Vision, business concept, targets and strategies

Vision
OEM shall be a leading industrial trading Group in industrial components and systems in selected markets
in Northern, Central and Eastern Europe.

Business Concept
OEM offers a broad and detailed range of industrial components and systems from leading suppliers. A
well-structured local market organisation and effectivelogistics make OEM a better alternative than the
suppliers' own sales organisations. OEM contributes advanced expertise and service and it markets the
products according to the specific conditions for each particular market.

Goals
OEM's goal is to sustain stable growth together with a good return on equity and limited financial risks.
The financial targets over one business cycle are:
• 15 % annual tur nover and profit growth
• 20 % return on equity
• Equity/assets ratio not lower than 35 %

Business targets
OEM shall be one of the largest industrial trading companies in its chosen geographical markets. Profitability
will be on par with, or better than, that of the largest actors in each respective market.

Strategies

Growth
1. Organic growth
Organic growth takes place through increased market hare and expansion of the product range. In areas
where OEM is firmly established, business units are expected to grow 5% above the underlying market
growth. In markets where OEM has yet to achieve a position among the five largest players, our ambition
is for the growth to be considerably higher.

2. Geographic expansion
Geographical expansion will occur in markets where it is possible to become a prominent actor by representing
a majority of OEM's suppliers. Geographical expansion will be in Central Eastern Europe.

3. Acquisitions
The company acquires companies and product ranges that strengthen OEM's market position within the
current product areas in existing markets, as well as companies that have a brand-new product area or new
geographical market.

Product Range
OEM sells a product range including industrial components and systems from leading suppliers. The product
range is developed through collaboration with existing and new suppliers. Each product area is tailored to the
local markets. Development of the range is central for OEM and it is the task of each local marketing organisation
to find new products to improve further the competitive advantage of our customer offer.

Marketing
Marketing is conducted primarily through face-to-face sales. The personal meeting is crucial in understanding
the customer's applications and needs while, at the same time, making it possible to offer OEM's
unique expertise. Face-to-face sales are supported by web-based and printed marketing communication.

Logistics
OEM's ambition is to make its logistics world-class by investing in Group-wide logistics solutions.

Employees and Management
Employees shall be given the opportunity to develop within the company taking consideration to the business's
goals and strategies as well as the employee's ambitions. Recruitment and employee strategies will
lead to recruiting a significant portion of our managers internally.