| The Business Concept Swedwood’s business concept encompasses all of the steps in the value added process, wich begins in the forest and ends in the home of the IKEA customer. It includes the stages of forestry, saw milling, production of boards and components, and the manufacture and distribution of furniture. The overall aim is to ensure cost-effective furniture production in areas where Swedwood can create a real advantage for the customer. To achieve high production efficiency, we set up, and expand into large, process oriented factories with modern techniques, focusing on the optimum utilisation of machinery and raw material. It is important to obtain the maximum yield from input materials to ensure cost-effective production and to reduce the environmental impact. Each Swedwood factory should, if possible, concentrate on one production technique, one base raw material and a limited product range, for optimal efficiency and volume. The concentration of production to large factories and specific countries provides a base for efficient distribution with short lead times. Our concept requires companies to have good technical resources, whether they are newly constructed or have been developed from acquired and existing facilities. We manage our organisation through decentralisation, but put strong emphasis on network connections between companies to handle all the resources and synergies. Purchasing and technical development are therefore coordinated to utilise all the available resources. The organisation is divided into business sectors and business areas to provide the necessary factory support and enhance our business concept. We demand high standards of working conditions, safety, environmental control, buildings and equipment. Every Swedwood unit aims to be a forerunner, both in its geographical region and its industrial trade. |