Strategic enablers
Year 3:
Nearly firing on
all cylinders
Year 4:
Up to full
speed
Year 5:
Double
operating profits
•
Growth outruns peers in every division
•
Benchmark performance nearing
world-class standards
•
Precision supply chain and capacity
issues resolved
•
Ambitions for growth fully realised
•
Achievement of world-class
performance evident in results
•
All divisions in attractive,
high growth markets
Work together as one
simplified IMI
To harness the Group’s full potential we
are determined to channel and maximise
our scale to act as one IMI. The new brand
co-ordinates and creates a single focus
for everything we do. Our core processes
provide a strong platform and underpin a
framework for creating consistent Group–
wide standards and behaviours. To enable
us to operate as one IMI on a day-to-
day basis we have put in place a global
intranet that all employees, regardless of
location, are able to access. Sharing best
practice is now an important part of life at
IMI and having a single place to manage
our processes and record our progress
will be essential to improving our overall
performance.
Invest in Group-wide IT
and infrastructure
Because of the historically diverse
make-up of the Group, and the
autonomous nature of the businesses
there is a need to invest in Group-wide IT
systems and facilities. Each division is
now implementing new ERP systems to
support their long-term growth ambitions.
The implementations are being phased on
a site by site basis to minimise risk and to
deliver an optimal solution. The Group is
also investing in its sites, alongside the
lean manufacturing initiatives, to ensure
that we have best in class facilities.
Overall capital spending is progressively
increasing to around two times
depreciation where it will remain for
the first few years of the plan.
Maintain financial
discipline
As we execute our strategy to deliver
accelerated growth we will continue to
maintain financial discipline. Capital will
be allocated to drive organic growth,
maintain a progressive dividend policy in
line with earnings and fund acquisitions.
Whilst retaining flexibility to develop
IMI’s full potential, we will continue to
focus on maintaining an efficient balance
sheet and, in the event of us having
cash in excess of the Group’s current
needs, we will return this excess capital
to shareholders. Through the life of our
five year plan we will target net debt to
EBITDA of two times through the cycle.
2017
2018
2019
Financial discipline will support our strategy
for accelerated growth over the life of our
five year plan
Net debt to adjusted EBITDA
In October 2014, we launched the IMI Eye,
a Group-wide newsletter, written by
employees for employees
Our global intranet is available to
9,000 employees
To deliver our strategic growth priorities we have outlined the following
key strategic enablers:
11
Strategic Review
Performance Review
Corporate Governance
Financial Statements
Introduction
Annual Report and Accounts 2014
2014
2013
0.6
0.4
0.2
