proud period of the Norwegian history; however, neither the English, the Scots and nor the Irish welcomed our merciless visits.

Those were the days!

Today Norway consists of approx. 5 million less violent individuals enjoying a total fleet of close to one (1) million pleasure boats.
From the days when we had to take long voyages for gold, silver and valuables, Norway struck “black gold”, just outside the coast in the late 60-ties and since then our country has been on an incredible financial voyage.

The population of pleasure crafts in Norway reflects our natural love for the sea, but also reflects the natural beauty of our long coastline and deep fjords. Pleasure boating opportunities seem unlimited.

The small-craft fleet has grown steadily from the 60-ties until today and 2021 is expected to reach all time-high in new boat sales
Driven by corona restrictions, a strong economy, and easy access to the sea, the boating community is still growing. Current boat owners upgrade their old boat, but there is also a new generation of boaters emerging. This is excellent news; – this is also needed; – and very much welcomed.

Despite the fact that all boaters should have a license for their boat, it cannot be avoided that new, inexperienced boat owners need guidance and time to learn boat handling and boat culture before they, and we, are safe and comfortable. Reckless driving can be as fatal at sea as it is on land.

In 1988 there were more than 2.9 mill. motor vehicles on the Norwegian roads and that year we had more than 370 fatal road accidents. In the years that followed , road deaths sadly reached similar levels.

In 2002 the Norwegian Council of Road Safety announced their Zero-Vision Action Plan.

They committed themselves to implement measures and work toward a vision of zero deaths on Norwegian roads.
In 2020 there were more than 5.7 mill. vehicles on the Norwegian roads and the number of fatal accidents had for the first time fallen below 100 and 13 less than the year before.
A similar Zero-Vision Plan has been announced by the Norwegian Society for Sea Rescue and NSSR has engaged our former Minister of Finance, Ms. Siv Jensen to manage and run this ambitious program.
Very many are happy to see that NSSR has selected a highly qualified and powerful person with passion and love for the sea and safe boating.

NSSR is in itself a well-organized entity and with the background, qualifications and ambitions of Ms. Siv Jensen they are adding a new dimension to their team and ensures confidence in their Zero-Vision Plan.

Of the 88 people drowned in Norway in 2020, 20 were connected to pleasure boating.
This is 20 too many and with a new generation of boaters coming on the water, it is our obligation to ensure that they are all safe, comfortable and remain strong ambassadors for our industry.

We can now watch adequate measures and actions being implemented and, as all lives matters, many of us have great expectations of the Zero-Vision Plan by NSSR.

As President Roosevelt once said; “… Look to Norway”

For further information
Knut Heiberg Andersen
Email: knut.heiberg-andersen@gmba.blue
Mobile: +47 900 61 175
Website: www.gmba.blue

Kindly note: Global Marine Business Advisors and its associated website www.mba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors.

Rising Stars of our Industry

It is fair to say that through the 90-ties and first two decades of the 2000, the boating industry was successfully driven by a mature and profiled group of strong individuals.

Professional men and women have, with skills and passion, built a sustainable industry and boating has never been more attractive to our time-squeezed generation.

Along with “Lifetime achievements, awards and appreciation to the generation of the 90-ties, the recruitment of young men and women to all key positions in our industry has been well handled.

When I came into this industry I was very quick to look for “role-models”. Those who pushed and made a real difference.
In today’s highly sophisticated and technologically advanced world, the competition to attract “the best in the class” is a challenge. Or is it? Let us use our experience and passion for the industry to always be on the outlook for young men or women, – those with this little extra and who are capable to develop our industry further.
I have already met some of these people, but one in particular stands out as a true rising star.

The young and ambitious Jack Fenlon (32) BEng Yacht & Powercraft Design, Naval Architecture and Marine Engineering is the man to watch.
Jack Fenlon happens to be the son of the person who took over my job as CEO of Windy Scandinavia AB , and I remember so well when his father, just after Jack had finished high school with honours, gave him a job in the GRP Shop to learn boat building inside out and from bottom up.
Hardworking like his father, Jack moved from the GRP floor over to the Assembly Team and soon became a junior boat builder on a large WINDY project.
We saw a bright, young man, with passion for boats, who wanted to learn much more and one day become something significant to our industry. This is now more than 14 years ago and we are super-impressed.

Today Jack Fenlon can look back at a following career:

Education:

Southampton Solent University (2009 – 2012)
BEng Yacht Powercraft Design.
Naval Architecture & Marine Eng.

Work Experience:

Windy Scandinavia – AB Junior Yacht Designer
Van Dutch Marine – Production Manager
Fairline Yachts – Project Manager
Palmer Johnson Yachts – Project Manager
Gulf Craft – Dubai Manager

From each and every of his superiors he has been praised and admired for his excellence and I was particularly pleased when reading that Jack was selected for the Rising Star Award at METS 2020.

Fascinated by his solid background and personal motivation, I asked Jack the following questions;

At what age and stage in your early life did you stake out your direction towards boat design, engineering and the marine industry?

Thank you for your kind words and congratulations on your lifetime achievement award, thoroughly deserved. When I joined Windy 14 years ago, I was not entirely sure which direction my life and career would take me, equally, I am always looking for the next challenge and I am always looking to learn. I relish working together with people who are passionate about what their job and to learn from them; so, starting out at Windy Boats, along with great mentors like yourself and my father, gave me the opportunity to do just that and push me forwards to forge a career in the boat industry.

My passion for this industry was like love at first sight. When I found out that Southampton Solent University had a course specialized in Yacht Design and Naval architecture, well, my path was set and I felt it was a natural progression to follow from working on the shop floor.

How important to your young success do you think the early days on the shop floor are and what impact do they have on you work today?

Invaluable. The backbone of our industry is the boat builders and they are true artisans. Although we are we are moving towards the digital and automation, boats will always be bespoke and hand crafted, this is just in the nature of the industry as we are building peoples dreams with skill at it’s foundation.

I still find myself often discussing and picking the brains of the team on shop floor on how we should get past challenges, solve problems, and build more efficiently.

Considering your age Jack, you have worked on a number of significant projects in different companies and cultures; – some of which only the very few can dream of coming across throughout a working life. Is there one job or project in particular which stands out as being the most rewarding for you and why?

Agreed, I have been fortunate over the years to work at many great shipyards with great people and all the projects have been memorable to me in in their own ways.

A particular project which was extremely rewarding for me personally it would have been the Fairline 63 GTO. Having joined Fairline shortly after their re-launch, the Fairline 63 GTO was their statement to the world that this prestigious brand was once again back on the market.

The project was a challenge to say the least, but throughout I was able to witness a shipyard pull together and create a beautiful yacht. The pride and joy to see such a project come to fruition and then to be crowned the winner of the 2017 World Yacht Trophies was fantastic and we felt a great sense of achievement for all involved.

You belong to a new generation which focuses more and more on green footprints , environment and sustainability. What impact do you think this is going to have on the boat industry in the years to come?

I think it is incredibly important development for all of us. Yachting at its core is about being outside in the ocean, in the nature. It is vital for our planet and industry to preserve the areas where yachts are used, we must continue to work towards this.

I believe that with development of electric motors and battery technology this is big step in the right direction and electric boats are here to stay. The big game changer will be the development of more energy dense batteries of the next years then we will see more electric boats come to market.

You are now entering a bigger job with one of the most prestigious names in the industry.
Where do you see yourself in 5 year.
And 10 years from now?

I look forward to my new role, it will be a great opportunity for me to share what I have learned in the industry thus far. I hope I will be able to make an impact on this industry as you have, Knut. I hope I can contribute to driving forward positive change and collaborate with the next generation of young professionals in our industry to make a more sustainable future long term.

What is your recommendation to the mature generation of our industry with regards to attracting and welcoming highly qualified and passionate women and men to our industry?

In this digital age we are now connected more than ever, with information readily accessible at our fingertips. We are also more aware of the environmental challenges that face this planet. Young professionals entering the industry are keen to have a job that is not only rewarding but also contributes to a better and more sustainable future.

My advice would be to allow young professionals to develop and work towards those goals and embrace new technologies, new ideas under the guidance of the mature generation.

For further information
Knut Heiberg Andersen
Email: knut.heiberg-andersen@gmba.blue
Mobile: +47 900 61 175
Website: www.gmba.blue

Kindly note: Global Marine Business Advisors and its associated website www.mba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors.

Knut Heiberg-Andersen

NORWAY

Experience

As a young International Management Trainee in a large cement and building material conglomerate, Knut was invited to manage one of their subsidiaries, FJORD PLAST AS, which at the time was one of the largest boat industries in Europe.

Little did Knut know that this would be his lifetime engagement and passion.

After running their operations in the Philippines for a number of years, Knut moved on to become the Managing Director of the Fjord Company and on behalf of Norcem AS, sold it to an outside group.

Eight years later a close friend asked Knut to help with WINDY & DRACO, a project estimated to take 2- 3 years to complete. This “project” has lasted since 1990 and the name of WINDY is today synonymous with the very best of Scandinavian quality.

Knut steered WINDY Through exciting and challenging times with a team of the most competent and passionate co-workers and has left a legacy of respect for conduct and “inside-out-quality” which only the few have had the pleasure of experiencing. Over the years Knut offered his time and services to national marine associations as well as contributing to the European marine organization we have today.

Over the years Knut has offered his time and services to national marine associations as well as contributing to the European marine organization we have today.

After 29 years at the helm of WINDY BOATS AS, Knut is now overseeing the development of his life-long passion, WINDY, as Chairman and Mentor.