2019 2019 LET’S SHAPE THE FUTURE OF MOBILITY PLASTIC OMNIUM • LET’S SHAPE THE FUTURE OF MOBILITY The automobile is an exciting venture in freedom, in industry, in technology challenges. The automobile now needs to be reinvented. It must be made cleaner, safer, more connected, more autonomous, shared, and sustainable. New solutions must emerge. The revolution in mobility CONTENTS and energy transition is under way. At Plastic Omnium, we want to shape it. We are making exterior parts and systems smart. We are designing clean energy systems. SHAPING PLASTIC OMNIUM 04 And our connected modules will in future SHAPING PERFORMANCE 12 be an integral part of the self-driving car. Innovation is infinite. GOVERNANCE 18 It’s up to us to invent the future of mobility. SHAPING INTELLIGENT CARS 22 SHAPING CLEAN CARS 28 SHAPING MODULAR CARS 34 LET’S SHAPE SHAPING INNOVATION 40 3 A MULTI-LOCAL GLOBAL GROUP 44 THE FUTURE OF MOBILITY SHAPING EXPERTISE 50 ACT FOR ALL™ 52 FIND OUT MORE 58 FACTS AND FIGURES A key sustainable mobility player Around the world, Plastic Omnium is helping automakers move to clean, smart mobility. As world leader in each of its three businesses, the Group is making today’s car safer and cleaner and preparing the car of the future. 3 BUSINESSES 3 WORLD SHAPING LEADERS 60 Powerful 131 MILLION plant and PLANTS parts, systems equipment in 26 countries PLASTIC and modules manufactured and delivered OMNIUM annually INTELLIGENT EXTERIOR SYTEMS: The automobile is undergoing ~ €4 billion in revenue unprecedented transformation. Smart bumpers and tailgates 5 and function integration 3,017 26 In response, as always, patents Excellence in 2019 in R&D R&D Plastic Omnium is adapting. CENTERS We’re changing our governance, expanding partnerships, widening our fields of research and digitalizing our manufacturing plants. CLEAN ENERGY SYSTEMS: 93 Global 32,000 ~ €3 billion in revenue Energy storage and emission partner presence employees reduction solutions for all engines automobile brands CSR MODULES: 91% 20% ~ €2 billion in revenue of sites commitment reduction Development, assembly ISO 14001 in CO2 emissions and logistics of complex modules certified by 2025 “Although the change in Plastic Omnium’s governance marks a new chapter, the history MESSAGE FROM THE CHAIRMAN of the company, which goes back more than 70 years, A new chapter will continue, and will continue in our ongoing history to be associated with the name of the founding family.” Plastic Omnium is changing its governance Laurent Burelle in order to continue its growth over the long term and to make the most of the opportunities afforded by the changing automotive market. A new chapter in the Group’s history is opening to consolidate its leadership. Laurent Burelle, fore be to combine international expansion, Chairman of the Board explains. financial independence and ownership stability, as it has done from its inception. The new man- LAURENT BURELLE agement team will also be called on to tackle CHAIRMAN OF THE BOARD OF DIRECTORS new environmental and social challenges to ensure that Plastic Omnium continues to set standards in corporate social responsibility for the 21st century. Although the change in Plastic Omnium’s govern- ance marks a new chapter, the history of the 6 From the time it was founded by Pierre Burelle in In a difficult business environment, with world company, which goes back more than 70 years, 7 1946 until now, only three people have headed automotive production experiencing its first will continue, and will continue to be associated Plastic Omnium: Pierre, Jean and Laurent Burelle. decline in 10 years, the new management tan- with the name of the founding family. Continuity gave the company strength. With its dem will be tasked with restoring the intrepid capacity for long-term decision-making, Plastic spirit that drove the creation of Plastic Omnium. It will continue first, because I am not leaving Omnium was able to plan, propel and support To succeed in their mission, they can build on the Compagnie Plastic Omnium SE, but will remain each major phase of its expansion. Group’s strong fundamentals, reflected in its bal- as the Chairman of its Board of Directors. ance sheet and liquidity, and its portfolio of inno- Second, because the family will continue to be The automotive industry, on which Compagnie vations centered on the intelligent exterior represented in the operational team. And lastly, Plastic Omnium SE is now fully focused, is cur- systems and clean energy systems of the future. because Compagnie Plastic Omnium SE’s strat- rently undergoing change of unprecedented scale egy of profitable growth and focus on sustainable and speed. Beyond that, the scale and scope of the Group mobility will have the support and active over- they will be helming have changed in recent sight of its holding company, in which the To address this upheaval, new perspective and years. Plastic Omnium has moved from supplying Burelle family increased its majority control a broader frame of reference are called for. For automotive components to delivering low-carbon again in 2019. that reason, I expressed the wish to entrust oper- mobility solutions and has become an active par- ations at Plastic Omnium to the complementary ticipant in the energy transition. It has trans- For nearly three-quarters of a century, the govern- tandem of Laurent Favre and Félicie Burelle. formed itself from a French company doing ance, ethics and business conduct of our com- Laurent Favre, a French engineer who spent international business into a genuinely global pany have stood for a certain way of life in 23 years working for automotive suppliers in Group, reflected in its adoption this year of the industrial France. The new team will keep this Germany, has experience that will be invaluable European Company legal form (131 production entrepreneurial culture alive and intensify the for the Group, which generates 41% of its reve- facilities and 26 R&D centers in 26 countries). transformation currently taking place to make nue with German automotive manufacturers. Plastic Omnium a leading player in the clean, Félicie Burelle, who has been in charge of Group One thing, however, remains unchanged: through- connected car. strategy for the past five years, has been closely out its history, the Group has made a point of involved in the Group’s acquisitions and key maintaining its independence. The challenge LAURENT BURELLE, decision-making. facing Plastic Omnium in coming years will there- CHAIRMAN OF THE BOARD OF DIRECTORS “Plastic Omnium’s strength lies in its consistent ability to predict market swings and take timely strategic action to boldly and MESSAGE FROM THE CEO rigorously prepare for them.” Shaping tomorrow’s mobility Laurent Favre SHAPING PLASTIC OMNIUM Laurent Favre was appointed Chief Executive Officer of the Group on January 1, 2020. This French engineer, What is your view who has spent the past 20 years working for automotive of Plastic Omnium? suppliers in Germany, gives his vision of the automotive market and discusses Plastic Omnium’s role in the ongoing First, I am very proud to head a Group that is automotive revolution. among the 30 leading automotive suppliers, but stands out from the others as a family-run, LAURENT FAVRE independent company with a rich history rooted DIRECTOR AND CHIEF EXECUTIVE OFFICER in strong values that make all the difference. Plastic Omnium’s strength lies in its consistent How can Plastic Omnium ability to predict market swings and take timely step up its growth? strategic action to boldly and rigorously pre- pare for them. This was the approach taken in The Group can build on its balanced worldwide the Group’s successful re-focus on the auto- locations and technological capabilities to capture motive industry. Every day that I spend meeting upcoming growth in the automotive sector. It can the teams in the factories, R&D centers and expand its market share, increase the number of offices around the world brings home to me parts sold per vehicle and put even more value our employees’ outstanding level of opera- into each vehicle with enhanced products and new tional excellence and engagement. functions. Our 26 R&D centers and our strategic 9 partnerships with innovative companies such as What are the priorities to be HELLA and Brose give us what we need to help addressed by Plastic Omnium? automakers navigate their technological transformation. Short term, we need to absorb automotive mar- ket turbulence due to the slowdown in China and How is the Group supporting Europe and tighter environmental regulations for tomorrow’s mobility? the automotive sector. We have grounds for opti- mism. For one thing, we demonstrated our ability As world leader in our three businesses, Plastic to adapt to the less dynamic business environ- Omnium clearly operates at the heart of the trans- ment in 2019. For another, tighter environmental formation of the automotive industry. By reducing regulations are driving innovation, and with it our the car’s energy consumption and pollution emis- future growth. In the longer term, Plastic Omnium sions, the Group has also become an energy tran- is gearing up to take timely decisions to support sition player. When we make strong technology growth, which will be driven by the technological choices such as to invest in fuel cells and hydro- revolution under way in the automotive sector gen, we become a driving force in the transition. and ongoing mobility requirements in a number Another strength is the intelligence we are includ- of world regions where automobile ownership ing in exterior systems and energy systems. The remains relatively low. technology revolution also extends to production systems, and we are able to assemble complex modules that make life easier for automobile man- ufacturers.