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Note 13: Community

[...] of a clean environment. It also provides opportunities for employees to develop team-building and leadership skills. Since the start of the program in 2005, more than 11,000 volunteers from around 55 countries have worked on more than 2,200 projects, representing approximately €14 million of investment. Our sites and offices initiate between 200-250 projects each year. The majority of projects have supported educational/employability and healthcare/well-being activities, with environmental and housing projects also well represented. Cumulative Community Program involvement The economic slowdown has prompted more focus on projects benefiting deprived, socially [...]

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Risk management

[...] management chapter. Reference is made to the Statement of the Board of Management in the Our leadership section for the statements in respect of the internal risk management and control systems. The AkzoNobel control framework provides reasonable assurance in achieving business goals, including strategic, operational and reporting goals, as well as those covering compliance. Internal control is not only about policies and procedures, but also relates strongly to people. Control environment The control environment provides the foundation. On the one hand, it gives organizational structure and assigns responsibillities. On the other, it shows commitment to the [...]

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Safety

[...] received refresher training in the company’s expectations and the required competencies for HSE leadership. A single system for HSE performance reporting has been in place for several years and a new single system for reporting incidents and analyzing incident trends has now been introduced. During 2014, AkzoNobel will extend behavior-based safety selectively to non-production work locations and groups, including stores, warehouses, laboratories and technical service teams, using a risk-based approach. Those who drive on company business will be included in a company-wide program of training based on safe driving behavior, including awareness training, e-learning [...]

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Note 6: Supply chain

[...] the International Supply Chain Management Congress in Amsterdam. In 2013, we were again part of the leadership for the organization, sponsorship and support of the congress, which is recognized as a valuable contributor to the development of sustainability thinking and supply chain processes. Strategies going forward The procurement strategy for the next few years is to move further beyond availability-price-synergy towards cross-functional sourcing, integration and value chain orientation. Buying on price will move towards total cost of ownership, while selected supplier relationships will move towards cooperation and partnering. We see this as a way to leverage [...]

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Market overview

[...] the economic downturn, but these markets are now growing steadily at roughly GDP growth rates. Market leadership positions Functional Chemicals 1st Chelates and micronutrients Organic peroxides Industrial Chemicals 1st Chlorine merchant (Europe) Monochloroacetic acid (MCA) Pulp and Performance Chemicals 1st Bleaching chemicals Colloidal silica dispersions Surface Chemistry 1st Industrial applications Agricultural applications

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Risk management

[...] appropriate risk management and control systems (see Statement of the Board of Management in the Our leadership section). AkzoNobel risk management framework Through our risk management framework, we seek to provide reasonable assurance that our business objectives can be achieved and our obligations to customers, shareholders, employees and society can be met. Our risk management framework is in line with the Enterprise Risk Management – Integrated Framework of COSO and the Dutch Corporate Governance Code. The Executive Committee reviews our risk management and control systems and our major business risks, which are subsequently reviewed by the Supervisory [...]

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Processes and capabilities

[...] retaining talent Assessing performance and potential Identifying leaders through creation of a common leadership potential profile Deploying personnel based on solid succession planning and rich internal talent pools Strategic workforce planning Attracting, acquiring and on-boarding based on a clear employee value proposition

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Our businesses

[...] Coatings 2013 revenue split per end-user segment in % As a major producer of specialty chemicals with leadership positions in many markets, we make sure that industries worldwide are supplied with high quality ingredients and process aids for the manufacture of life’s essentials. These include products used in paints, detergents, foods, plastics, cosmetics, construction, pulp and paper, pharmaceuticals, electronics, agro and oilfield applications. The business operates four units: Functional Chemicals (e.g. chelates, ethylene amines) Industrial Chemicals (e.g. chlor-alkali, caustic soda, salt) Pulp and Performance Chemicals (e.g. bleaching, colloidal silicas) [...]

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Decorative Paints

[...] made good progress in simplifying the organization – including the introduction of an enhanced leadership structure – and plan to implement a new business model for Europe which will make us more agile and better positioned to increase market penetration. We also continued to invest throughout 2013, which proves that we’re taking a long-term view – in Europe as well as the high growth markets. A new €20 million plant was inaugurated in Gwalior, India, and we announced plans to build a production facility in Chengdu, China, which will start-up in 2015. In addition, a new research center was opened in the Netherlands, while construction work is continuing [...]

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Market overview

[...] Titanium dioxide Packaging materials Key cost drivers Oil prices Energy prices Steel prices Market leadership positions Decorative Paints Europe 1st Continental Europe Northern and Eastern Europe UK, Ireland and South Africa Decorative Paints Latin America 2nd Latin America Decorative Paints Asia 1st South East Asia and Pacific 2nd China and North Asia 3rd India and South Asia

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