Hilti Group Evolved from a Small Ing Added Value
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Annual Report 2007 with Sustainability Report Once again, significant organic growth How Hilti steers sustainability Red shell – sophisticated core Supply Chain shapes up for further growth Page 2 Contents 4 “We create enthusiastic customers”: the complete Mission Statement 6 How Hilti organizes and steers sustainability 8 “We want to help people believe in themselves” 10 Hilti in 2007 Once again, significant organic growth 18 People culture, corporate culture 21 The strategy 22 Red shell – sophisticated core 30 Research and development The company 31 Supply Chain 34 Systematically working the market in brief 35 Customers without a care in the world 38 The best for building professionals: ilti provides leading-edge production plants as well as re- the new products at a glance Htechnology to the global search and development centers 44 Social entrepreneurs construction industry. Hilti prod- in Europe and Asia. 48 Sustainability: an overview ucts, systems and services offer 50 The Executive Board the construction professional in- Founded in 1941, the worldwide 52 The Board of Directors novative solutions with outstand- Hilti Group evolved from a small ing added value. The headquar- family company. Since 2000, the ters of the Hilti Group are in Martin Hilti Family Trust holds Schaan in the Principality of all shares and, since January Liechtenstein. 2008, all participation certificates of Hilti Corporation. This safe- Some 20,000 employees, in more guards the further development than 120 countries around the of the company founder Martin 10 Hilti made significant world, enthuse their customers Hilti’s life’s work in the long gains in 2007 as well: and build a better future. The cor- term. more employees, more porate culture is founded on in- sales, higher profit. tegrity, courage, teamwork and Hilti upholds a clear value orien- commitment. tation and pursues a policy of stakeholder value. Integrating the Hilti excels through outstanding interests of all the company’s innovation, top quality, direct cus- partners – customers, suppliers tomer relations and effective mar- and employees – into its strategy 22 Sophisticated tech- keting. Two-thirds of the employ- and actively honoring its social niques – and success – ees work directly for the customer and ecological responsibility cre- are a product of in sales organizations and in engi- ates the foundation of trust that teamwork. neering, which means a total of makes possible the long-term suc- more than 200,000 customer con- cess of the company. tacts every day. Hilti has its own 44 Social responsibility starts at the bottom and creates new ideas. Annual Report 2007 Page 3 Hilti Group: sustainable success The strong economy put ronment. For this reason, acting “ wind in our sails in 2007. At with a sense of social and ecologi- the same time, we also took full ad- cal responsibility is a fixture of our vantage of our ability to make the Mission Statement. So when we very best of a business upturn. For talk about “building a better fu- the fourth year in a row we ex- ture,” we mean every word of it. panded our worldwide sales net- And this same conviction is behind work and thus garnered additional our decision to publish information market share, as witness our sales about our economic development growth of 13 percent. We have together with an account of our grown further under our own sustainability in one single Annual steam, and our profitable growth Report. is continuing: thanks also to a healthy increase in productivity, We stand by the principles of the our operating result in 2007 rose UN Global Compact, which we by 26 percent to 533 million Swiss signed in early 2006. We strive francs. with resolve to make them a reality – increasingly and with ever Behind this accomplishment is a greater insistence in the case of our global team capable of conveying suppliers too, as you will read on its enthusiasm to customers – as page 31, training our own auditors well as attracting new team mem- for the task as well. bers: the average number of em- ployees rose in 2007 by 10 percent You will find more information on to reach 18,930, with 1389 new sustainability in this Annual Report Bo Risberg (left) and Pius Baschera: The company saw further team members alone working in than in last year’s. Part of the report- organic growth in 2007. sales. We intend to further build up ing processes for the measurement our efforts in that field in the year of aspects of sustainability relevant improvement and can continuously Board of Directors, so carefully to come, in order to meet future to us is now in place, and we can put enhance the interaction among the prepared in 2006, now success- economic fluctuations from a posi- figures to activities and chart per- economic, social and ecological as- fully completed. tion of strength. formance over the course of several pects of our business. years. We consider our progress to- We would like to express our sin- For many years now, we have firm- ward social and ecological sustain- This same dedication to the twin cerest thanks to the people around ly believed that economic success ability a journey, just as we do the principles of development and con- the globe who have made our suc- can only be sustained by meeting development of our corporate cul- tinuity is reflected in our personnel cess possible: to our customers, our the needs of all major stakeholders, ture. As we continue on this road policy, with the changing of the employees, our partners and including our society and the envi- we are constantly capable of further guard on our Executive Board and our suppliers. ” Pius Baschera Bo Risberg Chairman of the Board of Directors Chief Executive Officer Page 4 “We create enthusiastic customers” Hilti employees follow the Mission Statement in their everyday work. It provides them with a foundation for effective collaboration, personal development and success. Mission Statement We take self-responsibility for the quality, direct customer relation- We create enthusiastic customers development of the business, our ships and effective marketing. and build a better future! team and ourselves. Concentration: We focus on prod- Enthusiastic customers We encourage, coach and support ucts and markets where we can We create success for our cus- each other to achieve outstanding achieve and sustain leadership tomers by identifying their needs results. positions. and providing innovative and value-adding solutions. Our culture is a journey – Our Cul- We accomplish our ture Journey. purpose through global Build a better future processes We foster a company climate in People All of our activities are derived which every team member is val- We have excellent team members. from our strategic imperatives ued and able to grow. “Product Leadership,” “Market We expect high performance and Reach” and “Operational Excel- We develop win-win relationships we offer high incentives. lence.” with our partners and suppliers. We recruit and develop our people In order to continuously improve We embrace our responsibility to- based on their competencies, ac- customer satisfaction and produc- ward society and environment. complishments and potential. tivity, our approach is based on the highest level of harmonization We aim to achieve significant and We give them the chance to grow and ongoing optimization of our sustainable profitable growth, thus with us as part of a team and to business processes. securing our freedom of action. develop a long-term career within the Hilti Group. We live our values The foundation of our culture is Our “Champion 3C integrity, courage, teamwork and Strategy” commitment. Customer: We want to be our cus- tomers’ best partner. Their require- Our culture ments drive our actions. We share a common purpose. Competency: We are committed to excellence in innovation, total Annual Report 2007 Page 5 Page 6 “This is how we organize and steer sustainability” An integral part of the Hilti Mission Statement and business model is the aim to grow profitably over the long term, by means of its positive influence on employees, customers, suppliers, society and environment as well as the way these stakeholders interact positively with each other. A vision of sus- tainability integrated to this degree demands a systematic approach and transparency, as outlined below by Executive Board member Christoph Loos. That’s why we made our responsi- Legal affairs is home to our Chief bility to our crucial stakeholders Compliance Officer, who has al- part of our Mission Statement, ready been named and who is summed up in the sentence “We charged with the issue of corrup- build a better future.” This respon- tion, as well as the person respon- sibility was part of our company sible for all our activities as a tradition before anyone was talk- “great citizen,” our involvement in ing about sustainability. Seen from the environment in which we work. today’s point of view, however, Health & Safety and Environment, we weren’t systematic enough, nor meanwhile, have a new unit all of were we terribly transparent, wheth- their own, whose head reports di- er internally or externally. rectly to Executive Board member Stefan Nöken. Well, in the meantime Hilti initi- ated an internal sustainability The people handling these assign- management project in 2004, ments make up our sustainability agreed to the UN Global Com- core team, setting the agenda and pact in 2006, signed the Caring an annual plan for our activities in for Climate Convention in 2007 that area, reporting regularly, and and speaks out against all forms coordinating the collaboration of of corruption. the Hilti Group and the Hilti Foun- Christoph Loos: That is all true, dation on “great citizen” projects. and important. We might also note that, beginning as early as 1998, all That’s a lot of work for our core production plants as well as prod- team! uct development of the individual Christoph Loos: Well, the way Business Units, and now some we see it, sustainability has many of our national organizations too, facets.