Eucatex Uses Technology to Gain a Competitive Advantage

Eucatex is a Brazilian company that pioneered in the concern for environmental conservation. It was also the first Brazilian company in the construction and furniture industry to think about acoustic comfort and to use eucalyptus fiber as its raw material. Since its inception, the company has continued to manufacture its products using eucalyptus. Today Eucatex has more than 44,000 hectares of eucalyptus forests in Sao Paulo. The forests ensure that Eucatex is sustainable in the supply of its raw material.

Eucatex started operating way back in 1954 by producing soft boards and later started producing panels and ceiling tiles in its production facility. Shortly afterward, Eucatex started to manufacture paints that would be used only to coat its panels and ceiling tiles. After some few years, Eucatex increased its production capacity, making it possible to produce a complete line of paints and varnishes used for domestic purposes.

The company also started producing a huge variety of wood-related products such as MDP and MDF panels, hard boards, wall partitions, laminate floors and galvanized steel roofing sheets. With such a large collection, Eucatex needed a larger market hence resorted to export its products to several countries around the world like the United Kingdom, Holland, and Germany. It also opened representative offices in various regions such as the Caribbean, Europe, Far East and the United States.

Over the years, Eucatex has grown to be a market leader and a leading producer of wood-related products and galvanized steel roofing sheets. The Group is currently recognized as the second largest producer of wood fiber panels internationally, with a market share of 41%. The industrial expansion of the group has been attributed to its ultramodern facilities that enable the company to produce high-quality products.

Flavio Maluf, the chief executive officer and the president of Eucatex has played a significant role in making the Group a leader in the furniture and construction industry. Since he became president in 1997, Mr. Maluf has ensured the company stays up to date with the latest technology trends. This strategy has enabled Eucatex to stay competitive in the industry.

Mr. Maluf holds a degree in mechanical engineering from FAAP and another one in business administration from New York University. These two fields make us better understand his emphasis in incorporating technology in the company’s business model.