4.3
Strategy

Following the appointment of Ton Anbeek as our new CEO, we tightened the focus of the new strategy we introduced in early 2017 and translated it into a new concrete roadmap for the coming five years.

We will adjust the operational management of the group. We will separate the supply chain and production platform from the brands and structure these more smartly, increasing our focus on on-shoring. At group level, we will develop functional competencies that will support and free up local organisations. This will also help us to ensure a uniform way of working across the group and to create greater focus and room for market penetration and the perfection of plan execution within the countries themselves.

The Accell Group organisation is far too complex and we plan to reduce this complexity dramatically. A new matrix organisation will enable us to make clear choices on all aspects of our operations. We will do away with things that take too much effort, have too little potential or simply do not generate enough income. We will focus more tightly on things that will create true value in the long term.

Bicycles and bicycle parts & accessories belong together, so we will integrate these two operations with the creation of shared service centres at group level. Through the smart combination of data, we will provide every consumer with a logical and targeted supply of bicycle products and product combinations that are an excellent fit with their requirements.

This also means we will be designing our sales operations for an omni-channel approach. The choices we will make on this front will vary per region and per country. This is necessary, because in our sector we have to deal with clear differences between the markets in Europe and North America, as well as the differences between the various countries in which we are active. For instance, our omni-channel design will take into consideration matters such as how people view cycling and how bikes are used, the role of the e-bike and the scope and strength of the dealer network in a certain country. We want to respond as effectively as possible to customers’ demands in every single country. The only constant will be that we always approach consumers via and in partnership with our dealers, regardless of the e-commerce platforms and other methods we may deploy.

You will also find these focal points and more in the streamlined Strategy Wheel with six new spokes. These are our strategic pillars, which are completely inter-connected and therefore complement each other. We will also make use of targeted acquisitions to flesh out this strategic approach.
 

Explanation per strategic pillar

‘Lead global. Win local’

Marketing, e-commerce, innovation, IT and supply chain will be managed centrally. The country organisations will focus on perfect execution of (local) plans and strategy.

‘Winning at point of purchase’

A focus on the right local brand portfolio with responsibility per country/region, with suitable innovations and supported by e-commerce platforms and experience centres, will enable country organisations to improve their performance even further.

‘Omni-channel e-commerce’

The correct combination of e-commerce platforms, experience centres and dealer networks will give clients the best, consistent experience regardless of their choice of channel or type of contact.

‘Smart Technology and innovation’

A well-filled innovation pipeline is a major growth driver. Our innovations are consumer-driven and focus on matters such as new e-bike technology, smart Internet of Things applications and urban mobility.

‘Centralised and integrated P&A business ’

From the consumer’s point of view (innovation, e-commerce platforms and experience centres), bicycle parts and accessories are inextricably linked to bicycles. The centralisation and integration of the (central and local) bicycle business enables us to boost the customer proposition and realise more synergies and growth.

‘Fit to compete’

To quickly make us even more competitive, we will reduce complexity, introduce standard product platforms, renew our IT infrastructure and focus on the availability of the correct inventories and speed of delivery.

The benefits of more centralised management and a less complex and more data-driven organisation are countless. This approach provides better support for the local entrepreneurial spirit within the group, which in turn boosts the commercial effectiveness. At the same time, it enables Accell to make better use of the benefits of scale and potential synergies. It gives us more control of key spearheads, such as the design of our omni-channel sales structure, the reduction of delivery times, lowering capital utilisation and the realisation of structural cost savings that strengthen our competitive position as a whole. 

In addition, we are making things a lot easier for ourselves and we no longer have to reinvent the wheel each time. It will be easier and simpler to roll out and apply best practices and learning experiences across the group. We will be more agile, which means we will be able to respond more quickly to changes in market demand and consumers’ buying preferences. And we will also be able to work effectively on the sustainable structuring of our operations.
 

Overview spearheads corporate social responsibility

Embedding corporate social responsibility integrally in our vision and strategy ensures that we explicitly take into account both commercial and sustainable considerations in every important business decision we make. After all, market opportunities for our products are by their very nature associated with people, the environment and society.

With the value creation model, we provide more insight into the added value of our business model and the strategy for all our stakeholders and society as a whole.