SCA’s strategy
SCA is a leading global hygiene and forest products company. SCA’s strategy is based on a sustainable business model where value creation for people and nature is a condition for growth and profitability to ensure a successful company in both the short and long term.
Mission:
“To sustainably develop, produce, market and sell increasingly value-added products and services within hygiene and forest products markets for customers and consumers. Satisfying needs through understanding of customers and consumers, knowledge of local and regional market conditions and superior go-to-market approaches, combined with global experience, strong brands, efficient production and innovation.”
Targets:
SCA’s overall long-term objective is to generate increased value for our shareholders.
Return on capital employed
The Group’s overall profitability target is to achieve a return on capital employed of 13% over a business cycle. The target is 30% for Personal Care, 15% for Tissue and to be in the top quartile of the industry for Forest Products.
Growth
SCA’s target for annual organic sales growth for Personal Care is 5–7%, while the target for Tissue is 3–4%. For Forest Products, the target is to grow in line with the market.
Capital structure
SCA’s target is to have an effective capital structure at the same time that the long-term access to debt financing is ensured. Cash flow in relation to net debt shall take into account the target to maintain a solid investment grade rating.
People
SCA’s people targets relate to people & nature innovations, hygiene solutions, Code of Conduct and employee health & safety.
Nature
SCA’s nature targets focus on climate & energy, fiber sourcing & biodiversity and water.
Read more about Targets and outcome.
Strategic priorities
Profitable growth
Profitable growth through growing profitable market positions, improving or exiting under-performing positions, broadening its offering of product categories and expanding integrated solutions and services. In the digital segment, SCA is investing in digital products and services as well as increasing online sales.
Innovation
Innovation to increase customer and consumer value, strengthen our market positions and brands, and drive profitable growth.
Efficiency
Efficiency to strengthen SCA’s competitiveness, cut costs and improve earnings.
Read more about the strategic priorities in chapters Profitable growth, Innovation and Efficiency.
