Orgalime (derived originally from 'Organisme de Liaison des Industries Métalliques Européennes') is the European Engineering Industries Association, speaking for 38 trade federations representing some 130,000 companies in the mechanical, electrical, electronics and metalworking and metal articles industries of 23 European countries. The industry employs about 10.3 million people in Europe and not only represents some 28% of the output of manufactured products but also a third of the manufactured exports of the European Union.
Orgalime is the European federation representing the interests at the level of the EU institutions of the European mechanical, electrical, electronic and metal articles industries as a whole.
A Secretariat currently numbering 26 deals with the numerous policy issues that are of direct interest to our industry. Given that, in the European Commission alone, there are potentially 14 Directorates General to do business with, effective input from Orgalime can only be achieved with the committed support of specialists from members and European sector committees.
Orgalime's member federations directly or indirectly represent some 130,000 companies of an industry employing 10.3 million people. The companies which are overwhelmingly small and medium-sized enterprises cover a broad industry cross-section in terms of product, market segment and geographical spread.
Whilst a significant part of the output of the engineering industries is either capital goods or destined for B-2-B transactions, there is also a large consumer goods output, particularly in the electrical and electronic branch.
From 1 January 2013, Mr Sandro Bonomi, President of the Company - Enolgas Bonomi S.p.a. and of all companies under its control, and President of ANIMA (Federation of the Italian Associations of Mechanical and Engineering Industries) since 2008, became the President of Orgalime, replacing Mr Richard Dick of W Lucy and Co Ltd.
Clients include –
- suppliers: the energy and primary transformation industries;
- transport industry: the automotive, aeronautics, and rail equipment producers;
- all processing industries: the agroindustry and food industry in general, the chemical, petrochemical, and plastics industries; and
- consumers in the form of ICT products and household appliances.
The engineering industries are also suppliers of equipment and technology for the health, social and leisure sectors and for the area of the environment including water, wastewater and air treatment equipment essential to the creation and maintenance of a safe environment.
On the 22 January 2014, the European Commission issued its contribution to the 2014 European Council debate on industrial policy - ‘For a European Industrial Renaissance’ see Orgalime's response. This is the latest follow-up to the European Commission's industrial policy flagship of 2010, which laid out a strategy for sustainable growth, competitiveness and job creation in the context of Europe 2020. The 2012 review of the industrial policy communication was adopted by the Commission in October 2012.
Frequent policy changes, the tendency at a national level to gold plate EU legislation and at EU level to review legislation often on a 5 year basis (generally leading to a revision) means that in the EU, there is a highly complex and unpredictable body of regulation which has become too unwieldy for companies and, in particular, SMEs (which account for over 90% of the companies represented by Orgalime) with their limited resources and their focus on their core business to manage, in particular when the investment horizon and also often the product life cycle for manufacturers in the capital goods industry is 10 years or more. The revision of existing legislation after short periods of time and the adoption of additional and sometimes even incoherent legislation is an avoidable burden for SMEs which undermines their global competitiveness. Example recent review of the RoHS directive.
Orgalime publishes information on regulations and legislation in the EU. It organises conferences and provides information for its members.
In 2008 the Electra report was launched. Its aim was to determine what conditions need to be met to ensure that the EU electrical engineering and electronics industry, one of Europe's leading manufacturing and export sectors with an output of some 320 billion euro and employing some 2.8 million people in 2006, should continue to grow, and at an even higher rate. The Electra report was cited in the conclusions of the Competitiveness Council in 2009, and the European Commission issued a Communication 'Electra'. On 24 April 2012, at the Hannover Messe, the European Commission was presented with 'The Smart World,' a follow-up to the original Electra report of June 2008.
The electrical engineering and electronics industry represented through Electra aims to –
a) briefly analyse the results of the first Electra report, looking at areas where progress has been achieved and those where more needs to be done;
b) outline the changes that have arisen following the 2008-2009 economic crash; and
c) re-examine the challenges at societal level that Europe faces today.
Over 26,000 downloads were made in the first six weeks of being on line more.
In July 2011, Orgalime issued a guide to the RoHS recast Directive. The legislation, which restricts the use of six hazardous substances in electrical and electronic equipment, such as TVs, laptops, washing machines, fridges and lighting equipment has now been extended to progressively phase in medical devices, monitoring and control equipment and other electrical and electronic equipment into the scope. To aid the industry, Orgalime has compiled a guide to the RoHS recast – available for download on its publications website. Indeed, many other publications are available (guides on WEEE, RoHS 1, REACH and Pressure Equipment) to help industry through the complex web of European legislation.
As part of its service, Orgalime publishes a range of standard conditions of contract for:
- the supply of mechanical, electrical and electronic products (S2012), released in its new format in March 2012;
- the supply and erection of mechanical, electrical and electronic products (SE01); and
- turnkey projects / EPC.
It also publishes contract supplements for computer software, specially designed components (design-build), series processing, supervision of erection, repair, maintenance and provision of technical personnel abroad.
The turn-key standard-contract is intended for industrial works. Unlike Anglo-Saxon contracts (e.g. FIDIC standard-contract), it follows a strict "two-parties" approach, without the concept of an engineer as a third party. It is intended as a balanced contract between contractor and purchaser.