A specific model: concentrate on its core to better internationalize

14Owing to the competition, but also the highly cyclical demand, the cementers groups must either diversify, either internationalize their activities [13]. Rarely, they combine the two options. The level of diversification groups vary significantly depending on the type of activity. They are either of horizontal diversification – toward products close – or vertical, upstream or downstream of core business. The cementers groups opt in preference for a selective diversification to downstream: they all attend in the ready mix concrete production, a natural outlet for cement. The diversification towards the aggregates extraction is the logical consequence. But they do not interested in the production elements in concrete, segment of low gross profit and dominated by the large groups of construction.

15The diversification therefore appears relative. In contrast, for large cementers groups, internationalisation constitutes the best way to limit the impact of cycles. Nevertheless, it must differentiate between settlements conducted around the national basis and real globalization of activities: in this regard, Holcim and Lafarge are ahead on their main competitors [14]. The Holcim case shows how some actors have been quickly forced to grow out of their national borders due to a national market too narrow: Holcim is now the most internationalized group from all the sector of building materials, before Wienenberger (Austria) and Rockwool (Denmark).

16In addition to the cement manufacturing, the cementers groups are all present in the extraction of aggregates and the production of ready mix concrete: in general, these three activities represent 80 % of their net sales at least. Between these groups the differences in strategy therefore rest in the relative share of these three activities and the level of development of the other. Two types of strategy are emerging. The first matches the profile of groups Lafarge and Heidelberg Cement, with a weight of cement around 50 % and activities annexes of the order of 18-20 % : the first is very present on the market of plaster (the third of the world [15]), the second is active in many markets of materials (mortars, products of facades and soils, concrete, hardship and coated). This profile more diversified opposes that advocated by groups such as Holcim, Cemex or Italcementi, whose growth is based mainly on the production of cement, aggregates and ready mix concrete. At an internationalization coupled with a diversification reasoned opposed to another one, that of Holcim, consisting to concentrate on its core.

Three trades, but first the cement

17Holcim is a producer of cement: this last represents, on average, from 1996 to 2006, approximately 60 % of total net sales.

18However, the relative share of aggregates and ready-mix concrete has increased significantly between the beginning and end of the period, from less than one quarter of the total to more than a third.

19If the sales of cement have grown by regularly between 1996 and 2006, with a slight acceleration from 2001, that date also marked the starting point for an explosion of turnover aggregates-ready mix concrete employment.

20In contrast, the other activities have gone down very quickly. The years 1997-2001 have been marked by a spectacular disengagement of the asbestos sector, illustrated by the assignment of Eternit Tiefbau Gmbh and dimming of Eternit Switzeland AG. The fact appears as very important because in 1985 yet, Eternit group was the second largest purchaser global asbestos and sold for 2 billions $ of asbestos cement in thirty-two countries [17].

21In volume, the rebalancing in profit of aggregates and the ready-mix concrete seems less net:

22However, acceleration observed between 2001 and 2005 has more benefited to the aggregates than the cement and ready-mix concrete. Holcim then tries, without success, to fill the gap on Lafarge, which was dominant in this area. Furthermore, it is likely that price developments had been more favourable to the client for cement that for the other two segments, hence inciting integrating upstream towards aggregates and downstream towards ready-mix concrete.

23Another factor has been able to play in this sense: the weight of relatively higher charges for labor in the cement than in the granulates or the ready mix concrete.

24This relative weight of the cementer workforce increased significantly between 1997 and 2001.

25The cement had been in effect the sector in which the staff have risen most on throughout the period:

26In late period, from 2001 to 2005, the staff also grew rapidly in the other segments, from a very low level it is true: it corresponded mainly to the willingness of Holcim not to neglect the asphalt sector and road concrete.

27The cement segment is characterized indeed by a level of labor productivity in average lower than for aggregates and ready-mix concrete:

28The trend manifested mostly from 2002: before the productivity of cement industry exceeded rather that of the other segments.

29In fact, on all of the period 1996-2006, the productivity of cement has tended to decline more and more, with the redeployment to the emerging markets:

30On the contrary, it has progressed in a sustained way for the granulates and the ready-mix concrete. It collapsed in other sectors, mainly because of withdrawal from the sector of asbestos.

31The scale of these developments must not be exaggerated, because the cement is still, between 1996 and 2006, the segment by far the most profitable.

32Aggregates and ready mix concrete offer very low margins. On the contrary, on the cementer segment, the economy effects scales play in full, favouring an remarkable rising of the margins.

An implementation truly global

33This preponderance of cement activity is consequential an establishment truly global. Indeed, the group Holcim is present, significantly, in each of the major areas of activity world:

34If Europe remains, the most important area of activity (much more than a third), the group is also powerfully installed in North America (a quarter of the total), and in latin America (a fifth). But in each of these sectors, it is facing a difficult competition: Lafarge prevails in Europe and North America and Cemex in Latin America, Holcim is occupying the second place on each of these markets. In Africa and the Middle East, he is also the second place, but its positions in Egypt or in South Africa are such that keeps the leadership.

35This leadership cannot be challenged in the Asia-Pacific: no competitor, even Lafarge, was developping such activity there. The Asia-Pacific is characterized in fact by a spectacular development:

36The latter has accelerated from 2001. It is the same in Europe (Spain, Italy, Russia, UK for aggregates). Latin Northern continues to offer interesting growth opportunities while Latin America’s most dynamic area in early period, is now a stagnation marked. The recent years have seen a significant recovery in activity in Africa and Middle East, where Egypt is a locomotive.

37In terms of jobs, the relative weight of Europe and, more importantly, of North America is far from being as strong:

38In contrast, one of Latin America and in the Asia-Pacific appear high: the first exceeds a quarter of the total in early period, the second reached almost 39% of total between 2002 and 2006.

39All Asia-Pacific is indeed the zone by far the most creative jobs:

40The pace of job creation accelerating even in the final period, as in North America. Scope by an overall favourable conditions, this region offers a sample sustained growth. The progression is much more modest in Europe. As for latin America, at the end of period and especially the Africa zone-Middle East, they are characterized by a poor dynamism.

41In terms of labor productivity, there are strong differences between these regions. Northern America stands out clearly:

42Without doubt, the competition was particularly strong there. An explanation of this type is probably also valid for the Africa zone, Middle East, where, apart from the leader Lafarge, Holcim must face the competition of Italcementi, of Heidelberg Cement and Cemex. In Europe, the average level of productivity tended to decline with the conquest of new markets in Eastern Europe (Hungary, Czech Republic, Slovakia, then Russia) and the South East (Bulgaria, Romania and Croatia and Serbia). The productivity levels are lowest in Asia-Pacific, where the scale of demand slowed the restructurings. More importantly, it supports the global growth of the group.

A proper control of costs

51From 1993 to 2006, the added value grew significantly faster than the intermediate input.

52Nevertheless, the situation has deteriorated from 2001 with an marked acceleration of these same consumptions (raw materials, energy, transportation). More worrying has been changing personnel expenditures: always supported, they have increased much faster – of two points per year on average – that the added value between 1997 and 2001. This same period was marked by a decline in the Operating EBITDA.

53These trends read in the evolution of the structure of operating. During the period 1993-2006, the relative weight of intermediate consumption fell nearly two thirds of a little more than 40 %, a decrease of nearly a quarter:

54Here evident interest integration strategy upstream: it was a need given the relative weight of coast of purchases (a little more than 50 % of net sales). Similarly should be urgently save energy expenditure, hence the economic interest a strategy of sustainable development. In contrast, the inevitable rise in staff costs has led to a reduction of the share of gross operating result, dropped from nearly 60 % to less than 45 %, down from 15 points in 14 years. The cost control was therefore limited, less than what Lafarge realized at the same period [20]. It was probably explainable by the extensive character of the growth.

An extensive growth

55Between 1993 and 2006, the progression of gross profit has increased at a brisk pace, significantly higher than the growth in personnel:

56In contrast, the Gross productive long term assets (cement plants, crushing stations, etc.) increased even faster.

57This phenomenon, logic in an industry as capital intensive industry than the cement industry, explains the weak growth, or even weak global productivity of the production factors.

58Certainly the labor productivity has increased to a modest pace, but it does not have been even for capital productivity which, in contrast, has slightly decreased during the same period. In fact most of the dynamics of growth resided in a mobilization increased productive capital.

A high investment rate

61This brake on investment grew out of character high intensive capital activity in the group.

62But this policy could only slow the reduction of the liquidity of assets from 1997.

63Indeed, from 1993 to 2006, the investment rate of the group Holcim remains persistently high.

64It increased until 1997, stabilized at a high level until 2001, then it settled a little. Except between 1993 and 1996 and 2002 to 2006, the balance was almost done between productive investment and financial investments.

Toward priorities to the external growth

65Sensitive in long period, due to a superior growth in a tendentious manner, the bias in favor of the external growth emerged better yet from the investigation on the structure of investment.

66While balance internal growth-external growth was basically achieved in 1997 to 2001, over the years 2002-2006, the second outstriped clearly. On the one logical way, within productive investments, the expenditure of maintenance tended to take over on the spending extension, rather privileged until 2001.

67Nevertheless, these investments enabled, in the cement, to increase faster production capacity than the volume of sales.

68The difference goes from 20% between 1993 and 1996 to nearly one third of 2002 to 2006. But does the advantage conferred by the economies of scale really balance the negative effect of surplus production capacity ?

An high rate of self-financing

69The group Holcim drew, it was true, benefit from a high rate of self-financing investment: approximately 70 % on average of 1993 to 2006.

70If it lowered of 8 points between 1993-1996 and 2002-2003, it was still very substantial in the final period and, in any case, higher than its main competitors. More than any other of the latter, Holcim took advantage of barriers to new competition imposed by the high capitalistic character of this sector [22]. In turn, this investment strategy creates the conditions of high level financial independence and profitability.

Two major assets

73Unlike most of its competitors, Holcim got the benefit from 1993 to 2006, of the relative stability of its shareholding. This stability had not been total however. Indeed, from 1993 to 1998, the family Schmidheiny has an absolute majority at the general meetings, with 54,6 % of voting rights [23]. Certainly, at this period, there was already five times more transferable shares than the registered shares. But the seconds brought five times more voting rights than the firsts. This system of share with a plural vote was well recognized, particularly because of granting the first of higher profits. This domination of the founding family however operated through a financial company that it controlled, the Schweizerische Cement-Industry-Gesellschaft Glarus (Financière de Glaris). It was reflected by the fact that Thomas Schmidheiny exercised the functions of Chairman and that of Managing Director.

74From 1999, Thomas Schmidheiny became the first name in shareholder of the company Holderbank: with the initial share of the group companies, he retained the absolute majority of voting rights, that is 54 % [24]. In the beginning of 2002, due to difficulties encountered by the group in Spain and Portugal (the case Cimpor [25]), he resigned from his functions of Chairman Managing Director while remaining member of the Board of Directors. His participation, always important fell to 27,1 %, then 23,6 % a year later [26]. It was fixed at this level. Nevertheless, the group controlled firmly the capital, through Capital Group Companies Inc., an holding company with nearly 10 % of voting rights [27].

75Despite a new recess of the commitment of Thomas Schmidheiny, the group still controlled about 31 % of voting rights. Given the fact that the Swiss shareholders, together, held almost 40 % of total shares, in the form of registered shares, the capital appeared well controlled, in spite of the existence of 31 % transferable shares. Regardless the amount of free float achieved 79 % in 2006, the group retained a certain a margin of strategic independence: it escaped to “the tyranny of the market prices” [28]. Quoted to the exchange Swiss Exchange, Holcim share showed there a dynamism above the average: + 30.7 % in 2005, + 26.8 % in 2006 compared to the level reached in December 31 last year.

76This dynamism is met by the absence of real cash flow problems. Of course, in 1993 to 2006, the total shareholders equity [29] was never enough to cover the long term assets: the situation seemed even worse, especially from 1999 to 2001 and 2005-2006. But the long term liabilities allowed to restored without problem a large cash surplus and compensate for the high needs, but steadily growing, investment financing. The cash position had even gradually improved, from 2001, as the shows the evolution of gearing, that is to say the report: net financial debt/total shareholders equity [30].

77To cope with the rise of net debt, the only viable solution laid in expanding the capital: thus the need to invest massively which led to the relative disengagement of the founding family. Such a strategy was driving, in a progressive way, from the family business to the managerial firm. It could not remain viable, in the eyes of Thomas Schmidheiny, only in case of the strong profitability of the group.

An high profitability

78Between 1993 and 2006, the group Holcim has always enjoyed a high profitability:

79The economic performance of the assets [31] was around in average 19-20 %, a figure very substantially higher than what was observed at the same time among Lafarge Group. It stabilized from 2002, but remained at a high level. The return on investment therefore remained high throughout the period. It was the same for the financial profitability, close enough however to those obtained by the great french competitor [32]. Apart from during the period 1993-1996, where the group Holcim must proceed to significant provisions for risks (see the case of Cimpor for example), the ratios net income/total shareholders equity and net income/liabilities also appeared rather better than for the competitors. Further the developments was frankly positive, then they amounted to a regular basis.

80This strong profitability reflected a satisfactory financial structure. Between 1993 and 2006, the group Holcim was characterized by a very good level of financial independence, the persistence of a heavy net financial debt in the medium-term and long term together with a decent level of coverage for medium-term and long term debts by the cash flow from operating activities.

81It was true that all indicators of profit are progressing, on a satisfactory manner for the group.

82Especially fast was the progression of net result, the more visible to the eyes of the shareholder. In contrast, the progression of cash flow from operating activities appeared a little more in withdrawal.

83The result had been on the whole period, a faster progression of earnings than that of self-financing.

84Indeed this last increased more and more from a period to another, but the difference did not stop to amplify, from 1997, starting date of a change of attitude in regard to the shareholder. In fact, the continued growth of the group supposed an increasingly wide call to the international financial markets. To do this, it had to be attractive, especially vis-à-vis anglo-saxon investors.

85This inflection to the benefit of shareholder is remained however at a limited scale. Indeed, the cash flow from operating activities had been devoted around 90 % to the self-financing of investments:

86Such a distribution policy offered to the group the means of an ambitious strategy of sustainable development.

Priority to emerging markets

88From 1998, the share of emerging markets had continued to grow within the net sales of the Holcim group.

89Indeed, on the markets of mature countries, the competition appeared strong. This was the case in Western Europe, where Holcim was lagging by Lafarge, its main competitor. The latter outstrips the United Kingdom, in France, where Italcementi is also better placed, through its subsidiary Ciments Français [33]. In Germany, the Benelux countries and in Scandinavia, Heidelberg Cement appeared as a leader. Germany, as elsewhere in Central and Balkan Europe appeared very coveted, because, in addition to Heidelberg, Lafarge and Buzzi Unicem groups, through its subsidiary Dyckerhoff, were also presents there. Holcim had a strong positions in Italy and Spain, but it did not succeed to acquire a leadership there: in Italy, Italcementi and Buzzi-Unicem dominated, the two local protagonists, whereas in Spain, where Italcementi was present, Cemex seemed to take a progressive ascendant, partly thanks to its advance in the ready-mix concrete segment.

90In North America, Holcim had provided some very important investments that helped him, in 2006, to acquire (with 17.3 million tonnes of installed capacity in 2006, or 14 % of the market) a leadership in the United States, in the cement sector, but the advantage taken on Lafarge remained insufficient: thanks to the domination that the French group exercised in Canada, it remained the number one in North America, where were also established Cemex, Heidelberg Cement, Buzzi Unicem, Italcementi and Vicat, a french group enjoying about an excellent technology [34]. In contrast, always in North America, Holcim was clearly outdistanced by Lafarge in the area of aggregates (65.1 million tonnes produced in 2006 against 142.6) and by Cemex for the ready-mix concrete. Yet Holcim had not measured its efforts, as revealed the redemption in 2005, of Aggregate Industries Inc. to USA (5498 persons employed in 2006) and that of Aggregate UK Ltd., its British subsidiary (6599 employees).

91The emerging markets therefore offer the only way to get back a competitive advantage. This advantage, Holcim had kept it for a long time in Latin America. The group settled early in Mexico, thanks to Apasco Ltd. of CV, become Holcim Apasco Ltd. of CV in 2003: with a cement capacity of 11.5 million tonnes per year, the group controls then about one quarter of the market. It is also well established in Costa Rica, El Salvador, Nicaragua, Panama, in the Caribbean ex-Dutch, in Santo Domingo. Regarding South America, it is present in Colombia, Venezuela, Ecuador, Chile, Argentina (Minetti SA, which dominates the national market) and Brazil, where the competition remains strong with Lafarge, despite an relative advance of Holcim in market shares. But this latin-America leadership is increasingly challenged by Cemex, which dominates on the Mexican market, the most dynamic of all, but also present in all the countries of Central and Caribbean America, in Colombia and Venezuela.

92In Africa and the Middle East, the Holcim positions appear more fragile. Absent from Turkey, where Lafarge, Heidelberg Cement and Vicat are the most active, Holcim is also absent in sub-Saharan Africa, except in Guinea, Ivory Coast, Nigeria (in contrast with Lafarge), in La Réunion and, especially in South Africa (approximately 30% of the market against 20 for Lafarge). In contrast, it has strong positions in Morocco, where the market is shared with Lafarge (37 % to Holcim, 41 for Lafarge) and Ciments français, in Lebanon and, more importantly, Egypt (21 % of the market against 8 to Lafarge, 7.5 to Cemex and 5 to Italcementi). Moreover Holcim group had tried, belatedly, to take off in Russia: the group had conquered 10.7 % of market cement company, against 10 % to Lafarge and 6 % to Dyckerhoff. Absent from Ukraine, Holcim is also missing in Central Asia, except in Azerbaijan, where it dominates the domestic market.

93In Asia, Holcim has really aquired an undisputed leadership. It owes to the conquest early and systematic of the ASEAN markets. Holcim was settled in Malaysia (where Lafarge has took the ascendant), at Singapore and New-Zealand, it took a clear lead, especially for business and technology in Vietnam [35], in spite of the Lafarge recent irruption, and Indonesia (12 % of the market against 3 to Lafarge). Above all, it had acquired a dominant position Philippines (nearly 50 % of the production of cement against 32 to Lafarge), Australia, thanks to the merger carried out in 2006 between the local subsidiary and a major competitor, and Thailand, where Siam City Cement Ltd. has an installed capacity of 14,8 million tonnes (approximately 50 % of total equipment of the country). Nevertheless, the main strength of Holcim group, came from two huge operations of external growth achieved in India in 2005-2006: the takeover of groups ACC Ltd. India, second domestic producer of cement (20,1 million tonnes of capacity in 2006), and Gujarat Ambuja Cements Ltd. (18,1 million tonnes of capacity). With about 21 % of Indian national market, the Holcim group has taken a place of undisputed leader, facing the competition of Lafarge (only 3 %) and Heidelberg Cement groups [36]. Present yet to Sri Lanka and Bangladesh (positions similar to those of Lafarge), Holcim was also interested in China, where everything remains to be done, despite the breakthrough already effected by Lafarge (19.7 million tonnes of installed capacity, but 2 % of the domestic market). These Asian success confer a real credibility to the strategic objectives of the Holcim group in terms of protection of the environment.

Preserving human environment

94This strategy aimed at preserving the environment is human footprint of brothers Thomas and Stephan Schmidheiny. The first, born in 1945, has studied the mechanical to the ETH of Zurich [37], then obtained an MBA from the IMD [38] in Lausanne, which he was released in 1972. He began his career in Mexico within Cementos Apasco (who subsequently became Holcim Apasco, vide supra), and then, he entered to the executive committee of Holderbank in 1976, prior to become the Chairman from 1978 to 2001. At the creation of Holderbank Ltd. in 1978, he integrated immediately the Board of Directors, he chaired it from 1984 to 2003. At his departure from the chairmanship, it appeared, in 2006, in all likelihood and by the amount of his fortune in 145e world class and second in Switzerland (after the family Raunsing) [39].

95At the head of the Holderbank group, he committed, from 1998, in the path of sustainable development. This year the group adhered to the World Business Council for Sustainable Development, which gathers 160 firms of global dimensions, in order to promote the reduction of carbon dioxide emissions (CO²), the use of materials and energy of substitution and, in the case of cement, to promote products mixed. In this context, Thomas Schmidheiny lead his group to engage for the strict application of the commitments of Kyoto Protocol, namely a reduction of 20 % in 2010 CO² emissions compared to their 1990 level. That same year saw the foundation, at the initiative of Holcim Brazil of the Institute for Sustainable Development, then the next year of the Holcim Foundation for Sustainable Construction: with the support of the ETH, the IMD, of the MIT of Boston and that of Tonji University in Shanghai, it opened an annual price well granted.

96Thomas Schmidheiny followed in fact the door opened by his brother Stephan [40]. Born in St. Gallen, Switzerland in 1947, lawyer by training, it starts to twenty-five years at Holderbank. After four years, he accesses the duties of CEO. In the following years, it diversified investment of the group, focusing particularly on forest sector, the bank and optics. He entered in the boards of Director of some companies like ABB, Nestlé, Swatch, Union des Banques Suisses (UBS). By the middle of 1970s, Stephan succeeded to his father as Chairman of the Board of Directors of Eternit group, that he renamed Anova. From 1990, it committed this last in the path of diversification: successfully, whereas in 2002, the Eternit group achieved 4 billion of annual net sales against 2 in 1984.

97The decision of the Schmidheiny family to opt out of the sector of asbestos dated back to 1976, that is when the reality of the asbestos cancer began to be recognized by the medicine. Unable to withdraw immediately, he reinvested profits of Eternit in large areas forest in latin America, in particular on 120, 000 hectares in southern Chile. In the 1980s, S. Schmidheiny created FUNDES, an organization which supports the development of small and medium enterprises in different countries of Latin America. However, he waited until 2005, to retire the family from all its interests in Anova.

98Meanwhile, Stephan Schmidheiny became, in 1990, Chief advisor of business and industry to the General Secretariat of the United Nations Conference on Environment and Development (UNCED [41]), better known under the name of Rio de Janeiro Summit (1992). This forum soon gave birth to the World Business Council for Sustainable Development (WBCSD), initiated jointly by S. Schmidheiny and Hugh Faulkner, Canadian politician, a member of the Liberal Party, former Secretary of State, then Minister of Indian Affairs and Northern Development in successive governments of Pierre Eliott Trudeau, before access to the vise presidency Alcan, then to the chairmanship of Alcan plc. Europe [42]. S. Schmeidheiny was directly appointed as honorary chairman there. In 2003, he retired in Costa Rica, abandoning its functions in Anova and Groupe Nueva, latin-American holding, which control namely its forest exploitation network. Moreover, having created Viva Trust, an philanthropic foundation, he yielded all his shares of the both companies. This attitude allowed him to become Doctor honoris causa of the University of Yale. His brother Thomas invited him by creating a Chair of Family Business and Wealth into the Indian Business School of Hyderabhad, proof of his interest in the country.

99The push given by the Schmidheiny were quickly in keeping with the practice of the group around some pathfinders experiences: standardization of modernized factory (Joliette in Canada, Dundee in USA, for alternative energy sources), development of composite cements (Belgium, Spain, Italy). However, we must wait for 2004 that emerged a real strategy. It promotes the entry of the group in the Dow Jones Index resources, then the London Stock Exchange, in the FTSE 4 Good Index. It acted in the same sense with the organization, in Bangkok in April 2006, of the Holcim forum for Sustainable Construction, with assistance of the ETH of Zurich. This strategy is based on the following objectives: health and safety at work (decrease in the accident rate and the time lost), progressive reduction in emissions of CO² (the Kyoto objectives are achieved as early as 2006), increasingly replacement of fossil fuels (close cooperation with GTZ German Technical Cooperation), development of social commitment (support to many projects selected and to various donations), strengthened cooperation with the World Business Council for Sustainable Development (Holcim is part of the three promoters of the Cement Sustainability Initiative), support for sustainable construction projects. This strategy proves effective: two consecutive years, in 2005 and 2006, Holcim is taking the head of Dow Jones Sustainability Index.

100The group placed the sustainable development at the heart of its objectives:

101The investments in favor of the environment and safety are an important part of the net sales. Those specifically allocated to the reduction of CO² are progressing in a so impressive way.

102In contrast, the expenses on research-development appear much less than among major European competitors.

103Constant on average since 2002, despite a significant decline in 2004, their level was probably underestimated, because the subsidiaries of the group benefited from a large margin of technical and commercial autonomy. The group Holcim appears anxious to expand its range of products, to develop new types of cement, in collaboration with Swiss universities, to launch new composite materials more competitive and sustainable than steel, aluminum, wood or the glass, to maintain the proximity with the client by an innovative offer and propose new processes which are able to allow the use of new alternative fuels. In terms of products, 2006 saw the launch in Belgium and France of CEMROC (cement based on dairy of blast furnaces), new type of mortar which can replace the plastic, in USA that of the Bardon Superflex, an asphalt developed jointly with British Petroleum. New marks are also regularly launched, for example in USA (Envicore) and in Switzerland (Selfpact, Flextremo).

104In order to facilitate the membership of personal to the sustainable development strategy, the group had developed, from 2001, a new management structure, with the separation between the duties of CEO, assigned to Markus Akermann, and of Chairman, devolved from 2004 to Rolf Soron. To improve the Corporate governance, had been created an Audit Committee and a Nominations & Compensation Committee. This group is concerned now for the formation of a truly international management, with as essential concern to promote young talents and the responsibility of the staff toward the environment and society. Built since 2001 around a single brand, Holcim, the group is concerned with training, in conjunction with the most prestigious business schools (IMD of Lausanne, University of Saint-Gall). With the progress achieved in terms of reducing accidents at work, with improved living conditions of employees of the group, the dynamic driven from the outset by Schmidheiny is also reinforcing.