APC 2005 Annual Report Download - page 15

Download and view the complete annual report

Please find page 15 of the 2005 APC annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 164

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164

13
4
An extensive array of services
Schneider Electric offers a comprehensive range of
services to support customers throughout their instal-
lations’ useful lives. Services contributed consolidated
revenue of 900 million in 2005 and covered cus-
tomers’ major needs for:
Installed base services. This involves managing
equipment maintenance, a job that is increasingly out-
sourced by customers. Tasks include site and installa-
tion audits, diagnostics, installation monitoring, on-site
and remote maintenance, network and on-site man-
agement of spare parts, inventory management, qual-
ity control, online training and technical support, per-
formance enhancement and capacity extension.
High performance services. This entails enhanc-
ing installation performance and efficiency through
consulting, on-site deployment of recommended solu-
tions, and investment management for installed bases
or new installations. Certain contracts include per-
formance guarantees.
The most promising outlets for services are the food
and beverage, pharmaceutical, automobile and micro-
electronics industries in the Industry market; office
buildings, hospitals, shopping centers and data cen-
ters in the Buildings market; and water treatment, oil
and gas in the Energy & Infrastructure market.
2005 revenue by business
n Electrical
Distribution
n Automation
& Control
n Growth
Platforms*
* Building automation and security, secured power,
sensors and actuators for repetitive machines.
63%
12%
25%
Business Presentation
Our customers
are our partners
Schneider Electric has nurtured close, ongoing rela-
tionships with its customers and partners to keep a
close eye on their needs. We make a large portion of
our sales through distributors, systems integrators,
contractors and specifiers. Our partners provide
strong, strategically related value, and extend and
amplify our commercial and technical resources.
The business model we have chosen to develop,
which combines a broad, consistent range of smart,
networked products and market access through dedi-
cated and specialized sales forces, global accounts,
specifiers and other partners, differentiates us from
the competition.
To forge close contacts with customers and present
the extremely diverse range of solutions offered by
Schneider Electric and its partners, we launched pri-
vate professional trade shows in 2005 called
Initi@tive. The shows feature our main brands, as well
as those of our partners, demonstrations of products
and solutions and an "à la carte" schedule of confer-
ences. In 2005, Initi@tive shows were held in Seville,
Spain; São Paulo, Brazil; Mexico City, Mexico; Santia-
go, Chile; and Bangkok, Thailand.
Distributors: more than
13,000 sales outlets worldwide
Electrical equipment distributors account for around
50% of our total sales and 70% of catalog product
sales. They provide a closely-knit network of 13,000
sales outlets around the globe, offering end customers
an extremely broad lineup through a single point of
access.
Schneider Electric has forged special partnerships
with its distributors, offering an unparalleled set of sup-
port services. To facilitate communication and
enhance productivity, we have developed numerous
Internet-based services. With the dedicated "My
Schneider Electric" portal, for example, distributors
can access prices and technical information, place
orders and download installation manuals around the
clock.
This partnership is extended to local distributors,
wholesalers, non-specialized professional distributors
and large international groups such as Rexel and
Sonepar in France, Hagemeyer and Solar Nordic in
the Netherlands, Ced-Edmundson in the United King-
dom, and Graybar and Grainger in the United States.
In the building renovation market, we also sell prod-
ucts through large home improvement chains such as
Home Depot and Lowes in the US, Kingfisher in the
UK and La Platforme du Bâtiment in France.
Lastly, we use specialist distribution channels for our
highly technical products such as human machine
interface and VDI transmission equipment, PLCs and
industrial software.