Operational excellence

DSM continues to build on its strong Operational Excellence capabilities to sustain and enhance the cost competitiveness of its businesses.

Over the past five years DSM has successfully introduced and implemented Operational Excellence programs. So far, the focus has been mainly on standardization of business processes in manufacturing, order fulfillment, finance and costing and ICT infrastructure. These programs will be further extended to include more parts of DSM’s business portfolio.

DSM remains wholly committed to the pursuit of Operational Excellence and intends to continue and further strengthen the program with new initiatives in Advanced Manufacturing (for example, yield improvements and energy savings), Commercialization (product launch) and Excellerate (pricing program).

DSM has already announced two new programs in June 2007 to improve the performance and profitability of two businesses, DSM Anti-Infectives and the Aspire to Win program for DSM Nutritional Products, the latter of which is expected to deliver an annual minimum of EUR 100 million of improved profitability by 2010 and enable the Nutrition cluster to meet its Vision 2010 growth targets.