We know there’s significant value to be gained through improving our operations. We’re addressing the bottlenecks in business-critical supply chains, under-investment in key sites and low-capacity utilization, as laid out last year. 

During 2024, our industrial excellence program gained traction as we continued to progress towards unleashing the full benefits by 2027. The program aims to deliver cost reduction, enhanced efficiency, improved service levels and heightened overall competitiveness.

Our focus on reducing complexity, enhancing productivity and optimizing our network was demonstrated by the closure of six sites. We're making progress on improving operational efficiency and the debottlenecking of critical assets. This was necessary to address supply chain constraints that impacted our ability to meet customer demand. As a result, OTIF (on-time, in-full) for the company overall returned to 90%, a significant annual improvement.

Incremental to the industrial excellence program, where we’re optimizing our manufacturing sites, we’re also looking to improve our functional organization. To enhance the efficiency of our functions, we’re simplifying operations, accelerating decision-making and streamlining the company’s management structure. The plan involves a reduction of 2,200 positions globally. This is a testament to our organization’s continued agility amidst an incrementally tougher market backdrop.

We aim to create a seamless experience for both our customers and employees. To achieve this, we’re aligning the commercial and industrial sides of our business, simplifying our operating model and decision-making processes, and fostering a culture of end-to-end accountability and efficient implementation.