19 results found for "Business Segments"
1-19 results of 19
Note 1: Managing our sustainability agenda
Strategic focus Our sustainability agenda incorporates economic, environmental and social aspects across the value chain. The importance of sustainability to running our business is firmly integrated into the AkzoNobel strategy, both in the strategic focus areas and the core principles underlying our new company values (safety, integrity and sustainability). Sustainability helps us to enhance our existing business, create new business opportunities and minimize risks. In 2012, we developed a new focus to our sustainability strategy by reviewing our sustainability risks and opportunities against global trends – population growth and the new middle class, [...]
Relevance: 100%
External risks
[...] agile and competitive. We are also continuing with our performance improvement programs in the three Business Areas and began a structured program of commercial excellence to offset the effects of decreasing economic growth rates. External Strategic – Top five risk International operations We are a global business with operations in more than 80 countries. We are therefore exposed to a variety of risks, many of them beyond our control. Unfavorable political, social or economic developments and developments in laws, regulations and standards could adversely affect our business and results of operations. Our aspirations to fuel growth in high growth markets will [...]
Relevance: 90%
Strategic focus areas
We have identified five areas that we will focus on in terms of strategy development across the company. The following provides a brief description of what we have been doing and what we plan to do in each of them. Care for the customer The starting point for market success has to be care for our customers. This incorporates understanding both the trends in the end-user segments that we serve and those in the needs-based customer segments, as well as developing appropriate product and service value propositions to serve these segments. All of this will help to ensure that we are able to develop and/or maintain our leading market positions. However, if we are to [...]
Relevance: 76%
Note 1: Summary of significant accounting policies
[...] financial statements. Discontinued operations (Note 2) A discontinued operation is a component of our business that represents a separate major line of business or geographical area of operations that has been disposed of or is held for sale, or is a subsidiary acquired exclusively with a view to resale. Classification as a discontinued operation occurs upon disposal or when the operation meets the criteria to be classified as held for sale. When an operation is classified as a discontinued operation, the comparative statements of income and statement of cash flows are reclassified as if the operation had been discontinued from the start of the comparative period. [...]
Relevance: 76%
Market overview
End-user segment strategy context Performance coatings make up slightly more than half of the world market for paints and coatings. They are used in all four of our end-user segments, Buildings and Infrastructure, Transportation, Consumer Goods and Industrial. Most end-user segments have shown some recovery from the recession of 2008 to 2009, and their overall outlook is cautiously positive. However, there are two main areas of uncertainty. Firstly, although there is growing consensus that we are now reaching the bottom of the cycle in marine new building, the upturn has not yet occurred. Secondly, concerns remain about Buildings and Infrastructure and related [...]
Relevance: 71%
Strategic direction
The vision for our Performance Coatings business is to be the leading coatings company from a performance perspective. By 2015, our expected outcomes are to achieve a return on sales level of 12 percent and a return on investment of 25 percent. The actions that we are taking to deliver on these targets are: Drive overarching performance improvement initiatives Pursue differentiated growth strategies Deliver business-specific plans Drive overarching performance improvement initiatives We have defined improvement actions that apply to all parts of our business. These initiatives are instrumental to both revenue and cost improvement. The actions include: Continuously [...]
Relevance: 57%
Other indicators
[...] due to adverse currencies and overall flat volumes, but with continued variability between individual segments. Volumes were down at the start of the year compared with 2012 – reflecting the difficult trading conditions – but gradually improved It was a year of continued soft demand for Specialty Chemicals, with low activity being particularly evident in construction-related products, pulp bleaching and the plastics industries. In addition to the general slowdown in demand, we had new plant start-ups and extended maintenance stops earlier in the year, which impacted production temporarily Revenue in € millions Revenue development in % versus 2012 Divestments [...]
Relevance: 47%
Value chain
[...] across the value chain Value for society through the positive impact of our products in our end-user segments Value for our business by focusing on our end-user segments – delivering growth and profitability Key performance indicators – value chain Ambition Target Target 2010 2011 2012 2013 2013 2015 2020 1 2010-2012 restated due to KVC review. 2 Product related (raw materials and packaging). 3 Non-product related. Carbon footprint Carbon footprint cradle-to-grave per ton of product (% reduction from 2012) – – 0 2 – – 25-30 Carbon footprint cradle-to-gate per ton of product (% reduction from 2009)1 1 3 1 4 5 10 – Carbon footprint own operations (Mton [...]
Relevance: 33%
Note 6: Supply chain
Working with our suppliers in order to create a sustainable supply base and deliver customer benefits, as well as improving resource efficiency, is a fundamental requirement of our strategy. This means that we have to work together effectively. We have supplier management programs in place that support both performance improvement and opportunities for joint developments. We have identified two supplier segments for particular attention, based on the potential risks and opportunities. Critical suppliers are those in high growth countries where we want to build a long-term, mature supply base. Selection may be based on risks associated with labor conditions, [...]
Relevance: 28%
Supervisory Board Chairman's statement
[...] throughout 2013 and I do not expect an early improvement in the trends facing our end-user market segments. I am convinced, however, that our CEO Ton Büchner, together with his dedicated team, will be able to drive AkzoNobel through these difficult economic circumstances. The acceleration of the performance improvement program and the strategy announced in February 2013 are clearly the right focus for the company to have. With the additions of Conrad Keijzer, Ruud Joosten and Marten Booisma to the Executive Committee, we have a committed and enthusiastic team with excellent strategic knowledge and operational skills which will be of great benefit to the company as [...]
Relevance: 23%
Pulp and Performance Chemicals
Volumes for most product lines started slowly, but recovered substantially in all areas in the second half of the year The Bleaching Chemicals business saw somewhat lower volumes in North America, but this was offset by growing volumes in South America, while Europe was slightly higher than 2012 and Asia was stable Colloidal Silica continued its growth in high added value and differentiated segments, while Expancel, our expandable microspheres business, grew its revenue according to plan versus 2012. Paper Chemicals saw some volume pressure, but was able to increase its margins The Jupiá Chemical Island in Três Lagoas, Brazil, was inaugurated and a new Expancel [...]
Relevance: 19%
How Specialty Chemicals creates value
We are a major producer of specialty chemicals, supplying key products to business to business customers in all four of our end-user segments. We utilize inherently high energy processes and focus strongly on reducing carbon footprint and energy use, while saving costs in our own operations. Developing close relationships with our customers – and helping them to create value – is key to our ongoing success, along with efficient processes, an increased focus on eco-premium solutions and renewable energy and a high level of innovation. Input Our organization Output Energy Total energy use 92,000 TJ We continue to improve efficiency by reducing our energy use per [...]
Relevance: 19%
Market overview
End-user segment strategy context We supply specialty chemicals to all four of our end-user segments, based largely (80 percent of our revenues) on five main value chain platforms. These platforms are: salt/chlorine, surfactants, ethylene oxide, bleaching chemicals and organic peroxides. The outlook for the end-user segment relevant for our value chain platforms is described as follows. Industrial Accounting for nearly 60 percent of revenues, the Industrial end-user segment is by far the largest for our Specialty Chemicals Business Area. All five of our platforms supply this end-user segment, with our main revenue streams coming from: Sales from our surfactant and [...]
Relevance: 19%
How Performance Coatings creates value
Our Performance Coatings businesses are focused on all four of our end-user segments. Supplying high performance products and cutting-edge technologies primarily to business to business customers, we are increasingly incorporating low energy processes and working to reduce our carbon impact across the value chain. Innovation is also key to our cutting-edge product development, which is often highly technical in order to meet strict customer specifications. Particular emphasis is placed on supplying products that offer environmental benefits for our customers. Input Our organization Output Energy Total energy use 5,000 TJ We continue to improve efficiency by [...]
Relevance: 19%
Consumer Goods
This end-user segment covers durables such as consumer electronics, furniture and domestic appliances, as well as food and beverage, personal care and cleaning products. At 16 percent of revenue, it is one of our two smaller segments, to which we sell both coatings and chemicals. Trends There is a shift from mature to high growth regions. In some sectors (consumer electronics and domestic appliances), this has been so dramatic that production in high growth regions now outstrips the mature economies. In other sectors (furniture, food and beverage, personal care), while growth in production and demand is higher in high growth areas, the main global production base [...]
Relevance: 14%
Driving improvements for customers
Primers play an essential role in a wide variety of different coating applications, especially when striving for the perfect finish on a multi-layer coating system. This is particularly relevant in the automotive industry, where environmental considerations and cost efficiency are just as important as product quality. Our Powder Coatings business has long been a major supplier of products used on vehicles produced by many of the world’s biggest auto manufacturers, all of whom have strict specifications and are continually looking to make improvements in all parts of the production process. In an effort to help our customers increase productivity and cut energy [...]
Relevance: 9%
Strategy and targets
[...] our future hinges on our ability to do radically more while using less. So in order to secure our own business success – and that of our customers – we have to create more value from fewer resources. Some people think the planet won’t be able to support nine billion people by 2050. But we do. Which is why we’ve adopted a sustainability approach geared towards accelerating the pace of our commitment. We are looking to proactively engage with partners who fully support our Planet Possible strategy and want to better understand the changes that will be required in our market segments in order to open up infinite possibilities in a finite world. Because at [...]
Relevance: 9%
This section provides an overview of our strategic priorities and gives details of the targets to which we aspire. You will also find the Chairman’s statement and learn about how we manage operational risks. Chairman’s statement Our businesses End-user segments Strategy and targets Risk management
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Note 4: Products and solutions
[...] In due course, these improvements will begin to impact the sustainable development of the market segments in which we operate. Our 2020 target is to achieve 20 percent of revenue from products and services which provide customers and consumers in our downstream value chain with a significant sustainability advantage, compared with the most commonly available equivalent commercial products or industrial processes. This is in addition to our target of increasing revenue share from eco-premium solutions (with benefits at any stage of the value chain) to 30 percent by 2015. Both are challenging goals because the assessments are made against equivalent mainstream or [...]
Relevance: 9%