French multinational Schneider Electric Kenya says it has completed a plan to handover the operations of its manufacturing and assembly plant to one of its key partners ACTOM Kenya limited.
The manufacturing and assembly forms about 7 per cent of the company’s total business, employees attached to the section which is being offloaded by start of next month will be hopeful for a possible consideration by ACTOM Kenya.
“Nearly one third of our work force will be affected by the new deal between us and ACTOM, the affected staff will transition,” said Carol Koech, Country President, East Africa Schneider Electric.
With the takeover of the production of Schneider’s BlokSeT type tested switchboards, Schneider Electric will still retain ACTOM as one of its clients.
“This agreement will see Schneider Electric Kenya transfer its manufacturing operations, assets, and people who currently operate the manufacturing and assembly plant to ACTOM. It will also entail the company’s assembly and manufacturing plant employees continuing with their professional journeys with ACTOM,” she said.
ACTOM is a manufacturer, solution provider, repairer, maintainer, and distributor of electro-mechanical equipment in Africa. The firm offers a combination of manufacturing, service, repairs, maintenance, projects and distribution through its 33 outlets throughout Sub-Saharan Africa and footprint across the globe.
Following this transition, ACTOM Kenya becomes the partner licensed by Schneider Electric to manufacture BlokSeT type tested switchboards for East Africa.
Koech added that the company will continue its operations in East Africa and remains committed to growing its activities in the East African business.
“Moving the manufacturing and assembly operations to ACTOM is indicative of the focus on positioning the company with key technology partners who undoubtedly strengthens our strategic ambition to prioritise our digital offerings, software and services to in turn enhance our service level to our loyal customers.”