Our new strategy is built on the foundation of our corporate values and will drive our successful development in the coming years in order to achieve our long-term vision for Henkel: to become a global leader in brands and technologies.
In order to steer the focus of the entire organization toward our new strategy and ensure its successful implementation, we have defined four strategic priorities:
The basis for our new strategy was a detailed analysis of major long-term market trends. We identified three megatrends which will affect our different businesses over the next years: consolidation, emerging markets and speed.
- Consolidation in our supplier, manufacturer and customer base as well as in our competitive environment will continue. Size will become a critical success factor in the future. Consequently, we need to grow our businesses.
- We expect the shift of growth from mature to emerging markets to continue. As a result, we need to expand our already strong footprint in these markets over the coming years.
- We anticipate highly dynamic market evolution, and faster decision-making by suppliers, customers and competitors. In addition, further digitalization will lead to changes in our market environment. We therefore need to continue simplifying our processes and increasing our operational excellence.
Financial targets 2016
We have defined ambitious financial targets for our company. By 2016, Henkel aims to grow sales to 20 billion euros, of which 10 billion euros will come from emerging markets. For adjusted earnings per preferred share (EPS), Henkel targets a compound annual growth rate (CAGR) of 10 percent between now and 2016. These financial targets are based on organic growth, including continuous portfolio optimization, i.e. small and mid-sized acquisitions as well as divestment or discontinuation of nonstrategic activities. Potential major acquisitions or divestments are not built into our financial targets.