In seeking to supply spare parts, MAN B&W is in competition with its own licencees as well as others.
1.5 Investment Policy
During 1998/99 MAN B&W Diesel Group invested DM 68 million (Yen 3,332 million).
Capital expenditure was concentrated mainly on equipment and plant designed to improve the efficiency of production of engines and turbochargers. This was reflected in higher levels of investment in complete machining facilities at all production locations.
There has also been significant investment in IT systems and computer-controlled machinery. This has included upgrades to computers that drive the three-dimensional computer aided design (CAD) systems used in design departments, infinite element method computations, in planning installations and in casting process simulations. An intranet system has also been established in order to network workstation computers.
At the Holeby works in Denmark work commenced on modernising testbench facilities. The new equipment offers the facility to test gensets with high-voltage generators and to test gensets in parallel.
In addition high-bay storage facilities (which facilitate easier access for vehicles transporting engines) at Augsburg and St. Nazaire have been renovated and a new fully automated high-bay storage system has been commissioned in Copenhagen.
1.6 Market Development
The Group has been moving into the supply of complete systems for marine propulsion, looking to offer propellers, reduction gear units, couplings, control equipment etc. rather than just engines.
The company has recently launched new two-stroke engines of the S-MC-C series and the new four-stroke L27/38. The former was developed in response to demands for greater propulsive power from fast vessels whilst maintaining levels of reliability. The first of these new engines, a 6S90MC-C was built by MAN B&W's licencee Hyundai Heavy Industries (HHI) in Korea and delivered in January 2000. It was used in a VLCC commissioned by a Greek shipowner. Since then another HHI built S90MC-C engine has gone into service in a VLCC, and 15 more such engines are on order. Testing of the first engine in MAN B&W's largest bore engine type to date, the 7 cylinder K98MC, was successfully completed in July 1999 at Hyundai's works in Korea.
