Bright stars across the continent - Winners of the FT-Roland Berger competition are taking on rivals through growth, innovation and value creation.
The full version of this article by Brian Groom was first published in the Financial Times' 6 October print edition. For full details, go to
Dynamic stories of sales, profit growth and innovation - and a commitment by many to international expansion - have emerged from the Best of European Business Awards, an ambitious effort to single out the continent’s star corporate performers and identify factors behind their success.
Andrew Gowers, editor of the FT and one of the judges, said of the UK winners, announced at a dinner on Wednesday night at London’s Banqueting House: “This has been a fascinating exercise, reminding us all of the wealth of well-managed and dynamic companies that are thriving in 21st century Britain.
“We have identified some cracking stories of growth, value creation and innovation – and in the best cases, found a combination of all three. Two things are particularly impressive about our UK winners.
“First, they show that you don’t have to be a shooting star of the technology world or have huge R&D budgets to win awards for innovation and growth – indeed, you can generate profitable growth out of successfully reinventing long-established industries such as chemicals, air transport and public service provision through the power of process and product innovation.
“Second, many of them show a true commitment to international expansion, and have taken a business model successfully developed in the UK into new areas such as eastern Europe, the US and Asia. In this age of globalisation, they show that for many more companies than was the case, say, a decade ago, global growth is not only possible but essential to establishing a sustainable business.”
David Stern, Roland Berger’s UK managing partner, said: “These awards have enabled us to take a comprehensive look at the factors contributing to corporate success in a globalising world and to identify some less publicly recognised companies that can act as role models.”
The winners of the British awards are:
Ineos Growth (Large companies)
The manufacturer of specialty and intermediate chemicals has grown by acquiring and turning around units not regarded as strategic by other groups. It has achieved an 83% compound annual sales growth rate over the past five years – compared with a 0.5% FTSE 350 average for chemicals – while maintaining margins.
Capita Growth (Mid-sized companies)
The UK market leader in business process outsourcing, was founded in 1987 through the management buyout of a government division. Judges applauded the company for a compound annual sales growth rate of 29% over the past five years in a tough, political market where many others fail.
Inchcape Value creation (Large companies)
The automotive distribution, retail and financing group performed well in a difficult market, according to the judges. The management had sorted out the conglomerate, moved successfully into Asia and delivered focus with an impressive record of value creation. Its compound annual growth rate of total shareholder return was 59% over five years.
Signet Value creation (Mid-sized companies)
The UK’s largest middle market specialty retail jeweler, was heralded as a fabulous recovery story that redefined the market by the judges. It was seen as a rare example of a UK company that had moved successfully into retailing in the US. Its compound annual growth rate of total shareholder return was 117% over five years.
British Sky Broadcasting Innovation (Large companies)
BSkyB, one of Europe’s leading satellite television broadcasters, has provided consistent innovation and ability to take ideas to market. It has changed the way television operates in the UK.
EasyJet Innovation (Mid-sized companies)
The low-cost airline was set up in 1995 and credited with challenging established practices in the airline industry thereby changing the UK sector.
Tesco Strategies for the New Europe (Large companies)
The supermarket chain started its expansion in 1994 by acquiring K-Mart’s hypermarkets in Hungary. It now operates 208 stores in Hungary, Poland, the Czech Republic, Slovakia and Turkey, with 48 planned openings in the next 12 months.
Provident Financial Strategies for the New Europe (Mid-sized companies)
The personal finance company offers home credit (small loans with weekly repayments), credit cards, car finance and motor insurance in countries of central and eastern Europe. Its growth there, with 130 home credit branches across Poland, the Czech Republic, Hungary and Slovakia, was seen as a largely organic development by the judges.
If you have any questions or comments, please feel free to contact us:
Top
previous 