Download the file. - Groupe SEB

c o r p o r a t e a n d s u s t a i n a b l e d e v e l o p m e n t r e p o r t 

2 0 0 7

G R O U P P R O F I L E 

A GROUP FOUNDED 150 YEARS AGO WHICH GREW TO BE WORLD MARKET LEADER IN 

SMALL HOUSEHOLD APPLIANCES WITH: 

• Operations in more than 120 countries and a new opening into the Chinese market. 

• A rich product offer targeted by segment and driven by powerful brands. 

• An exceptional innovation dynamic that creates differentiation and growth. 

• A vast sales network adapted to the economic realities of each market. 

WORLD RANKING 

N°1 in cookware, pressure cookers, irons and steam systems, electric kettles, steam cookers, 

food-preparation equipment, toasters, electric fryers and informal meal appliances. 

N°2 in table-top ovens, electric barbecues and grills, waffle makers and sandwich makers. 

N°3 in filter and espresso coffee makers. 

SOCIAL COMMITMENT 

• Signatory of the UN Global Compact* since the end of 2003. 

• Signatory of the CECED* Code of Conduct since August 2005. 

• Signatory of the Diversity Charter* since October 2005. 

• Creation of the Groupe SEB Corporate Foundation in 2007. 

SALES €2,870 million +8.2% 

OPERATING MARGIN €301 million +14.7% 

NET INCOME €143 million +64.2% 

FINANCIAL DEBT €658 million 

CAPITAL EXPENDITURE €92 million 

EMPLOYEES 13,048 worldwide 

at 31/12/07 

* see Glossary 

80% of equity 

Figures excluding Supor

A unique set of brands 

professional 

authentic 

intelligent 

refined 

italian 

elegant 

ingenious 

generous

precise 

perfectionist 

simple 

quick 

Group core business areas 

COOKWARE Frying pans, saucepans, casseroles, 

bakeware, oven dishes, pressure cookers... 

ELECTRIC COOKING Deep fryers, table-top ovens, 

barbecues, informal meal appliances, breadmakers, 

toasters, steam cookers... 

FOOD AND BEVERAGE PREPARATION Food processors, 

blenders, small food-preparation equipment, filter and 

espresso coffee makers, electric kettles... 

PERSONAL CARE Haircare equipment, depilators, 

bathroom scales, babycare products... 

LINEN CARE Steam irons and steam systems, semi- 

automatic washing machines... 

HOME CARE Vacuum cleaners, fans, portable heaters and 

air-conditioners... 

AIRBAKE 

ALL-CLAD 

ARNO 

CALOR 

CLOCK 

KRUPS 

LAGOSTINA 

MIRRO 

MOULINEX 

PANEX 

PENEDO 

REGAL 

ROCHEDO 

ROWENTA 

SEB 

SUPOR 

SAMURAI 

TEFAL 

T-FAL 

WEAREVER

ENTERPRISE 

INNOVATION 

TEAM SPIRIT 

PROFESSIONALISM 

1

150 years of better living 

and shared values 

150 years: for Groupe SEB, a chronicle of founding values 

that are still very much alive today and will live on into the future: 

• enterprise 

• innovation 

• team spirit 

• professionalism 

distinctive hallmarks of our corporate culture. 

These values, bridging the past and the future, inspired the great moments in the Group’s 

history and still shape its destiny today. Our new logo reflects this continuity and embodies 

the dynamism and modernity of Groupe SEB.

A corporate mission 

This milestone anniversary and the 

launch of our new logo are a good 

time to reassert the Group’s strong 

corporate identity and its mission to 

make everyday life easier and more 

agreeable for people all around the 

world: 

• by creating products and services 

that contribute to better living 

• by anticipating the hopes and 

desires of consumers. 

That is what motivates all the 

Group’s efforts which are firmly 

focused on the long term.

Enterprising drive 

Constantly forging ahead, growing and penetrating new contin- 

ents: that’s what enterprising drive means for Groupe SEB. 

Be it by conquering territories, forming fruitful alliances or 

acquiring other companies, the Group has built itself with 

method and daring enterprise over the years. In the last four 

decades of its history it carried off ten successful takeovers that 

gained it new product domains and leading brands. Its global 

expansion has seen it grow from strength to strength in interna- 

tional markets and increase its proximity to consumers at local 

level. With this balanced blend of ambition, foresight, resolve 

and tenacity, the Group has become a global benchmark in 

Small Household Appliances.

150 years... 

The early 80’s saw the Group 

make its first market overtures 

in Japan. It set up a local 

joint-venture company of which 

it quickly took full control. 

Its business at that time was 

based on two fast-growth 

product families: pressure 

cookers and nonstick cookware. 

Another rendezvous with history in 2001: the Group’s partial 

takeover of long-time rival, Moulinex. This offered ready 

potential for upscaling and reinforced positions in food 

preparation. The Group carried off the deal. 

In 2007-2008, a new adventure unfolded for Groupe SEB – 

this time in China – presenting a huge challenge and a 

far-reaching strategic opportunity. The prize: our acquisition 

of Supor, a front-rank operator in our industry which today 

gives us access to China’s vast and rapidly expanding market.

Innovation culture 

Innovation is a distinctive trait of Groupe SEB. It presided at its birth and remains 

deeply ingrained in its corporate culture. Its vocation is to improve the quality of daily life 

for consumers around the world. Synonymous with modernity, attractive design and 

convenience, innovation boosts efficiency, keeps abreast of changing attitudes and sets 

the pace with new concepts. Inventiveness is also put to work in the Group’s production 

processes to build up our technical expertise and make our industrial base more 

competitive. Our creation of added value and our command of the latest technologies 

together form a powerful source of growth. This ability to be always a step ahead of its 

rivals is what makes and will continue to make all the difference for Groupe SEB. 

6

150 years... 

In the 1950’s, Seb revolutionized the kitchen by inventing the legendary ‘cocotte 

minute’ – the first no-weld stamped aluminium pressure cooker with a security 

lid. What is more, it was 40% cheaper than rival products and much safer. 

The Group can in fact boast hundreds of innovations. 

Here are some of the most outstanding: 

1917 The Calor electric iron. 

1956 The first Tefal nonstick frying pan. 

1961 The Moulinex Marie food processor and the Krups “Kaffee Automat”. 

1967 The first Seb odourless fryer. 

1978 The Tefal raclette grill. 

1985 Tefal bathroom scales with patented “Sensitive Computer” technology. 

1994 The Rowenta compact Dymbo vacuum cleaner. 

2004 The quick-fill Calor/Tefal Aquaspeed steam iron. 

Today more than ever, the Group can lay 

claim to the title of pioneer with its truly 

advanced technologies: the Actifry, with its 

convection and stirring system can make 

tasty French fries with just a spoonful of oil; 

the Silence Force with its acoustic 

insulation box is six-times quieter than any 

other vacuum cleaner, and just as powerful. 

7

Team spirit 

150 years... 

To associate its employees with the 

company’s trading results, Seb 

signed profit-sharing agreements 

as far back as 1968, making it 

a pioneer in labour relations 

practices in France. 

Groupe SEB, being 

a family-based com- 

pany, has forged a corporate culture that gives pride 

of place to respect for the individual, sharing and social 

cohesion – values that guide our management practices. 

The integration of new companies, the multi-cultural 

nature of global expansion, and the use of Group-wide 

projects and multidisciplinary teams have engendered 

an organization that fosters transparency and unity in the 

service of common goals.

The acquisition of Arno in 1998 generated substantial 

synergy on an international scale. 

This led the Group to launch an entry-level iron for 

the world market with simultaneous start-up of 

production at three of the Group’s factories – 

in France, Mexico and Brazil – and with pooled 

sourcing of raw materials and components. 

For Groupe SEB, encouraging pluralism and harnessing the 

strengths that derive from diversity are a springboard for 

progress. The Group signed the Diversity Charter in 2005.

Professionalism 

Groupe SEB’s rich fund of knowhow has been built around major advances in 

technology, full command of its production processes and a consistent industrial 

strategy. But this knowhow has been turned into success by the individual and collective 

talents of our employees. 

The Group is as pragmatic in its deployment of core skills and key technologies – assets 

that guarantee its future – as it is determined in its constant quest for excellence. 

To achieve its goals it relies on the personal commitment and collective efficiency of its 

staff, while exploiting synergy potential, paying close attention to local feed-back and 

rewarding results. 

150 years... 

When Seb acquired Tefal it 

knew that constant selfappraisal 

is a key to progress. 

So, it reviewed its 

client relations and decided 

to adopt the Tefal strategy of 

focusing on targeted markets 

and working through exclusive 

retailers.

Improving quality means taking notice of feed-back, openly 

discussing problems and finding effective solutions. 

Aiming for excellence by training professionals and developing 

skills. The Groupe SEB Academy has provided training for 8,000 

employees in the last five years.

2007, a new logo 

Our new logo’s graphic design traces a path between Groupe SEB and the red silhouette 

of a house. This evokes the perennial nature of our corporate mission and our 

long-standing dedication to the home. 

It symbolically projects the Group’s uniqueness and differentiation 

and embodies its corporate values: 

• The vertical band adds distinction to the simplicity of the ‘S’ form, 

giving it thrust, continuity and orientation to the future. 

• The house – the home – is a symbol of proximity, its arrow-head shape indicating 

growth and development. 

• The human and corporate aspects are evoked by the use of warm energetic red 

combined with sober and reliable grey. 

150 years... 

12 

The Group has grown and changed considerably since 

it used the original SEB crest of la Société 

d'Emboutissage de Bourgogne. Its last banner, 

created in 1975, was a perfect illustration of its 

determination to expand internationally. On the 

occasion of the Group’s 150 th anniversary, we wanted 

to project its new dimension, energy and potential. 

This new, modern and dynamic logo clearly reflects the 

Group’s firm orientation to the future.

INTERVIEW WITH THE CHAIRMAN 

GROUP NEWS 

FACTS AND FIGURES 

GROUPE SEB commitment... 

Shareholders: a maximum spread of information 15 

Commitments: a Foundation to promote social integration 20 

Brands for everyone: “Being first in quality too” 34 

Better service for the consumer 35 Eco-design: planning the full product lifecycle 36 

Distributors: strengthened partnerships 38 “Recycling and recovery system takes off” 39 

Better living all around the world: Promoting social integration 42 

“Young people learning to live again” 43 Burundi project backed by 7,000 SEB 

employees 44 Brazil: social integration via training 45 Colombia: handicapped youths 

walk again 45 A corporate citizen seeking solutions with others 46 

Constant progress: Eco-production: factories respecting the environment 51 

“Groupe SEB did not let us down” 52 

Suppliers: clear rules for compliance 54 “We cross-check a whole range of factors” 56 

Reducing the ecological impact of freight transport 57 

Caring for individuals: Proud to work for Groupe SEB 59 

“I chose to continue working” 60 “High standards in safety” 61 “Listening carefully” 63 

1 

FINANCIAL RESULTS 2007 

STOCKMARKET OVERVIEW 

BEING ATTENTIVE TO SHAREHOLDERS 

SOCIAL PERFORMANCE REVIEW 

ENVIRONMENT REVIEW 

INNOVATING TODAY FOR A BETTER LIFE TOMORROW 

MANAGEMENT BODIES, CORPORATE GOVERNANCE 

GROUPE SEB STRATEGY 

INDUSTRY TRENDS 

IMAGINING THE FUTURE 

BRANDS FOR EVERYONE 

BETTER LIVING ALL AROUND THE WORLD 

LIVING THE FUTURE 

CONSTANT PROGRESS 

CARING FOR INDIVIDUALS 

C O N T E N T S 

02 

06 

08 

08 

12 

14 

16 

18 

20 

22 

26 

28 

30 

32 

40 

48 

50 

58

CORPORATE AND SUSTAINABLE DEVELOPMENT REPORT 2007 

Interview with the Chairman 

Thierry de La Tour d’Artaise 

HOW DID GROUPE SEB 

DO IN 2007? 

“Supor...an exciting 

new venture and 

a huge opportunity.” 

A decidedly good year for Groupe SEB, 2007 was marked 

by excellent trading, completion of our industrial reorganization 

in France and our strategic acquisition of a 

controlling stake in Supor in China. We thus met and even 

exceeded the objectives we had set out to achieve. 

In terms of trading performance, the Group saw 8.6% 

organic growth in sales across all product families and in 

almost all markets. This reflects revived demand in 

Western Europe and our continued rapid advance in 

emerging countries, while it vindicates the Group’s 

economic model based on innovation and enhancing the 

product mix. 

Robust growth was the main spur behind a rise of almost 

15% in our operating margin, to €301 million. Operating 

profit (less burdened than in 2006 by provisions for 

restructuring) grew 55%, while net income climbed 64% 

2

HOW DID YOU TACKLE FRENCH INDUSTRIAL 

RESTRUCTURING? 

YOU ARE NOW THE MAJORITY SHAREHOLDER 

OF SUPOR IN CHINA. 

NO DOUBT, YOU ARE PLEASED... 

RESTRUCTURING, INVESTMENT IN CHINA, 

MAKING THE GROUP MORE COMPETITIVE... 

ARE THESE AIMS CONSISTENT WITH 

SUSTAINABLE DEVELOPMENT? 


to €143 million. Our financial structure – after acquisition 

of a 52.74% stake in Supor – remains solid, with a gearing 

ratio of 76% which allows the Group a comfortable margin 

of financial manoeuvre. 

The industrial restructuring plan launched in France in 

2006 is now completed, and I am glad to say that the 

Group carried it through entirely in line with our ethical 

values and commitments. Every employee was offered 

an individual solution and we managed to ensure the 

reindustrialization of the affected sites. Today, our French 

manufacturing base is built around centres of expertise 

with a strong orientation to production for export. Their 

continual optimization is a guarantee of our long-term 

competitive capacity and future growth. 

Yes, very pleased indeed. To ensure our long-term development, 

we seek to grow where growth potential is strongest 

– particularly in emerging countries. We are already 

well established in the markets of Central Europe, Russia, 

Turkey and Brazil, for example, but the Group’s presence 

is still limited in China. Our gaining control of Supor is an 

exciting new venture and a huge opportunity. It opens up 

vast horizons and will help us to break new ground both 

geographically and in terms of technology. With Supor – 

China’s market leader in cookware and number 2 in small 

electric cooking appliances – Groupe SEB is today paving 

the way for its expansion in China and throughout 

Southeast Asia. 

Underlying the principle of sustainable development is the 

sustainability of the company. Without successful 

performance, there can be no sustainable development. 

My responsibility as head of the company is to make sure 

that the Group is sufficiently competitive to guarantee its 

future, while respecting an overall balance of interests. 

In this regard, the immediate demands of growth and 

profitability are closely interwoven with a responsible 

3

GROUPE SEB MARKED ITS 150 TH YEAR IN 2007. 

WHAT ARE THE SECRETS OF THIS LONGEVITY? 

YOU HAVE ADOPTED A NEW LOGO. 

WHAT DOES THIS MEAN FOR THE GROUP? 


long-term approach to all the stakeholders in our 

enterprise. In social terms, the solutions we sought for 

our employees and the local job market during our industrial 

restructuring in France testify to our pro-active 

stance in this area. In terms of corporate citizenship, the 

creation of the Groupe SEB Corporate Foundation in 

March 2007 to promote social integration will help us to 

better coordinate our sponsorship of community projects. 

Finally, to safeguard the environment we incorporate ecodesign 

criteria in our product development and continue 

to extend ISO 14001 certification of our factories. 

Since its foundation, the Société d’Emboutissage de 

Bourgogne, which became Groupe SEB in 1973, has been 

a pioneering innovator. Today, we carry on the tradition of 

intellectual curiosity, agility of mind and creativity that 

marked our beginnings. The Group’s history is built on 

inventive spirit and proximity, and our ambition has 

always been and still is to make constant progress. By 

combining a resolute product dynamic with new concepts, 

practical improvements and a multitude of little extras to 

make life easier and more agreeable, Groupe SEB has 

become a major catalyst of modernity. Thanks to a stable 

family shareholder base, we have pursued a long-term 

strategy, firmly holding course through the ups and 

downs of an ever-changing business climate. 

Longevity does not mean we have not changed. Thirty-two 

years after creating our last logo as a standard – bearer 

for our international expansion, a fresh boost has been 

given to the Group’s identity today. Our new logo reflects 

our perennial commitment to modernity and leadership – 

qualities clearly perceived by the public, according to 

market studies. With this new banner, one can see that 

the Group is resolutely focused on the future. 

4

WHAT IS THE OUTLOOK 

FOR GROUPE SEB IN 2008? 


Last year was a remarkable year. Despite uncertainties 

surrounding raw materials prices and exchange rates, 

and fears of a slowdown in consumer demand, I am confident 

in our ability to generate organic growth in 2008 

through our presence in emerging markets, and by geographically 

extending the success of last year’s top performing 

products with strong marketing and advertising 

support. Beyond actual sales figures, we are also aiming 

in 2008 for a further improvement in the operating margin 

and continued lowering of debt for constant structure. 

With these goals and the task of integrating Supor, 2008 

promises to be a busy year. 

5

Destination China 

World’s 3rd economic power. 

1.3 billion Chinese. 

A 41% urban population. 


On 21 December 2007, Groupe SEB announced the success 

of its partial public offer launched a month earlier for 

a controlling stake in Supor, China’s domestic market leader 

in cookware and number 2 in small electric cooking 

appliances. With a 52.74% majority share in the capital of this 

front-rank company, Groupe SEB is now well equipped to 

exploit the enormous business potential of this vast market. 

This key strategic step will alter the profile of Groupe SEB in 

2008. 

SUPOR, A MAJOR ALLY 

Founded in 1989 by the Su family, Supor has become a benchmark 

standard in cookware and small electric cooking appliances in the 

Chinese market, with strong positions in rice cookers – a highly 

symbolic product in that country – as well as in electric pressure 

cookers and induction cooking hobs. With a competitive and adaptable 

industrial base comprising four modern factories, Supor 

employs 6,600 people, of which 80% in production. Moreover, 

the start-up of a new plant in Vietnam in mid-2008 will give it an 

essential tool to penetrate the markets of Southeast Asia which 

cover a population of more than 600 million. Supor also began 

taking steps in recent years to obtain certification in quality, 

environment and labour rights. 

6

Supor - Hangzhou production site 

Supor – Rice cooker 

GROUP NEWS 

In terms of marketing, Supor enjoys a strong brand image which 

has won “China’s Famous Brand” award three times since 2002. 

The company’s extensive coverage of Chinese territory is assured 

by a vast distribution network of 300 agent-wholesalers and 20,000 

retail outlets throughout 30 provinces. In 2007, its sales amounted 

to €280 million, up 38% on the previous year. 

EXCELLENT PROSPECTS 

The acquisition of Supor is a unique opportunity for both parties. 

It gives Groupe SEB access to the Chinese market with a 

well-established leading brand which will help it to expand its limited 

current offer in this vast country. It brings Groupe SEB new 

technologies and specialist products such as rice cookers, electric 

pressure cookers and induction hobs, which will also add to its 

knowhow. 

For Supor, its integration into Groupe SEB gives it major scope for 

fresh growth. The Group’s international network will open new 

doors for it in the emerging markets of Southeast Asia and in the 

entry-level segments of mature markets. Meanwhile, technology 

transfers and higher production volumes to supply the Group’s 

needs should accelerate Supor’s growth and make it more 

competitive. 

XIANZE SU, MANAGING DIRECTOR OF SUPOR 

“We backed Groupe SEB’s partial public share offer and we are happy with the 

outcome as it gives Supor an excellent opportunity for strategic cooperation 

and strong backing for its business development in China and Southeast Asia. 

An integration committee has set to work mobilizing staff teams around action plans 

to pool efforts and share best practices in a spirit of fruitful cooperation. This process, 

which involves mixed teams of Groupe SEB and Supor managers working to a concrete 

agenda, is vital to our successful integration. We appreciate this interlocking multicultural approach because it is 

constructive, efficient and enriching for all concerned. Our entry into Groupe SEB is also a big opportunity for 

Supor employees, as it opens up new career prospects in a major international group.” 

7

Financial results 2007 

INCREASE IN SALES 

€ millions 


8 

SALES BREAKDOWN BY ZONE 

in % 

France 

Other EU countries* 

North America 

639 729 836 

South America 

2005 2006 2007 Central Europe, the CIS countries, 

Asia and other territories 

Strong growth in 2007 sales: 8.2% 

• revived business in European markets; 

* Former 15-member bloc 

• contrasted trading in North America, and steady sales in South America; 

• confirmed dynamism of Central Europe, the CIS countries and Asia (+16.7% for constant parity and structure). 

TRADING RESULTS/SALES (%) 

Operating margin 

sharply up by 14.7%, 

thanks to increased 

sales volume, 

higher sale prices 

and upgraded ranges. 

Operating profit climbed 

by 55.2% and net 

income by 64.1%. 

Net income 

Operating profit 

Operating margin 

2,463 

591 

677 

352 

204 

4.1 

7.4 

10.6 

2,652 

595 

692 

390 

246 

3.3 

5.8 

9.9 

2,870 

640 

718 

402 

274 

5.0 

8.3 

10.5 

RETURN ON EQUITY 

A strong balance 

sheet with 

shareholders’ equity 

up by €46 million. 

Record high return 

on equity. 

Shareholders’ equity at 

31/12 (€ millions) 

Net income (n) 

/shareholders’ equity 

(n-1) as % 

2005 2006 2007 

2005 2006 2007 

29% 

10% 

801 

14.8 

14% 

816 

10.9 

22% 

25% 

862 

17.5

CASH FLOW AND CAPITAL 

EXPENDITURE 

€ millions 

Increased cash 

flow and capital 

expenditure 

focused mainly on 

new products. 

Capital 

expenditure 

Cash flow 

99 

283 

2005 

The figures given above do not include Supor. 

85 

290 

2006 

92 

301 

2007 


9 

NET FINANCIAL DEBT 

AND GEARING 

Debt was up due to 

the Supor acquisition, 

but down by €83 million 

for constant structure, 

reflecting rigorous 

financial management. 

Net debt at 31/12 

(€ millions) 

Debt-to-equity ratio 

(gearing) 

423 

0.5 

2005 

422 

0.5 

2006 

658 

0.8 

2007

REVENUE BREAKDOWN 

CLIENTS €2,869.6 MILLION 

• European Union* 47% 

• North America 14% 

• South America 10% 

• Central Europe, the CIS countries, 

Asia and other territories 29% 

* Former 15 member bloc 

RESERVED FUNDS €209.3 MILLION 

• Refinancing investments: €88.3 million 

• Change in provisions linked to 

business risks: €21.2 million 

• Transferred to reserves : €99.8 million 

GROUPE SEB 

BANKS AND BONDHOLDERS €34.9 MILLION 

Mainly financial expenses relating to interest on bank 

loans 


10 

SUPPLIERS €1,935.1 MILLION 

of which 2,404 direct industrial 

suppliers, (including a panel* 

of 455 suppliers representing 80% 

of purchases). 

STATE AND LOCAL AUTHORITIES €108.9 MILLION 

Corporation tax: €60.9 million 

Local taxes: €48.0 million 

SHAREHOLDERS €43.0 MILLION 

paid in 2007 in respect of the 2006 trading 

year. 

EMPLOYEES €538.3 MILLION 

paid to 13,048 employees. 

• 71% in gross pay 

• 29% in social charges 

• bonus and profit-sharing (€33.3 million) 

to be paid in 2008 

* The increase in the approved supplier panel 

compared with 2006 is due to the integration 

of All-Clad, Panex and Lagostina, and to the 

development of sourcing.


SUMMARY CONSOLIDATED FINANCIAL STATEMENTS 

CONSOLIDATED RESULTS 

€ millions 31/12/2007 31/12/2006 31/12/2005 

restated restated 

Revenue 2,869.6 2,651.7 2,462.9 

Operating expenses (2,568.5) (2,389.3) (2,200.7) 

OPERATING MARGIN 301.1 262.4 262.2 

Discretionary and non-discretionary profit-sharing (33.3) (25.8) (29.3) 

RECURRING OPERATING PROFIT 267.8 236.6 232.9 

Other operating income and expense (30.4) (83.6) (50.1) 

OPERATING PROFIT 237.4 153.0 182.8 

Finance costs (32.3) (25.6) (17.6) 

Other financial income and expense (2.6) (4.9) (7.6) 

Share of profits (losses) of associates 1.2 (1.0) (1.1) 

PROFIT BEFORE TAX 203.7 121.5 156.5 

Income tax (60.9) (34.4) (54.6) 

PROFIT FOR THE PERIOD 142.8 87.1 101.9 

Minority interests (0.0) (0.1) (0.1) 

PROFIT ATTRIBUTABLE TO EQUITY HOLDERS 142.8 87.0 101.8 

OF THE PARENT COMPANY 

CONSOLIDATED BALANCE SHEET 

ASSETS 31/12/2007 31/12/2006 31/12/2005 

€ millions restated restated 

NON-CURRENT ASSETS 1,083.6 807.9 848.9 

Inventories 528.2 517.1 449.8 

Trade receivables 627.2 646.4 630.3 

Current tax assets and other receivables 65.1 95.9 85.6 

Cash. cash equivalents and derivative instruments 138.1 56.6 53.5 

CURRENT ASSETS 1,358.6 1,316.0 1,219.2 

TOTAL ASSETS 2,442.2 2,123.9 2,068.1 

EQUITY AND LIABILITIES 31/12/2007 31/12/2006 31/12/2005 

€ millions restated restated 

EQUITY ATTRIBUTABLE TO EQUITY HOLDERS OF THE 

PARENT COMPANY 862.4 815.9 799.5 

MINORITY INTERESTS - - 1.2 

EQUITY 862.4 815.9 800.7 

Long-term borrowings 65.9 80.2 104.3 

Provisions and other non-current liabilities 161.6 187.1 229.3 

NON-CURRENT LIABILITIES 227.5 267.3 333.6 

Trade payables 333.4 342.7 303.7 

Other provisions and current liabilities 289.6 301.3 263.7 

Short-term borrowings 729.3 396.7 366.4 

CURRENT LIABILITIES 1,352.3 1,040.7 933.8 

TOTAL EQUITY AND LIABILITIES 2,442.2 2,123.9 2,068.1 

11

Stockmarket overview 


BREAKDOWN OF CAPITAL (%) BREAKDOWN OF VOTING RIGHTS (%) 

Founder group 

FFP 

5.1 5.9 

14.1 

23.8 

3.6 

42.5 

5.0 

TOTAL SHARES: 16,960,186 TOTAL VOTING RIGHTS: 23,945,752 

Employees 

12 

4.7 

3.6 

10.1 

17.6 

French institutional investors 

Foreign investors 

Individual shareholders 

DILUTED NET INCOME AND DIVIDEND PER SHARE (in euros) 

Net dividend* 

Net income per share 

* Excluding the dividend supplement. 

2.40 2.40 

8.02 

2004 

6.21 

2005 

2.55 

5.34 

2006 

4.8 

2.80 

8.67 

2007 

59.2 

Treasury stock

SEB SHARE PERFORMANCE 

150 

120 

90 

60 


€ Volumes 

01/07 

02/07 

03/07 

04/07 

05/07 

06/07 

07/07 

13 

08/07 

SEB CAC 40 (adjusted) Average volume of shares traded 

09/07 

10/07 

11/07 

12/07 

01/08 

02/08 

60,000 

50,000 

40,000 

30,000 

20,000 

10,000 

STOCKMARKET CAPITALIZATION AT 31/12/07: €2,103 MILLION 

The SEB share performed well on the stockmarket in 2007, out-pacing the market index throughout the year. 

It maintained an average rate of €129.28, reaching a 10-year high of €144.45 on 22 May. The Group’s excellent trading 

and strong news interest – particularly its imminent acquisition in China, completed at the end of December – largely 

explain this good performance. The capital rotation rate of nearly 64% substantially exceeded the average of recent 

years, reflecting keen investor interest in the share during 2007. At the end of the year and at the beginning of 2008 

agitation in world financial markets pushed down prices of otherwise high-performing mid-range stocks, which also 

affected the SEB share. Substantial profit-taking during this period led to a sharp drop in the share price. However, after 

dipping below the €100 mark, the share began to recover at the end of January following publication of the 2007 

financial results. 

0


Being attentive to shareholders 

A listed company since 1975, Groupe SEB strives to cultivate 

and build up the loyalty of its shareholder base while 

pursuing an active policy of dialogue and information aimed 

at existing and potential shareholders. 

GROUPE SEB PLEASED TO MEET YOU 

Direct contact being the best way to ensure a good understanding 

of the company’s day-to-day operations, we try to engage in 

regular dialogue with our shareholders – beyond the customary 

Annual General Meeting. In 2007, for example, meetings in France 

were arranged in Lyons, Lille, Marseilles and Nantes for a total 

of 1,200 shareholders. To give a better picture of the Group’s 

industrial context, we also organized a factory visit for some 

30 members of an investor club to our Mayenne plant which manufactures 

food and beverage preparation equipment. In parallel, we 

maintain close links with financial analysts (including some 20 

regulars) who follow the progress of the SEB share. In this way we 

help them to better understand the Group and its trading context 

and ensure that they are fully informed. We also maintain direct 

and regular contact with institutional investors (over 200 contacts 

during 2007). 

14

Our mail order catalogue has taken on a new 

look. 

New design, new name – “Home & Cook” – 

with reduced prices for nominal shareholders. 

And, for owners of bearer shares, 

twice-a-year special offers on selected 

products. 


A MAXIMUM SPREAD OF INFORMATION 


GROUPE SEB AT YOUR SERVICE 

Groupe SEB provides a set of dedicated services for its shareholders: 

the SEB Shareholder Relations Department which handles 

all queries and information about the SEB share, and the SEB 

Share Service which manages nominal shares held in the SEB 

share register. This includes free handling of share purchase 

or sale orders, management of related personal information, notification 

of the Annual General Meeting and dividend payments. 

Nominal shareholders also have access to a secure Internet link to 

follow up their share account in real time. 

DIVIDEND GROWTH 

The dividend policy of Groupe SEB is based on the long term and 

aims to give you a fair return on the capital you entrust to us. 

The principle is to increase the dividend when trading results permit, 

and to hold it level if circumstances require. This year, the 

Board of Directors is proposing to the Annual General Meeting of 

13 May 2008 to pay a dividend of €2.80 in respect of the 2007 

trading year, an increase of almost 10%. 

A dividend supplement equivalent to 10% of the dividend is also 

paid for all shares which have been held in the nominal register for 

more than two consecutive years. 

Groupe SEB undertakes to provide clear and comprehensive information to all those who 

are interested in the Group. For this purpose it has developed a whole array of effective 

communication tools accessible to all: 

• paper-based publications throughout the year which offer an excellent source of 

information and are available on demand from the Financial Communications Department. 

These include the Annual Corporate and Sustainable Development Report, the Annual 

Financial Report and Reference Document, the quarterly Letter to Shareholders, and the 

Shareholder Guide; 

• our website, www.groupeseb.com gives real-time acces to the latest news on the Group and 

the full corpus of financial and other information, while a special Shareholder and Investor 

section invites users to download our publications; 

• constantly updated information relays such as the press, official announcements and the 

financial community, are used to pass on our information to their target audiences. 

15


Social performance review 

ACCIDENT FREQUENCY* 

12.28 

2005 

10.41 

2006 

9.31 

2007 

16 

ACCIDENT SEVERITY** 

Accident frequency dropped for all sites (an overall reduction of 10% worldwide compared with 2006), and there was a 

slight reduction in the severity of accidents. 

WOMEN IN MANAGEMENT 

Women accounted for 

28.9% of managers 

worldwide in 2007, 

being a 10% increase 

since 2002 when the 

rate was 20.1%. 

As percentage 

of managers worldwide. 

25.4 

2005 

World data 

* Accident frequency: 

number of work accidents 

with absence, per million 

hours worked. 

2005 : world data adjusted on 

the basis of the Group’s 

structure in 2006 and 2007. 

27.2 

2006 

28.9 

2007 

0.43 

2005 

0.33 

2006 

0.32 

2007 

World data 

** Accident severity: number 

of working days lost because 

of accidents, per 1,000 hours 

worked. 

2005 : world data adjusted on 

the basis of the Group’s 

structure in 2006 and 2007. 

For more information 

see our website: 

www.groupeseb-devdurable.com

EMPLOYEES, BY GEOGRAPHIC ZONE 

At 31 December 2007, 

a total of 13,048 

employees, of which 48% 

outside France. 

Between 2006 and 2007 

staffing in Central 

Europe, 

the CIS countries and 

Asia rose by 14%. 

Worldwide 

France 

Other EU countries 

North America 

South America 

Central Europe, CIS countries and Asia 

TRAINING BUDGET 

Training effort maintained, 

with a budget increased to 

2.30% of the total payroll. 

Worldwide 

As percentage of total 

payroll. 

2.02 

2005 

18% 

6% 

13% 

11% 

2.27 

2006 

In 2008, Groupe SEB will introduce a reporting system 

to reinforce its sustainable development drive. 

The figures given above do not include Supor. 

52% 

2.30 

2007 


17 

EMPLOYEES, BY CATEGORY 

Increase in the proportion 

of office workers and 

managers in 2007. 

Together, they accounted 

for 59% of total staff. 

Worldwide 

Managers 

Office workers 

Manual workers 

12.2 

43.9 

43.9 

2005 

Mayenne – Laboratory 

12.8 

44.7 45.6 

42.5 41.0 

2006 

13.4 

2007

Environment review 

CONSUMPTION OF RESOURCES, PER FINISHED PRODUCT 

Gradual reduction in total use 

of water and gas per finished 

product manufactured. 

Electricity consumption stable. 

Water consumption, in litres per finished product 

Gas consumption, in kWh per finished product 

Electricity consumption, in kWh per finished product 

World data (excluding All-Clad, Panex and Lagostina). 

Data for 2006 and 2005 adjusted on the basis of the Group structure 

in 2007 (excluding factories closed in 2007). 

PROPORTION OF ORDINARY 

INDUSTRIAL WASTE RECYCLED 

A continued increase in 

recycling of ordinary 

industrial waste (see 

glossary): this reached 

79% in 2007. 

World data (excluding All-Clad, 

Panex and Lagostina). 

Data for 2006 and 2005 adjusted 

on the basis of the Group 

structure in 2007 (excluding 

factories closed in 2007). 

71% 

2005 

76% 

2006 


18 

79% 

2007 

litres 12.50 

kWh 

12 – 

11.49 11.42 

10 – 

2.01 

1.78 

1.96 

1.78 

1.85 – 2 

1.80 

8 – 

6 – 

4 – 

2 – 

0 – 

2005 

2006 

2007 

– 1 

– 0

ECOLOGICAL IMPACT CHART 

TOTAL = 153,103 TONNES 

1. Direct raw materials for manufactured finished 

products (excluding sourced products) 

TOTAL = 1,114,035 TONNES 

2. Indirect raw materials 

for processes, buildings and employees 

The data given above do not include All-Clad, Panex, Lagostina and Supor. 


PROCESSING 

19 

1. Finished manufactured products 

(excluding sourced products) 

2. Special industrial waste (SIW) 

3. Ordinary industrial waste (OIW) 

4. Process sludge 

5. Atmospheric emissions (natural gas) 

6. Wastewater to treatment plants 

7. Discharge in water 

8. Disposal in soil 

TOTAL INPUT = 1,267,138 TONNES TOTAL OUTPUT = 1,267,138 TONNES 

Input 1: 

Motors 5,383 t 

Metals 70,785 t 

Plastics 38,700 t 

Packaging 28,000 t 

Sub-assemblies 

and other 10,235 t 

TOTAL 153,103 t 

Input 2: 

Gas 11,387 t 

Fuel 78 t 

Air (0 2 ) 23,962 t 

Water 1,062,654 t 

Other 15,954 t 

TOTAL 1,114,035 t 

▼ 

▼ 

▼ 

INPUT OUTPUT 

152,341 t 

1,122 t 

12,010 t 

6,063 t 

32,948 t 

1,062,654 t 

0.44 t 

1. Finished electrical products, 70% recyclable and recoverable 

(WEEE* standard) and cookware products more 

than 80% recyclable. 

2. SIW: 100% treated in compliance with current standards. 

3. OIW: 79% recycled or recovered (9,534 t). 

4. 100% disposed of in approved landfills. 

5. CO 2: 32,905 t 

NOx & N20: 42.8 t 

SOx: 0.31 t 

6. Of which 482,341 t in the Group’s own wastewater treatment 

facilities and 580,313 t in municipal water treatment 

plants. 

7. Authorized annual maximum of 0.44 tonnes of metal in 

the water of treatment facilities. 

8. No discharge into soil, thanks to the Group’s mastery of 

production processes. 

* See Glossary. 

0 t


Innovating today 

for a better life tomorrow 

Groupe SEB’s approach to sustainable development, fully in harmony with its corporate values, includes 

working together with national and international partners concerned with these issues. The Group has 

supported the UN Global Compact Initiative since 2003 and Europe’s CECED* Code of Conduct since 2005 when 

it also became a signatory of the Diversity Charter in France. 

* European Committee of Domestic Equipment Manufacturers. 


A FOUNDATION TO PROMOTE SOCIAL INTEGRATION 

• return to employment; 

MANAGING SUSTAINABLE DEVELOPMENT 

The Groupe SEB Sustainable Development department coordinates, 

motivates and manages a Group-wide participative effort in this 

area. This effort is supported by a steering committee comprising 

representatives of the main areas of Group activity. Since the end of 

2007 sustainable development principles have been formally 

integrated into the Group’s 14 main corporate functions. 

The Group’s internal control unit has drawn up a list of monitoring 

criteria based on the Global Compact, which it takes into account in 

its internal audits. In 2007 it conducted its first review of sustainable 

development indicators to ensure the reliability of reporting. 

Groupe SEB has a long tradition of corporate sponsorship, notably in support of initiatives 

to combat social exclusion. To coordinate its efforts in this area, it created the Groupe SEB 

Corporate Foundation in June 2007. This body has a budget of €3 million over five years, 

and it takes action in three main areas: 

• social integration via improved living conditions; 

• social integration via access to education and training. 

The Foundation is overseen by a six-member Supervisory Board (including 

two outside experts) and projects are selected by an Operations Committee of 

11 members (including employees and labour delegates). Group employees 

also help to identify projects and participate in the Foundation’s work. 

20

MAIN ACHIEVEMENTS IN 2007 


Working objectives Main achievements in 2007 

Improvement of health • Worldwide reduction of 10% in accident frequency (AF) and 

& safety at work gravity (AG). (In 2007: AF = 9.3; AG = 0.32). 

• Creation of a Group Health & Safety department. 

Promotion of diversity France: diversity training and awareness. 

Support for employees affected France: solutions found for most employees 

by industrial reorganization affected by the three factory closures. 

Corporate sponsorship: • Creation of the Groupe SEB Corporate Foundation. 

to promote social integration • New projects in France and abroad. 

Involvement of Groupe SEB suppliers Environment: 

in its sustainable development effort • 29% of the supplier panel certified ISO 14001. 

• 99% of suppliers signed the eco-statement. 

• 34 follow-up inspections. 

Social: 

• Labour rights statement 

Labour rights statement signed by all suppliers in Asia 

and 50% of suppliers in Latin America. 

• 44 new internal and external social audits. 

Satisfying customers / Ensuring best • Creation of a Group After-Sales Service department. 

possible service for our client distributors • France: 90% service satisfaction rate maintained. 

Reducing the impact of the Group’s • Potential recycling rate for new products 

products on the environment (eco-design) maintained at 70% of their weight. 

• Power used in stand-by mode: 

< 2 Watts for 87% of new products. 

Respect for the environment • 89% of industrial and logistics sites* certified ISO 14001. 

by Group factories (eco-production) • First biodiversity impact study (pilot site in France). 

* Including trial-test sites and head office. 

The full sustainable development action plan is available on our website, www.groupeseb-devdurable.com. 

INFORMATION AND EXCHANGE TOOLS 

The Group uses a full array of media to heighten staff awareness 

and stimulate debate on sustainable development: its intranet 

forum, the in-house newsletter Globe News, a sustainable 

development brochure, a dedicated Internet website 

(www.groupeseb-devdurable.com), the company’s Annual Report 

in paper-based and electronic versions, and an e-mail contact 

address (sustainabledevelopment@groupeseb.com). 

21

Management bodies, 

Corporate governance 

GROUP EXECUTIVE COMMITTEE 

Thierry de La Tour d’Artaise, 

Chairman and Chief Executive Officer 

of SEB SA since 2000. Aged 53. 

A graduate of the Ecole Supérieure de 

Commerce de Paris, he joined Calor in 

1994 and became its Chairman, and in 

1999 was appointed Deputy Chairman 

of SEB SA. He is a Board member of 

Club Méditerranée SA, Plastic Omnium 

and Legrand and permanent representative 

of Sofinaction on the Board of 

Lyonnaise de Banque. Board member 

of Supor since January 2008. 

Jean-Pierre Lac, 

Executive Vice-President, Finance, 

since 2002. Aged 57. A graduate 

of the École des Hautes Etudes 

Commerciales, he worked in various 

countries for Rhône Poulenc, Philips 

and Aventis Cropscience of which he 

was Finance Director. Board member 

of Supor since January 2008. 


Jacques Alexandre, 

Executive Vice-President, Strategy and 

Strategic Business Areas since 2000. 

Aged 60. A graduate of the Institut 

d'Études Politiques de Paris and 

qualified in marketing, he joined 

Rowenta 22 years ago. He became 

Managing Director of SA Seb, then 

Director for the American Continent. 

Board member of Supor since January 

2008. 

Harry Touret, 

Executive Vice-President, Human 

Resources, since 2002. Aged 52. 

Post-graduate diplomas in 

management science and human 

resources. He joined the Group after 

working for Rhône Poulenc and 

Agro/Aventis Cropscience as Human 

Resources Director. 

22 

Rémi Descosse, 

Executive Vice-President, Industrial 

Operations since 1999. Aged 58. 

Graduate of the Institut National des 

Sciences Appliquées. After a career 

with Merlin-Gerin/Schneider, 

he entered the Group in 1994 as 

Managing Director of Tefal, and 

was appointed Director of Food 

Preparation business in 1998. 

Frédéric Verwaerde, 

Executive Vice-President, Continental 

Structures, since 2006. Aged 52. 

A graduate of Audencia, Nantes, he 

entered the Group in 1995 as Director 

of Products and Export. Appointed 

Director for Mercosur markets in 1998, 

he was given charge of Cookware 

activities in 2000, and of Western 

European markets in 2005. Board 

member of Supor since January 2008.

Determined 

international expansion 

The product at the 

heart of our strategy 

Innovation, 

a growth driver 


GROUP MANAGEMENT BOARD 

In addition to the members of the Group Executive Committee, 

the Group Management Board comprises: 

Cyril Buxtorf President, West and South Europe 

Marcio Cuñha President, South America 

Volker Lixfeld President, North and Central Europe 

Patrick Llobregat President, Asia and other territories 

Marc Navarre President, North America 

Philippe Crevoisier President, Electric cooking 

Jean-Pierre Lefèvre President, Linen and Personal care, 

Home care 

Christian Ringuet President, Cookware 

François Sydorowicz President, Food and beverage preparation 

Luc Dohan Chief Science and Technology Officer 

In addition to the five Continental Structures and the Strategic 

Business Areas (SBAs), Group-wide corporate functions handle 

day-to-day operations and apply best practices to ensure 

maximum efficiency and performance. These structures include 

Human Resources, Finance and Legal Affairs, Strategy, 

Manufacturing, Technology, Brands, IT Systems, Sustainable 

Development, Purchasing and Quality. 

23

BOARD OF DIRECTORS 

THIERRY DE LA TOUR D’ARTAISE 

Member of the Founder group. Aged 53. 

Chairman and Chief Executive Officer of SEB SA. 

Shares held: 14,821 (of which 55 bare-owner shares). 

TRISTAN BOITEUX 

Member of the Founder group, member 

of FÉDÉRACTIVE. Aged 45. 

Shares held: 33,558 (of which 30,553 

bare-owner shares). 

DAMARYS BRAIDA 

Member of the Founder group, 

member of VENELLE INVESTISSEMENT. Aged 40. 

Shares held: 56,583 

(of which 53,766 bare-owner shares). 

PASCAL CASTRES SAINT MARTIN 

Independent Director. Aged 72. 

Shares held: 385. 

NORBERT DENTRESSANGLE 


Shares held: 1,650. 

PHILIPPE DESMARESCAUX 



FÉDÉRACTIVE 

Shareholder investment company created in 2005, 

represented by its Chairman, Pascal Girardot, aged 52, 

member of the Founder group. 

Number of shares held by FÉDÉRACTIVE: 3,252,509 

(of which 3,252,508 usufruct shares). 

HUBERT FÈVRE 

Member of the Founder group, member 

of FÉDÉRACTIVE. Aged 43. 


(of which 167,023 bare-owner shares). 


The Board of Directors represents all the shareholders and acts in the sole interests of the company. A collective body, it 

decides on Group strategy, organization, budgets and acquisitions. In 2007, the Board of Directors met on six occasions with 

88% attendance. 

24 

SOCIÉTÉ FONCIÈRE, FINANCIÈRE 

ET DE PARTICIPATIONS - FFP 

A holding company listed on the Paris stock exchange 

and majority-held by the Peugeot family group, 

represented by Christian Peugeot, aged 54. 

Shares held by FFP: 857,337. 

JACQUES GAIRARD 

Member of the Founder group, member of VENELLE 

INVESTISSEMENT. Aged 68. Chairman and Chief Executive 

Officer of Groupe SEB from 1990 to 2000. 


PHILIPPE LENAIN 


Shares held: 550. 

ANTOINE LESCURE 

Member of the Founder group, member of FÉDÉRACTIVE. 

Aged 36. 

Shares held: 75,992 (of which 75,982 bare-owner shares). 

FRÉDÉRIC LESCURE 

Member of the Founder group, member of FÉDÉRACTIVE. 

Aged 47. 

Shares held: 21,954 (of which 19,726 bare-owner shares). 

VENELLE INVESTISSEMENT 

A family holding company formed in 1997, represented by 

Olivier Roclore, aged 53, member of the Founder Group. 

Shares held: 2,219,997 

(of which 2,219,996 usufruct shares). 

JÉRÔME WITTLIN 

Member of the Founder group, member of VENELLE 

INVESTISSEMENT. Aged 48. 


(of which 110 bare-owner shares).

Pascal Castres Saint Martin, chairman 

Norbert Dentressangle 

and Jérôme Wittlin. 

4 meetings, 83% attendance. 

Pascal Girardot, chairman 

Philippe Desmarescaux 

and Philippe Lenain 

3 meetings, 

full attendance. 


“A WELL-BALANCED BOARD OF DIRECTORS” 


ROLE OF THE BOARD COMMITTEES 

The Audit Committee informs the Board on the identification, 

evaluation and handling of the main financial risks to which 

the Group may be exposed. It verifies the conformity of financial 

reporting methods and makes proposals on the appointment of 

statutory auditors. 

The Nominations and Remuneration Committee reports on its 

work to the Board of Directors and makes recommendations on the 

composition of the Board, on the terms of office of directors, and 

on the Group's organization and structures. It gives guidance 

on policy for the remuneration of executives, as well as on the 

introduction of share subscription and purchase option schemes. 

The Board of Directors, in accordance with the recommendations 

of the Bouton and Vienot reports, organized for the fifth successive 

year a discussion on the functioning of the Board under the 

responsibility of the Nominations and Remuneration Committee. 

The Board considered that most of the improvements suggested by 

previous reviews had been implemented with a beneficial effect on 

the functioning of the Board. 

Moreover, the Board of Directors has applied a Directors’ Charter 

and Internal Rules since 2003. Combined in a single document, 

these texts ensure that Board members have a clear understanding 

of their role, rights and duties, the functioning and objectives of 

the Board of Directors and director remuneration policy. 

Mathilde Dufour, analyst with EthiFinance, a corporate social responsibility (CSR) 

research agency. 

“Examination of the make-up of the Board of Directors of Groupe SEB shows it to be 

well balanced in relation to the structure of its shareholder base. The presence of an 

extra independent director would be a ‘plus’, but the Board does already have four 

independents out of its 15 members which is quite good for a company where more than 40% of the capital is held 

by the founding family group. The fact that the Audit Committee is chaired by one of these independent directors 

is also a positive point in terms of good governance. Another good sign is the Board’s annual self-evaluation of its 

functioning and the steps taken as a result of this. With regard to areas for improvement, we think the Group 

could strengthen internal procedures for monitoring conformity with the ethical standards to which it adheres, 

including the principles of the Global Compact and the Code of Conduct of the European Committee of Domestic 

Equipment Manufacturers.” 

25

STRATEGY 



Armed with a clear grasp of current market trends and how they influence consumer behaviour, Groupe SEB 

deploys a long-term strategy built around four chief priorities which are vital to its development: product 

leadership, geographic leadership, competitive performance and client service.

INDUSTRY TRENDS 28 – IMAGINING THE FUTURE 30 – LIVING THE FUTURE 48


Lifestyle trends 

and small household appliances 

80,000 visitors a year 

to Brazil’s Casa Gourmet, 

a meeting-place 

for customers. 

Lifestyles around the world are changing in response to new 

developments in thinking, science and technology. These 

sociocultural trends shape the behaviour of consumers 

whose basic needs, hopes and desires motivate their decision 

to buy. 

EASIER AND MORE ATTRACTIVE LIVING 

Groupe SEB responds to consumer demands for a better and more 

attractive daily life by offering them new functional features and 

thought-out design. In the kitchen, which has become a real living 

area in today’s home, our Group has played a big role in simplifying 

tasks. For some two hours spent in the kitchen by a typical French 

housewife in the 1950’s, today this need hardly be more than twenty 

minutes. Groupe SEB has created ranges designed for rapid 

results, ease of use and direct service: multi-function food processors, 

instant hot-water dispensers, pod coffee makers that serve 

coffee by the cup, blenders and juice extractors that pour straight 

into a glass. Cooking meals is still rewarding with our convivial 

appliances that make having dinner-guests a pleasure – simplicity 

itself, with a touch of originality and imagination. 

28

STRATEGY – INDUSTRY TRENDS 

GLOBAL REACH, LOCAL TOUCH 

While the Internet has revolutionized ways of life and accelerated the convergence of cultures, there is also a growing 

sense of local identity. Which is why the Group adapts to specific regional culinary practices. For example, our product 

response to the popularity of liquid or semi-liquid preparations around the world was two-fold: an upright hand-mixer 

for Europe and a blender for other continents. Similarly, our kettles for making tea (the world’s most popular beverage) 

are designed to match local market usage – small-sized for Japan, a keep-hot function for other Asian countries. 

The multi-cultural dimension of food is also taken into account by the Group’s offer of appliances such as the tajine, wok 

or plancha for cooking specialty ethnic dishes. 

Tefal – Delicious & Nutritious 

CONSUMER CRITERIA 

FOR BRAND CHOICE 

• confidence in the product (76%); 

• importance of product quality control (74%); 

• concern for the environment (83%); 

• respect for certain social values (71%). 

(CSA survey for La Poste). 

A NEW ERA OF HEALTHY EATING 

Healthy eating is a central concern in Western societies today, and 

Groupe SEB is investing heavily in this sector in which it aims to play a 

leading role. The challenge of preparing food which is both tasty and 

nutritious is taken up by our Nutritious and Delicious line which 

includes a minimal-oil fryer, a steam cooker and a steam oven for 

natural, healthy cooking. This dietary trend coincides with a renewed 

interest in the home-made, a demand met by our jam-makers and 

breadmakers which are easy to use and give a perfect result. For people 

who expect professional standards at home, there are espresso 

and cappuccino coffee machines...and our home beer-tapping system. 

CORPORATE ETHICS: A PRIORITY 

Growing public awareness about social and environmental issues 

has made consumers more demanding in their choice of brand. 

Concern for human rights and the future of our planet is also an 

aspect of our corporate social responsibility. We therefore make 

every effort to limit the ecological footprint of our activities 

(reducing the power consumption of our factories and products, 

designing products that can be recycled) while helping to improve 

life for everyone through our commitment to ethical business and 

sponsorship of social projects. 

Tefal – Vitadélice steam oven 

29

STRATEGY


New Krups Precision 

filter coffee maker 

by designer Dahlström 

for the North American market. 

71% of sales 

in international markets. 

31 

STRATEGY – IMAGINING THE FUTURE 

The essential task of projection into the future is not easy in 

the context of interacting consumer segments where change 

is neither simultaneous nor uniform by market or by product 

family. For Groupe SEB, this means deploying universal and 

differentiated brands, products and services that offer a tan- 

gible response to the needs and desires of today’s consumers 

and to their hopes for the future. It also means exploring, 

conquering and expanding new territorial and technological 

frontiers. This strategy is a guarantee of lasting growth. 

THE ART OF BETTER LIVING

Brands for everyone 

Over 50% of our sales 

are products that were 

launched in the last two years. 

Tefal - Toast’n Eggs 


Deploying a powerful portfolio of 20 well-known brands is 

both a strategic advantage and a challenge. For Groupe SEB, 

its brands are highly valuable assets, and their differentiation 

is the key to their successful deployment. The Group’s 

strategy of positioning brands to match different buying 

habits and segments takes account of consumer tastes and 

the demands of retailers. Six main platforms of worldwide or 

multi-regional brands define their respective brand missions 

and value themes, while local brands slot into this overall 

strategy. 

Our premium brands occupy the high-end segment. All-Clad, 

a prestigious label, conjures up the kitchens of top chefs. 

Lagostina is aimed at people who associate elegance with 

perfect results. Krups is for the demanding connoisseur, a 

fast-growing segment in mature markets. Mid-range and 

entry-level products are covered by our generalist brands. 

Rowenta highlights aesthetic design and technical 

performance. Tefal is the champion of ingenuity, while the 

light-hearted youthful stance of Moulinex appeals to 

consumers seeking freedom from domestic tasks. 

32

Moulinex – Accessimo 

2007: some 210 new 

products launched. 

Rowenta – hair-styling appliance 


A MULTIPLE, TARGETED OFFER 

Market segmentation and the variety of retail channels mean that the 

Group‘s offer must have many facets. Its products cover a whole 

spectrum of consumer needs, from first-time users in emerging 

markets to the more sophisticated aspirations and desires expressed 

in mature markets. It meets the needs of both mass-market distributors 

and selective retailers who want exclusive offers. Our multibrand 

strategy is the cornerstone of our market approach. It also 

involves rapid development of Group-wide thematic ranges. 

This highly focused offer, composed of products from the Group’s 

different activities, notably cooking and food preparation, has three 

main characteristics: 

• functional features such as ease of use and ingenuity, as with 

the Moulinex Accessimo and Tefal’s Simply Invents; 

• a distinctive design theme for each brand assortment, as with 

the Dahlström-designed Krups Précision set, or Tefal’s Reveal 

created by Smart Design; 

• brand concepts reflecting modern trends, as with Tefal’s 

Nutritious & Delicious line conceived for tasty and healthy cooking, 

the Moulinex Direct Serve for rapidity and convenience, and the 

Krups Prep Expert which highlights precision technology. 

These Group-wide ranges are created for all market segments and 

all consumer tastes. 

THE DYNAMISM OF INNOVATION 

A multi-specialist operator present in every segment, Groupe SEB 

applies a product strategy based on broadening ranges and rapid 

renewal of its offer. To do this, it uses innovation which is a key 

growth lever and a competitive advantage for the Group, faced as it 

is with a retail industry constantly demanding novelty to stimulate 

stock turnover on store shelves. 

The Group regained the initiative in an entry-level segment flooded 

by Asian imports, first with its launch of Principio from Moulinex, 

followed by the Tefal Simply Invents range, and then Accessimo in 

2008. The Group created added value for these ranges with clever 

extras such as pincers to hold hot toast, a rotating dial control for 

the fryer basket, and retractable power cables. 

MOULINEX DIRECT SERVE 

This mid-range blender/juicer with mixing bowl is a perfect illustration of 

Moulinex brand values. It is simple, quick and easy to use and the ready result 

is served directly into a glass. The Direct Serve was given a big welcome by 

French consumers. 

33

Calor – Pro Express anti-scaling iron 

Moulinex – Home Bread 


“BEING FIRST IN QUALITY TOO” 

Alain Marlier, Quality Control Manager, Groupe SEB, since June 2007. 


In middle ranges where the Group is firmly established, we 

stimulate market demand by regularly updating the product offer 

with new concepts which are of real use to the consumer: 

• Easy storage, cleverly built into our Ingenio, Compact and Cocoon 

cookware ranges of stackable pots and pans has now been applied 

to other products such as Body Up bathroom scales which can be 

stored upright, and the Store In food processor with drawers to tidy 

away accessories. 

• Efficiency and ease of use are very important, especially for the 

most tedious domestic chores. These qualities are well served in 

the latest Rowenta and Tefal steam generating systems, thanks to 

their advanced ergonomic and technical features (anti-wrinkle and 

anti-scaling functions). 

• Local relevance is another parameter taken into account by the 

Group. The breadmaking machine, for example, can bake a 

baguette, a panetone or a borodinski loaf. Haircare appliances such 

as hair dryers, straighteners and blow-brushes are designed for 

every kind of hair. 

“The prime objective of Groupe SEB is to satisfy the customer with quality products. After 

several years of continuous improvement, the rise in the Group’s quality indicators stalled in 

2006, when there was a high rate of returns for certain products. So, in 2007, we introduced a 

plan with high quality targets to redress 

the situation. This plan is based on 

25 criteria for progress covering all the Group’s processes, 

ranging from R&D to marketing, purchasing and manufacturing. 

The development of highly innovative technology products, 

for example, will be subjected to stringent quality control. 

An extensive quality training programme will be set in motion 

in 2008, initially in France, and then internationally. It will 

cover some 800 people from all levels of the company. It is 

encouraging to note that the rate of returns dropped in 2007. 

Our task now is to make sure that this trend continues.” 

34

Rowenta – Silence Force 

BETTER SERVICE FOR THE CONSUMER 

A GUARANTEED RESPONSE 


The standards of excellence, superior results and professional finish 

associated with our top-range brands, Krups, Lagostina and 

All-Clad, require the input of advanced technologies. All-Clad, our 

specialist in bonded metal utensils, has for example developed 

a new five-layer bonding process for induction cooking. This new 

technology which guarantees perfect flatness and optimum heat 

distribution is taking on fast in the American market. 

CUTTING-EDGE TECHNOLOGY 

The Group’s intense R&D efforts continue to generate new 

technologies and cutting-edge innovations which lead to the great 

commercial success stories that drive our growth. For the Silence 

Force vacuum cleaner, we invented and patented a ‘silence box’ 

process to cut down on noise without reducing performance – 

resulting in a machine six-times quieter than a classic cleaner and 

just as powerful. Our expertise in nutritional cooking products 

helped us to meet the challenge of making tasty chips with almost 

no oil. The result of this technical prowess: the Actifry, with its 

mixing paddle and hot-air convection system. These new 

products show the close attention we pay to the wellbeing and health 

of consumers. Eco-design is yet another area of study in which 

the Group invests to make real progress in the protection of the 

individual and the environment. 

What if a customer has a query or an issue with a Groupe SEB product? Our national 

consumer service (contact details marked on packaging) is an important source of 

customer information and feed-back. This service is particularly developed in France 

where it is run by a team of some 20 customer advisors based at our Consumer 

Welcome Center. An independent survey in 2007 rated this centre ahead of the Group’s main rivals for quality 

of service. The Group plans to extend the French model and harmonize all its customer welcome services, first 

in Europe, and then throughout the world. 

AFTER-SALES SERVICING 

The Group also undertook a complete review of its after-sales servicing network in 2007 to improve the rate 

of customer satisfaction in terms of the time taken, the cost and the quality of repairs. The system is overseen by 

a new After-Sales Service department created early this year, which shows the Group’s determination to aim for 

high performance in this area. 

35

Jamie Oliver – Cookware partnership 


ECO-DESIGN: PLANNING THE FULL PRODUCT LIFECYCLE 

MAKING PRODUCTS RECYCLABLE 


PARTNERSHIPS BOOST SALES 

The Group has for several years adopted a pro-active 

partnership policy by forming alliances with famous 

mass-market names. The resulting pooled knowhow 

opens up new business horizons in areas such as 

pod-filter coffee makers. Krups took such an opportunity 

and became the leading partner of Nespresso 

and Nescafé. Thus, in 2007 several European 

countries saw our Nespresso models successfully 

joined by the Dolce Gusto to meet consumer demand 

for different types of coffee such as cappuccino, latte 

macchiato, caffe lungo or chococino. Meanwhile, the 

BeerTender home beer-tapping system launched in 

partnership with Heineken continued to win over 

new markets. The Group has also had the benefit of 

Lesaffre’s expertise in baking yeast to expand the 

range of recipes for its breadmaking machines. Other 

partnerships to stimulate our sales involve top chefs 

such as Jamie Oliver and Emeril Lagasse, or the 

famous Elite label for our beauty appliances offer. 

Right from the design stage of a product, the Group strives to limit its impact on the 

environment: lower energy consumption, less raw materials to make it, easy 

recycling when the product reaches end of use. All our design units apply the 

Group’s eco-design guidelines drawn up in 2003. The Group maintained its rate of recycling potential at an average of 

70% of product weight, for new products launched last year. 

AN INDUSTRY EFFORT 

Carrying its eco-design effort further, the Group helped to form the CREER network 

in 2007. As its chairman, André Malsch, Sustainable Development Director for 

Steelcase International, says: “CREER brings together companies and scientific 

teams with a view to pooling resources in applied research on eco-design and 

recycling potential. Its members are committed to ecology as a vector of progress. Three research projects have been 

launched with funding from, for example, the French Environment and Energy Management Agency. Its work is 

focused on constraints and opportunities in the use of recyclable materials, on analysis of existing recyclability 

evaluation methods, and on building an eco-design technology and regulatory database.” 

36

Krups – BeerTender 

USING LESS POWER 

Moulinex – Direct Serve 


THE DESIGN AND ADVERTISING MESSAGE 

The design of each product should highlight the benefit to the user 

while expressing the values of the brand. These values are made 

tangible through functional features, choice of materials, colours 

and design lines. By using a common theme, the design creates 

coherence across complete product assortments from entry-level 

to top-range. This gives unity and shared identity to Group-wide 

ranges. The strength of Groupe SEB in this area lies in its ability 

to combine the talents of in-house designers and external design 

studios specialized by brand. We also collaborate with designers 

from other regions of the world to make us more aware of local 

reaction to design. 

In a similar vein, advertising campaigns promote the various brand 

platform themes and make it possible to develop international 

concepts that can be used in different markets. Thus, Moulinex 

adopted a world market stance in 2007, spotlighting its flagship 

values of simplicity and ease of use with breezy and cheerful TV 

spots highlighting these values with a new slogan, “Life gets 

easier.” Consistent with our policy of dynamic innovation, the 

Group’s advertising budget was increased by 23% last year. 

Groupe SEB strives to reduce the amount of power used by its electrical household appliances as this accounts 

for a large part of their impact on the environment – even when they are in stand-by mode. In 2007, stand-by 

power consumption was 2W or less for 87% of the Group’s new products. The ultimate aim is to bring this down 

to 1W for all new products sold worldwide. 

ECONOMICAL AND PRACTICAL 

Launched in 2006, Tefal’s Quick & Hot instant hot-water dispenser 

(called Quick Cup in England) heats exactly the amount of water 

you want: even a cup at a time. It saves about 65% of energy 

compared with a classic electric kettle. For Kathryn Taylor, a Quick 

Cup user in Britain, “the big advantage is 

that it’s quick: I make myself a cup of tea in 

just seconds, which is great when I’m in a 

hurry. The fact that the Quick Cup economizes 

water and energy is a real ‘plus’ for the 

environment too.” 

37

Kuwait – Home & Cook High Street 


DISTRIBUTION: CLOSER PARTNERSHIPS 

What do retailers expect of Groupe SEB? They expect quality 

products, on-time delivery, but also working-partner relations. 

“For example” explains Philippe Neveux, head of consumer goods 

stock flows and supplies for Carrefour in France, “we work with 

Groupe SEB on improving sales forecasts and logistics flows. 

The environment is another topic we will soon examine together 

to find effective logistics solutions that are both economical and 

ecological.” 


A STRONGER RETAIL PRESENCE 

Our goal is to make sure that each brand profile is appropriate to 

the retail channel. The product should be available at the point of 

sale where the shopper expects to find it. With this in mind, our 

retailing strategy has a triple focus: 

• Generalist, aiming to increase our stock listing with certain 

household appliance and mass-retailing outlets that favour broad 

consumer choice. This is the vocation of our mid-range brands 

Moulinex, Tefal and Rowenta. 

• Selective, aimed at penetrating up-market channels with 

exclusive product assortments and an adapted 

sales approach, using our premium quality brands, 

Krups, Lagostina and All-Clad. 

38 

• Alternative, geared to establishing positions 

in alternative channels such as tele-sales, 

the Internet or the Group’s own retail outlets. 

This more recent development, which concerns all 

our brands, complements the traditional retail 

network approach and is making solid headway in 

a number of countries. 

Last year’s service rate (on-schedule dispatch and delivery) was 

maintained at around 90% in France. This was 97% for clients who 

opted for the Joint Supply Management (JSM) system. Under the JSM system, Groupe SEB manages stock 

replenishment for the distributor’s warehouses. A growing number of clients also use the EDI (Electronic Data 

Interchange) system to simplify and accelerate transactions with the Group and reduce their cost.

Turkey – Promotional campaign 

“RECYCLING AND RECOVERY SYSTEM TAKES OFF” 

Dominique Mignon, Director of Development, Eco-Systèmes 


The Group has already opened more than 250 of its own retail 

outlets around the world under the trading banners, Home & Cook 

Factory Outlets, Home & Cook High Street, and Villa Gourmet. 

These store formats range from stock clearance via city-centre 

stores in emerging countries (where retailing is still little 

organized) to selective neighbourhood shops that combine service, 

advice and product presentation in mature markets. 

39 

All-Clad – Demonstration 

“Eco-Systèmes operations continued to build up throughout 2007, collecting 

110,000 tonnes of electrical and electronic end-of-use appliances in France, which is about 

70% of the total national collection. Approved by the public authorities in 2006, 

Eco-Systèmes brings together most of France’s distributors and manufacturers of 

electrical and electronic appliances. Groupe SEB is a founder member and holds the 

chairmanship. Collected from retailers, municipal sorting depots and Emmaüs community bases, most end-of-use 

products are then sent to specialist processing centres. The rest is given to social solidarity organizations for re-use. 

The initial results of inspecting 11 processing centres in 2007 showed that recycling and re-use targets fixed by 

European regulations had been reached. In 2008, we plan to double the volume collected to 220,000 tonnes, and thus 

exceed the collection target of 4 kg per inhabitant per year set by the European Union. Our efforts so far have been 

focused on building up the network. Eco-Systèmes will shortly be turning its attention to making consumers more aware 

that they should bring their old products to approved collection points. We are still a long way from clearing the 

backlog of old appliances built up in kitchen cupboards!”


Better living all around the world 

Groupe SEB has built strong market positions all around the 

world by combining its determined drive for global expansion 

with a policy of proximity to the customer and respect for 

individuals. Pursuing a long-term business plan, it continues 

to ally consolidation in mature markets with rapid expansion 

in high-growth developing economies. 

STRONGHOLD POSITIONS 

MAINTAINED IN MATURE MARKETS 

In mature markets with their high level of equipment, demand is 

driven not only by product replacement. Shoppers are also drawn 

by the new concepts derived from our marketing partnerships and 

by upgraded ranges. Faced with an attractive added-value offer, 

consumers have become reticent about cheap products and 

are turning back to brands that guarantee quality. Specialist 

department stores with personal customer service are growing 

in popularity. Adapting to this trend, the Group has developed 

assortments of products that offer a real ‘plus’ which is immediately 

obvious and triggers the decision to buy. 

40

Tefal – Thermospot 

Lagostina – Domina 

Jamie Oliver – Cast iron range 


FRENCH SALES REGAIN GROUND 

Sales rose by 7% in France last year in a buoyant market where 

popular innovations were backed by strong advertising and lively 

point-of-sale promotion. The success of the Actifry gave an added 

boost to our fryer sales. 

Similarly, the ultra-quiet 

Silence Force vacuum 

cleaner attracted a great 

deal of attention. Products such as the BeerTender or the Dolce 

Gusto, stemming from our marketing partnerships, shaped new 

consumer tastes and were a big commercial success. 

REVIVED DEMAND IN WESTERN EUROPE 

Markets were well oriented in terms of both volume sales and 

pricing, with the exception of Britain where demand was very 

subdued and the retail industry faced unprecedented problems, 

though innovative products such as the Actifry and Quick Cup were 

well received. 

Trading was up in all other countries where the Group scored good 

performances in beverage and food-preparation, cookware 

(particularly Jamie Oliver ranges), electric fryers, haircare and 

linen care products – all this despite growing competitive pressure. 

Germany reaped the benefits of revived demand and upgraded 

ranges. The Group has always resisted involvement in the 

price-wars waged in this market by retailers, abetted by our 

competitors. This strategy has paid off as our business is now 

reporting renewed growth and profitability. 

In Scandinavia economic 

indicators are also 

positive and the retail 

industry is taking full 

advantage of this. 

Our centralized organization gives us a global view of the market, 

so that the Group can adapt its offer and maintain a steady pace 

of growth. 

41 

12 factories. 

3 logistics platforms. 

2 factories in Germany and Italy. 

17 marketing companies. 

1 logistics platform.

All-Clad – Bridal promotion 

1 factory in the United States. 


1 logistics platform. 


SUPPORTING SOCIAL INTEGRATION 


NORTH AMERICA STANDING FIRM 

Trading in the North American market was contrasted. In Canada, 

business was brisk in a competitive context where Tefal, Rowenta 

and Krups performed well alongside top American labels and 

retailer brands. The presence of our Canadian marketing 

subsidiary works in the Group’s favour as it ensures close and solid 

client relations and a strong pricing position. 

In Mexico, the lifting of customs barriers against Asian imports 

radically changed the business climate. Mexican industry is badly 

affected by growing competition in entry-level products. However, 

the Group achieved sturdy growth by concentrating on specialist 

distribution in the up-market sector. 

Business was more uneven in the United States where consumer 

demand is cramped by the tense economic climate. Mid-range 

products are under pressure from aggressive entry-level pricing 

and the continued shift to top-range products – which helped 

All-Clad cookware sales. Rowenta held its positions in linen care 

products and is opening the US market for steam generating 

systems. Krups, on the other hand, has still not made up 

for ground lost awaiting the arrival of its new ranges this year. 

Meanwhile, the Group is working on a gradual up-market reorientation 

of T-Fal cookware, with Mirro WearEver aimed at entry-level. 

Support for social integration projects is at the heart of Groupe SEB’s corporate sponsorship effort, particularly 

through its newly-created Groupe SEB Corporate Foundation. Many of the Group’s employees do voluntary work 

for its sponsored projects. In France, for example, some 50 employees participate in the work of Lyon’s Habitat 

et Humanisme which assists people in difficulty to find accommodation 

while helping them to return to a normal life. 

In its efforts to support the jobless, the Foundation sponsors 

several initiatives in France, such as the Envie network which 

helps people at risk to return to the employment market via a 

workshop which repairs electrical household appliances. It is also 

a partner with the Second Chance Foundation which supports 

people in difficulty who are really motivated to get back to work, 

by helping them to set up or take over a small business or to 

undertake training. 

42


LAURENT PAUZE, DIRECTOR, General Sales Management of Groupe Carrefour Consumer Electronic 

Goods Division 

Lagostina – Korean product launch 

“The Carrefour Group has an ongoing relationship with Groupe SEB which is based on 

mutual confidence and understanding of our respective strategies. We speak the same 

language – profitable growth, international expansion, customer satisfaction – and we 

jointly define projects with ambitious goals. Groupe SEB knows that the quality of front-line 

merchandising depends on up-stream coordination, well-planned product launches, 

mounting clear workable projects, and optimizing the logistics chain. This kind of 

unrestricted cooperation is indispensable to the development of our respective activities.” 

“YOUNG PEOPLE LEARNING TO LIVE AGAIN” 

Claude Lannoy, Groupe SEB marketing team, Courbevoie, France. 

SOLID BUSINESS IN OTHER TERRITORIES 

The Group maintained very satisfactory growth in Japan despite the 

strong depreciation of the yen which led to substantial price rises. 

Korea, after a difficult 2006, began to recover and regain positions 

in cookware. Trading was positive in Australia and New Zealand 

where the Group continues to win market share. 

“Affiliated to France’s SOS Villages d’Enfants, the Ateliers de La Garenne association helps about 

60 young people in difficulty, sometimes homeless, to return to a normal life. The association provides 

them with training in life and social skills and job orientation in special workshops or on employers’ 

premises. 

The objective is to rebuild their confidence and 

self-esteem which will help them to return to a normal 

social life and employment. Groupe SEB Foundation support covers 

mainly cooking, dressmaking and housekeeping workshops where 

the youths are encouraged to develop basic autonomy in day-to-day 

life. As a volunteer worker for the Foundation, I participated in a 

cooking workshop in 2007: the young people were delighted and 

touched by my visit as it made them realize that behind Groupe 

SEB’s commitment there are people who are really interested in 

them.” 

43

Czech Republic – Point of sale 

2 factories in Russia 

and the Middle East. 



BURUNDI PROJECT BACKED BY 7,000 SEB EMPLOYEES 


RAPID PROGRESS 

IN EMERGING MARKETS 

Groupe SEB has long been aware of the growth potential of 

emerging countries. While gaining prominence in these markets 

with its strong brand portfolio, a broad product offer and efficient 

commercial and logistics structures, the Group has also taken up 

the social and corporate challenges of its development in these 

territories. 

EASTERN EUROPEAN DYNAMISM 

Eastern Europe offers high potential for growth as purchasing 

power rises in the region. Changing consumer lifestyles and 

modernization have led to the rapid spread of retailing and Western 

consumer standards. 

The strong reputation of its brands and the Group’s policy of 

proximity to the customer are paying dividends in these markets. 

Sales are growing steadily in Poland, Slovenia, Bulgaria, the Czech 

Republic and Slovakia, and business prospects are good. 

We reinforced our presence in this zone last year by creating a new 

subsidiary in Latvia. 

A wave of solidarity spread throughout Groupe SEB on the occasion of its 150th anniversary when it set up its 

corporate sponsorship Foundation. Employees were invited to help a UNESCO schooling initiative for 2,000 

ex-street children in Burundi by sending in a personal photograph for use in a collective work. For each photo 

sent in, the Group’s Foundation undertook to donate €2 

to the project. The result: more than 7,000 photos were 

received from employees around the world. The Group 

decided to contribute €15,000 to the project and its 

Foundation matched this to make a total donation of 

€30,000 to UNESCO. As a sign of their genuine interest 

in the project, staff members sent in more than 

400 messages with their photos which were sent on to 

the Burundian children via the UNESCO representative 

in that country. 

44

Russia – Demonstration 

BRAZIL: SOCIAL INTEGRATION VIA TRAINING 


CIS countries continue their rapid expansion, particularly Russia’s 

regions where some 100 urban centres are growing at a rate 

comparable to the major cities. This is amplified by the spread of 

retail chains. Being long established in Russia, the Group has an 

effective local structure and is ahead of its rivals who are still not 

well organized in this market. 

MIDDLE EAST CONTRASTS 

The shifting economic and political situation in the Middle East is 

reflected for the Group in contrasting 

patterns of business. After a 

slow start to the year due to national 

elections, Turkey, which is a 

large market, saw sales recover 

strongly to record a good year. 

Trading remained stable in the 

other countries of the region. 

The prospect of creating an 

economic community in the Gulf 

states should work in favour of our 

business. 

Convinced that education and training are decisive in the combat against social exclusion, 

Groupe SEB’s Brazilian subsidiary Arno is very active in this area with the involvement of 

more than 70 staff volunteers. The “Grandad’s Bakery” initiative, for example, runs 

baking courses for poor elderly people to help them make ends meet by baking 

and selling bread or pastries. This project was followed up in September 2007 by a 

partnership arrangement with the São Paulo municipal authority. Over four months, almost 50 people took 

part in the eight-hour training course run by a qualified Arno employee. At the beginning of 2008, there was a 

waiting-list of more than 100 candidates. 

COLOMBIA: HANDICAPPED YOUTHS WALK AGAIN 

The Por el Derecho a Caminar (‘right-to-walk’) foundation in Colombia aids deprived young amputees to walk 

again by obtaining prostheses for them at low cost or free of charge. It also provides medical and social support 

to help them find employment. Our Colombian subsidiary, a partner in the project, recently hired five such 

people through Por el Derecho a Caminar. Represented in France by the Equilibre association, this humanitarian 

initiative has been given a grant by the Groupe SEB Foundation. 

45 

Turkey – Lissima

1 factory in China. 


Supor – Wok 


A CORPORATE CITIZEN 

SEEKING SOLUTIONS WITH OTHERS 

As a signatory of the Global Compact, Groupe SEB attended the 

UN Global Compact Leaders Summit held in Geneva in July 2007. 

Along with 1,000 other business leaders from around the world, 

it took part in discussions on corporate social responsibility 

(CSR) practices. 

Groupe SEB is a member of the IMS (‘Institut du Mécénat et de la 

Solidarité’), an association which supports business enterprises 

in carrying out their corporate social responsibility. 


ASIA PROVES ITS POTENTIAL 

The smaller countries of Asia continue to expand thanks notably to 

the development of their distribution infrastructures. Today, we are 

building up our presence and brand reputation in these territories 

which are relatively new for the Group. In Malaysia, for example, we 

broadened our offer to include irons and blenders, while consolidating 

positions in cookware. In Thailand, despite a slowdown in 

consumer spending, the Group made progress in steam irons. 

In Taiwan, we have increased our share of the cookware market. 

Finally, China is a fast-growing market and an essential element 

in the Group’s international expansion strategy. Our acquisition 

of a controlling stake in Supor puts us in a front-rank position to 

participate in the economic expansion of this country. 

SOUTH AMERICAN MARKET STILL BUOYANT 

Our South American operations reported an excellent year’s 

trading. Economic indicators for this continent are generally 

upbeat, even if the higher value of the Brazilian real continues to be 

a drawback. 

Brazil is seeing the emergence of a better-off middle class with 

higher spending power which is turning to specialist retailers and, 

increasingly, to hypermarkets. Arno continued to expand its sales 

in food-preparation equipment where we are gaining market share, 

as well as in fans, washing machines and coffee makers, while 

The Group participates in initiatives that seek to promote awareness of sustainable development among students 

in leading national institutes and universities, notably in France through the Dialogues Equation forum. 

It is also a partner in an educational pilot project on diversity run by the Paris Institute of Political Science. 

Under this scheme, some 100 high-school students from a deprived Paris suburb travelled to China in 2007 to 

get a first-hand idea of globalization. While they were there, the young people were taken on a visit to the SSEAC 

factory, a subsidiary of Groupe SEB in China. 

46

Peru – Product demonstration 

AT THE HEART OF LOCAL TERRITORIES 


Panex is consolidating its position in cookware thanks to the 

introduction of the Thermospot. 

Elsewhere on the South American continent, excellent trading was 

reported in Venezuela which is protected from Asian imports by 

strong trade barriers. The 

Group has a business agreement 

with the government of 

this country where we have a 

competitive production plant 

and a reorganized sales 

force. The Group also achiev- 

ed steady growth in Chile and Argentina, markets otherwise noted 

for their volatility. 

Throughout the world, Groupe SEB forms close community links in the territories where it operates: open days 

and participation in local economic, educational and community events. Group sites cooperate with schools for 

example, offering site visits and training courses for students. Many of them also support social projects and 

sporting events. 

Aware of the importance of its role in local economic life, Groupe SEB acts 

responsibly when it must restructure or even close a factory to be more 

competitive. When this must be done, it takes early action in cooperation 

with all parties concerned to limit the impact on local employment. Of the 

three factories closed in France, two (Dampierre and Vosges) have already 

been re-opened by a new industrial owner, and a similar solution was 

being studied for the Fresnay plant at the beginning of 2008. In Mexico, the 

Celaya factory closed in 2007 is about to take on sub-contracting work for 

Services Vistamex, and plans to resume industrial operations under a new 

owner. 

47 

3 factories in Brazil 

and Colombia. 


2 logistics platforms. 

Brazil – Arno factory

STRATEGY 

48


St Jean de Bournay, France – R&D laboratory 

Tefal – Evolis bathroom scales 

STRATEGY – LIVING THE FUTURE 

The future is often closer than we think – which is why a 

business enterprise must strive continually to be an agent of 

modernity and progress. Critical size is no longer enough. 

Today, a company must be responsive, quick to take action, 

flexible, and steer a balanced course which takes account of 

the interests of all its stakeholders. The immediate demands 

of profitability, vital to the survival of any company, must be 

consistent with a responsible long-term approach in every 

area of its day-to-day operations. Innovation, optimization 

of structures and control of costs are essential for staying 

competitive. And for this capacity to be durable there must be 

a long-term economic and corporate strategy to which all its 

employees are committed. Clearly, that is what Groupe SEB 

strategy is all about. 

RESPONSIBLE 

PROGRESS 

49

Constant progress 

Tefal – Actifry 

Sold in 2007: 

210,000 Quick & Hot. 

175,000 Actifry. 

68,000 Silence Force. 


The 2007 trading year showed that the Group’s best performing 

products were the fruit of innovation and steady investment 

in advertising and marketing, combined with rigorous 

management of our business. Differentiated and targeted 

innovation generates a better product mix and higher 

average sale prices – which means constant progress for 

consumers and new growth for the Group. This win-win 

formula, combined with tight control of purchase costs and 

overheads, results in higher profits and – completing the 

‘virtuous circle’ – new investment to generate future growth. 

INNOVATION DRIVING GROWTH 

A PROVEN KEY TO SUCCESS 

Long practised and perfected by Groupe SEB, innovation is one of 

its hallmarks and a key source of leverage for its continuing 

growth. Enlisted to develop new functional features and breakthrough 

concepts that make its products stand out, innovation is 

the driving force behind the Group’s product offer, ensuring the 

best response to evolving consumer needs. 

50

Pont Evêque, France – Steam iron factory 



A more assertive commercial stance in 2007 led to the launch of 

some 210 new products and models, confirming more efficient 

design and development and a faster time-to-market cycle for new 

electrical household products. This involves greater use of Product 

Lifecycle Management (PLM) and new technologies developed 

through Group-wide projects that leverage our combined 

strengths. In this way, printed-circuit heating elements developed 

by Tefal, for example, found many other applications such as in the 

Quick & Hot water dispenser. Similarly, the Actifry drew on several 

of the Group’s patented cooking and stirring technologies, while 

the Silence Force vacuum cleaner incorporated our unique 

patented ‘Silence Box’ process. 

Krups – PrepExpert kitchen machine 

ECO-PRODUCTION: FACTORIES THAT RESPECT THE ENVIRONMENT 

All production and logistics sites forming part of Groupe SEB for more than five years held ISO 14001 

environment certification in 2007. The most recent plant to be certified was our SSEAC factory in China. All-Clad, 

Lagostina and Panex, acquired since 2004, are gradually introducing the procedure to obtain certification. 

Beyond its efforts to steadily reduce consumption of water and energy, and 

limit waste and emissions, the Group has begun to assess the impact of its 

activities on biodiversity. Our French Rumilly site is paving the way in this 

area. Last year, with the help of three leading environmental scientists, 

it carried out a study of atmospheric emissions on local flora. Using 

comparative analysis of lichen samples taken from vegetation zones close 

to the factory and from control zones (a frequent method of identifying 

pollution) the study found that there was no impact on these species. 

This pilot study will serve as a reference frame for subsequent follow-up 

studies every three or four years. 

51

R&D – Caen laboratory, France 


“GROUPE SEB DID NOT LET US DOWN” 

Dominique Emery, Mayor of Fresnay-sur-Sarthe, France. 


THE KEY ROLE OF R&D AND INDUSTRIAL PATENTS 

In a market where accelerating change is the norm, the task of 

research and development is to make sure that the Group has a 

solid agenda of ongoing projects in the short, medium and long 

term. This involves fully exploiting the areas in which it already 

commands specific expertise while going on to explore new frontiers. 

These are increasingly technical, even scientific, embracing 

for example nanotechnology, fine-scale materials analysis, the 

chemical composition of food and other areas. At the same time, 

incorporating environmental criteria at the product-design stage 

broadens the scope of R&D applications. For this reason we have 

stepped up recruitment in the last two years to reinforce our 

research and development teams with skills in new specialist 

areas. 

Industrial patent registration aims to protect innovation and 

defend it from infringement. Groupe SEB, as the proprietor of 

more than 1,000 current patents, is one of the most pioneering 

French companies in this area. In 2007, it filed 86 new patents and 

276 preliminary notifications (the so-called Soleau filing, used to 

date a patentable idea). Despite these precautions, our products, 

models and brands are often copied, counterfeited or unlawfully 

exploited. The Group is continually on the alert in sensitive zones 

such as China and the Middle East, and closely monitors trade 

fairs. When necessary, it takes legal action (23 cases in 2007) and 

arranges to have illicit products seized (16 seizure operations 

were carried out last year). 

“When I heard of the plan to close the Groupe SEB factory in our commune, my immediate 

concern was for the workers: what was going to become of them? Groupe SEB 

reassured me, explaining that solutions existed for all the staff and no-one would be 

neglected. I accepted their word on this, but one also had to consider the future of the 

site and local job creation. The closure of a plant of this size is a hard knock for an area 

where there is already little industry. Here again, Groupe SEB played the game 

by becoming closely involved in a reindustrialization unit set up with local public and 

private interests. Several take-over plans were considered during 2007, and the local 

site managers were very cooperative with potential buyers. At the beginning of 2008, we 

are on the way to finding a viable solution (still confidential) with a company which plans to take over the entire 

site and create a substantial number of jobs. This will give new economic momentum to the commune.” 

52

R&D key figures: 

475 people, 

€46 million budget, 

more than 1,000 current 

patents. 

Mayenne, France – Food-preparation appliances 

United States – All-Clad plant 


THE NEED TO BE COMPETITIVE 

OPTIMIZING THE INDUSTRIAL VALUE CHAIN 

Groupe SEB’s industrial strategy takes account of economies 

of scale, labour-cost differences*, and the need to use protective 

barriers for its production processes and innovations. These 

considerations guide the Group in deciding whether to make 

certain products internally or to outsource them. In 2007, Groupe 

SEB manufactured 65% of the products it brought to market. Last 

year it closed three French factories which had been chronically 

under-capacity. This was done responsibly under self-imposed 

conditions that sought solutions for all the staff and reindustrialization 

of the sites. Meanwhile, the Group is building up centres 

of expertise with the ability to confront global competition by 

exploiting new technologies and high-volume production. One such 

centre is the Is-sur-Tille plant which was behind the huge success 

of the Actifry. 

The Group is also rationalizing outside France: in Mexico, it closed 

its Celaya plant which could no longer compete after the lifting of 

trade barriers against Asian imports, while it concentrated its 

American Millville site exclusively on logistics, and regrouped 

production units in Brazil. Meanwhile, it continues to improve and 

modernize production processes and exploit internal synergies 

throughout the Group. The All-Clad plant in Canonsburg USA, for 

example, introduced completely new bonded-steel production 

techniques which will help to optimize output, reduce wastage of 

raw materials, and speed up the finishing process. 

* For example, the hourly rate in China is about 50-times less than in Western Europe. 

53

Rumilly, France – cookware factory 


SUPPLIERS: CLEAR RULES FOR COMPLIANCE 

CLOSE WORKING RELATIONS 


COLLABORATION IN PURCHASING 

The task of the Purchasing Department is to help the Group to be 

more competitive by procuring everything it needs to develop, 

manufacture and market quality products at an optimum overall 

cost. To achieve this, it applies a five-point strategy: 

• to obtain the best conditions not only in terms of price, but also 

in terms of quality, reliability and on-time delivery; 

• to make optimum use of the Group’s approved supplier panel 

(numbering 455 last year, out of a total of 2,404 current suppliers); 

• to improve the performance of these suppliers through an annual 

review procedure; 

• to get suppliers involved upstream in projects, by combining 

skills and efforts to improve overall performance and future 

efficiency; 

• to ensure compliance with the Group’s ethical, environmental 

and social commitments. 

54 

In 2007, the Group had 2,310 suppliers of raw 

materials and components and 94 providers of 

sourced finished products, most of the latter 

located in Asia. Each of these categories includes 

a hard core of suppliers who are considered 

particularly reliable and financially solid, and 

who make up the approved supplier panel. These 

suppliers account for more than 80% of our 

purchases and the Group maintains close 

working relations with them. 

The Group satisfies itself that all its suppliers 

meet the terms laid down at the time of ordering 

(quality, price, deadlines, etc.), including compliance 

with the Group’s sustainable development 

criteria, particularly in relation to the environment 

and labour rights. Sustainable development 

criteria form an integral part of our purchasing 

guidelines and general purchasing conditions.

Supplier – Kaneta in China 

ENVIRONMENT: PROGRESS ON ISO 14001 CERTIFICATION 


55 

The Group’s increased procurement in dollars or in 

low-cost countries during 2007 was not enough to 

offset very steep price rises for raw materials such 

as aluminium and nickel. Total purchase costs for 

the year increased by 2.4%. 

In the area of sourced finished products, the Group 

reinforced its procurement structures based in 

Hong Kong and Shenzhen with a view to focusing 

on a limited number of approved suppliers and 

building up long-term working relations with them. 

All the Group’s suppliers – of raw materials, components or finished products – 

sign an eco-statement in which they undertake not to use substances forbidden by 

regulations in the countries where the products they are concerned with will be 

sold by the Group. The conditions laid down by the European RoHS* directive on hazardous substances form part 

of the eco-statement, and the European REACH* regulations on chemicals will also be gradually integrated. 

Inspections and analyses of components are carried out regularly to verify the conformity of delivered products. 

The Group also presses its suppliers to begin the procedure to obtain ISO 14001 environment certification. 

Close to one-third of the Group’s supplier panel for raw materials and components already hold this certificate, 

while the rate for the finished products supplier panel is 11%. 

INCREASE IN SOCIAL AUDITS 

Respect for labour rights is a key requirement for Groupe SEB. With an increased proportion of its supplies 

sourced in Asia, the Group decided to introduce an SA 8000-style labour rights statement for this zone. The 

statement has been signed by all its Asian suppliers. To monitor actual practices in the field, 44 detailed social 

audits were conducted in 2007, of which 17 by an external agency. 

In the event of failure to comply with regulations, the Group immediately suspends all new orders for the supplier 

concerned, and makes corrective action a condition of resuming business (after verification by a follow-up audit). 

Of 44 supplier audits in 2007, a single case of non-compliance with regulations on under-age working was found. 

This labour rights statement was extended to Latin American suppliers in 2007. Half of them have already signed. 

* see Glossary.

Brazil – Arno factory 


“WE CROSS-CHECK A WHOLE RANGE OF FACTORS” 


56 

CONTROLLING STRUCTURAL COSTS 

The logistics function is vital to the efficiency of 

the Group if it is to achieve goals such as faster 

time-to-market for products, rapid global 

expansion, greater use of sourcing and 

development of alternative retail channels. 

To guarantee impeccable client service, 

we must optimize stock flows between our 

factories (or those of outside suppliers for 

sourced products) and retailer warehouses, 

while maintaining tight inventories despite the 

greater distances covered. Beyond the use of 

freight and logistics clusters* and centralized 

warehouses (Belgium is supplied since 2007 by 

the French platform) the Group uses leading 

international logistics operators to ensure freight transfer in the 

best possible conditions. The Group also recently added an 

environment clause to its freight contracts. 

Pierig Vezin, Managing Director of Wethica, social audit consultants, Shenzhen, China. 

“At the request of Groupe SEB, we carried out 17 social audits of suppliers in China during 2007. The object was 

to verify application of the labour rights statement they signed, with particular attention 

to points based on the CECED* Code of Conduct, the Global Compact* and local labour 

regulations. We were particularly vigilant in the areas of under-age hiring, health and 

safety, working hours and pay scales. For our studies, we spend a minimum of two days 

on the spot, during which we gather a whole range of information which is 

double-checked to verify its accuracy. This involves presentation of the factory by 

its management, a detailed visit of 

all departments – workshops, offices, 

catering facilities, dormitories – scrutiny 

of administrative documents and 

interviews with members of staff. The 17 audits carried out last 

year gave rise to a few warnings, including one on the risk of 

employing under-age workers due to inadequate verification of 

personal identity. On the basis of these audits, Groupe SEB 

decides on appropriate action depending on the circumstances. 

While there are still many areas for improvement, I note that 

there is a generally positive trend in working conditions 

in China.” 

* see Glossary.

The Group is also rationalizing its management tools. The 

convergence of its information systems into a uniform Group-wide 

IT system continued. By the end of 2007, the Group IT system covered 

84% of total consolidated sales (80% at the start of the year) 

and 75% of production costs and supplies (against 

51% at the start of the year). Other advances in 

2007 included automatic invoice scanning for the 

Group’s Shared Services Centre for accounting. 

This helps to increase productivity and improve our 

environment performance. 

* Clusters: structures spanning several markets, 

used to pool and coordinate administrative, 

logistics and other functions. 


REDUCING THE ECOLOGICAL IMPACT OF FREIGHT TRANSPORT 

The Group’s products cover long distances from factory or supplier to the Group’s logistics platforms, and then 

on to distributor warehouses. Concerned to limit the impact on the environment, the Group gives priority to 

freight transport that causes the least pollution. 

While maritime transport is used for most intercontinental freight, road haulage still tends to dominate inland. 

The Group has added a sustainable development clause in its contracts with road haulage firms. In France, for 

example, this covers engine type, recycling of oil and fuel 

consumption. The Group also aims for a maximum loading 

rate for road haulage, particularly for out-going freight 

from its French export platforms for delivery to its European 

subsidiaries. 

When possible, rail or water transport are given priority. In 

Mexico, for example, 97% of containers arriving by sea in 2007 

were transferred by train to the Mexican warehouse, whereas 

this had been done by road haulage up to 2003. Another example: 

since 2006, transport of the Group’s products destined 

for Russia and the CIS countries has been switched from road 

to inland waterway between Rotterdam and Saint-Petersburg. 

United States – All-Clad production line 

57

Caring for individuals 

More than 60% of 

employees outside 

France (including Supor). 


Groupe SEB’s working teams number more than 13,000* 

women and men spread over the four corners of the world. 

The high calibre of their commitment is the driving force 

behind the company’s development. In an economic context 

which is evolving all the time, Groupe SEB gives priority to 

raising the skills of its employees. It also attaches great 

importance to ongoing staff-management dialogue 

throughout the company and fair treatment for everyone. 

HUMAN RESOURCES: THE SAME RULES FOR ALL 

The international expansion of Groupe SEB means that a growing 

number of its employees are located outside France – almost half 

in 2007, though this will rise sharply in 2008 with the addition of 

Supor staff. To ensure fair treatment for all its employees, the 

Group is gradually harmonizing its human resources management 

procedures, which cover annual evaluation interviews, written job 

descriptions, career development and remuneration policy. This 

system currently applies to the Group’s 1,700 managers and will be 

extended to other employees. An international human resources 

network group was created last year to facilitate the sharing of 

*Excluding Supor. 

58

Human Resources – Group project 


PROUD TO WORK FOR GROUPE SEB 


In 2007, Groupe SEB polled its 1,700 managers to seek their views on its 

progress since the last survey in 2003. The questionnaire got a 66% response. 

The vast majority of respondents (96%) said they were proud to 

work for Groupe SEB, a company whose strategy they understand and 

approve. They feel they have contributed strongly to the recent changes in 

the Group, notably its international expansion and increased competitive 

ability, and consider that the career development horizon offered by 

Groupe SEB today is broader than a few years ago. 

common procedures. This group meets twice a year and brings 

together human resources managers from the different continents 

and principal countries. 

GOOD MANAGEMENT PRACTICES 

On the occasion of its 150th anniversary, the Group reaffirmed the 

values to which it has always adhered: enterprise, innovation, team 

spirit and professionalism. These values are at the heart of 

Fair Process (applied by the Group since 2004) which seeks to 

generalize a participative mode of management which lays emphasis 

on leading and motivating 

working teams for better 

performance. Fair Process is 

discussed at the annual 

evaluation interview and is an 

integral part of all management 

training programmes. 

59

European Works Committee – 23 members 


“I CHOSE TO CONTINUE WORKING” 


ACTIVE LABOUR DIALOGUE 

Groupe SEB has always respected freedom of association and 

accorded a high priority to labour dialogue. In most countries, the 

Group’s entities have trade unions and staff representative bodies. 

Its European Works Committee regularly welcomes new members 

as the European Union expands. It now comprises 23 members 

from 13 countries. Labour-management dialogue which was 

particularly active in France during 2007 led to the signing of three 

key agreements with employee representatives: the first concerns 

a forecast planning system for jobs and skills, the second aims to 

improve trade union rights and the status of staff representatives, 

and the third covers the introduction of a supplementary health 

insurance fund for all Group employees in France. 

INDUSTRIAL REORGANIZATION 

The industrial reorganization plan begun in France in 2006 was 

virtually completed in 2007 fully in line with the Group’s undertaking 

to offer a solution for every employee concerned. The Fresnay 

(Sarthe), Dampierre (Jura) and Le Syndicat (Vosges) factories were 

closed and the Vernon (Eure) plant was rescaled. By the end of the 

year, a solution had been found for almost all of the 890 employees 

affected by the job cuts, using measures such as internal transfers, 

jobs created under the reindustrialization of the sites, or early 

retirement. Of the employees who opted for voluntary redundancy, 

some 60 continue to benefit from Groupe SEB support until 

this autumn. 

Nicole Dorkeld, a former employee of the Groupe SEB Dampierre factory, now works 

as an operator with PSP. 

“Under the arrangements made for employees at the time of the closure of the Dampierre 

factory, I could have opted for early retirement at 55 and so stop working at the end of April 2009. But, when it came 

to signing the agreement for early retirement, I just could not do it because I felt I really wanted to go on having a 

working life. Before joining Groupe SEB, I was a housewife for 18 years, and I did not want to return to that situation. 

I need to have an occupation, a full life. Today, I work for PSP – Poivrières Salières Peugeot – where I was 

re-employed with a lot of other ex-Group employees. I assemble pepper, salt and spice mills, and I am responsible 

for the product from A to Z – from assembling the different parts to packaging the finished article. I realize that new 

legislation on retirement age may require me to work beyond the age of 60, but I am very happy to have made this 

choice.” 

60

Drop of 10% in the rate 

of work accidents worldwide. 

Pont Evêque – Steam iron factory 

“HIGH STANDARDS IN SAFETY” 

Maurice Billet, Groupe SEB Health & Safety Manager 


HEALTH & SAFETY: A NEW DYNAMIC 

In France, accident frequency was cut by 6% and accident severity 

by 26% last year, to rates of 18.6 and 0.52 respectively. While these 

figures confirm an improving trend since 2005, the Group wants to 

step up this process to substantially and permanently improve 

safety conditions on a world scale. In 2007, a dedicated Health & 

Safety department was created. 

In the area of industrial health, the Group continues its efforts to 

reduce muscular strain injuries. Measures in this direction include 

rotation of staff between work stations, integration of ergonomic 

criteria at the product design stage to simplify limb movements 

during assembly, and the use of ergonomic notices at work posts, 

extensively used in the Group’s factories today. 

“The three-year health & safety plan launched by Groupe SEB early this year sets high standards: it aims to 

achieve an accident frequency rate of less than 6.5 and a severity rate of 0.3 by 2010, worldwide. This has already 

been achieved by some sites, though others, notably in France, will have to reduce their 2007 rates by half to 

reach the target. With this in view, we took a number of steps at the end of last year to reinforce day-to-day safety 

surveillance in production: training of work-team leaders, a monthly accident prevention review by these team 

leaders, and improvement of visual safety warnings. All these steps will be extended worldwide during 2008, in 

addition to existing improvement measures. The Group has also begun the procedure to obtain certification for 

its health & safety management system, so that by 2010 all our industrial and logistics sites worldwide should 

be OHSAS* certified. Three already hold this certification: Cajica in Colombia, Millville in the United States and 

Rumilly in France.” 

* see Glossary. 

61


ATTRACTING YOUNG TALENT 

With its eye to the long term, Groupe SEB conducts an annual review of its human resources by core business and 

geographic zone. This allows it to prepare for its future needs, identify key posts and draw up succession plans that take 

account of the career ambitions of each individual. In addition to this internal mobility, recruitment of new staff is also 

of vital importance. As part of its effort to project an attractive image as a future employer, the Group has developed 

partnerships in recent years with top-level educational institutions. In 2007, it hired almost 100 young managers in 

marketing and in research & development. 

R&D – Steam irons, France 

Brazil – Arno factory 

DIVERSITY 

By signing the Diversity Charter in France in 2005, the Group 

undertook to combat discriminatory practices. In 2007, several 

internal awareness-raising campaigns were organized (posters, 

events, brochures, etc.), and 55 managers were given training 

on this topic, with special emphasis on non-discrimination in 

recruitment. Improving the gender balance in management posts 

is also one of the Group’s objectives. Women represented 28.9% 

of managers worldwide last year, compared with 20.1% in 2002. 

The Group also took steps in certain areas to redress any pay 

differences that still existed between male and female staff. 

TRAINING: A NON-STOP EFFORT 

Training provides leverage for upskilling at every level of the 

company. In 2007 the training budget represented 2.3% of the total 

payroll, compared with 2% in 2004. The Groupe SEB Academy 

provides international training courses on management and strategic 

skills in such areas as marketing, finance and logistics. 

These modules also cover various sustainable development topics 

such as the environment and diversity. Two new programmes were 

added last year – an in-house course on product development, and 

a course on efficient business planning adapted to different 

continents, organized in partnership with the International 

Business School in Paris (ESSEC). 

62 

In addition to these international programmes, local 

training is provided for all the Group’s employees. 

Each year, the Group Human Resources department 

defines training priorities in a document which is sent 

to all the Group’s entities throughout the world. 

This provides a general framework for use by each 

subsidiary to devise a training programme adapted 

to its needs. A global reporting system ensures 

feed-back on all the Group’s training courses.

249,765 hours 

of training worldwide. 

Intranet – Portal 


“LISTENING MORE CAREFULLY” 

Philippe Aze, a supervisor at the Saint-Lô Groupe SEB factory 


AN ARRAY OF TOOLS FOR INFORMATION 

AND EXCHANGE 

The Group’s in-house communications system uses a three-fold 

approach: line management communication, the Group’s intracom 

network and the in-house press. 

The line management structure is the essential relay for information 

between the Group’s executive bodies and its working teams. 

To reinforce this direct contact, the Group created a Management 

Forum in 2007. This brings together some 100 managers in France 

three times a year to review trading results and the high points of 

recent months, and to exchange views on various topics. On the day 

after the meeting, documents presented at the Forum are sent 

to all managers worldwide, who then relay the content to their 

staff teams. 

Another important medium of communication is the intracom 

in-house network which offers a wide range of information on the 

Group: daily bulletins with backup documentation on relevant 

topics, exchange forums, and a growing number of links dedicated 

to subjects such as sourcing, after-sales service and quality 

(several dozen of these links were created in 2007). The in-house 

press comprises the Tempo magazine (primarily for management) 

and some twenty local site news bulletins around the world. 

In 2007, a facts & figures brochure on the Group was 

produced in nine languages and distributed to all our employees. 

“Until I went on the diversity training course, I hadn’t felt directly concerned with the subject: the staff in our work 

unit has been the same for years, and there aren’t many people from different ethnic backgrounds in the local 

job market. But this training made me realize that diversity goes well beyond skin 

colour: it includes equal treatment for women, taking account of handicaps (even if they 

are only slight) and, in a more general sense, differences between individuals working 

on the same team. The training broadened my outlook, especially by making me more 

attentive to others. During meetings, for example, I now make sure that everyone participates, 

and during the annual assessment interviews I will listen more carefully to what 

people say. Just after the training, I still had no idea it would be so useful to me, but it 

was gradually, in concrete situations, that I realized the true meaning of the word 

diversity.” 

63

GLOSSARY 

BIO-DIVERSITY: all the earth’s living species, 

their genetic diversity and their habitats. 

CECED: (Comité Européen des Constructeurs 

d’Equipement Domestique): European Committee 

of Domestic Equipment Manufacturers. 

DIVERSITY CHARTER: a document which 

encourages French companies to promote 

diversity in their workforce and to combat all 

forms of discrimination. 

ECOLOGICAL FOOTPRINT: a measure of the 

impact of an individual or group on the 

environment, based on the amount of 

biologically productive area needed to generate 

all the resources a human consumes and to 

absorb all the corresponding waste. 

ECO-DESIGN: design which seeks to minimize 

the environmental impact of products at every 

stage in their life-cycle. 

ECO-ORGANIZATION: a non-profit organization 

accredited by the public authorities which 

carries out legal obligations on behalf of its 

members in the area of collecting and processing 

waste. 

ECO-PRODUCTION: manufacturing which 

respects the environment and limits potential 

ecological risks. 

ECO-STATEMENT: Group specifications 

binding on suppliers, which prohibit the use 

of hazardous substances in products and 

components. 

GLOBAL COMPACT: United Nations pact 

which promotes ten principles covering human 

rights, labour law, the environment and anticorruption. 


64 

ISO 14001: International Standards Organization 

certification for environment management 

systems. 

LABOUR RIGHTS STATEMENT: Groupe SEB 

requirements imposed on its suppliers in relation 

to labour rights and working conditions 

based on SA 8000 international standards. 

OIW: Ordinary Industrial Waste. Non-hazardous 

waste which can be processed in household 

waste treatment facilities. 

OHSAS 18001: A set of international standards 

on occupational health and safety management. 

REACH: the new European chemicals policy 

(Registration, Evaluation, Authorisation and 

Restriction of Chemicals) which aims to ensure 

a high level of protection for public health and 

the environment. 

ROHS: European Directive on Restriction of 

Hazardous Substances such as lead, mercury, 

cadmium and hexavalent chromium in electrical 

and electronic equipment. 

SA 8000: A set of international corporate social 

accountability standards which control and 

monitor working conditions, health and safety, 

non-use of child labour and other areas. 

SERVICE RATE: the proportion of orders that 

leave the Group’s warehouses on schedule and 

are delivered on time to distributors. 

SIW: Special Industrial Waste – sensitive waste 

which must be processed in specialized 

facilities. 

WEEE: Waste Electronic and Electrical 

Equipment.

ACKNOWLEDGMENTS 

This document was produced by the Financial Communications department in cooperation with the 

Sustainable Development department. It is the fruit of the efforts of many members of Groupe SEB 

staff and stakeholders whom we would like to thank for their contribution. 

We would also like to thank in particular: 

• The Group Executive Committee and Group General Management teams. 

• Other members of staff who helped to prepare this report by providing information, graphic 

material or documentation, responding to questions or reporting on their experience. 

• Stakeholders and those interviewed: 

• Mathilde Dufour, analyst with EthiFinance. 

• André Malsch, Chairman of the CREER Network. 

• Kathryn Taylor, a user of the Tefal Quick Cup hot water dispenser. 

• Philippe Neveux, head of consumer goods stock flows, Carrefour France. 

• Dominique Mignon, Director of Development, Eco-Systèmes. 

• Laurent Pauze, Sales Director (electronics, photo, video and audio) Carrefour. 

• Dominique Emery, Mayor of Fresnay-sur-Sarthe, France. 

• Pierig Vezin, Managing Director of Wethica. 

• Nicole Dorkeld, a former Groupe SEB employee taken over by PSP. 

• External support: 

French text: Françoise Lafragette 

Design and production: ACTIFIN. 

English translation: anglodoc.com 

This report is printed on recyclable chlorine-free paper which complies with the ISO 14001 

international environment standard. 

The printer of this report is environmentally certified by:

Groupe SEB 

les 4 M, chemin du Petit Bois 

BP 172 

69134 Écully Cedex France 

www.groupeseb.com 

01 56 88 11 11 - Photos: Philippe Schuller - Jean-Michel Turpin / Coté Cour, Patrick Forestier, William Gottlieb / Corbis - Getty Images - Digitalphoto.pl - DR - Translation: anglodoc.com. 

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