Visualisierung der Wertschöpfung bei Continental durch das Symbolbild eines Baumes.
© Continental AG

Our Seven Strategic Dimensions

This is how we are securing our future sustainability.

1. Value creation – enhancing the value of the corporation on a long-term basis

For us, enhancing the value of the corporation on a long-term basis means sustainable, lasting success while taking into consideration the costs of capital. Our target is a return on capital employed (ROCE) of at least 20%.

Since 2015, we have consistently either achieved or surpassed that target.

 

2. Regional sales balance – globally balanced sales distribution

Our goal is a globally balanced distribution of sales. We can thus ensure our independence from individual sales markets and balance out economic fluctuations. We work in the market for the market. We develop and produce a large number of production applications on a local basis. Working locally puts us as close as possible to our customers and is the most effective way we can meet their needs and requirements effectively.

 

3. Top market position – among the three leading suppliers in all relevant markets

We want to be among the world’s three leading suppliers in terms of customer focus, quality and market share in the long term. This will enable us to plan our future based on a leading position and thereby play a major role in shaping the development of individual sectors.

Our strong presence in the innovative, promising fields of technology in the motor vehicle industry constitutes a key success factor and driver of future development. Around half of our portfolio is dedicated to the world’s 20 fastest growing product segments of the automotive industry. We are among the leading companies in the automotive supplier industry for numerous technologies. The same holds true in our Tire division, as it does for the business with carmakers and in other industries in the ContiTech division.

 

4. In the market for the market – high degree of localization

A high degree of localization characterizes our global business model. We develop and produce a large number of product applications on a local basis, working close to and with our customers. The aim is for at least eight out of ten application developments to be carried out locally in the market, for the market, and for the percentage of local production to be just as high.

This is how we meet the needs and requirements of our customers most effectively. Our development and production teams worldwide enable us to offer products, systems, functions and solutions for vehicles in all classes, as well as customized industrial applications.

We are currently represented in 56 countries. We operate production sites in 35 of them.

 

5. Balanced customer portfolio – balance between automotive and other industries

By having a balanced customer portfolio, we want to reduce our dependency on the automotive economy. This is why we are striving to expand our business in industries outside the automotive original equipment sector. At the same time, we are achieving further growth with carmakers and other mobility providers.

Business outside the automotive original equipment sector allows us to better compensate for delays or accelerations in the automotive market when it comes to the challenges described above. By 2020, we therefore want to increase the share of sales with end users and industrial customers from other sectors toward a figure of 40 percent. Our activities in the Tire and ContiTech divisions form the basis for this. 

We are pursuing three approaches in this regard:

  • In the tire sector, we are investing in additional production capacity geared predominantly toward the end customer business.
  • We are strengthening the automotive end customer business through customer-specific solutions and products.
  • We are increasing sales with industrial customers from sectors outside of the automotive industry both organically and through acquisitions.

 
6. Technological balance – combination of established and pioneering technologies 

Our product portfolio should consist of a profitable and viable combination of established and pioneering technologies.

We set and follow new trends and standards in high-growth markets and market segments. On the established core markets, we ensure that our position as one of the leading automotive suppliers and industrial partners keeps on developing. This allows Continental to be represented and competitive in all phases of the respective product life cycles.

We are currently among the leading suppliers when it comes to advanced driver assistance systems, injection systems for low-consumption, supercharged diesel and gasoline engines, electro mobility, keyless access systems, and display solutions in vehicle interiors.

Our premium tires meet the highest standards and prove it by scoring top grades in neutral tests. They are as innovative and valuable as any high-end electronics and offer outstanding safety during driving and braking.

The leading industrial solutions from ContiTech for machine and plant engineering, mining, the agricultural industry and the automotive industry include products and systems made from rubber, plastics and polyamides, metal and fabric, as well as electronic components for vibration control and surface finishing and for air springs, hoses and lines, belt drives and conveyor belting.

 

7. Great people culture

Pioneering solutions and groundbreaking technologies arise only in an inspirational environment that gives people room to be creative and encourages collaboration on the basis of trust. Continental cultivates an atmosphere of trust, personal responsibility and organization in all divisions and departments. Learning how to deal with mistakes is a key part of this. 

In order to develop our corporate culture, we implement numerous initiatives to promote and shape a working atmosphere that is characterized by trust and mutual respect. This is how we establish an environment that is conducive to new ideas and initiatives as well as an extensive exchange of knowledge and value-adding collaboration. By working in networks that transcend organizational and hierarchical boundaries, we can pick up on trends and market changes more quickly and come up with better (i.e. more effective) solutions more efficiently.