New Elior, our 2024 strategic plan
Presented by Philippe Guillemot, Elior Group CEO, during the June 2019 Leaders Committee, the New Elior plan lays the Group’s 2024 strategy now that it is once again focused on its contract catering core business and on support services, in six countries: France, the United States, Spain, Italy, the United Kingdom and India.
What is the New Elior plan?
The New Elior plan is first and foremost an ambitious growth plan, which marks a new chapter in the Group’s history, now that it has become an international pure player in contract catering and services.
This plan will enable us to strengthen the Group’s fundamentals to better answer the questions that come from environmental challenges, our guests’ rapidly-changing consumption habits and the changes caused by the rise of digital. We see these evolutions as opportunities for growth and reinvention, with the aim of making the Elior group a reference in catering and services, an innovative and socially responsible company and an employer of choice.
To execute this growth plan, we will focus on 5 priorities, the value creation drivers for our clients, our guests, our teams and the company as a whole.
Which ambitions do we have for the New Elior plan?
The planned impact of the New Elior plan is to further accelerate the momentum we created in the last 18 months. Our targets vary from geography to geography, with the shared goals of building upon our local presence and grow where we already are.
Our overall objectives are clear: we need to grow organically faster than the market where we operate, which means above 2%. Our goal is a range of 2 to 4% over the next few years.
Our first priority is to improve our profitability. Our adjusted EBITA margin will stabilize during FY 2018-2019, then we expect we expect an increase between 10 and 30 basis points per year, while capital expenditure should remain below 3% of revenue.
Is New Elior a transformation plan?
For over 25 years, the Elior group has developed thanks to a DNA that brings our teams together. Now the New Elior plan brings this mix of innovation and responsibility to the fore for the next chapter in our history.
We are aware of our economic, social and societal responsibilities, which is why CSR is at the heart of our daily choices and actions, both in contract catering and in services.
Each day, the men and women working for the Elior group make a commitment, and thanks to their know-how, their talent, their innovative spirit, their sense of service, our Group is transforming to the benefit of our clients and guests.