2. Organisational profile

Geberit Gruppe.

Geberit offers customers high-quality sanitary products for applications in private residential construction and public buildings. The systems are used in both renovation projects and new buildings.

The product area Sanitary Systems comprises all sanitary technology found in buildings (with the exception of pipes) and is divided into four product lines: Installation Systems, Cisterns and Mechanisms, Faucets and Flushing Systems and Waste Fittings and Traps. The product area Piping Systems comprises all piping technology found in buildings for drinking water, heating, gas and other media and is divided into the product lines Building Drainage Systems and Supply Systems. The product area Sanitary Ceramics comprises nearly all visible equipment in the bathroom and is divided into the product lines Bathroom Ceramics and Ceramics Complementary Products

For further information on the product range, see www.geberit.com > Products > Product range.

For 2017 net sales by product area and product line, see Business Report > Business and financial review > Financial Year 2017 > Net sales.

The Geberit Group has its headquarters in Rapperswil-Jona (CH).

Geberit has its own representatives in 49 countries. The products are sold in around 120 countries throughout the world. The company has 30 specialised production companies in 14 different countries close to the most important sales markets and a central logistics centre in Pfullendorf (DE), as well as a decentralised network of 14 European distribution sites for the ceramics business.

For a list of the countries in which Geberit operates, see Financial Report > Consolidated financial statements Geberit Group > Notes > Note 33.

Geberit AG, the parent company of the Geberit Group, is a stock corporation (AG) under Swiss law.

In terms of market cultivation, Geberit relies on a three-stage distribution channel. Numerous products are distributed via the wholesale trade. Dealerships then sell them to plumbers and present them at exhibitions and other events where end customers can gain information. At the same time, Geberit provides plumbers and sanitary engineers with intensive support through training and advice. This leads to increased demand for Geberit products from wholesalers.

For net sales by markets and regions as well as by product areas and product lines, see Business Report > Business and financial review > Financial Year 2017 > Net sales.

The Geberit Group’s market capitalisation reached CHF 16,266 million as of the end of 2017 (previous year CHF 15,429 million). For the consolidated balance sheet with details of current assets, non-current assets, equity and liabilities, see Financial Report > Consolidated financial statements Geberit Group > Balance sheet. In 2017, net sales amounted to CHF 2,908.3 million (previous year CHF 2,809.0 million).

At the end of 2017, the Group had 11,709 employees (previous year 11,592 employees). For the number of business sites, see G4-6.

At the end of 2017, the Geberit Group employed 11,709 staff worldwide, which is 117 employees or 1.0% more than in the previous year. On the one hand, this is mainly due to more people being employed in the production plants in order to deal with greater sales volumes, and, on the other, to various sales companies expanding in connection with specific sales activities.

For key figures on the workforce by employment type, employment contract, region and gender, see Key figures sustainability > Employees and society.

There are currently 8,781 employees (corresponding to 75% of the workforce) who are covered by collective agreements (e.g. collective labour agreements, wage agreements). In Germany, Austria, Switzerland, France, Italy, Ukraine, Finland and Sweden, over 90% of employees are subject to a collective labour or wage agreement. There are no collective agreements with employees in place in the USA and China.

Siehe chapter Suppliers.

The sale of the company Varicor, including the plant in Wisches (FR), was announced in January 2017. However, Varicor remains an important partner for Geberit as a strategic supplier. In July 2017, the result of a strategic review of two plants owned by the French subsidiary Allia that had been announced in the previous year were made known. Accordingly, in agreement with the trade unions, the La Villeneuve-au-Chêne site was closed and ceramic production in Digoin was discontinued.

See Financial Report > Consolidated financial statements Geberit Group > Notes > Note 2.

The precautionary approach plays an important role for Geberit as a production company. This approach is described in the Geberit Code of Conduct.

The Geberit Group has a Group certificate in accordance with ISO 9001 (quality), ISO 14001 (environment) and OHSAS 18001 (occupational health and safety) that is valid until the end of 2018. All 30 Geberit production plants are certified to ISO 9001 and ISO 14001. Regarding OHSAS 18001, the three outstanding plants will be certified by the end of 2018. Five plants are certified according to ISO 50001. Furthermore, all Geberit companies implemented the European Energy Efficiency Directive 2012/27/EU in 2015.

In the environmental area, the company remains committed to its ambitious goals of improving the relative environmental impact and relative CO₂ emissions by 5% annually. In addition, a long-term CO₂ target was developed in 2016 that is compatible with the two-degree target set out in the Paris Agreement (science-based). It comprises a reduction of absolute CO₂ emissions (Scopes 1 and 2) by 6% between 2015 and 2021 to under 240,000 tonnes (based on organic growth).

In the area of occupational safety, the aim is to halve the frequency and severity of accidents by 2025 based on the reference year 2015.

The Geberit Production System (GPS 2.0) is implemented at all plants. Best-practice standards in production are uniformly implemented using methods such as SMED (Single Minute Exchange of Dies), TPM (Total Production Maintenance), 5S (Workplace Organisation Methodology) and CIP (Continuous Improvement Process).

An extensive system for the control and management of all risks involved in business activities is in place throughout the Group. For further information, see Business Report > Corporate Governance > Board of Directors > Information and control instruments vis-à-vis the Group Executive Board.

Geberit has been a formal member of the UN Global Compact since October 2008 and was a founding member of the local Swiss network in 2011. The company has been a member of the Transparency International organisation since June 2000 and supports its objectives for combating corruption. Since 2007, Geberit has voluntarily applied the comprehensive guidelines of the Global Reporting Initiative (GRI) for sustainability reporting and has thereby made an active contribution towards ensuring transparency and comparability in this reporting.

Geberit has cooperated with the non-profit organisation Swiss Water Partnership since 2012. This platform seeks to bring together all those involved in the topic of water supply (from academic, economic as well as public and private spheres) to collectively address future challenges and promote international dialogue on water.

In 2017, Geberit played a key role in establishing a new platform for the European sanitary industry – the European Bathroom Forum (EBF). One of the first tasks was the launch of a European water label as a voluntary and flexible instrument to support customers in the selection of resource-efficient products. This aims to help achieve the EU goals for resource efficiency

Geberit is involved in various associations and organisations that make a contribution toward sustainability. In addition, various Geberit companies are members of national associations on topics such as green building, environmentally friendly production, energy, waste management and employee protection. For major commitments, see www.geberit.com > Company > Sustainability > UN Global Compact and Memberships.