SCA’s mission is to develop, produce and market value-added products and services within personal care products, tissue, packaging and forest products. SCA’s products simplify the everyday lives of hundred of millions of people around the globe. They also generate strong cash flows that enable good dividend growth and raise the value of SCA shares.
Growth in hygiene businesses
In the past decade, the Group has gradually shifted the balance toward its hygiene products operations. This reallocation was conducted to reduce the effects of a cyclical demand scenario and is a path that the Group will pursue. Demand for hygiene products is stable in industrial countries and is rising in emerging markets in pace with the increase of disposable income and use of the products.
Since 2008, SCA conducts business in two blocks: hygiene products (personal care products and tissue) on the one hand and forest products and packaging on the other. A Global Hygiene Category was established during the year to create the conditions for the best possible development of the hygiene businesses.
Market-driven strength factors
Customer and consumer insight
Understanding customer requirements and quickly realising the consequences of new consumer needs and lifestyles is of decisive importance for a company such as SCA. This insight is converted into patented solutions and new products on the shelves of the stores.
Regional presence with global strength
Many of SCA’s products cannot sustain the high costs of long-distance transport. Accordingly, production is mainly conducted at a local level. Nevertheless, SCA has significant economies of scale and opportunities to exchange know-how and ideas concerning consumers and customers in various parts of the world. This occurs within such areas as research and development, technology, brand positioning and concept development.
Sustainable development
Sustainable development has been a key part of SCA’s business model and product offering for many decades. The sustainability policy and Code of Conduct stipulate how the Group addresses environmental and social issues, which create long-term value for shareholders and other stakeholders.