Wolseley Canada Inc
Strategy
Over the medium term we will progressively move our business to a local service common process model as we standardise core processes to achieve benefits of scale and productivity.
Our strategy remains unchanged. We will continue to extend our position in plumbing and heating and building materials distribution. These are generally fragmented markets and the structural growth opportunity is significant. Our process of top-down resource allocation to those businesses which have or are capable of market leadership will give us the best returns. In addition, through bottom-up detailed business unit strategies we will make sure we grow our best businesses faster than the competition. This parallel path of resource allocation and performance management is outlined in our value creation model below.
Value creation model
Value creation model
We want to drive profitable growth in each business unit and during the monthly performance reviews we review like-for-like revenue growth, balancing this with a relentless focus on improving gross margins and keeping costs under control. Given the tough economic backdrop in some of our markets we are keeping a keen eye on operating costs, particularly where we have experienced volume declines. However, even where markets are growing and we are increasing our investment, we still want to ensure that we convert revenue growth strongly to trading profit. Over the past four years we have deleveraged the balance sheet and this has been achieved through a keen focus on strong cash generation.
While organic growth remains a priority, we have continued to make selective in-fill acquisitions. Our strong preference is to expand in this way in our existing geographies, so that we can integrate these acquisitions rapidly with our strong businesses and deliver attractive returns.
Source: http://www.wolseley.com/index.asp?pageid=22
