Strategy

Key objectives

Sligro Food Group sells directly and indirectly to the entire Dutch food and beverages market, where it provides a comprehensive package of food and food-related non-food products and services.

Our business units focus primarily on our customers and each has its own clear profile in the market. They are managed at Group level and supported by a professional, efficient and fully-integrated back-office organisation. The various operations work very closely together to maximise the benefits from internal synergy.

The organisation is driven by our Sligro Food Group culture, our 'Green Blood', which has its key focus on customers and our shared passion for tasty, good and honest food. Safeguarding and promoting this particular culture, therefore, has our specific attention in a steadily growing organisation.

Key objectives

Sligro Food Group has identified a number of key objectives, appropriate to the organisation. Achieving our objectives will strengthen Sligro Food Group's independent position in the market, a position we intend to retain in the longer term.

Growth

We aim for average annual growth in like-for-like sales over an economic cycle of around 3%, assuming annual inflation of approximately 1.5%.

We also intend, and expect, to grow through acquisitions, although such growth is, by its very nature, less gradual than organic growth. Given the level of fragmentation that still exists in the Dutch foodservice market,we think it is likely that acquisitions can also be made in the coming years.

International expansion
Our international expansion is focused entirely on foodservice, preferably in relatively smaller Western economies with a well-developed foodservice market. In Belgium, we are aiming for a combination of organic growth and acquisitions to achieve a leading position in the foodservice market. Once we have built a strong organisation and position there, we will explore opportunities in other countries.

Attractive partner

One of the ways in which we seek to be an attractive partner for our customers is by providing excellent service at competitive prices.

Growth strategy
Our international growth strategy provides our staff with opportunities for personal development while giving our suppliers the chance to increase their product sales and introduce new product lines. Society as a whole benefits from increasing levels of employment and the resultant rise in tax revenues.

Food safety

As a supplier of food we are fully aware of the importance of food safety. The food safety precautions we take are mainly aimed at preventing risks for our customers and our employees.

We accordingly observe strict food safety practices as regards both food processing and the products themselves throughout the various links in the organisation. With a well-equipped quality assurance department we are rigorous in our quality checks. Our procurement department also insists on the same high quality standards and quality assurance procedures among our suppliers and we monitor compliance with these standards both directly and indirectly, through specialist institutions.

Purchasing

To be sure of wielding sufficient purchasing power in the market, our food retail purchases are handled by cooperative purchasing organisation Superunie.

Superunie has a share of approximately 30% of the Dutch food retail sector. We handle much of our own purchasing for our foodservice business, which is the market leader in the foodservice sector.

Environment and efficiency

The Group operates in a competitive environment where there is limited scope to translate cost increases into higher selling prices.

We absorb the impact of cost increases by constantly increasing the efficiency of our operations, for example by ensuring that our distribution, communications, data and information systems are as effective as possible.

Synergy

Inside Sligro Food Group the various operations work very closely together to maximise the benefits from internal synergy.

Although activities focusing primarily on customers are performed separately, and therefore with 100% focus, everything is closely managed, behind the scenes, from the centre, wherever possible. This synergy, in both Foodservice and Food Retail, is a means of differentiating ourselves from the competition, while also promoting our learning ability and achieving greater efficiency. Only where a centralised approach is not possible or desirable do we use individual systems and processes.