• President’s statement
• Vision and strategy
• Market
• Operations
  • Market channels
  • B&B TOOLS Markets
  • B&B TOOLS Products
  • B&B TOOLS Services
• Financial development
• Sustainable development
• Competence and responsibility
• History

Markets – Proximity to industrial customers

The Markets operating area comprises TOOLS and TOOLS Momentum, which, together, form the Group’s market channel for industrial consumables and industrial components for Nordic industry.
Markets is responsible for all processes related to industrial customers, including the development of the Group’s market position at the reseller level.
Markets had revenue of approximately MSEK 5,700 during 2007/2008 and has, taking into consideration the acquisitions for which closing occurred before 31 March 2008, a current annual revenue rate of approximately MSEK 6,500.

TOOLS

TOOLS is the largest industrial reseller chain in the Nordic region and provides Nordic industry with industrial consumables. TOOLS comprises the Group’s own Market Companies and independent partner companies. All TOOLS companies are loyal to the TOOLS concept and work to secure the leading position in the MRO market.
Today, TOOLS operates in more than 200 locations in Sweden, Norway and Finland and has approximately 2,500 employees.
The single largest market is Sweden, where TOOLS has a presence in just over 100 locations. Total revenue for the Market Companies amounted to approximately MSEK 4,800 in 2007/2008. This accounted for approximately 70 percent of TOOLS’ total revenue of approximately MSEK 7,000. In 2007/2008, 26 new Market Companies were acquired.
Acquired businesses are integrated according to established models for reporting, profitability, planning, business control, strategies, concepts and internal control. The Group strives to create a uniform structure that comprises all Market Companies.

TOOLS MOMENTUM

TOOLS Momentum supplies industrial components and related services to the same target group as TOOLS. TOOLS Momentum has extensive product and application expertise in the area of industrial components used in rotating axles (bearings, seals, caulking and more). TOOLS Momentum has well-established MRO concepts that are intended to help the customers in various situations concerning the supply of industrial components. The concept aims to establish:
• More efficient purchasing
• More efficient inventory management
• Optimisation of operational situations
• Optimisation of maintenance of industrial plants
An overall goal is to help customers minimise downtime and unplanned production interruptions.
The principal market is Sweden, but TOOLS Momentum also has subsidiaries in Norway and Denmark. In 2007/2008, net revenue amounted to approximately MSEK 800.

Market activities

During the 2007/2008 operating year, TOOLS focused on a number of prioritised activities with clear objectives. Among other goals, TOOLS aimed to increase the customers’ general awareness about TOOLS’ offering and long-term ambitions. Initiatives included market communication, advertising, customer dialogues and sponsorship. Surveys indicate that these activities generated the desired effect. Customer awareness and knowledge about TOOLS’ comprehensive offerings has increased markedly. Activities implemented during the year include:
• TOOLS’ animated figure “MrO” emphasised important messages concerning the area of MRO and TOOLS in newspaper advertisements and on the Internet during 2007/2008.
• In Sweden, TOOLS sponsors a racing team in the STCC series (Swedish Touring Car Championship). In 2007/2008, the competition comprised 12 rounds (on different occasions and different race tracks). During the summer period, a total of more than 7,000 people (industrial customers) were welcomed to spend ten full days with TOOLS, including information about TOOLS, product exhibitions, meetings with the Group’s management teams and employees and socialising throughout the races themselves – during which everyone developed a natural loyalty to the “TOOLS drivers.”
• In Norway and Finland, TOOLS implemented nationwide road shows during the past year, during which more than 20,000 customers received information on TOOLS’ offerings within the area of MRO, as well as TOOLS’ operations.

Competence development

Another prioritised area for Markets during the year was competence development.
To date, the “TOOLS Academy,” which organises all work related to competence development within TOOLS, has targeted its training initiatives toward the approximately 1,200 sales representatives. The TOOLS Academy’s programmes focus on the development of job-specific skills, such as sales approaches. However, gradually establishing a joint sales culture and common approach to such areas as comprehensive solutions and service development is equally important.