APC 2013 Annual Report Download - page 37

OVERVIEW OF THE GROUP'S STRATEGY, MARKETS AND BUSINESSES
ORGANIZATIONAL SIMPLICITY AND EFFICIENCY
Organizational simplicity 6.
andefficiency
1
Schneider Electric’s profile has undergone an unprecedented transformation in the past decade to become a global
specialist in energy management.
Under the One company program (2009-2011), the organization was redesigned to better serve its customers. This
transformation continues with Connect, the current company program (2012 to2014) to organize our diverse businesses
for more cohesiveness to address in a differentiated manner the specific needs of our customers.
A customer focused organization 6.1
Dual orientation – technologies and Rationalization and optimization of synergies
end-markets The organization is deployed in accordance with three key
concepts: specialization, mutualization and globalization.
Schneider Electric is organized in four business segments. Each Specialization mainly concerns sales and front-office operations.
business segment is responsible for specific technologies as well Mutualization covers local back-office operations at the country
as end-market segments. This organization was designed in and regional level. Globalization concerns the six support
order to support our two business models: products and functions, now known as Global Functions:
solutions. Selling products requires clear technological
leadership, while selling solutions requires close customer Finance;
l
relationships and a deep understanding of end users’ needs. Marketing;
l
Buildings & Partner business is the merger of the Buildings
lSupply chain;
l
business and Partner business (formerly called Power until Human resources;
l
December31, 2012). Its technological scope covers low Strategy;
l
voltage , building automation and renewables. Information systems.
l
Infrastructure business scope covers medium voltage and
lA substantial portion of the Global Functions’ costs is
grid automation technologies. re-allocated to the businesses using distribution keys or
Industry business scope covers industrial automation, control
lapplication bases that are generally defined annually.
and sensors technologies. Specialization: in each country, each business has its own
l
IT business scope covers critical power and cooling
lsales force and local leader as soon as it reaches critical
technologies for data centers. mass. It also has a specialized front office in each host country
Each of the business segment manages its R&D, marketing and
to respond more effectively to customer demand for specific
sales teams and is responsible for its global results.
expertise. Each business segment is also responsible for its
overall results, both for product sales (in its business lines) and
In 2014, Buildings business has moved under the Partner business
the implementation of solutions (especially for end-market
to build synergies and accelerate growth, as 70% of the Partner
segments within its scope). As solutions can consist of
business goes into buildings, commercial and residential.
products coming from different business segments and in
A number of back-office functions such as finance, human order to define a single point of contact for customers, each
resources, IT systems and global marketing are handled by the business segment is responsible for solutions in certain
Global Functions, which have a governance role and provide defined end-markets. Business efforts have focused on
services internally. implementing and strengthening existing teams dedicated to
meeting the specific needs of these strategic customer
segments with a strong focus on the collaboration between
the business lines, in order to ensure these customer’s needs
are met as fully as possible. In 2014, the key segments will
move under the Global Solutions division to serve our
customers with multi-business solutions, services and
software.
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2013 REGISTRATION DOCUMENT SCHNEIDER ELECTRIC