BLC Group Starts Production Supported by Artificial Intelligence
BLC Group, which carries out value-added production in fields such as textiles, food and composites based in Kahramanmaraş, contributes to the economy by exporting to the European market. BLC Group, which decided to produce its own energy needs, started to produce with the support of artificial intelligence for sustainable growth.
Şahin Balcıoğlu, Chairman of the Board of BLC Group; “This year, profit margins have dropped significantly due to global inflation and rising costs. We aim to achieve zero error target in production with machine learning and artificial intelligence. We will also meet our energy needs entirely from clean energy.”
Şahin Balcıoğlu pointed out that in Turkey, there is more byproduct or sub-contract manufacturing in the field of textiles and said, “In developed countries, technical products with high added value and branding, which we have always felt lacking, are at a high level. Branded companies can sell any product that normally brings a maximum of 30% profit at 300-400% more fees.”
“We Make Renewable Energy Investments”
Emphasizing that the biggest problem is lagging behind in value-added production, Balcıoğlu said: “We are a labor-intensive sector that gain from demand. Unfortunately, there are very few companies that are progressing the branding process in the right way. Over time, developing technology and increasing production capacities have brought competition to the forefront. This required making sacrifices in profit margins.
Şahin Balcıoğlu noted that the most important cost items of production are energy, raw materials and labor. Balcıoğlu gave the following information about the improvements they have made in these areas: “We are investing in machine learning, production optimization with artificial intelligence and renewable energy to meet our own energy needs. We have a serious technological transformation program. We also carry out R&D and P&D studies on wearable Technologies.
“We Should Focus on Sustainable Production”
Balcıoğlu shared his thoughts on how players in developed countries are affected by global inflation and purchasing trends: “Developed countries are experiencing a decline in profitability, but they are not affected as much as we are because their margins are higher than ours.
Turkish producers brush up against inflation, purchasing difficulties, shrinking market share, and volatile exchange rates. As long as these conditions continue, I do not think that the profitability of the sector in Turkey will increase for a while. The best course of action to follow is to focus on sustainable production, to produce correctly and efficiently, and to invest in technology and renewable energy. I think technical textiles with high added value are also a channel for profitable production. Stabilizing Turkey and making it safe for investments will be of great benefit for the economy.
