Strategy

Beijer Alma’s strategy pyramid is based on efficient operational control, corporate social responsibility and long-term ownership, in addition to such growth criteria as high customer value, international market coverage, strong market positions, and a diversified customer and supplier base. By applying these criteria to its organic development and corporate acquisitions, the Group is able to achieve its main business objective – profitable growth.

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LONG-TERM, RESPONSIBLE BUSINESS

Long-term ownership means that the companies in the Group are not developed with the aim of a future exit. Instead, the goal is to create groups of companies with industrially sound structures in which value is created over time through growth and profitability.

Corporate social responsibility. To achieve our objective of profitable growth, we must demonstrate corporate social responsibility by striving to limit our impact on the environment and offering a secure and stimulating work environment for all employees. It is equally important that our customers, suppliers and business partners associate Beijer Alma with a sense of credibility and sound values.

Operational control. We work closely with our Group companies to assist them in setting and following up on goals and exercising longterm control. This work does not generally involve operational activities, but instead focuses on strategic development, acquisitions and investments, thereby providing our companies with access to management resources that are often lacking in small enterprises.

HIGH CUSTOMER VALUE AND STRONG MARKET POSITION

High customer value. A large portion of the Group companies’ products and services are adapted to meet specific customer needs. This creates higher value, for which customers are prepared to pay. As opposed to standardized volume products, unique product concepts also provide greater leverage in sales and marketing.

International market coverage. Our production companies primarily focus on niche products, which are manufactured in relatively small series and generate higher customer value. To expand and grow with these types of products, the companies must engage in broad international sales.

Strong market positions. High quality, a broad product range, a high level of customization and outstanding service enable strong market positions. This allows the Group companies to compete by offering other forms of added value in addition to low prices, thereby creating the scope for a stronger profitability trend.

Diversified customer and supplier base. Our companies aim to have a broad customer and supplier base, thereby reducing their risk exposure and dependency on individual markets, industries or customers.

GROWTH AND ACQUISITIONS

Organic growth refers to the continuous investments our companies make in product and market development. We prioritize this type of growth since it often results in high profitability and low risk. Moreover, this work can be carried out in our existing organizations and allows us to focus on markets and products with which we are already familiar.

Corporate acquisitions include the acquisition of new operations, as well as supplementary acquisitions in the Group companies. Supplementary acquisitions can strengthen our position in selected markets or in specific technology or product areas. These types of acquisitions also carry a lower risk since they are conducted in familiar markets or areas.

PROFITABLE GROWTH

It is crucial that we focus on growth, but to meet the requirements we have set for ourselves, this growth must be linked to sustainable profitability. We accomplish this by ensuring that our companies systematically apply our four criteria as they focus on their own growth and development – high customer value, international market coverage, strong market positions, and a diversified customer and supplier base. Add to this the remaining elements of our strategy pyramid – long-term ownership, responsibility and operational control – and this is what drives the profitable growth of our Group companies.