Corporate Overview 2015

Corporate Overview
2015
Table of Contents
 Koç Group
 Arçelik A.Ş.
• At a Glance
• Financial Results
• Brands, Global Network, Market Position
• Technology and Innovation
• Awards and Achievements
• Corporate Social Responsibility
2
Koç Group
Founded in 1926
Koç Group
TURKEY’S LEADING INVESTMENT HOLDING COMPANY
o
The only Turkish company in Fortune’s Top 500 Global Company List ranked 341th
o
2014 consolidated revenues: USD 31,3 billion ( 68,6 billion TL)
o
2015 1Q consolidated revenues: USD 5,6 billion (13,8 billion TL)
o
Total combined revenues that make up about 8% of Turkey’s GDP (As of 2013 year-end)
o
Exports that make up 10 % of Turkey’s total exports (As of 2013 year-end)
o
Total share in BIST Market Capitalization is 17% (As of 2014 year end)
o
The Group consists of over 100 companies in 33 countries
o
Over 80.000 employees worldwide
o
Over 11.000 dealers and after-sales services, 978 bank branches in Turkey
o
10% of private sector R&D investments
o
According to Turkish Patent Institute’s 2013 Turkey’s Patent Applications ranking 4 of the top ten
companies are Koç Group companies
o
The Top Turkish company in EU Industrial R&D Investment Scoreboard ranked 614th place.
4
Koç Group
Leading positions with strong competitive advantages in several business segments
Consumer Durables
Arçelik A.Ş.
Arçelik LG
International Alliance:
LG Electronics
Finance
Yapı Kredi Bank and
subsidiaries
Koç Finans
International Alliance:
Unicredit
Energy
Tüpraş, Opet, Aygaz,
Entek, Aygaz Doğal Gaz,
Akpa, Demir Export
Other Sectors
Food, DIY Retailing,
Tourism, Marinas, IT,
Ship & Yacht
Construction
Automotive
Tofaş, Ford Otosan, Türk
Traktör, Otokar, Otokoç
Otomotiv
International Alliances:
Ford Motor Co, Fiat Auto
S.p.A, Case New Holland
5
Arçelik A.Ş.
Arçelik A.Ş.
Since 1955, more than half a century of experience
Production, marketing and after-sales services of
consumer durable goods,
consumer electronics and components
25,000 employees
Consolidated net sales
2015 1Q: 2,867 million TL
(1,035 million EUR / 1,166 million USD)
2014 : 4,307 million EUR / 12,514 million TL
10 brands
A sales and marketing organization operating in 26 countries
15 production plants in 6 countries*
(China, Romania, Russia, South Africa and Turkey)
Products and services in more than
130 countries
* Company broke ground its Tailand Refrigerator Factory in Jan 2015.
7
Vision
8
Milestones
1955
1959
1960
1975
1977
1991
1993
1999
2000
2001
The Company was established in Sütlüce, İstanbul.
The first washing machine is produced in Turkey.
The first refrigerator is produced in Turkey.
Refrigerator Plant started production.
Compressor Plant started production.
Establishment of R&D Centre and Consumer
Information Service.
Arçelik Dishwasher Plant started production.
Cooking Appliances Plant started production.
Arçelik A.Ş. won the EFQM Prize for Quality Success.
Arçelik-LG Air Conditioning Industry and Trade Inc. started production.
Marketing and sales operations of Beko branded products started to run
by Arçelik Company.
9
Milestones
2002
Blomberg, a German household appliances company was acquired,
followed by the acquisition of Elektra Bregenz, an Austrian household appliances
company, and its brand Elektra Bregenz.
Leisure and Flavel, was acquired as white goods brands of the UK.
Arctic, a refrigeration company in Romania was acquired.
Beko became the leading brand in UK’s refrigerator market.
Launch of the new Arçelik logo, reflecting the
innovative and dynamic structure.
2005
Arçelik Company celebrated its 50th anniversary.
Foundations were laid for the production plant in
Moscow, Russia.
The Chest Freezer production line became operational in Arctic Plant, Romania.
Tumble dryer production started in Çayırova Washing Machine Plant
and to increase the production capacity additional investment decision
was made to built a new dryer plant.
10
Milestones
2006
Beko LLC Washing Machine and Refrigerator
plant started to operate.
Company became the biggest shareholder
of Beko Elektronik A.Ş., the consumer
electronics company.
Exported Beko branded dishwashers
and washing machines to China.
Beko brand became the sponsor of
the Turkish Basketball League.
2007
SBS (Side by side) Refrigerator with
Active Fresh Blue technology was launched.
Beko Elektronik A.Ş. became the owner of the
Grundig Multimedia Company and Grundig brand.
One Touch Dishwasher was launched.
Beko Electrical Appliances Washing Machine
Production Plant in China started operation.
11
Milestones
2008
Turkey’s first Tumble Dryer Plant started to operate in Istanbul.
Divide and Cool (DAC): Divisible cooling technology was
introduced.
Beko Elektronik A.Ş. changed its trade name to Grundig
Elektronik A.Ş.
The business partnership with Sony to manufacture of
Sony LCD TV at Grundig Elektronik A.Ş.
2009
Arçelik A.Ş. merged with Grundig Elektronik A.Ş.,
a subsidiary in which the Company holds the
majority of shares.
Eco panel LCD TV consumes 45% less electricity
was produced.
The first 4 door refrigerator produced in Turkey.
With its A-30% energy performance, the world’s least energy
consuming washing machine was produced.
12
Milestones
2009
The world’s most quiet, the fastest and least water
consuming dishwasher was launched.
Launch of the new vision
2010
Arçelik launches its new washing machine, 8124 HST
Economist, which consumes 50% less power than A
energy class.
Arctic celebrates its 40th anniversary.
The first 3D LED TV is produced in Turkey.
“World’s most economical dishwasher” A-30%
62107 HIT Economist is introduced to consumers.
Arçelik opens its first “Concept” store in Turkey.
World’s first A+++ No Frost refrigerator consuming
the least electrical energy in its own class is produced.
13
Milestones
2011
Arçelik Group acquired Defy Appliances
(Proprietary) Limited (“Defy”), the leading
home appliances manufacturer in Southern Africa
2012
Arçelik Group expanded its global network
establishing new sales and marketing
offices and companies:
- Eygpt, Beko LLC Eygpt
- Ukraine, Beko Ukraine
- Australia, Beko A and NZ Pty Ltd.
- Taiwan, Ardutch B.V.
2013
Arctic, the leading white goods brand of Arçelik A.Ş.
opened a new refrigerator production line at Gaesti
Plant.
14
Milestones
2014
Beko introduced its products to Thailand market.
Beko launched its new logo.
Beko and FC Barcelona entered into a four-year
partnership. The new logo of Beko is affixed on
the new team jersey.
Defy, opened a new side by side refrigerator
line in East London Plant.
Arçelik A.Ş. became one of the 15 companies
listed under Borsa Istanbul -BIST Sustainability
Index.
2015
Arçelik A.Ş. broke ground of its
Tailand Refrigerator Plant.
Arçelik Company celebrates its 60th. anniversary.
Brands
Global Network
Market Position
Brands
The leading brand in Turkish household appliances industry.
One of the leader brands in Turkey and a global brand preferred in
more than 100 countries.
A brand of household appliances, combining aesthetic design
and technological with environment friendly features.
A strong, prestigious brand of household appliances in Austria.
The leading brand in the Romanian household appliances market.
The traditional brand for solo cooking appliances in the UK.
One of the strongest household appliances brand in the UK and Ireland.
The household appliance and television brand of price conscious
consumers.
A well known brand in Turkish and Western European market with
wide range of product portfolio of consumer electronics and personal care appliances.
The leading home appliances brand in Southern Africa.
17
Product Range
Built-in &
Freestanding Appliances
Small Household
Appliances
 Refrigerators
 Freezers
 Washing Machines
 Dryers
 Dishwashers
 Ovens
 Hobs
 Hoods
 Warming Drawers
 Microwave Oven
 Water Dispensers &
Water Filtration
 Vacuum Cleaners
 Kitchen Appliances
 Personal Care
 Garment Care
 Fans
 Steam Cleaners
Heating-Ventilation- AC
 Air Conditioners
 Combi Boilers
 Water Heaters
 Room Heaters
Consumer Electronics
 TVs
 Home theatre systems
 Hi-Fi Systems
 Portable audiosystems
 Dect phones
 Mobile Phones
 Notebooks & Desktop PCs
 POS Cash Register
Components
 Hermetic Compressors
 Industrial Motors
 Appliances Motor-pumps
+ Ready-made Kitchen
18
Global Network
HQ (Turkey/Istanbul)
Production Plants
International Sales & Marketing
19
Global Network
Headquarters
Turkey/İstanbul
Production Plants-Turkey
Refrigerator Plant
Washing Machine Plant
Electronics Plant
Cooking Appliances Plant
Dishwasher Plant
Electric Motors Plant
Compressor Plant
Tumble Dryer Plant
Eskişehir
İstanbul, Tuzla
İstanbul, Beylikdüzü
Bolu
Ankara
Tekirdağ, Çerkezköy
Eskişehir
Tekirdağ, Çerkezköy
Production Plants-International
Refrigerator Plant
Refrigerator and Washing Machine Plant
Washing Machine Plant
Cooking Appliances and Tumble Dryer Plant
Cooling Appliances Plant
Refrigerator Plant
Romania , Gaeşti
Russia,Kirzhach
China , Changzhou
South Africa, Jacobs
South Africa,
Ezakheni, Ladysmith
South Africa,
East London
International Sales and Marketing
Ardutch B.V. Taiwan
Taiwan
Beko A and NZ Pty Ltd.
Australia, New Zealand
Beko Deutschland GmbH
Germany
Beko Egypt Trading LLC
Egypt
Beko Electronics España S.L.
Spain
Beko France S.A.S.
France
Beko Italy SRL
Italy
Beko LLC.
Russia
Beko Plc.
UK, Rebublic of Ireland
Beko Slovakia S.R.O.
Slovakia
Beko S.A.
Poland, Czech Republic
Beko Shanghai Trading
Company Ltd.
China
Beko Ukraine LLC.
Ukraine
Changzhou Beko Electrical
Appliances Co. Ltd.
China
Defy Appliances Ltd.
Republic of South Africa
Defy (Botswana)(Proprietary )Ltd. Botswana
Defy (Namibia)(Proprietary) Ltd. Namibia
Elektra Bregenz AG
Austria
Grundig Multimedia A.G.
Switzerland
Grundig Intermedia GmbH
Germany, Croatia
Grundig Nordic No AS
Norway
Grundig Nordic AB.
Sweden
SC Arctic SA
Romania
Beko Hong Kong Ltd.
Hong Kong, China
Beko Thai Co., Ltd. (Rayong Tayland) founded as a production, sales and marketing company in December
2014 and planned to start production by the end of 2015.
20
Strong Growth in Global Marketplace
Romania: Market leader
via Arctic brand
Arçelik is the market leader
in Turkey
Beko, the market
leader in UK
Arçelik A.Ş. is the third largest company in white goods industry in Europe.
Arçelik A.Ş. is the undisputed leader of home appliances sector in Turkey,
in Romania with Arctic brand and in South Africa with Defy brand.
Consolidated Sales Revenue: EUR 4,3 billion
61% of turnover from international sales
Beko is one of the top 3
brands in France
Beko; International Home Appliances Brand
•
The 2nd largest home appliances brand in
Europe,
•
The leader brand in white goods market in UK,
•
The leader brand in total freestanding home
appliances market in Poland and France,
•
The leader brand refrigerator and deep freezer
product segments in Belgium,
•
The leader brand in deep freezer in Spain and
Israil,
•
The 2nd brand in refrigerator, deep freezer and
dryer product segments in France,
•
Increased its marketshare more than twice and
became the market’s fastest growing brand in
Germany,
Technology and Innovation
R&D - Innovative Technology
The patent leader in Turkey,
developing its own technology without using licences.

The only Turkish company among the
top 1.000 allocating resources to R&D,
according to a European Commission.

Preserving the technologies and
products with patents.

Continuous cooperation with national
and international firms.

Globally recognized and awarded
designs and products
Ease of Use
(intelligent, silent,
easy to use)
Comply with
future
standards
Environment
friendly
Innovative &
Efficient
Target :
Technology & Products
With Energy Efficient
Efficient Resource Usage
Blomberg CT 1300 A awarded with EU Commissions'
u Energy + Award and REC Turkey EU Award for
Environment
24
Intellectual Property Management
Arçelik A.Ş.,
• Turkey’s Patent Champion
• The only Turkish company listed in the “Top 500 Companies” issued
by World Intellectual Property Organization(WIPO) for 5 years, as
being the only Turkish company listed in top 200 of this list
• Has one third of the international patent applications to WIPO
• According to 2011 and 2012 of European Patent Office (EPO) Annual
Reports, half of the Turkish patent applications registered by EPO
belong to Arçelik A.Ş.
WIPO: World Intellectual Property Organization
PCT: Patent Corporation Treaty
25
Innovative Products
IonFresh Technology
A+++
Dishwasher
Side by Side
Refrigerator
A++
Washing Machine
Invertor Motor
Technology
Dryer
54 wide, A++
Innovative Products
Built-In -Oven
65’’ -55’’ Finearts TV
90cm Induction Built-In Cooker
Eco-Friendly Products
Built-in oven
• A- 45%
• noise level of 41 dBA
Tumble Dryer
A+++ - 10%
No-Frost Combi Refrigerator
A+++ - 30%
A+++ -50%
Washing Machine
A+ 3D Smart TV
28
“Our priority is the production of goods
in a manner that respects
both human life and the environment.”
29
Environment
•
•
•
•
•
Arçelik A.Ş. adopts “Sustainable Development” and principle of
environmental protection as a requirement of the Total Quality
Management approach.
Within the context of this approach, Arçelik A.Ş. applies
environment-friendly processes and manufactures environmentfriendly products.
Arçelik A.Ş. evaluates and monitors its compliance with environment
and health & safety oriented national and international legal
requirements.
In this context, Arçelik A.Ş. closely monitors the developments in the
industry and complies to the directives and regulations in Europe;
– WEEE - Waste of Electrical and Electronic Equipment,
– RoHS - Restriction of the Use of Certain Hazardous Substances,
– EuP - Eco Design Requirements for Energy Using Products
Directives,
– REACH Regulation- Registration, Evaluation and Authorization
of Chemicals.
In an effort to increase the awareness and sensitivity for
environmental issues, trainings are organized for employees.
30
Energy Efficiency in Production
•
Arçelik A.Ş. is the first and only company to receive Gold certificate in the
global white goods sector with its 8 production facilities in Turkey in 2010.
•
Refrigerator, Washing Machine, Cooking Appliances and Compressor Plants in
Turkey reached “Platinum Award” in 2011. In 2012,The Washing Mashine Plant in
China and in 2013, Dishwasher, Tumble Dryer, Electric Motors Plants in Turkey and
Arctic Cooling Appliances Plant in Romania, also reached Platinum Level.
31
Energy Management
Arçelik A.Ş. and its employees comply with all applicable
national and international energy-related laws and
regulations, continue its activities in line with energy
management system based on continuous improvement
by procuring essential sources.
Our approach;
• use energy and natural resources efficiently for the products and the activities
• prefer energy efficient technologies and applications for the production and the activities
• be a model to industry as ‘the most efficient products’ manufacturer
• prefer products and services that were generated in energy efficiency manner for the
production and the activities
• raise awareness of our employees and the society about energy efficiency and use of
natural sources accompanying the Quality, Environmental, Health and Safety Management
Systems and we strive to set a model in durable goods sector with regard to environmental
efforts.
32
Business Excellence
•
Arçelik A.Ş. pursues excellence in all processes leading to the final
product, implementing an efficient Total Quality Management.
•
Total Quality Management activities in Arçelik began in the early
1980s with the implementation of Quality Circles and these
activities have been developed with the following applications:
-EFQM Excellence Model
-ISO 9001
Quality Management System
-ISO 14001
Environmental Management System
-ISO 50001
Energy Management System
-ISO 14064-1
Greenhouse Gas Reporting System
-ISO 10002
Customer Satisfaction Management System
-ISO 27001
Information Security Management System
-OHSAS 18001 Occupational Health and Safety Management Sys.
-ISO 17025
Laboratory Management System
-Six Sigma (Process Improvement)
-Total Productive Maintenance (TPM)
-BSCI and Sedex Social Accountability Systems
-AEO Authorized Economic Operator Status
•
Compliance with Management System Standards is being
assessed and developed through periodical internal and external
audits.
33
Business Excellence
•
Arçelik A.Ş. uses the Six Sigma Methodology in
order to reach excellence by increasing
productivity across all of its business processes to
stay competitive in international markets.
•
By implementing the Six Sigma Methodology,
Arçelik A.Ş. aims to :
-improve processes,
-make the processes transparent manageable,
-create decision making mechanism based on data,
-develop a platform to continuous growth in
profitability,
-harmonize its organizational targets and process
objectives,
-maintain customer focus
-create a common language and improve creativity.
34
Occupational Health and Safety
Arçelik A.Ş. performs its Occupational Health
and Safety activities by;
•
Removing the hazards arising by the activities or
minimizing the Occupational Health and Safety
related risks to the minimum level at source by
using a proactive approach,
•
Using the appropriate, safe and healthy
technologies,
•
Developing the awareness in Occupational
Health and Safety issues among the employees
and helping them to adopt the appropriate
behaviours in order to prevent work accidents
and work related diseases within the frame work
of Arçelik A.Ş. Occupational Health and Safety
Management System.
35
Awards & Achievements
2014
• Arçelik A.Ş. received a total of seven awards including three first place awards and four
second place awards in "IMMIB Stars of Export 2013" awards.
• Arctic Romania Refrigerator Plant received the “TPM Special Award”.
• Solidarity Cooking Marathon Project carried out by Beko in Spain received three awards
in “Global Mercury Excellence Awards”, one of the most famous corporate communications
awards of the world.
• Seven different products of Arçelik A.Ş. were given awards within the scope of “IF
Design”, one of the most prestigious design awards of the world.
• Arçelik A.Ş. entitled to "Authorized Economic Operator Certificate" by The Ministry of
Customs and Trade.
• Arçelik A.Ş. is entitled to “CIPS Corporate Certification”, which is a global accreditation
issued to around 130 companies globally in order to ensure excellence in purchase
management.
2014
• Arçelik A.Ş. became one of the 15 companies listed under "BIST Sustainability Index", which
is based on environmental, social and corporate governance performances of companies.
• Arçelik is selected as "The Most Popular Brand" in both white goods and consumer
electronics fields and a category-independent survey, which is conducted for the first time,
within the scope of "Turkey's Lovemarks" research.
• 13 products of Arçelik A.Ş. are entitled to awards within the scope of "Good Design Awards"
presented by Chicago Athenaeum Museum of Architecture and Design and Metropolitan Arts
Press Ltd. Museum.
• Arçelik A.Ş. is given “R&D Leadership” and “Leadership in Technology Development” awards
within the scope of the Third Turkey Innovation Week organized by Turkish Exporters'
Association.
• Arçelik A.Ş. became the winner in “Innovation Strategy” category of InovaLIG Innovation
Leaders Awards within the scope of Turkey Innovation Week.
• 2013 Sustainability Report of Arçelik A.Ş. is issued in accordance with the new G4 reporting
guidelines of GRI - Global Reporting Initiative.
Corporate Social
Responsibility
Corporate Social Responsibility
 At Arçelik Company, we perceive Corporate Social Responsibility as integral part of
our business.
 Our “Corporate Social Responsibility” approach comprises ‘conforming to legal,
moral standards and human rights, being diligent to environment and to the needs
of the community everywhere we operate, our commitment to sustainable
development, along with providing the most qualified and innovative products and
services to our customers’.
 Our greatest strength is our employees and partners, which see themselves as
being Corporate Citizens, and are committed to dedicate their effort, energy and
time voluntarily to contribute to the community.
40
Corporate Social Responsibility
•
Arçelik A.Ş. conducts fact finding surveys and prepares
reports to meet the requirements of the Global Compact
principles and SA 8000 (Social Accountability)
Standards.
•
Arçelik A.Ş. was among the first signatories of
the Code of Conduct issued by CECED.
– This treatise ensures that the companies
demonstrate a sustainable performance in meeting
the requirements of international conventions on
working conditions and those regarding the
environmental laws and regulations.
•
Arçelik A.Ş. published the 6th Sustainability Report
covering the Company’s operations in the light of
economic, social and environmental performance.
Report’s “B+” application level has been checked and
approved by the GRI Secretariat.
41
Corporate Social Responsibility
White Fish Playrooms
Standing United for Education social responsibility program
reached 300 schools in 60 cities, 200.000 students .
Donating Blood
for My Country
Vocational Education Laboratory of Arçelik A.Ş.
World Environment Day Event
42
Corporate Social Responsibility
No Barriers for My Country Project
Arçelik A.Ş. Employees Read Books to the Visually Disabled
Seminars on the Right Approach Towards the Disabled
Support for International Mandela Day - Turkey
43
Corporate Social Responsibility
 We Give More Life to Your Clothes - Spain
 Ethelbert Children's Home –
Defy - South Africa
 Support from the CHOC
home- Defy – South Africa
 Beko REFRESH Slovenia
 10 Years, 10 Cities, 10 Schools Project
- Bosnia
 Ecology from A to Z with Arctic - Romania
 Beko Planting Trees Campaign - China
 Support for the Krymsk Flooding in Krasnodar - Russia
 Orphaned Children Attend the Tabaluga Theater, Munich, Germany
 Association for Needy Children,
Projuventüte - Austria
44
Raising Public Awareness on Environment
In addition to developing environment-friendly products,
Arçelik A.Ş. believes its social responsibility to support
activities raising the public awareness about
environmental issues.
Environment Friendly Projects :
• TEMA - “Oak Campaign”
• TEMA - “Don’t waste your water” campaign
• En-Ver “Energy Efficiency ” Project
• En-Ver “Motor Movement ” Project
“For My Country Project” of Koç Group,
voluntary team comprising Arçelik A.Ş. employees, authorized
dealers and services organized environmental trainings for
the children in 80 Turkish cities.
45
Raising Public Awareness on Environment
• Arçelik takes a leading role to
increase public awareness regarding
sustainability and climate change.
• To be a spokesman for Turkey
Climate Change Leaders Group
• Signed the 2 Degree Challange
Comminuque.
• Attended the World Climate Summit
held in Durban, Africa.
• Attended the UN Conference on
Sustainable Development in Rio,
South America.
• Attended the World Climate Summit
held in Doha, Qatar.
46
Sports
Beko-Basketball Event Sponsorships
(*)Presenting Sponsor of
 2014 FIBA World Basketball Cup in Spain
 2013 Euro Basket European
Basketball Championship in Slovenia
 2011 Euro Basket European
Basketball Championship in Lithuania
 2010 FIBA World Basketball Cup in Turkey
Main Sponsor of
 2009 EuroBasket in Poland)
 2009 FIBA Asian Championship Sponsor in China
*the biggest sponsor of the tournament
47
Sports
Beko-Basketball League Sponsorships
German Basketball League
Lithuanian Basketball League
Italian Basketball League
Sports
Beko – FC Barcelona Partnership
49
Sports
Sponsorships
 Beko - Beşiktaş Football Team
 Grundig - Official Technology
Sponsor of German Football
League
 Beko has become the sponsor of
FA Cup in UK in 2012
 Beko has been the sponsor of
Classic Golf Cup
50
Thank you
www.arcelikas.com