COURBEVOIE (dpa-AFX) - Saint-Gobain (CODGF.PK) announced the launch of its transformation plan, 'Transform and Grow,' which is based on two pillars, an in-depth transformation of the Group's organizational structure and an accelerated portfolio rotation program. The Group's new new structure will consist of five reporting units, with four regional businesses and a global High Performance Solutions unit.
The Group said it has accelerated its portfolio rotation, and is on track to divest businesses representing sales of at least 3 billion euros by the end of 2019 for around 1 billion euros in value, resulting in a positive impact of around 40 basis points on the operating margin. The Group said more than 10 companies of various sizes across all sectors are being actively prepared for divestment. A further exhaustive review of the portfolio will be carried out by each of the new business units in the new organization.
Effective January 1, 2019, Benoit Bazin will become Chief Operating Officer of the Group. He will in particular be in charge of the transformation of Saint-Gobain and the management of the four regional reporting units. Sreedhar will be appointed Chief Financial Officer.
Benoit Bazin said: 'Transform and Grow' will allow us to unlock substantial additional growth and profitability potential. It will put our teams in an ideal situation to fully leverage our portfolio of solutions in each country and our market synergies for the benefit of our customers. We are also setting ourselves ambitious financial targets for this transformation, including 250 million euros of additional savings thanks to a leaner and more efficient organization contributing to an overall improvement of more than 100 basis points in our operating margin by 2021.'
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