Home / Knowledge / News / Textiles / Two distinct biz models to strengthen Ahlstrom's operations
Two distinct biz models to strengthen Ahlstrom's operations
28
Oct '09
Ahlstrom Corporation, leading supplier of nonwovens and specialty papers, has completed its conclusions of the strategy review process initiated in April. The aim of the process was to verify the future direction and ambitions of the company. The development of business operations will be based on profitable growth, with increased focus in Asia. At the same time, the company aims to manage its balance sheet and reduce its gearing ratio.

In accordance with the revised strategy, Ahlstrom's operations will be based on two distinct business models resulting from different competitive situations, market growth potential and possibilities to differentiate in various product lines. The first business model is based on providing customers with added value products and the second on operational excellence.

The value-added business will be the company's primary growth engine, developing through organic growth and possibly by making small acquisitions. Innovative new products that help Ahlstrom's customers become more competitive will create the foundation of success. The cluster will include the Fiber Composites segment's Advanced Nonwovens and Glass & Industrial Nonwovens business areas as well as the transportation and liquid filtration media in the Filtration business area.. It will also include crepe papers and vegetable parchment from the Technical Papers business area of the Specialty Papers segment.

The operational excellence business will be key to support the growth of the company. The main focus will be to develop cost effective products serving customer needs, through for instance, alternative raw materials or new technological solutions. The cluster covers the Release & Label Papers business area and the majority of the Technical Papers business area in the Specialty Papers segment. In the Fiber Composites segment, it will include the Home & Personal Nonwovens business area and air filtration media in the Filtration business area.

The long-term target of the strategy is to strengthen Ahlstrom's competitive position and generate returns that are in line with the company's financial targets. One of the most important indicators is return on capital employed (ROCE),which should reach its target level of 13%. In January-September ROCE was 1.5% and in July-September 4.8%. Measures to reach these targets will be continued with regard to the product lines and units falling below the target level.

Ahlstrom Corporation


Must ReadView All

Textiles | On 25th Sep 2017

SVP Group to build $300 mn spinning plant in Sohar

ShriVallabh Pittie Industries (SVP) Group, a diversified yarn...

Apparel/Garments | On 25th Sep 2017

Vietnam textile sector to gain if EU FTA gets ratified

Experts feel the Vietnam-European Union (EU) free trade agreement...

Courtesy: Business Wire

Textiles | On 25th Sep 2017

Invista to use ADN technology at joint project in France

Invista, a leading producer of chemical intermediates, polymers, and...

Interviews View All

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

C Kamatchisundaram
Voltas

ITME is an occasion not only to receive new leads but also to work on...

Shiladitya K Joshi
Truetzschler India Private Limited

India ITME provides a platform to interact with our stakeholders

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search