The Clariant Story Creating value for the next level of profitability
Clariant has set ambitious goals for itself with regard to profitability: Mid-term, the EBITDA margin before exceptional items should improve to a target range of 16% to 19%. After a period of extensive restructuring and a far-reaching portfolio reorganization in the past few years, the company is showing clear signs of growth and additional gains in efficiency. In order to create additional value, continous change in the company is necessary.
The topics of cash flow, cost reduction and complexity reduction were the focus of the 2009 – 2010 restructuring. Numerous locations had to close, and more than 4 500 employees left the company. As a result, the financial foundation was created in order to be able to actively shape the company’s portfolio again. This happened in 2012 after the acquisition of Süd-Chemie in 2011 and the subsequent separation of less profitable and slower-growth businesses. Clariant introduced a new value system in order to renew the corporate culture. A reflection of the changes in the Group are the definition of a corporate vision and mission and a new brand identity.
Value creation through appreciation
Clariant’s vision is to become the globally leading company for specialty chemicals, and to stand out through above-average value creation for all stakeholders. The path to this point is guided by a clearly-defined mission, which is based on building leading positions in the businesses the company is active in, and in adopting functional excellence as part of the corporate culture.
We create value through appreciating the needs of:
Our customers
by providing competitive and innovative solutions
Our employees
by adhering to our corporate values
Our shareholders
by achieving above-average returns
Our environment
by acting sustainably
Value creation through continuous change
Our era is characterized by dramatic shifts in economic power blocs as a result of unstoppable globalization. New markets have emerged that have become growth drivers and, as in the case of China, the global economic engine. However, 2015 has shown that successful companies should not focus on these markets alone because there are also times of consolidation and reorientation. Companies such as Clariant must be able to react more flexibly and quickly to the resulting changes. The most important thing is therefore a lean structure, the ability to address all stakeholder groups equally with their specific wishes and needs.
»We must exploit all of today’s change processes to build momentum and reshape Clariant for the future.«
The change in mindset according to the corporate culture is just as important as the restructuring of the Group and its operational structures. In the last few years, Clariant has consistently positioned its business portfolio on above-average profitable businesses in markets with high growth potential and good pricing power. In order to generate additional value, the company has to accelerate the change process. A new quality of change is needed, a change in mindset and behavior, a cultural change coming from deep within the organization. This bottom-up movement starts with each employee. Each day, they need to ask the question: What does my customer want? Where is the added value for them? What does this mean for me and my company? »Discover Value« is the company’s attitude to accelerate change. It’s a mandate for all employees and it’s an invitation to explore Clariant’s activities.
Values for a performance culture
Sustainable value creation for all its stakeholders and for Clariant as a whole requires the alignment of all business on central factors that are inextricably linked and built upon each other: Driving for excellence, disciplined performance management, delivering to promise, courageous and decisive leadership, lived appreciation, and corporate responsibility.
A value system focussing on performance, people, and planet
Sustainable company successes and value generation can only be realized in a corporate culture that is embraced by everyone involved, and which achieves a balance between business performance, social interests, and environmental targets.
Cash flow
Economic indicator representing the operational net inflow of cash and cash equivalents during a given period.
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Stakeholder
Stakeholders are people or groups whose interests are linked in various ways with those of a company. They include shareholders, business partners, employees, neighbors, and the community.
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Executive committee
Management body of joint stock companies; at Clariant the Executive Committee currently comprises four members.
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