In every country we use a simple framework, which offers the key to our future success. We call it the ”Björn Borg Framework for performance”.
– CEO Henrik Bunge.
The framework consists of five questions, all different but none more important than the other. The framework is also our process, a way to think, where each question always comes in the same order. To measure that we are progressing toward the goals that the questions point out, we break down them down by department and individual, and we make sure that the goals are SMART (Specific, Measurable, Attractive, Relevant, Timely).
The questions are: Where are we going? Where are we? What to do? How do we do things? and Why do we do this?
The first question is: Where are we going?
To be the No 1 Sports Fashion Brand for people who want to feel active and attractive.
SMART goals for 2019:
- Sell-through 70%
- Employee engagement 90%
- Total sales 1 Billion SEK
- EBIT 15%
The second question is: Where are we?
For the most part our annual report describes exactly this, i.e. our current situation. However, this is strategically broken down into each department and each individual. For us, it is crucial to always look at the “brutal facts” and understand where you are before you can move forward.
The third question is: What to do?
It is simply describing what we need to do to take us from where we are today to where we need to be tomorrow. We have identified three cross-functional strategic themes for what we need to do.
- Win the consumer at the Point of Sale. We win when our product leaves the store, therefore all functions play to win the consumer at the Point of Sale.
- Create a winning team. To succeed, we work as a strong and united team, exploiting the full potential of all individuals – internal and external.
- Brand alignment. To be able to reach through and make a difference to the consumer, we need to act and be perceived as one clear brand – in all channels, in all markets and in everything we do, from products to communication.
The fourth question describes our values: How do we do things? We have agreed on three values that drive our behaviour at Björn Borg
- Passion. Firmly positioned deep on the baseline, attentively awaiting the serve, we see the entire court. It sounds quiet, but it’s loud. It appears calm, but it’s alive. It’s fast moving and vibrant. We see the ball coming. Our passion inspires action.
- Multiplying. Here we see a seamless synergy where cooperation, acceptance, and camaraderie create an outcome stronger than the individual parts. One plus one equals more than three.
- Winning attitude. We perform when it matters the most, undeterred and engaged in the face of adversity. Our attitude is clear – you mustn’t be pushed, the vision pulls you.
The fifth question describes what inspires and motivates us: Why do we do this?
We believe that all humans carry the will to make a difference – for themselves, for someone else, or for the world. We believe that we all can be different and make things better. Together we can change the game and break what is impossible.
The Board of Directors of Björn Borg has established a business plan for the period 2015-2019 with the following long-term financial objectives for operations:
- For the financial year 2019, the Group has the objective of achieving sales of SEK 1 billion with an operating margin of 15 percent.
- An annual dividend of at least 50 percent of net profit.
- The equity/assets ratio should not fall below 35 percent.