Presentation of Arla Foods
Arla in brief Owners: 12,256 Milk intake: 10,410 million kg.* Production in 12 countries Products sold in over 100 countries Revenue: DKK 63 billion Employees: 18,112 2 *Of which 2,881 million kg comes from non-owners
Our cooperative company has roots extending back to the 1880s 3
Arla's progress since 1970 1970 2000 2011 2012 Source: Arla Foods, February 2013 4
Cooperative democracy GERMANY DENMARK 3,354 SWEDEN 3,661 LUXEMBOURG BELGIUM 3,657 The UK 1,584 DISTRICT COUNCILS 54 REGIONAL BOARDS 6 LOCAL ORGANISATION LOCAL ORGANISATION BOARD OF REPRESENTATIVES 165 + 12 NATIONAL COUNCIL NATIONAL COUNCIL BOARD OF DIRECTORS 15 + 4* NATIONAL COUNCIL NATIONAL COUNCIL Source: Arla Foods, February 2013 * From 2015: 3 employees 5
Arla's organisation chart Executive Board Corporate Supply Chain Corporate Affairs Corporate Human Resources Corporate Finance & IT Global Categories & Operations Consumer International Consumer UK Consumer Sweden Consumer Denmark Consumer Germany & Netherlands Subsidiaries* Source: Arla Foods, February 2013 * Subsidiaries: Arla Foods Ingredients, Rynkeby Foods, Cocio and Dairy Fruit. 6
Arla's vision Creating the future of dairy to bring health and inspiration to the world, naturally Source: Arla Foods 2013 7
Arla's mission To secure the highest value for our farmers' milk while creating opportunities for their growth Source: Arla Foods 2013 8
The relation between our vision, mission and strategy
With Strategy 2017, we aim for a more global focus
1: We will create growth outside the EU
2: We will develop the core business and our three global brands
3: We will be more effective
Our Character Source: Arla Foods 2013 14
Closer to Nature Source: Arla Foods 2013 15
Arlagården Milk composition Food safety Arlagården's four corner stones Animal welfare Environmental considerations Source: Arla Foods 2013 16
Environmental strategy 2020 Sustainable agriculture Greenhouse gas emissions Water and energy Food waste and zero waste Source: Arla Foods 2013 17
Our responsibility Responsible company Care for the environment and animal welfare Respectful relations Confidence in products Source: Arla Foods 2013 18
Arla's three global brands Source: Arla Foods 2013 19
Arla members and weighed-in milk 2012 Owners Weighed-in milk (million kg) Denmark Sweden Germany UK Belgium Luxembourg 3,354 3,661 2,911 1,584 501 245 4,419 2,059 685 286 53 27 Total 12,256 10,410* Source: Arla Foods, February 2013 *Of which 2,881 from others 20
Arla s performance price Source: Arla Foods, February 2013 21
Arla's revenue DKK million Source: Arla Foods, February 2013 22
Arla's revenue by product categories Source: Arla Foods, February 2013 23
Arla's revenue by markets Source: Arla Foods, February 2013 24
Arla's equity DKK million Source: Arla Foods, February 2013 25
Arla's assets DKK million Source: Arla Foods, February 2013 26
Arla's employees Number of employees Source: Arla Foods, February 2013 27
Arla in the world Production and sales Sales offices Source: Arla Foods 2013 28
Arla in Denmark Cheese Milk Butter Ingredients Powder Distribution Office Source: Arla Foods 2013 29
Arla in Sweden Cheese Milk Butter Powder Office Distribution Source: Arla Foods 2013 30
Arla in Finland Milk Office Source: Arla Foods 2013 31
Arla in the UK Cheese Milk Distribution Office Ingredients Source: Arla Foods 2013 32
Arla in Germany and the Netherlands Cheese Milk Distribution Ingredients Office Source: Arla Foods 2013 33
Thank you for your attention! 34
Supply Chain Leader Talent Programme 05 April 2013 GBSHR/Pebek
Purpose The purpose of our Supply Chain Leader Talent Programme To secure a high-quality future leadership pipeline within Supply Chain for Arla Foods Strategic fit In order to - add value to our milk - utilise M&A synergies - continuously optimise internal efficiency we need leadership with the right mindset and competencies 05 April 2013 36
Objectives To attract high potential supply chain/engineering graduates from the best universities To cultivate a sustainable pipeline of internal candidates qualified for key positions within supply chain To add value to the Arla Foods brand and to the image of the Supply Chain, both externally and internally within Arla Foods To develop internal high quality talent in order to minimise expenses for external recruitment To utilise our prior success in developing potential talent into key positions 05 April 2013 37
Programme Design 12-15 candidates / 4-5 per year 3 year programme 10 selected dairy sites in Denmark, Sweden, the UK and Germany 5 sites are 1 st position-sites and 5 are 2 nd position-sites; 3rd year is an entry into a position Different positions such as PTD Assistant, QEHS Assistant... Candidate screening in Feb-March First intake early September 2013 Mentors from Supply Chain SVP Coach Career advisor Networking Content - Central Modules: Kick off Project Management Supply Chain expertise Cultural training Leadership development Business acumen Local Induction Work shadowing: Production, LEAN, Quality Environmental Health & Safety (QEHS), Packaging, Distribution, Logistics, Maintenance Candidates MSc s in Dairy/Food Science & Technology MSc s in Supply Chain management MSc s in Engineering
Talent pipeline within Supply Chain Site Director position 3-5 years in key positions Production manager, PTD manager, QEHS manager, Project manager, Logistic s & Planning manager, Maintenance manager, Packaging manager 3-year Leader Talent Programme SC Leader talent to assist Site Director or other members of the leadership team Supply Chain Leader Talent 05 April 2013 39
Candidate profiles 2013 Female, danish, BSc Food science, Msc Dairy Technology Female, british, BSc Food science, MSc Food Quality/Chemistry Female, polish BSc Foodsscience, MSc Animal science Male, greek, BSc mechanical engineering, MSc Supply chain management Male, finnish, BSc mechnical emgineering, MSc industrial management (internal Arla Foods candidate) 05 April 2013 40