Continual Excellence
SMA has been the global leader in inverters for years now but new technologies and a growing number of players has changed the dynamics of the global inverter industry. To maintain its leadership position the company has continued developing new technologies and approaches to meet its continuous improvement goals.
Inverter specialist company SMA began in Germany in 1981 at a time when solar was only a kernel of an idea in the German energy industry. Since then the company has developed alongside the growing PV industry and became the number one source of inverters, firstly for Germany and then the world.
For a time there was little difference between the global and German markets and SMA grew along with its home country and then alongside new markets as they developed around the globe. In those early days of expansion, everyone would come to Germany for advice so SMA was in the prime position for the inverter side.
The growth of Asian manufacturing and markets should have been another prime opportunity for European solar players but the Chinese ability to develop its own manufacturing value chain occurred quicker than anticipated and many companies found themselves on the back foot. Markets grew rapidly in Asia and the burgeoning Chinese market began to eat into the share of the market.
Despite the changing market conditions, the company maintained its number one position in global inverter sales and made no effort to hide the changing fortunes with Chief Executive Officer Pierre-Pascal Urbon commenting, "For the first time in the company's history, we had to post a high annual net loss due to the dramatic decline in the European market. Despite this difficult situation, the SMA Managing Board has not reduced investments in technology development."
Maintaining innovation has been a key factor in SMA's continued success with more than EUR100 million spent on development of future products. The company was also quick to take stock of the changing Asian market place and announced the acquisition of the Chinese inverter manufacturer Zeversolar. And the company also announced a new partnership with Danfoss providing a number of strategic developments.
"Thanks to our strategic alliance with Danfoss, SMA will significantly improve its competitiveness in the medium term and maintain leadership in the long term" said Jan Van Laethem, Regional Manager for SMA Western Europe."
Local variations
As SMA has grown it has set up a local version of the company and believes it enables them to better serve the local market. So in the UK the SMA inverter needs are met by SMA UK and they conduct their own standards and process to better align with the local market. The parent company recently announced a zero carbon manufacturing unit and SMA UK appointed independent verifier CICS to assess the carbon footprint of the company's manufacturing facility in Germany.
The audit concluded that the factory produces zero carbon emissions thanks to a combination of energy efficiency measures and renewable energy sources. Providing that local assurance is a good example of the company ethics.
Inverters are truly at the heart of every PV plant and technologically speaking, the inverter is the most important component of a PV plant. It converts the direct current generated in the photovoltaic cells into alternating current compliant with the grid requirements. Or for self-consumption or feed-in to the power distribution grid. SMA allows the local company to determine the local needs and products. This ensures that SMA is not forcing solutions from other markets but actively looking at the local needs. Another good example of local interaction is the recent announcement that Sunny Boy Smart Energy integrated battery inverter is now available in the UK. This product is already a best seller for the company in other parts of the world but the local company chooses the introduction and approach for the local market.
"The Sunny Boy Smart Energy fits UK's emerging residential storage requirements ideally. It provides a sensible way to increase self-consumption, whilst it makes it easy to use self-produced solar power after the sun goes down," said Van Laethem.
SMA UK has also responded to the growing large scale PV market with system developers and investors needing to complete their PV projects before the subsidy changes in April 2015. They have developed a system solution package tailored to meet requirements in the UK market. "With our complete package, covering everything from the String-Combiner to the grid connection, we want to ensure that our customers in UK can implement their photovoltaic projects quicker and without any complications. In addition to expanding our system solution to include the grid transformer station, we are also shortening delivery times and supporting project developers and investors with technical advice and a full range of services," said Boris Wolff, Executive Vice President of the Utility Business Unit at SMA.
According to Wolff, SMA plans to add the grid transformer station to the system solution and launch it in additional markets over the medium term.
Developing excellence
SMA does not just enter a market but involves itself in that local market. SMA UK recently teamed up with British Photovoltaic Association (BPVA) to launch the first children's PV book in the UK. The book brought alive SMA's very own character, Smork, to engage children aged 5-10 years old and communicate the importance of using renewable energy sources such as solar energy and the impact that it will have on the environment. This level of local interaction is important to SMA as is developing a local network of approved installers, suppliers and distributers. As the world leader in solar inverter technology and manufacturing, SMA is focused on innovation, education and community.
Staying informed is critical for solar professionals in a constantly evolving and highly competitive industry. With this in mind, SMA Solar UK launched the SMA ADVANCE Installer Program for PV installers in the UK. The SMA ADVANCE Installer scheme aims to deliver a trained, qualified and competent installer network to the householder and consumer. This free program has been specifically designed to provide unparalleled access to information and resources to installers. PV Installers who have already completed a series of mandatory SMA training modules, can begin the SMA ADVANCE installer qualification process after completing the new SMA ADVANCE training module which includes deeper technical product know-how as well as and system troubleshooting and maintenance issues.
On completion of the SMA ADVANCE module, installers are then required to undergo an Evaluation, Knowledge and Skills process to ensure that technical knowledge and competence has been achieved. The final stage is to check MCS registration validation and references before they are qualified as members of the SMA ADVANCE Installer Program.
This level of training and education provides one of the highest rated company processes for consumer benefit. It also provides SMA with a greater level of visibility than most balance of system companies. SMA do not stop with providing detail and information for installers but have also enabled a consumer portal, www.lifeshinesbrighter.com, that features an SMA ADVANCE Installer area with a post code search engine, where the consumer can choose an SMA approved installer, safe in the knowledge that they have the competency, training and installation skills required to install SMA inverters.
In this regard, SMA Solar UK will facilitate UK consumer contact to SMA Advance Installers directly to discuss and quote for end-users' SMA PV installation requirements.
"With many other installer schemes competing against each other," Van Laethem added. "We realized the consumer needed accreditation and endorsement from the manufacturer."
Public perception
With house-holder perception of PV ever changing, consumers are now more aware of PV and the benefits it can bring, SMA has also developed a series of easy to understand videos that explain PV systems and inverters in less than two minutes. Using a series of clear resources and tools, the aim is to raise public awareness of the importance of solar PV technology and the role of quality and reliability when choosing an inverter and PV system. When it comes to solar energy, most householders focus their attention on choosing the panels, however, it is the quality and efficiency of the inverter that determines how much energy is produced. So whether householders are looking to mitigate the impact of climate change or reduce the cost of their energy bills, choosing the right inverter is crucial for a reliable high performing system.
SMA UK has continued the lead set by the global parent company in identifying local needs and ensuring that not only the right product is available for the local market but that the right educational programmes are in place to enable informed choices by the local consumer market. SMA offers system solutions for all markets, module types and power classes. None of their competitors has an innovation rate that rivals SMA and the strong sales and service structure is well positioned to take advantage of the opportunities presented by a globally growing PV market to the best possible advantage.
