Dormakaba Holding Ag · SIX:DOKA
Dormakaba — Investor Day (December 2017)
122 slides from Dormakaba's investor day presentation, Dec 6, 2017
Slide 1: Capital Market Day 2017
Classification: Public Riet Cadonau, CEO London, 6 December 2017 Capital Market Day 2017
Slide 2: From international niche player to global one-stop shop
dormakaba in transformation From international niche player to global one-stop shop Net sales in CHF million. Merger Unican Best Access / Mesker DORMA + Kaba 3000 ~2700 2500 ~2300 2000 1500 ~1300 ~1000 1000 ~500 500 0 1999/2000 2001/02 2007/08 2015/16 2016/17 2 Capital Market Day 2017 06.12.2017
Slide 3: From international niche player to global one-stop shop
dormakaba in transformation From international niche player to global one-stop shop • Merger to dormakaba as game changer • Top-three provider globally for secure access to buildings and rooms from a single source • Sales > CHF 2.5 billion • More than 16,000 employees in 50 countries • Active togeth
Slide 4: dormakaba in transformation
dormakaba in transformation Our industry in transformation Our environment in transformation Our company in transformation 4 Capital Market Day 2017 06.12.2017
Slide 5: Our industry in transformation
dormakaba in transformation Our industry in transformation Our industry is consolidating – gaining critical mass is a key differentiator. 5 Capital Market Day 2017 06.12.2017
Slide 6: The security market can be divided into 4 tiers of players
Our industry in transformation The security market can be divided into 4 tiers of players differentiated by size, reach and product offering Size by revenues Characteristics Tier 1 Global footprint, complete product >5,000 million CHF portfolio, financial strength Global or strong international Tier
Slide 7: Tier 1 and 2 dominated consolidation since 1994 with over 350 acquisitions
Our industry in transformation Tier 1 and 2 dominated consolidation since 1994 with over 350 acquisitions Market share development of tiers 1994 – 2017 Despite consolidation, Tier 1 and 2 players just have 30% market share Total accessible market for dormakaba: 40b USD Tier 1 Tier 2 Tier 3 Tier 4 Nu
Slide 8: Critical mass becoming key for continued sustainable growth
Our industry in transformation Critical mass becoming key for continued sustainable growth and drives consolidation of the industry Critical mass in the areas of Example Australia Stand-alone Kaba dormakaba Role Niche player “One-stop shop” 475 People 75 People Sales & Product, Services, Few people
Slide 9: Our environment in transformation
dormakaba in transformation Growth drivers and industry dynamic in favor Our environment in transformation of innovative solutions and services providers. 9 Capital Market Day 2017 06.12.2017
Slide 10: dormakaba is part of an attractive industry
Our environment in transformation dormakaba is part of an attractive industry Multiple strong growth drivers • Urbanization • Increasing prosperity in emerging markets • Demographic change • Increasing need for security • Technology Market potential While North America is the most attractive market
Slide 11: Industry dynamics require companies to adapt to remain competitive
Our environment in transformation Industry dynamics require companies to adapt to remain competitive Competitors Consolidation Local International Global New competitors? Technology Mechanical + Electronic + Cloud-based Customer behavior Product purchase + Use of services Today Time 11 Capital Marke
Slide 12: Our company in transformation
dormakaba in transformation Companies need to change themselves to benefit from the transformation in our industry. Our company in transformation 12 Capital Market Day 2017 06.12.2017
Slide 13: Six strategic pillars and two foundations
Our company in transformation Six strategic pillars and two foundations to support the dormakaba ambition to become the trusted industry leader Superior offering Expanding presence Enterprise Innovation Optimized business Right people excellence leadership portfolio – right roles Global brand power
Slide 14: Superior offering – increasing share of wallet
Our company in transformation Superior offering – increasing share of wallet by comprehensive offering out of one hand Comprehensive offering out of one hand Comprehensive offering out of one hand for airports “Manage the Opening” in North America 1. Hollow metal frames 1. Biometric matching of 2. W
Slide 15: dormakaba products are positioned in the premium segment
Our company in transformation dormakaba products are positioned in the premium segment dormakaba sales S1 “Best” Premium ~90% S2 “Better” S3 “Good enough” ~10% Low cost “Cheap” S4 Source: Management estimate 15 Capital Market Day 2017 06.12.2017
Slide 16: Expanding presence – increasing reach
Our company in transformation Expanding presence – increasing reach 1. Emerging Markets 2. Blind spots in mature markets 3. Explore full potential of global products 4. Become champion in selected verticals by dedicated market approach and additional offerings 16 Capital Market Day 2017 06.12.2017
Slide 17: Leadership in innovation – offering superior ideas
Our company in transformation Leadership in innovation – offering superior ideas – coexistence of all technologies Product developments are driven by use Striving for innovation leadership cases that solve a specific "customer pain • Functionality points", e.g. • Security • Healthcare: Dementia pati
Slide 18: The right people in the right roles
Our company in transformation The right people in the right roles One common HR Information System • eRecruiting, Employee Central Develop and engage the most • Enable new ways of working competent and passionate employees in the right position Leadership toolbox Build a joint, • Talent development
Slide 19: What makes dormakaba different?
Our company in transformation What makes dormakaba different? One company based on a One global master brand group of aligned organizations Customer experience One face to the customer – One team committed out of one hand to trust and fairplay 19 Capital Market Day 2017 06.12.2017
Slide 20: What makes dormakaba different? One master brand
Our company in transformation What makes dormakaba different? Customer experience One master brand for products and solutions for Access Solutions – clear brand promise and hierarchy allow for easy understanding of brand value and portfolio 20 Capital Market Day 2017 06.12.2017
Slide 21: What makes dormakaba different? One face to the customer
Our company in transformation What makes dormakaba different? Customer experience One face to the customer Different to many faces to customer for quotations, ordering, delivery, services – serving customers out of one hand, examples: • International Key Account Management • One connected relationsh
Slide 22: Digitization at dormakaba
Our company in transformation Digitization at dormakaba In the course of digital transformation at dormakaba, we connect ourselves with customers and partners, e.g. in our Virtual Design Center. We also connect our products, for example by allowing doors to be controlled via smartphone. And finally,
Slide 23: Summary
Summary dormakaba in transformation We have gained critical mass in many of Our industry in transformation our markets and continue to play an active role in the consolidation. Our environment in transformation We have a target-oriented strategy to participate in the growth of our industry. We trans
Slide 24: Thank you for your attention.
Thank you for your attention. dormakaba Holding AG Hofwisenstrasse 24 8153 Rümlang Switzerland www.dormakaba.com
Slide 25: Disclaimer
Disclaimer This communication contains certain forward-looking statements including, but not limited to, those using the words “believes”, “assumes”, “expects” or formulations of a similar kind. Such forward- looking statements are made on the basis of assumptions and expectations that the company b
Slide 26: The Digital Transformation of our Industry
Classification: Public Capital Market Day December 2017 Andreas Häberli The Digital Transformation of our Industry - From a Product Vendor to a Strategic Business Partner
Slide 27: dormakaba product Innovations – recent example
dormakaba product Innovations – recent example: 2 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 28: Bernhard Heitz, Head of Strategic Product Design
Bernhard Heitz, Head of Strategic Product Design dormakaba 3 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 29: Virtual Design Center – Creating Immersive Worlds
Digital Transformation Virtual Design Center – Creating Immersive Worlds 4 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 30: The Digital Transformation of our Industry
The Digital Transformation of our Industry Digital Transformation What does it mean for our industry? What is our strategy? But there is more… 5 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 31: Digitization is not new!
Digital Transformation Digitization is not new! Magnitude of change Digitization Time 1830 … 1900 1910 1920 1940 1930 1940 1950 1960 1970 1980 1990 2000 2010 2020 6 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 32: In the last 20 years we experienced fundamental changes driven by technology
Digital Transformation In the last 20 years we experienced fundamental changes driven by technology Magnitude of change 1991 2014 1997 1999 2001 2007 Invetion of the DHL Drone Delivery Ericsson GF 768 WiFi iPod 2006 iPhone WWW standard Facebook 2012 Google Glass Digital Transformation 2005 1995 1998
Slide 33: The Digital Transformation of our Industry
The Digital Transformation of our Industry Digital Transformation What does it mean for our industry? What is our strategy? But there is more… 8 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 34: Transformation is NOW: On demand services
What does it mean for our industry? Transformation is NOW: On demand services! Anytime, anywhere… Translation: Can you quickly send me a key? Pleeeease…need to go to the bathroom… Exivo Daddy?? 9
Slide 35: Transformation is NOW: Inclusion of 3rd party digital services
What does it mean for our industry? Transformation is NOW: Inclusion of 3rd party digital services 10 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 36: TECHNOLOGY
What does it mean for our industry? The Digital Transformation of our Industry is about TECHNOLOGY 11 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 37: Milestones of a 155 year history
Milestones of a 155 year history … >2020 mechanical electronics 2010 cloud 1978 1950 100 million First 2001 door-closers Entry into the production En route to door-closer sold site in market 2013 business Singapore More than 1987 leadership in Security the movable 1 billion euros 1908 1962 solutions
Slide 38: Coexistence of Mechanic, Electronic and Cloud-based solutions
What does it mean for our industry? Coexistence of Mechanic, Electronic and Cloud-based solutions Cloud-based Matrix Air Mechanical Electronic 13 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 39: The Digital Transformation of our Industry
The Digital Transformation of our Industry Digital Transformation What does it mean for our industry? What is our strategy? But there is more… 14 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 40: CUSTOMER VALUE
What is our strategy? The Digital Transformation of our Industry is about TECHNOLOGY CUSTOMER VALUE 15 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 41: Our transformation: from a product vendor to strategic business partner
What is our strategy? Our transformation: from a product vendor to strategic business partner Customer Related Services Product Related Services descriptive predictive prescriptive type of Customer Value service Strategic Business Partner our role Vendor 16 Capital Market Day 2017 - Transformation o
Slide 42: Our transformation: from a product vendor to strategic business partner
What is our strategy? Our transformation: from a product vendor to strategic business partner Customer Related Services Product Related Services descriptive predictive prescriptive Customer Value Strategic Business Partner type of service Reactive Warranty our role Install Vendor 17 Capital Market D
Slide 43: To move ahead we have to change the way we look at business
What is our strategy? To move ahead we have to change the way we look at business data 18 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 44: Data centricity requires a new business conception: connectivity!
What is our strategy? Data centricity requires a new business conception: connectivity! data 19 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 45: Capital Market Day 2017 - Transformation of our Industry
20 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 46: Example: Entry as a Service
What is our strategy? Example: Entry as a Service 21 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 47: Data Collection
What is our strategy? Data Collection 22 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 48: General Information
What is our strategy? General Information Where are the doors? Who did the installation/service? 23 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 49: New Services: Preventive Maintenance
What is our strategy? New Services These doors need a Which door needs a service? service! Preventive Maintenance openings per month openings since last service 24 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 50: New Services: Performance Based Service
What is our strategy? New Services These doors are How often does service intensive! a door need a service? Performance Based Service openings per month openings since last service 25 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 51: Our transformation: from a product vendor to strategic business partner
What is our strategy? Our transformation: from a product vendor to strategic business partner Customer Related Services Product Related Services descriptive predictive prescriptive type of service Performance Customer Value Based Services Preventive Maintenance Reactive Preferred Warranty Supplier o
Slide 52: We can do even more…
What is our strategy? We can do even more… Customer Related Services Product Related Services descriptive predictive prescriptive type of service Process Optimisation Performance Customer Value Based Services Preventive Maintenance Solution Reactive Provider Preferred our role Warranty Supplier Inst
Slide 53: Entry as a Service: From a product vendor to a solution provider
What is our strategy? Entry as a Service: From a product vendor to a solution provider Energy saving Customized settings Cleanliness Customized settings 28 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 54: We want to go beyond that!
What is our strategy? We want to go beyond that! Customer Related Services Product Related Services descriptive predictive prescriptive type of service Business Business Transformation Optimisation Process Optimisation Performance Customer Value Based Services Preventive Strategic Maintenance Truste
Slide 55: Capital Market Day 2017 - Transformation of our Industry
30 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 56: Capital Market Day 2017 - Transformation of our Industry
31 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 57: Example: Co-working: Increase the share of wallet in building management
What is our strategy? Example: Co-working: Increase the share of wallet in building management 32 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 58: Example: New ways to monetize unused space
What is our strategy? Example: New ways to monetize unused space 33 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 59: Example: …increased customer loyalty.
What is our strategy? Example: …increased customer loyalty. 34 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 60: Example: Smart Home is becoming simple – and reality!
What is our strategy? Example: Smart Home is becoming simple – and reality! + 35 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 61: Capital Market Day 2017 - Transformation of our Industry
36 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 62: We want to go beyond that!
What is our strategy? We want to go beyond that! Customer Related Services Product Related Services descriptive predictive prescriptive Business Business Transformation Optimisation Process Optimisation Performance Customer Value Based Services Preventive Strategic Maintenance Trusted Advisor Busine
Slide 63: CUSTOMER VALUE
What is our strategy? The Digital Transformation of our Industry is about TECHNOLOGY CUSTOMER VALUE 38 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 64: The Digital Transformation of our Industry
The Digital Transformation of our Industry Digital Transformation What does it mean for our industry? What is our strategy? But there is more… 39 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 65: CULTURE
But there is more… The Digital Transformation of our Industry is about TECHNOLOGY CUSTOMER VALUE CULTURE 40 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 66: Substantial investment in digital transformation needed
But there is more… Substantial investment in digital transformation needed Core offering Complement Mechanical Door Hardware Interior Entrance Systems Movable Walls Key Systems Glass Systems Lodging Systems Safe Locks Electronic Services Key Systems Access & Data Growth and Exploitation of our Pipel
Slide 67: Capital Market Day 2017 - Transformation of our Industry
42 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 68: Capital Market Day 2017 - Transformation of our Industry
43 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 69: Capital Market Day 2017 - Transformation of our Industry
44 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 70: Transformation: Product Innovations combined with new Digital Services
Transformation: Product Innovations combined with new Digital Services: 45 Capital Market Day 2017 - Transformation of our Industry 06.12.2017
Slide 71: Q&A
Classification: Public Capital Market Day December 2017 Andreas Häberli Q&A
Slide 72: Thank you for your attention.
Thank you for your attention. dormakaba Holding AG Hofwisenstrasse 24 8153 Rümlang Switzerland www.dormakaba.com
Slide 73: Disclaimer
Disclaimer This communication contains certain forward-looking statements including, but not limited to, those using the words “believes”, “assumes”, “expects” or formulations of a similar kind. Such forward- looking statements are made on the basis of assumptions and expectations that the company b
Slide 74: Capital Market Day 2017
Netz ein wenig transparenter Classification: Public Bernd Brinker, CFO London, 6 December 2017 Capital Market Day 2017
Slide 75: Agenda
Agenda Current PMI status dormakaba – strength of portfolio Optimized business portfolio and Enterprise excellence Financials 2 Capital Market Day 2017 06.12.2017
Slide 76: Status post-merger integration process
Current PMI status Status post-merger integration process Detail plan and Closing Execute plan and perform Perform perform 2015 2016 2017 2018 2019 “Closing” “Ord Day” “Day 1” “Day I” (1 Sep 2015) (4 Jan 2016) (1 July 2016) (1 July 2018) • Start of integration • Major organi- • New target • Major in
Slide 77: PMI – What have we achieved
Current PMI status PMI – What have we achieved Targets for 2018/19 • 60m – 70m CHF cost synergies; Headcount reduction of 800 FTEs • 18% EBITDA margin; organic growth > 200 bps above adjusted GDP PMI Status (as of 30 June 2017) • About 70% of targeted headcount reduction achieved • Expected PMI cost
Slide 78: PMI projects
Current PMI status PMI projects PMI Germany • Headcount to be reduced more than 400 positions • Relocate production of standard door closers to Singapore and China IT • Infrastructure • Applications Other projects • Movable Walls (Automation of production facility in Ocholt, Germany) • Integration o
Slide 79: Agenda
Agenda Current PMI status dormakaba – strength of portfolio Optimized business portfolio and Enterprise excellence Financials 6 Capital Market Day 2017 06.12.2017
Slide 80: Establishing a true global player
dormakaba – strength of portfolio Establishing a true global player Former Kaba dormakaba AMER APAC Former Dorma Acquisitions in EMEA & DACH Merger North America 2014/15 2015/16 * Sales figures include regional exposure from Key & Wall Solutions; 2016/17 figure adjusted, 12 months Best Access and Me
Slide 81: Our offering – smart and secure access solutions from a single source
dormakaba – strength of portfolio Our offering – smart and secure access solutions from a single source Access Solutions segments Key & Wall Solutions Mechanical Door Hardware Interior Entrance Systems Movable Walls Key Systems Glass Systems Lodging Systems Safe Locks Electronic Services Key Systems
Slide 82: Product portfolio – one stop shop
dormakaba – strength of portfolio Product portfolio* – one stop shop - balanced mix between mechanical, electronic and cloud-based solutions Safe Locks Lodging Systems Door Hardware Entrance Systems Mechanical Electronic Key Systems Access & Data Services Interior Glass Systems * Figures are excludi
Slide 83: Agenda
Agenda Current PMI status dormakaba – strength of portfolio Optimized business portfolio and Enterprise excellence Financials 10 Capital Market Day 2017 06.12.2017
Slide 84: Effective business portfolio management – Acquisition criteria and priorities
Optimized business portfolio and Enterprise excellence Effective business portfolio management – Acquisition criteria and priorities • Prioritized, systematic M&A with dedicated process, organization and attitude • Actively manage our business portfolio by assessing market environment, risks and opp
Slide 85: Active Portfolio Management
Optimized business portfolio and Enterprise excellence Active Portfolio Management* CHF 280m CHF 15m ATM Seca CHF 3m CHF 70m CHF 5m CHF 30m Acquisitions 30. Juni 2017 2016/17 2017/18 Divestments Ascot Doors Provitris GMT CHF 10m CHF 10m CHF 50m Dorma Beschlagtechnik "OGRO" * Pro-forma sales figures
Slide 86: Divestment of GMT
Optimized business portfolio and Enterprise excellence Divestment of GMT • GMT became member of dormakaba as part of the acquisition of Stanley Black & Decker's mechanical security businesses on 22 February 2017 • Stand-alone business focused on mid to lower price segments in China; products include
Slide 87: Enterprise excellence – Four main areas to drive efficiency
Optimized business portfolio and Enterprise excellence Enterprise excellence – Four main areas to drive efficiency and competitiveness Optimized manufacturing footprint focused manufacturing to allow critical volumes at location with best cost base, skill base etc. Automation and lean manufacturing
Slide 88: Strategic Pricing
Optimized business portfolio and Enterprise excellence Strategic Pricing – Target: Professional pricing as part of our DNA – improve profitability Strategic Pricing 2014/15 Kick-off - pricing as strategic lever: Get Value Selling Price controlling buy in, start projects (former Kaba) 2015/16 Execute
Slide 89: Industry 4.0 – our next steps
Optimized business portfolio and Enterprise excellence Industry 4.0 – our next steps Lighthouse projects from the segments Example: Collaborative Robots (Cobots) – Ennepetal • Formulate use-cases for Cobots • Make use of their advantages • Reduced setup efforts, no fences • Semi-automation of proces
Slide 90: Extending Lean Management – improving plant productivity
Optimized business portfolio and Enterprise excellence Extending Lean Management – improving plant productivity Plant Productivity: Door Closer production in China (started from FY11/12) • A lean organization and low-waste processes (second/pc) are mandatory to improve profitability 900 0% • During
Slide 91: Agenda
Agenda Current PMI status dormakaba – strength of portfolio Optimized business portfolio and Enterprise excellence Financials 18 Capital Market Day 2017 06.12.2017
Slide 92: 2018/19 targets confirmed
Financials 2018/19 targets confirmed Efficiency gains R&D/Digitization in SG&A Additional Expenses Gross Margin Main initiatives • Further strengthening increase • Organizational of innovation power restructuring • Enable Digitization@ Main initiatives • IT cost reduction dormakaba • Restructuring •
Slide 93: Ownership structure – supporting sustainable development
Financials Ownership structure – supporting sustainable development Anchor Shareholders 1. BoD: 10 members: 5 independent, 27.5% Free Float 3 Members of Mankel/Brecht-Bergen family, Family Mankel/ Kaba family 72.5% 2 Members of Kaba family shareholders Brecht-Bergen shareholders 9.2% 18.3% 2. Strate
Slide 94: Successful debut in the bond market to fund US acquisitions
Financials Successful debut in the bond market to fund US acquisitions for the medium and long term as planned • Successfully placed two bonds as dual tranche transaction on 28 September 2017 • CHF 360 million bond 2017-2021, Coupon: 0.375% p.a. • CHF 320 million bond 2017-2025, Coupon: 1.00% p.a. •
Slide 95: Guidance and business outlook for financial year 2017/18
Financials Guidance and business outlook for financial year 2017/18 Market Development dormakaba believes that the global macroeconomic and geopolitical environment remains volatile and therefore challenging • North America: Continued good growth, changes in US legislation might increase volatility
Slide 96: Thank you for your attention.
Thank you for your attention. dormakaba Holding AG Hofwisenstrasse 24 8153 Rümlang Switzerland www.dormakaba.com
Slide 97: Disclaimer
Disclaimer This communication contains certain forward-looking statements, e.g. statements using the words "believes", "assumes", "expects", or formulations of a similar kind. Such forward- looking statements are based on assumptions and expectations which the company believes to be well founded, bu
Slide 98: Access Solutions Americas - Manage the Opening
Classification: Public Michael Kincaid, COO AS AMER London, 6 December 2017 Capital Market Day 2017 Access Solutions Americas - Manage the Opening
Slide 99: Agenda
Agenda AS AMER introduction Go to market synergies Operational synergies Innovation 2 Capital Market Day 2017 06.12.2017
Slide 100: Managing the Opening
AS AMER introduction Managing the Opening 1. Hollow metal frames 2. Wood and hollow metal doors 3. Hinges 4. Electronic and mechanical door locks 5. Door accessories a. Electrified hardware (i.e. strikes) b. Sensors, readers and controls c. Flat goods (i.e. kickplates) 6. Manual door closers 7. Auto
Slide 101: dormakaba now a strong number 3 in the North American market
AS AMER introduction dormakaba now a strong number 3 in the North American market as of 02/17 as of 11/16 Manual doors dormakaba now offers a comprehensive Needed to manage the opening Mechanical locks portfolio to manage the opening – Mechanical key systems all from a single source Door accessories
Slide 102: 8 Product Clusters - Our offering of access solutions
AS AMER introduction 8 Product Clusters - Our offering of access solutions 11 December 2016 Mechanical Door Hardware Interior Entrance Systems Key Systems Glass Systems 22 February 2017 Lodging Systems Safe Locks Electronic Services Access & Data 5 Capital Market Day 2017 06.12.2017
Slide 103: AS AMER principal operations facilities in the Americas
AS AMER introduction 23 AS AMER principal operations facilities in the Americas Mississauga, ON Cambridge, ON Whitby, ON Map does not include the 34 Waukegan, IL Detroit, MI Montreal, QC dormakaba services branches Lake Bluff, IL in North America Reamstown, PA Sunnyvale, CA Steeleville, IL Indianapo
Slide 104: Establishing a strong number 3 in North America
AS AMER introduction Establishing a strong number 3 in North America Former Kaba dormakaba AMER APAC Former Dorma Acquisitions of EMEA & DACH Merger BEST Solutions and Mesker 2014/15 2015/16 2016/17* * Figures include regional exposure from Key & Wall Solutions; 2016/17 figure adjusted, 12 months Be
Slide 105: The North American physical access control market is attractive
AS AMER introduction The North American physical access control market is attractive with high profitability and growth relative to other regions North American market attractive • Consolidated mature market • One standard (ANSI) • One major currency Americas1 EMEA1 Asia Pacific1 Size, USD2 Growth3
Slide 106: Agenda
Agenda AS AMER introduction Go to market synergies Operational synergies Innovation 9 Capital Market Day 2017 06.12.2017
Slide 107: Vertical Market Opportunity
Go to market synergies Vertical Market Opportunity • Acquisitions enhance existing dormakaba verticals Hospitality with additional solutions and revenue opportunities • Acquisitions bring new vertical opportunities • Together, dormakaba and recent acquisitions have Multi-Housing size and scale in ve
Slide 108: Vertical Spotlight – Hospitality
Go to market synergies Vertical Spotlight – Hospitality • Vertical market leader and resident expert • Understand needs to craft customizable solutions • Drive product development to fill gaps in portfolio • Enables sales team with selling processes • Provides one-stop-shop for needs, instead of eac
Slide 109: Architectural Specification Services Integration
Go to market synergies Architectural Specification Services Integration • Fully integrated into one architectural specification team • New construction demand creation across product clusters • Project specs now include hollow metal doors, glass, auto doors, access control, revolving doors, physical
Slide 110: Strategic Sales Focus
Go to market synergies Strategic Sales Focus • Sales organization structured to emphasize and leverage cross-cluster sales opportunities • Leading products and services under the dormakaba brand providing superior value • Focused customer interface in sales, customer Doors & Door Hardware services a
Slide 111: International ANSI Cross-Selling
Go to market synergies International ANSI Cross-Selling • Scale allowing for sales reorganization around geographic regions rather than specific products • Acquisitions give South America 3x sales presence for ANSI solutions and hollow metal doors • Made In America products an advantage in MEA marke
Slide 112: Agenda
Agenda AS AMER introduction Go to market synergies Operational synergies Innovation 15 Capital Market Day 2017 06.12.2017
Slide 113: Post Merger Integration (PMI) - dormakaba
Operational synergies Post Merger Integration (PMI) - dormakaba • Core Projects: e.g. IT Infrastructure standardization across the Americas • Value Driver Initiatives: exploiting sales, R&D and operational synergies, e.g. • Manufacturing Footprint Optimization: Close several under-utilized factories
Slide 114: Integration of Mesker and Best Access
Operational synergies Integration of Mesker and Best Access • Change Management is key – people are our greatest assets • Well-versed integration team, dedicated PMI Manager for Best Access and Mesker put in place on-site • Sales and marketing organization of Best Access are run separately for appro
Slide 115: ERP/CRM Standardization
Operational synergies ERP/CRM Standardization Description: • Enterprise wide consolidation to Global SAP that will now include Best Access Solutions, Mesker Group and associated best practices Opportunity: • Improved enterprise connectivity across all order fulfillment, MRP, A/R, A/P, and organizati
Slide 116: Agenda
Agenda AS AMER introduction Go to market synergies Operational synergies Innovation 19 Capital Market Day 2017 06.12.2017
Slide 117: The Digital Transformation: Mobile Access Solutions
Innovation The Digital Transformation: Mobile Access Solutions • Delivering a new level of security, convenience and dependability • Supports entire dormakaba product portfolio in multiple customer verticals • Extensive collaboration opportunities with Value Added Resellers (VAR) and integration par
Slide 118: Mobile Access Solutions: Lodging
Innovation Mobile Access Solutions: Lodging • Multiple delivery options support customer business models • Personalized guest experience allows check-in bypass • Functional across entire property including rooms and amenities • Increases guest loyalty from reservation to contact throughout stay and
Slide 119: Mobile Access Solutions: Multi-family housing
Innovation Mobile Access Solutions: Multi-family housing • Meets “technology as an amenity” requirement of mobile minded residents • Complements physical key for unique living situations such as dog walker, service technician, special deliveries etc. • Branded mobile app integrates with access contr
Slide 120: Ambiance Software: The heart of access control for Lodging
Innovation Ambiance Software: The heart of access control for Lodging • Next-gen, state-of-the-art application that interfaces with hotel Property Management Systems (PMS) • Flexible architecture allows deployment on mobile device or traditional workstation • Scalable to support all property sizes a
Slide 121: Thank you for your attention.
Thank you for your attention. dormakaba Holding AG Hofwisenstrasse 24 8153 Rümlang Switzerland www.dormakaba.com
Slide 122: Disclaimer
Disclaimer This communication contains certain forward-looking statements, e.g. statements using the words "believes", "assumes", "expects", or formulations of a similar kind. Such forward- looking statements are based on assumptions and expectations which the company believes to be well founded, bu