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Annual Report | 2016

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Annual Report | 2016 Annual Report | 2016 A word from the CEO Strategy towards 2018 This is Norconsult Our market areas Selected projects 2016 Board of Directors’ report Consolidated financial statements Offices and addresses Career Barometer # 1 (2016, 2015) Employees 3,250 Contents 2016 3,250 2015 3,090 2014 A word from the CEO 4 2,900 2013 Strategy towards 2018 6 2,650 2012 This is Norconsult 8 2,400 Our market areas 20 Selected projects 2016 28 Board of Directors’ report 40 Consolidated financial statements 56 Sales Offices and addresses 60 4,236 MNOK MNOK 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 2012 2013 2014 2015 2016 A word from the CEO Strategy towards 2018 This is Norconsult Our market areas Selected projects 2016 Board of Directors’ report Consolidated financial statements Offices and addresses A word from the CEO ”At Norconsult we create added value by maintaining close proximity to our clients and the market and by using smart and effective working methods.” 2016 was a good year for Norconsult. We continued to deliver profitable growth in a market in which prices are coming under pressure, competition is intensifying and clients’ requirements are changing. The industry is in a state of constant flux, year with record revenues of NOK 4.2 framework agreement with the City of with changes taking place more quickly billion, and a solid bottom line. We have Copenhagen to expand and convert a and less predictably than in the past. worked on more than 20,000 projects. number of schools and healthcare Digitalisation of the industry continues With more offices opening in 2016 and buildings. with ever greater momentum, forms of a start-up in New Zealand, Norconsult is collaboration will change and efficiency now represented in 88 locations. In Architecture market area requirements will be ramped up. To- 2016 Norconsult welcomed approxi- In 2016 we established architecture as a morrow’s winners will be those who mately 250 new employees to the separate market area, and over the dare to think laterally, and who see op- company. We are proud that Norconsult course of the year generated both portunities where others see problems. is recognised as an attractive employer organic and acquisition-based growth. At Norconsult we create added value by by our employees and the market: In We are proud to have succeeded in maintaining close proximity to our 2016 we topped the Career Barometer establishing one of Scandinavia’s largest clients and the market and by using and achieved a respectable second place architect communities, with 200 em- smart and efficient work methods. in the Universum Professional Study. ployees covering residential, commercial, landscape, interior, lighting design and Creating value for clients Major transport sector projects awarded urban architecture. We have therefore At Norconsult the client’s needs and to Norconsult in 2016 included the joint decided to devote extra attention to this challenges are our first priority. Good Ringerike Line and E16 project, the E18 new market area in the 2016 annual client relations combined with smarter Arendal–Tvedestrand and E6 Helgeland report. work processes are the cornerstones of South road projects and the Sørfold our strategy. We do our utmost to tunnels project. We would also highlight Promising outlook for 2017 always deliver the best recommen- the Intercity Vestfold Line and pre- The industry is facing extensive changes, dations – regardless of the size of project feasibility planning for the Stad ship tunnel. whether with regard to new forms we are implementing. At the same time, Additionally, we are engaged on several of collaboration, digitalisation or effi- we champion the development of major projects in the Buildings market ciency improvements. A market in flux, paperless projects, and create value for area, including a new research centre characterised by strong competition our clients through measures such as and head office for the Jotun Group in and pressure on hourly rates, inspires us digitalisation and efficiency improve- Sandefjord. Within Energy we are to work smarter and more efficiently, so ments using BIM (Building Information contributing to the Svartnavatnet Dam that we can boost value for our clients. Modelling) and VDC (Virtual Design and project in Bergen, Nedre Røssåga Power We expect to see continued high activity Construction). Interdisciplinary teams, Plant and the Lofotringen power supply levels in the industry, and are well new co-creation partnerships and con- network in Nordland. The Johan equipped to deliver both added value current project design are embedded in Sverdrup oil field in the North Sea was for our clients and profitable growth, our daily routines. We like to find smarter one of our largest projects in 2016. now and in the future. ways to deliver projects for our clients, whilst we draw on the expertise acquired We are making our mark in the inter- throughout Norconsult’s long history, national hydropower market by acting including extensive experience in inter- as consultants for Nepal’s largest ever hy- disciplinary consultancy. dro-power plant, the Upper Tamakoshi Hydropower Project. In Sweden, High activity levels Norconsult has been responsible for 2016 was a busy and productive year designing the conversion of with Norconsult experiencing high Sollentuna Hospital in Stockholm. In Per Kristian Jacobsen activity levels. We are proud to close the Denmark we signed an important President & CEO 4 A word from the CEO Strategy towards 2018 This is Norconsult Our market areas Selected projects 2016 Board of Directors’ report Consolidated financial statements Offices and addresses Strategy towards 2018: Increased competitiveness The Lofotringen power supply network in Nordland. With turnover well in excess of NOK 4 billion, Norconsult is comfortably Norway’s leading consultancy firm, with significant international activities. The market is becoming increasingly tough. To successfully pursue our ambition of profitable growth, we are working hard to increase our competitiveness. At the time of writing, Norconsult is well and people management. In 2016 key the company’s leadership development BIM (Building Information Modelling) is In 2016 we acquired the consultancy Towards 2018 into the current strategy period 2016– steps were taken to ensure the necessary efforts, 160 managers completed a used as a design tool on projects in all companies Anacon Rådgivning, BraCon, Norconsult will continue to deliver 2018. A stronger client and market focus management impetus and execution course in client relationships, sales and the company’s market areas. DeltaTek and Plan Urban in Norway. profitable growth and create added val- and smarter work processes will be two capability in the organisation. The presentation techniques during the Our new team members from these ue for clients and society, whilst central measures to increase competi- company was reorganised, with new year. LiVE Norconsult four companies have further extended extending its lead over its competitors. tiveness and realise continued profitable management teams for market areas Our cultural platform, LiVE, is a corner- the company’s interdisciplinary expertise. We will reinforce our position as growth over the coming years. We shall and regions led by a new Group Manage- Smarter work processes stone of the company’s strategy. Our Norconsult has also expanded through number one in social development in reinforce our number one position in ment team. All the positions were filled by Norconsult works systematically with approach to leadership, values and the establishment of an office in Voss. the Norwegian market and continue to key strategic markets. employees from within the company. digitalisation and efficiency improve- ethics affects everything we do, from In Sweden and Denmark our business make inroads internationally. ments. We have carried out studies to how we collaborate with our colleagues, continues to develop and improve in A better organisation Clients and markets identify time-wasters and provided to client dialogue and how we conduct line with recent years, with Norconsult Norconsult is expanding rapidly and As part of the reorganisation, Norconsult training to our employees in process our business ethically and profitably. opening an office in Viborg in employs 200–250 new staff each year. has created a clear market structure, with improvement, as part of our strive for Denmark. Following the establishment The company is therefore organised to Transport, Buildings, Energy and Water smarter work processes. The company Profitable growth of a subsidiary in New Zealand in 2016, facilitate close follow-up of daily opera- as our primary market areas. Clients, has a strong focus on new forms Norconsult will continue to expand in We are now represented on five tions and value-creation in the company, markets and sales represent a focus of collaboration, such as VDC Norway, primarily organically, but also continents. whilst still enabling strategic leadership area in the strategy period. As part of (Virtual Design and Construction), and through selected strategic acquisitions. 6 7 A word from the CEO Strategy towards 2018 This is Norconsult Our market areas Selected projects 2016 Board of Directors’ report Consolidated financial statements Offices and addresses This is Norconsult Norconsult’s journey has been an exciting one, starting with the company’s foundation almost 90 years ago. Each and every day we Norconsult’s Group Management team, from the left: Ola H. Norderhaug, Fride A. Hærem, Egil Gossé, do our outmost to create value for our clients. Per Kristian Jacobsen (President and CEO), Janicke P. Garmann, Christian B. Nilsen and Bård S. Hernes. In the pages that follow, you can read about our market areas and a selection of the projects we have worked on. You can also read about how we safeguard and develop our most important asset, our expertise, and about our approach to business ethics and our Group Management involvement in society. But first, we’d like to introduce our Group Management team.
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