Annual Report 2013
Our Mission – « To Connect People Reliably
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Contents
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FOREWORD BY THE CHAIRMAN OF THE BOARD OF DIRECTORS AND CEO Well Equipped for the Anniversary Year 4 MARKETS/COUNTRIES Momentum for Growth 6 PRODUCTS/SOLUTIONS
Printing Information
Solutions to Meet Future Requirements
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DATA CENTER Top Solutions for High Performance Data Centers 10 INVESTMENTS
COVER PICTURE
Lean at all Levels 12
R&M has become one of the leading suppliers for High Performance Data Center Networks
EMPLOYEES
CONCEPT & LAYOUT blue-concepts gmbh www.blueconcepts.ch PRINTED BY
Playing an Active Part in Our Success 14 EXECUTIVE BOARD Members of the Executive Board 16
Druckzentrum AG www.druckzentrum.ch
BOARD OF DIRECTORS
PUBLISHER
OWNERS
Reichle & De-Massari AG Binzstrasse 32 CHE-8620 Wetzikon Switzerland www.rdm.com
Being An Entrepreneur 20
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Members of the Board of Directors 18
FACTS & FIGURES R&M in Figures
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Foreword by the Chairman of the Board of Directors and CEO
Well Prepared for the Anniversary Year The rigorous implementation of our strategy is showing its first signs of success, allowing R&M to approach the company's 50th anniversary in 2014 with renewed vigor.
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espite the many external challenges and a difficult economic situation, 2013 was a year in which R&M managed to considerably improve its turnover and earning power, thus taking a major step forward in the accomplishment of its medium-term objectives. This sustained strategic focus and the systematic implementation of the measures defined in 2012 to improve the financial situation have delivered first positive results and further strengthened R&M for the future. Thanks to an accelerated momentum in the second half of the year turnover increased to a level of CHF 197.3 million, which is 7.4% more compared to the previous year. At CHF 5.0 million, operating profits are now clearly back in positive zone, resulting in a net profit for the first time in several years. The targeted investments made in recent years in the sales organization, the increased focus on fiber optics technology as well as on the two strategic segments – Data Center and Fiber to the Home (FTTH) – have had a positive effect. Fortunately, all regions
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have contributed to this positive trend. Most notably, the growth markets in Asia and the Middle East were able to achieve double-digit growth and now account for more than a quarter of the total turnover. In order to further strengthen R&M's position, we will continue to make targeted investments into these markets over the next few years. We saw in the second half of the year an encouraging improvement of our business in Europe, too. We have also initiated first important steps in terms of improving our efficiency. Within a very short period of time, most of the fiber optics production was successfully transferred to Bulgaria – in strict compliance with high Swiss quality standards – allowing us to make important cost savings. Furthermore, a comprehensive "lean management program" was launched at the start of the year and first production lines were successfully converted to this new production philosophy. 2013 once again we made important investments in the development of new products. Successful additions
have most notably been made to our product range in the Data Center sector. With the introduction of R&MinteliPhy we have launched a highly innovative "intelligent Automated Infrastructure Management system" (AIM) on the market. Major products in the other business sectors have also been further developed for release in 2014. All in all, we expect the economic situation to slightly improve in the coming year. The progress that has been made to date and the various measures that have already been initiated give us reason to be confident that we will take yet another decisive step forward in our anniversary year. 2014 is an important milestone for R&M! After all, when Hans Reichle and Renato De-Massari laid the foundations for the company in 1964 by developing what was then a revolutionary telephone outlet, no one could have predicted the position the company would be in 50 years later. Our company now has 750 employees in over 30 different countries. With great commitment and professionalism, these employees do
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their utmost to maintain and further build on the market position we have achieved. Our anniversary in 2014 should not just be an opportunity for us to look back on the past 50 years but also an opportunity to see how the company should position itself in order to remain successful in a much more globalized market, shaped by technological change. The fact that R&M can look forward to the future with confidence is due solely to its motivated employees who, day after day, demonstrate great commitment and expertise in their work for the company. We therefore owe them a great debt of gratitude in recognition of their achievements. We are equally grateful to our customers and business partners, without whom our 50-year success story would not have been possible.
> Hans Hess Chairman of the Board of Directors
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Reichle & De-Massari AG
> Michel Riva CEO
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Markets/Countries
Momentum for Growth WELL POSITIONED FOR SPECIFIC COUNTRIES AND PRODUCTS All the regions showed encouraging growth in 2013. It was particularly the growth markets of Asia and the Middle East that profited most from the investments made in recent years and accounted for a significant part of this growth. The increased focus on Data Centers, which are a high-growth sector, and the successful launch of a global CRM system have also had a positive effect.
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fter a poor start to the year, business picked up very well in the second half of the year thanks to a number of implemented measures. Turnover increased by 7.4% and our market position was further strengthened. This positive trend was without doubt supported by a slight recovery in the global economy.
It is remarkable that all the regions enjoyed noticeable growth. Of all the regions, the Middle East is where our business underwent the greatest percentage growth. However, Asia, Latin America and Eastern Europe also achieved a very satisfying increase. Some of the countries in Southern Europe that are still badly affected by
the economic crisis also showed some improvement, albeit at a low level. Two-digit growth rates were once again achieved in Portugal and Spain. A positive trend remains in place on the Swiss domestic market, where we have even managed to slightly strengthen our leading market position – despite the very competitive market environment.
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Although the market situation still remains difficult, we have once again, as in recent years, made counter-cyclical investments in our sales organizations. In addition to the investments made in our well-established markets, the focus on our growth markets has been sustained. By establishing our own sales organizations in Turkey, Brazil, and Russia, we are aiming to have a stronger presence in these major markets. Furthermore, we have made once again targeted investment in our rapidly growing organizations in Asia and the Middle East. As regards Europe, we have restructured our organization in the UK with the aim of exploiting the potential offered by Europe's second largest structured cabling market. By offering new products and solutions we are stepping up our activities in every region as part of our efforts to participate successfully in the rapidly growing Data Center market. The implementation of some largescale orders in the field of Data Center for renowned international companies demonstrates the suitability of the strategy we have pursued for many
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years and makes us very optimistic for the future. The sales activities have been backed up by intensified marketing activity. Some well-coordinated road shows have been held to showcase our range of services in the Public Network and Data Center sectors to customers at their location. The introduction of the „Data Center Network Days“, the publication of a comprehensive handbook for designers and operators of Data Centers, and increased participation in specialized trade events and forums, have allowed R&M to successfully position itself as a specialist for system solutions for this important market sector.
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The global launch of a standardized CRM system has also had a great im pact. This system ensures improved and more structured support for large-scale customer projects as well as for major national and global customers. High transparency and ease of coordination between HQ and the sales organization allows customized solutions and quotations to be processed quickly.
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Products/Solutions
Solutions to Meet Future Requirements SYSTEMATICALLY ADDRESSING USER NEEDS The ICT market continues to develop very dynamically. New devices are becoming increasingly powerful and require appropriate infrastructure. High-quality cabling provides the basis for full efficiency in data transmissions.
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ust a few years ago it was considered major progress to achieve a triple play, a service combining telephone, internet, and television via a DSL or cable connection provided by a single network provider. This trend has been called convergence; the coming together of IT, internet, and media to create a comprehensive communication package. These expectations and visions have now been taken to a new level as the full range of hardware and software applications, from smartphones to Data Centers, becomes increasingly powerful, providing surprising new functions with every passing day. The effects of these innovations go hand in hand with the desire for trendy communication solutions and optimized comfort. This mega trend labeled “convergence” seems to be bringing us ever closer to the goal of unlimited communication in real time. A new generation of solutions lies ahead for the Office Cabling sector. In just a few years’ time, 10 gigabit Ethernet will become the most commonly used protocol for connecting work stations to networks. A high quality cabling infrastructure is a prerequisite for this sophisticated protocol. A good quality network ensures complete
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efficiency of data transmission and prevents the costly consequences of network disruptions and fault tracking – the users can work faster and more efficiently. The tasks of maintaining, moving, adding and changing a network can be accelerated by a user-friendly system, allowing for a more resourceful deployment of IT personnel. A NEW GENERATION IN OFFICE CABLING Anyone using copper cabling in their office may ask whether or not a shielded cabling solution is required to achieve a 10 gigabit Ethernet connection. The simple answer to this is “no”. This goal can also be reached by means of an unshielded cabling solution, provided you select the right quality and ensure the right conditions. As a provider of innovative cabling technology, R&M
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anticipated the 10 gigabit era at an early stage and developed its most powerful Class EA system with IEC-compatible Cat. 6A components. The unshielded version has recently undergone a com plete “facelift” in order to bring it as well as possible into line with Office Cabling needs. During this process, R&M applied its acclaimed expertise in the field of shielded cabling to create a unique UTP solution in accordance with the motto: “Unshielded, but not unprotected.” High quality cabling solutions, such as R&M’s Cat. 6A UTP system, ensure considerable cost savings for the user in the long term. This is demonstrated by experiences with numerous IT installations in office buildings. PUBLIC NETWORKS – FIBER OPTICS AS A CONNECTING MEDIUM Conventional networks made of copper and coaxial cables, and also mobile phone networks, are being pushed closer and closer to their limits by the laws of physics as there seems to be no let-up in the growth of data volumes and the trend toward the digitalization of everyday life. Which technology is the most suitable to meet future challenges? The answer to this is simple: In the long term, area-wide fiber
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optic networks will have to be combined with other technologies in order to provide the required data throughput and transmission rate for all their participants. Fiber optics have become the backbone of these networks. R&M’s developments demonstrate how the expansion of fiber optic networks is being prompted by the implementation of convergence in network technology. In the FTTx sector, the R&Mfoxs cabling system combines fiber optic solutions at all levels – from the network operator’s data center and central office through to core, feeder and access networks, antenna sites, and private connections. R&M has developed versatile distribution cabinets in order to allow the fine distribution of the fibers over the last few meters to the customer. The new Venus SCM boxes can be used as a platform for splice, splitter, patch, and CWDM cabling. Depending on the plans, topologies, and conditions at the location, these boxes can be fitted and expanded according to preference.
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R&M’s product development aims to systematically address new user requirements. This is demonstrated by the overhaul of the Optical Distribution Frame (ODF), which has made work on the distributor rack, and also planning, even easier. For three years now, R&M’s ODF has supported a number of successful network operators in the management of their fiber optic cabling. We are constantly analyzing the experiences our customers have gained through their everyday work in their central offices, hubs, and Data Centers. This has resulted in modifications to increase the benefits offered by the ODF. The second series of the ODF is now available.
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Data Center
Top Solutions for High Performance Data Centers A HIGH LEVEL OF CONSULTANCY, AVAILABILITY, AND PERFORMANCE Networks for Data Centers are complex systems that are geared toward individual needs. From the design through to the choice of product and commissioning, there are many details that need to be thought through and brought into line
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nvesting in a network infrastructure is a long-term matter. A Data Center’s infrastructure must generally fulfill its purposes for at least ten years and support several next-generation upgrades for its active equipment along the way. The manufacturer must be able to provide a comprehensive solution that is optimized for long-term use and complete with a warranty to match.
In their efforts to optimize their network, Data Centers therefore need reliable and experienced partners who can provide the customer with comprehensive and constantly forwardlooking support. The typical needs of a Data Center necessitate cooperation with manufacturers who conduct themselves in a sustainable way and who do not merely focus their efforts on the quick completion of a sale. This consultancy stretches far beyond the technological solution itself since it also has an organizational function. Being the reliable advisor that it is, R&M paves the way for many years to come and advises its customers by means of strategic plans and recommendations. This consultancy
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often covers the preparation of business cases, which is all about finding a balance between necessary investments, high competitiveness and adequate profitability. This requires indepth knowledge of the subject and a wealth of practical experience in order to maintain a broad overview and to identify future trends at an early stage. R&M has acquired this knowledge over a number of decades. One of the things we have learned from our experience is that IT strategies are more successful if the network’s design anticipates future growth and if greater attention is paid to the need for increased bandwidth. R&M has developed top solutions for high performance network con nectivity (HPNC): a forward-looking, user-friendly, flexible, and modular connection and distribution technology. R&M’s HPNC solutions are made up of a technology package which contains both fiber optic cabling and copper cabling and which is specially tailored to meet the bandwidth requirements of computing center applications.
This range furthermore opens up a coherent, logical path through a changing technological landscape. The upgrade to 10 gigabit and later to 40/100 gigabit Ethernet can be planned and implemented with surprising ease by means of R&M’s connection technology. This underlines a pragmatic approach that requires an in-depth understanding of a Data Center’s everyday needs and equally an understanding of its strategic needs. THE ROLE OF HPNC R&M took little time to conclude that high performance network connectivity (HPNC) is the fundamental criterion represented by R&M as a trusted advisor for Data Centers. Some market participants may not consider passive connecting and distributive technology to be a detail of any significance. R&M sees high-end solutions based on fiber optic and copper cabling as the cornerstone of any competitive Data Center. This is because high availability and performance are first ensured in layer 1, the passive infrastructure, where even the slightest of details, such as the contacts in the connection
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modules and plug connections, are crucial. This is what decides whether or not a cabling system can provide the required signal quality and sufficient resources in the long term. Anyone who uses R&M to enter the world of virtualization and cloud will receive a high performance network connectivity that meets future requirements and offers added value. These customers will receive superior quality surpassing all the relevant standards. This quality is based on progressive production processes, materials of the highest grade, and thorough product tests. This is the beginning of a new age for network managers. Finally, they can now also manage their physical infrastructure automatically. R&MinteliPhy is a new development by R&M that ensures intelligent Automated Infrastructure Management (AIM). It is equally well suited for the central administration of Data Centers, campus networks and company networks covering several locations. 090.6928
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Investments
Lean at all Levels CONTINUOUS OPTIMIZATION PROCESS IN PROGRESS The new R&M plant in Bulgaria can look back on a successful first year in operation. Called “Pearl”, a lean management program has been successfully introduced to R&M's organization.
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n order to meet the growing demand for fiber optic solutions and strengthen its competitiveness, R&M has been running its own production ope rations in Bulgaria since autumn 2012. The plant in Sofia brings cost savings and logistical benefits, while also being a strategically important part of R&M’s production network for the whole of Europe. This production site, covering approximately 10,000 m2, is used to prepare and assemble pigtails, patch cords, multi-fiber cables, patch panels, and outdoor distributors. The new plant now has over 100 employees working in the production of fiber-optic components and platforms. There are plans to further expand the site in future years.
In the meantime, there is also a deve lopment team in Bulgaria which designs fiber optic platforms. As part of a dual training system, comprising a training course that runs for several weeks at HQ in Switzerland and local support in Bulgaria, numerous Bulgarian employees have been trained to ensure compliance with the required quality standards. R&M’s integrated quality management system provides a basis on which to ensure that process
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safety and process quality are fully maintained irrespective of the location. The investments R&M has made into the training of its employees and establishing its production plant have been the subject of great public interest in Bulgaria. In early 2013, R&M won the Bulgarian “Investor of the Year” award. During that financial year, production at the plant in Sofia was further expanded. The plan is to be able to produce the entire fiber optic range in Bulgaria to the high standard associated with R&M and meet the future needs of the market.
standards. Active staff involvement is crucial to the success of lean management. This lean management program is being conducted by R&M under the project name Pearl. In 2013, the first of these projects was successfully completed in fiber optics production at HQ in Switzerland. The next stage of the process is to introduce Pearl to the further production sites and other areas of the business. Pearl is an integrated continuous improvement process that will continue to guide R&M in the long term.
PEARL OFF TO A GOOD START The ever-increasing competitiveness of the global market calls for a culture of continuous improvement, while still maintaining Switzerland’s high quality
SAP ROLL-OUT Following its successful launch at HQ, SAP has also been introduced at the production sites in Bulgaria and Poland to ensure that all the major production sites are using an integrated system. This new system will im prove transparency and offer ways to significantly optimize production and logistics. Its roll-out in the sales organizations will start in 2014. Day-to-day production operations at HQ will also be restructured. While HQ will still be considered a center of expertise, responsible for the development of
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product and production processes, it will now, as part of the Pearl pro ject, also provide the support required to set up new plants and launch new products. HQ will furthermore provide support during relocations, with the aim of ensuring that the production network continues to operate at a high level and R&M’s excellent quality standards are maintained at all locations. Frequent fast track orders placed during the course of projects and solutions with particularly high technological requirements will still go through HQ.
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Employees
Playing an Active Part in Our Auccess R&M appreciates the importance of its employees' contribution and promotes their involvement at all levels. Best practice processes are implemented to strengthen their motivation and further increase operational efficiency.
R&M‘s sustainable activities are based on the company‘s core cultural values. Since it was founded, this family-owned company has been committed to the ambitions of its stake holders, who also include its employees. The day-to-day operations are increas ingly being undertaken in international and multi-functional teams. As part of this process, R&M supports its employees by providing appropriate training and tools with which to
successfully overcome the complex challenges posed by this demanding form of collaboration. Ground-breaking changes in technology, economics, and society should be seen as an opportunity and embraced to benefit the user. The exploration of new avenues opens up new perspectives and is the starting point for any technological progress. Our company philosophy allows for employees to have an active part in the company‘s development. Their interest
in R&M‘s welfare is emphasized through professional support and trust in their personal commitment. The employees are actively involved in the development of new methods and continuous portfolio expansion. The implementation of best practice processes enhances the value of the employees‘ work and optimizes their workflows. Our corporate communication activities were intensified last year, using clear and simple messages to communicate quick and targeted updates to all our employees worldwide, thus reinforcing a feeling of unity. In order to improve coordination between the management and em ployees in preparation for the inter ational challenges, strategies, and new programs, a „Global Management Meeting“ was held for the first time during the financial year, involving more than 50 participants from HQ and the regional market organizations. Internal management training programs are other instruments used to achieve our targets in this area. Furthermore, for several years now, a wide range of internal and external training schemes have been offered as a standard part of the so-called R&M Campus. A key focus is training in the areas of lean management and project management.
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UPDATING OUR CODE OF CONDUCT Faced with the international expansion of our business, ensuring adherence to international compliance and gover nance directives is becoming an in creasingly important issue. Various global training sessions were therefore held once again this year to present employees with the principles of R&M‘s code of conduct. In the coming year, R&M will also introduce a mandatory online training course. These basic principles of conduct for employees were previously drawn up in mutual consultation and taught. Adherence to the code of conduct is assessed during each employee‘s annual appraisal. COMMITTED TO APPRENTICES Vocational training is something R&M takes very seriously and the company provides its own edu cation for apprentices. At HQ there are currently 26 apprentices gaining their first insights into four different professions: commercial management, development, IT, and logistics. The number of apprentices has risen continuously over the last few years. At 8%, the percentage of apprentices in the workforce has for many years exceeded the Swiss average of 5.7%.
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Executive Board
Members of the Executive Board Following its reshuffle in 2012, the Board of Managers has consolidated its position and firmly established itself. During this financial year Michel Riva additionally took over the responsibility for global sales.
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> f.l.t.r Markus Stieger, Martin Gasser, Michel Riva, Marilena Della Casa, Andreas R端sseler, Gianfranco Di Natale
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MICHEL RIVA, CEO • Born in 1964, Swiss nationality • CEO of R&M since August 2012 PROFESSIONAL CAREER: 2004–2012 Executive Vice President Bonding Systems and member of the Group Management Board at Forbo; 1998–2004 various Managing Director positions at DuPont de Nemours, most recently EMEA Business Director for business unit Powder Coatings; 1996–1998 President of the Strapex Corporation, Charlotte, USA; 1989– 1994 Various Finance Positions at F. Hoffmann-La Roche; most recently Financial Director at Roche Inter national, Uruguay EDUCATION: B.A. in business administration at School of Economics and Business Admini stration (HWV/FH) in Basel; MBA at IMD business school, Lausanne; Advanced Executive Pro gram at Kellogg Graduate School of Management, Chicago MARILENA DELLA CASA, CHRO • Born in 1976, dual Swiss and Italian nationality • Employed at R&M since November 2009; CHRO since 2012 PROFESSIONAL CAREER: 2005–2009: HR Manager at SIKA Schweiz AG; 2001–2005: HR Manager at IVECO (Munich and Turin (HQ)) EDUCATION: NDS postgraduate degree in Human Resources and Coaching; certified HR specialist
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MARKUS STIEGER, COO • Born in 1960, dual Swiss and British nationality • Employed at R&M since December 2006; COO since 2012 PROFESSIONAL CAREER: 2006–2011 Head of Supply Chain Management at R&M; 2005–2006 Head of Logistics Service at Bühler, Uzwil; 2003–2004 Head Commodity Manage ment at Bühler, Uzwil; 1992–2003 Founding Partner and Senior Consultant at Inova Management AG, Wollerau; 1986–1992 posts including Development Engineer at ABB Kraftwerke AG EDUCATION: Degree in Mechanical Engineering at the University of Applied Sciences and Arts Northwestern Switzerland (FHNW), Windisch; STV degree in Industrial Engineering; MBA at City University, Seattle ANDREAS RÜSSELER, CMO • Born in 1967, German nationality • CMO of R&M since 2012 PROFESSIONAL CAREER: 2006–2012 Product Manager for Company Management Systems & Closures; 2004–2006 Brand Manager for Systems; 2002–2004 Area Sales Manager for Fiber Optics at Huber + Suhner AG; 1996–2001 Development Engineer and Marketing Manager, Quante AG, Germany; 1994 photographic industry engineer at SAFE, Germany EDUCATION: MAS in Business Administration and Engineering at the University of St. Gallen; apprenticeship and master’s thesis at Dornier GmbH, Germany; studied electrical engineering at the Oldenburg University of Applied Sciences, Germany
MARTIN GASSER, CFO • Born in 1960, Swiss nationality • CFO at R&M since 2002 PROFESSIONAL CAREER: 1993–2002 Head of Finance & Con trolling at Hilti Korea and Japan; Sales Manager at Hilti Australia, Regional Controller for Europe at Hilti, Liechtenstein; 1990–1993 Head of Finance & Controlling at the Diethelm Group, Thailand; 1988–1990 Manager at Cosa-Liebermann, Korea EDUCATION: Studies of business economics, at School of Economics and Business Administration (HW/FH) in Basel; MAS in Corporate Finance at the Institute of Financial Services (IFZ), Zug GIANFRANCO DI NATALE, CTO • Born in 1971, dual Swiss and Italian nationality • Employed at R&M since 2010; CTO since 2011 PROFESSIONAL CAREER: 2008–2010 Managing Director at Fischer Engineering Solutions AG; 2004–2008 Manager of Strategic and Operational Purchasing in China at ITEMA Ltd; 2000–2004 Product Manager at Sultex AG; 1999–2000: various positions at Sulzer Textile Spartanburg, USA: 1996–1999 Head of Development, Project Manager and mechanical engineer at Sulzer Rüti EDUCATION: SKU advanced management program at ETH Zürich and University of St. Gallen; MBA at the University of Strathclyde, Glasgow; degree in Mechanical Engi neering at the Zürich University of Applied Sciences; technical draughts man at Leica Heerbrugg AG
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Board of Directors
Members of the Board of Directors For many years R&M has had a highly qualified board that can draw on great expertise in various management roles. To replace Paul Witschi, who will step down in March 2014, Adrian Bult was recruited, an expert with in-depth knowledge of the IT industry.
HANS HESS, CHAIRMAN • Born in 1955, Swiss nationality • Member of the Audit and Nomination Committee
MARTIN REICHLE, VICE CHAIRMAN • Born in 1967, Swiss nationality • Co-owner • Member of the Nomination Committee
PETER REICHLE • Born in 1964, Swiss nationality • Co-owner • Member of the Audit Committee
PROFESSIONAL CAREER: owner of Hanesco AG (CH) since 2006; 1996–2005 Delegate of the Board of Directors and CEO at Leica Geosystems AG (CH); 1989–1993 various management positions in the Leica Group; 1983–1988 Head of Polyurethane Department at Huber + Suhner (CH); 1981–1983 Development Engineer at Sulzer AG (CH)
PROFESSIONAL CAREER: 1996 –2012 Member of the Manage ment Board, 1999–2011 CEO at R&M; 1994–1996 Marketing Engineer at MM Cables, Australia
PROFESSIONAL CAREER: 1996 –2012 Member of the Manage ment Board, 1999–2011 COO; 1992– 1996 Head of Production Planning and Control at R&M; 1985–1992 various supply chain roles in national and international companies
EDUCATION: Studied engineering at ETH; Master of Material Science and Engineering at ETH; MBA at the University of Southern California, Los Angeles; various apprenticeships in the field of inter national business and board membership at the University of St. Gallen and the ZfU International Business School; Stanford Executive Program (SEP) OTHER ROLES: Chairman of Swissmem, Vice Chairman of Economiesuisse, Chairman of the Board at Comet; member of the Board of Directors at Kaba, Burckhard Compression Holdings AG; Honorary Doctor at Ferris State University, Michigan, USA; Honorary Professor at the University of Wuhan, China
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EDUCATION: Various seminars for entrepreneurs and CEOs; course for company direc tors at the University of St. Gallen; management of family business at the IMD business school, Lausanne; course for CEOs and managing directors under the SKU advanced management program in Brunnen; degree in Electrical Engineering at the Rapperswil Uni versity of Applied Sciences; apprentice ship as an electrician; master ship in electrical installations OTHER ROLES: Board member of the Swiss Employers’ Association, Chairman of the Employers’ Association Zurich Oberland and Lakeside; 2002–2010 Chairman of the Electrotechnical Standardization Committee (CES, Electrosuisse)
EDUCATION: Various seminars for entrepreneurs; course for company directors at the University of St. Gallen; Management studies at the University of Zürich; state certified business administration expert; apprenticeship as a toolmaker OTHER ROLES: Vice Chairman of the Wetzikon Entre preneurs Association; founding member of Lions Club Ufenau; founding and honorary member of the Zurich Oberland Junior Chamber of Commerce; member of the Board of Directors at the IGEBA cooperative building association; Chairman of the Board of Directors at Reichle Immobilien AG
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> f.l.t.r Dr. Michael Reinhard, Paul Witschi, Hans Hess, Andreas Spreiter, Peter Reichle, Martin Reichle ANDREAS SPREITER • Born in 1968, Swiss nationality • Member of the Audit Committee
DR. MICHAEL REINHARD • Born in 1956, German nationality • Member of the Nomination Committee
PROFESSIONAL CAREER: CFO at Forbo Group since 2013; 2002–2012 Group CFO at Landis+Gyr AG; 1998–2012 Head of Compe tence Center for Meters and Head of Finance and Controlling at Siemens Metering AG; 1993–1998 Business Unit Controller at Landis+Gyr Europe AG
PROFESSIONAL CAREER: Head of Products since 2006, Head of Sales since 2004 at the Geberit Group; 1998–2003 Head of Tubes, 1995–1997 Head of Pharmaceutical Packaging; 1992–1994 various inter national marketing and sales-based management positions at Schott, Mainz, Germany; 1990–1991 Senior Associate at Mc Kinsey & Company; 1987–1989 Project Manager at Auto matik GmbH, Gross-Ostheim, Germany
EDUCATION: Studied industrial engineering at ETH
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production
EDUCATION: Studied mechanical engineering at Darmstadt technical university; attained a doctorate in Engineering at the German Institute of Plastics Material
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PAUL WITSCHI • Born in 1943, Swiss nationality PROFESSIONAL CAREER: 1989–2002 Head of Marketing and International Sales, member of the Group Management Board at the Geberit Group; 1983–1989 Head of Group Marketing and member of the Management Board; 1972–1982 Head of Exports and Business Unit Manager at Luwa Air Engineering AG EDUCATION: HTL, Winterthur; Degree in Engineering from University of Applied Sciences Switzerland OTHER ROLES: Member of the Board of Directors and Chairman of the Compensation Com mittee at Walter Meier; member of the Supervisory Board at the Vaillant Group; supervisory board posts in Germany
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Owners
Being An Entrepreneur EMBRACING THE FUTURE WITH RENEWED VIGOR Our company ethos is something that runs in the Reichle family and has been passed down to our second generation owners. t ensures the smooth continuation of our successful corporate culture and the organic growth of R&M.
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ur company ethos is something that runs in the Reichle family and has been passed down to our second generation owners. It ensures the smooth continuation of our successful corporate culture and the organic growth of R&M. As co-owners and representatives of the Board of Directors, Martin and Peter Reichle are working to ensure that R&M continues to make anti-cyclical forwardlooking investments – particularly when faced with economic headwinds – in order to emerge from difficult times quickly and with renewed vigor. Constant development is therefore an integral part of this family business and allows it to keep rigorously pursuing its international growth strategy on the basis of a healthy corporate culture. R&M attaches great importance to the values of honesty and reliability in the accomplishment of its targets, modesty in its appearance to internal and external customers, and also respect and tolerance in its dealings with others.
SHARED SUCCESS This attitude has characterized R&M’s development from the very beginning
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and has stimulated the impressive growth of what was once a small Swiss business into what is now one of the key players on the global market. The statement made by the company’s founder Hans Reichle still holds true: “Our philosophy: We attempt nothing that others do better is the basis of our 50-year success story.” Peter Reichle once again underlined: “Our team’s global philosophy is crucial to our shared success. We are grateful to our employees for enabling us to keep pace with the great technological changes in a rapidly changing telecommunications market.” Martin Reichle mentioned some other important stake holders: “We are grateful to our national and international customers for continuously inspiring us to achieve our highest potential over the last 50 years. Our future success also relies on this close collaboration.” Special mention equally goes to the suppliers who are an essential part of our corporate success. This success allows us to preserve the financial independence and freedom of this family-run business in the long term. It also goes without saying that R&M takes its social responsibility very seriously and gives a detailed account of its activities in the CSR report.
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Reichle & De-Massari AG
Annual Report | 2013
21
Facts & Figures
CURRENT KEY FIGURES Sales performance (in millions of CHF, consolidated) 240 220 200 180 160 140 120 100 80 60 40 20 0
2009
Sales in millions of CHF
2010
2011
2012
2013
192,1
179,6
189,4
183.6
197.3
Growth compared withprevious year
-22,2 %
-6,5 %
5,4 %
-3,1 %
7,4 %
EBIT as a % of sales
6,0 %*
0,6 %
-0,5 %
0,2 %
2,5 %
* Includes special effects relating to R&M pension fund. Average EBIT over the last five years stood at 1,8 %. International Sales Revenues Revenue generated outside of Switzerland was 71 % of total sales. Development Expenses Average development expenditure over the last 5 years: 5,5 % of revenue. Innovative Capacity 23 % of the revenue was generated with products less than three years old. Number of employees as of 31 December, 2013: Total 746 Research and Development
7 %
Production Sales and Marketing Purchasing and Logistics/Distribution Management and Administration
22
Annual Report | 2013
34 % 30 % 13 % 16 %
Reichle & De-Massari AG
090.7018
Cover Picture: 070.0169
Reichle & De-Massari AG Binzstrasse 32 CHE-8620 Wetzikon Telephone +41 (0)44 933 81 11 Telefax +41 (0)44 930 49 41 www.rdm.com
R330144/e/03.2014/DZS
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