Oscar Scorza feels heir to his father, Luis, and his uncle, Aldo, although a decade ago decided to separate from the company created by them in Oncativo, Scorza.
Luis Scorza and his brother Aldo began in 1956 to manufacture equipment for the urban cleaning, marking several facts in this industry. They made the first national sweeper in 1966 and the largest export of the item, 120 trucks to Uruguay, in 1972.
The early deaths of his uncle Aldo (1973) and his father Luis (1975) left Oscar orphan at age of nine; from that moment, his personal life and the company were chained.
Fanatic of the iron (he was Formula 3 rider) and of the subjects of the hygiene and the garbage, Oscar decided to initiate his own project in 2003.
Today, Econovo's owner, a company that manufactures more than 20 compactor trucks per month and other urban sanitation equipment; Exports 20 percent of its production and now has projects in Venezuela and, from there, will launch into the Caribbean.
-"Why did you leave the company that your father created?"
As in every family business, there are family differences that are mixed with the business. I was always clear that when you have to make a change you do not have to wait too long; when it's time, you have to do it. I was at a fair age to start something, 36 years. The family had grown greatly for the offices there were; my kids were the youngest, so it was time.
- "What were you doing in Scorza?"
I was in the commercial department, I was touring the sector fairs in the world. I proposed two options, to buy the part of my sisters or to sell mine. The rest of my family made the decision to buy my share and so I broke up. It was a moment to start my project, because it was in 2002-2003, a time of crisis in Argentina.
-How did take this step?
"I was in Scorza from the age of 16, I started sweeping the place until I became a manager. I was a lion's head and I became a mouse tail (laughs). My idea was to create a small company, with no more than five employees, dedicate myself to repairing equipment and doing some services. At that time there were two big firms in the country, the two in Oncativo, Bicupiro (which closed) and Scorza, with more than half a century each. I was the third and in the same city. It was a tough competition.
When I left, my only capital was my contacts, the knowledge of the business and the passion for this business. My first disappointment was finding that those who had been my clients and my friends did not trust me anymore. They told me "you are not going to give me" or "but if you do not have a factory".
-And what did you tell them?"
I said: "And you travel by plane? Yes. And you have a plane? Do not". I had to prove that I was very efficient.
- When did you make your first sales jump?
"I started in March 2003. In July, I found a way to make a difference. I bought the representation of an American license, E-Z Pack, to import compactors, in which I could sell technology and knowledge”
- "And when did you start developing your own products?"
- Two years later, we developed a new sweeper that brought innovations to the market. The firm was born with an export perspective. First, I started placing E-Z Packs in Chile between 2003 and 2004. The first export to Bolivia was in 2005; when the customer came to know my company in Oncativo almost fainted, it was an office no bigger than a pantheon. But by that time I had given him half of the equipment, if I had come before, I do not know if he bought me….
-“Now there's room to greet people, I suppose ..."
- We set up the factory on the highway to Rosario for a productive necessity and image, which was presented in November last year. We also have a plant in Lanus, Buenos Aires, to serve customers and produce roll-off (self-loading) and metal containers.
Today, we make 20 monthly compactor trucks, which represent 50 percent of our business.
-How much export?
"Twenty percent of our production. After Bolivia, shipments began to Paraguay and Colombia.
-How is this business? Is it a stable market?
The market for truck compactors is very competitive by price. That is why we add other items, which have allowed us to grow. We are leaders in the sale of forestry machines, such as chippers. For this, we have to make the chip (wood chips) and we sold chippers to Ledesma. Same as the baler...
The garbage business is not only how to put it together but what is done later. We started looking for technology to wrap garbage and reduce size. As an environmental solution it is better to invest in baling than in recycling.
In Argentina, recycling recovers five to seven percent of the waste, no more.
When waste is separated at source (home, office or business), 15 percent can be recycled and, if we reach German efficiency, you would get 20 to 22 percent.
Meanwhile, people who pick up paperboard take the best, and left to recycle paper or dirty paperboard, which is not good
-"And what advantage does the baler have?"
With the baling, the volume of the trash is reduced in a ratio of six to one, and the juices are treated in order not to generate leachate (liquid of high level of pollution produced by the fermentation of the garbage).
Because of its environmental impact, burial with baling is better than burial with recycling; But the political impact of the latter is higher because it involves creating local labor.
- Do you put systems of baling?
Yes, in Calamuchita, destined to several communes. It has the capacity to process 150 tons per day. Before the end of the year, we will install four more in the country.
-How many urban centers use their equipment?
"We're all over the country. All Argentine tourist cities use our machines: Iguazú, Salta, Tierra del Fuego, Puerto Madryn, Bariloche, Trelew, and others.
-What is the cleanest Argentine city?
The least dirty (laughs). I think Mendoza, because of two factors: they help a lot the open ditches because people trash the sidewalks; But also for the education of Mendoza. In the world, the cleanest country is Germany.
-Is Argentina very far from the developed countries?
"Yes, but not for the technology, for the education of the people. Here complain that there are no paper mills in the sidewalks. There are cities in the United States where there are no paper bins anywhere because people throw papers at home. Fortunately, young people have a little more awareness on these issues.
- Did you think about participating in the collection of waste?
We have a division to provide services and advice, especially for the rental of trucks, delivery of equipment and handling costs.
We participated in the formation of Cotreco in Carlos Paz, but it was for a few months in 2004, to help a client to set up the service with his own equipment. But we don´t get into this because it is competing with our customers.
-Now you begin to work in Venezuela...
We have been exporting through a representative, but less and less, by the loss of competitiveness. Venezuela is a country that needs technology transfer and advice. There we are going to set up a factory.
-They follow Pauny's experience.
-Something similar, in the city of Valencia. We will send 700 compactor trucks in CKD (unarmed), which will be assembled in this plant called Econovo Venezuela. It will be a mixed company, the necessary investment there will be eight million dollars and will be made by the Venezuelan State; we put the knowhow. It is a key step in our business plan.
Because the idea is, from Venezuela, to advance in other markets in the region, such as Colombia or Ecuador. It will be in a year or four, it does not matter. It is easier to approach the Caribbean when it is done from there; In addition, the logistics costs are very high to do from Oncativo.
- Will you also attend to the collection?
"Yes, but on Isla Margarita." There we will set up a company called Sanear, which will do the complete environmental service with garbage collection, compaction and burial in the continent. We are going to take 15 Argentines to train people and we will set up a garbage packing plant with capacity for 700 tons per day. This project will involve a total investment of 46.5 million dollars.
-“Is that why will expand the plant?”
The idea is to achieve a model plant of urban hygiene equipment, and double the capacity we had. Ten million pesos were invested to adapt it to the Venezuelan project and reach 35 trucks per month. It will be model in amplitude and form of manufacture; it will have two robots to weld. Most important of all is that the average age of the campus is 35 years.
- When will the factory be ready? ...
"March next year. The plan also involves building automated and robotic compactors of the Italian brand AMS. First they will be imported unarmed to assemble them here and then only 30 percent will be brought, so that the rest is local content.
-"Trash is a business that has no end ...
The garbage business ends when there's a crisis. That is why we have two great divisions, one of production and another of services; when one falls, it is compensated with the other.
-How do you observe the future of this activity?
I make trips to all international exhibitions. In the United States, there have been no changes in service for 20 years. In Europe, there are changes, but they are not sustainable. The change will come from the garbage treatment side. Waste will remain waste; Recycle what can be reused; the rest must be treated as best as possible to reduce pollution.
-And burn the garbage to generate energy?
To make energy with garbage leaves 200 dollars the megawatt, the hydraulic power leaves 60 dollars the megawatt. Where there is no place to bury garbage, as in Germany, much is invested to compose it, treat it, recycle it and avoid the generation of garbage. In the United States, as in all other countries with large tracts of land, there are landfills next to the city and no one protests because they treat the waste, they take the gas to avoid odors and liquids so they do not pollute.
Name: Oscar Scorza.
Married to. Rosana Bigatton.
Children. Andrés and Giuliana.
Business. Oscar Scorza Equipos y Servicios SRL (Econovo).
Employees. 100 direct and 150 indirect.
Billing. $ 120 million.
A data. Produces 20 compactor trucks per month. With the new plant and plan in Venezuela, it will reach 35.
Likes. Hunting, fishing, motoring and boxing.
Source: The Voice