1.

2013 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS

Military tech improves forestry

SHAPE TRIES

DOUBLES YOUR AGE

The suit that

Community relations A SCIENTISTS BLUEPRINT FOR

SAVING THE WORLD

SEEDS OF CHANGE
Global companies take alocal approach

What is your best advice to improve the environment?

Shape is a magazine from SCA, primarily geared toward customers, shareholders and analysts, but also for journalists, opinion leaders and others interested in SCAs business and development. Shape is published four times a year. The next issue is due in June 2013. Publisher Josphine Edwall-Bjrklund Managing Editor Marita Sander Editorial Anna Gullers, Ylva Carlsson, Inger Finell Appelberg Design Markus Ljungblom, Kristin Peva Appelberg Printer Srmlands Graska AB, Katrineholm Address SCA, Corporate Communications, Box 200, 101 23 Stockholm, Sweden. Telephone +46 8 7885100 Fax +46 8 6788130 SCA Shape is published in Swedish, English, Spanish, German, French, Dutch and Italian. The contents are printed on GraphoCote 90 grams from SCA. Reproduction only by permission of SCA Corporate Communications. The opinions expressed herein are those of the authors or persons interviewed and do not necessarily reect the views of the editors or SCA. You can subscribe to SCA Shape or read it as a pdf at www.sca.com. Address changes can done at www.sca.com/subscribe or by e-mailing sophie.brauner@sca.com

Jonas Rehnberg
Writer, Sweden My advice is to leave the car at home (and go swimming). Also, remember never to run the dishwasher or washing machine half full. Fill it up! Jonas wrote the story on companies partnering with designers to enhance their brand. See page 36.

lodie
Illustrator, France As an oyster farmers daughter, I always care about nature, especially the sea. I try not to drop anything in the sea or leave anything on the beaches. When I go back for holidays on Oleron island, my friends and I sometimes spend an afternoon cleaning the rubbish from beaches. I sort my waste, and I wash my clothes at 40 degrees instead of 60 to save energy. I also always use a textile shopping bag when I go to the supermarket to avoid plastic bags. See pages 6-9.

Contributors
SCAS SOCIAL MEDIA SITES
Youtube.com/ SCAeveryday shows commercials and videos from SCAs press conferences, presentations and interviews with executives and employees. Facebook.com/SCA is intended to attract talent, engage users and provide information in a way that complements sca.com. Twitter.com/SCAeveryday provides a good summary of every thing happening at sca.com and in SCAs social media. The aim is to provide various users, journalists and bloggers with relevant information. Slideshare.com/ SCAeveryday is for investors and analysts, who can download presentations from quarterly reports and annual general meetings. Scribd.com/ SCAeveryday makes some 50 publications available, including SCAs sustainability report, its Hygiene Matters report and Shape magazine. Flickr.com/ HygieneMatters supports the launch of the global report Hygiene Matters with images.

1.2013 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS

Military tech improves forestry

SHAPE TRIES

DOUBLES YOUR AGE

The suit that

Community relations A SCIENTISTS BLUEPRINT FOR

SAVING THE WORLD

SEEDS OF CHANGE
Global companies take alocal approach

Cover photo: Getty Images

2 SCA SHAPE 1 2013

CONTENTS
06. The greater good
Part business strategy, part philanthropy, good community relations create value for the community and company.

14. So you want to save the world

Swedens most inuential environmentalist discusses whats currently wrong with the planet and shares his ideas on how to x it.

20. Unique selling points

Companies are seeking to capitalize on brand awareness by adding new and unexpected products.

24. Rise of the forest caterpillar

Military technology is one of the secrets behind more efcient and environmentally sound forestry.

26. The wages of age

Shape journalist Sara Bergqvist went from 44 to 88 years old by trying on SCAs age suit.

36. Designer payoff

Cooperation with famous designers is on the rise as large companies seek new ways of boosting their brands.

43. Growth for e-commerce

TENA, SCAs brand for incontinence, nds a new marketinSouth Africa.

Behind the scenes at the Volvo Ocean Race

Read more on page 34

UPDATED
Biggest overseas tender ever
SCA TRANSFOREST has launched the

Business news from SCA

biggest overseas container tender ever in SCA. It is a cooperation between SCA Transforest, a logistics company within SCA, and all business units within SCAs hygiene operations, coordinated by SCA Global Hygiene Supply. The joint volumes amount to some 75,000 TEUs* on an annual basis, with a total value of about 700 million Swedish kronor (80million euros). TEU = twenty-foot equivalent unit, a measure of cargo capacity.

SCA Transforest is a transport and logistics company and part of SCAs Forest Products business area. (The ship in the picture does not belong to SCA.)

Continued demand for wood products

IN 2012, SCA increased its market shares and

SPRING NEWS

Wooden house facade in Cairo.

volumes in sawn solid wood products in North Africa for example to the Egyptian market. The year before, 2011, the Arab Spring brought about a temporary slowdown in timber deliveries to Uni4 Marketing, a company in which SCA Timber has a stake. Its business concept is to combine knowledge about the local business culture with efcient logistics and a wide range of products, in order to sell timber in countries such as Egypt, Saudi Arabia and Algeria, in which the owner companies have no representation of their own. In 2011, this approach resulted in the sale of nearly 600,000 cubic meters of sawn timber. SCA is also the No.1 supplier of wood productsinMorocco.

HANDLES THE PRESS

SCA has a new vice president media relations in Boo Ehlin. Ehlin has longstanding journalistic experience. Among other things Ehlin has been Head of Press at the Swedish banks SEB and Nordea as well as acting head of press for the energy company Vattenfall.

Stronger environmental profile

SCA IS STRENGTHENING ITS ENVIRONMENTAL

prole within publication paper products. All of SCAs paper grades, except for newsprint, will be labeled with the EUs Ecolabel in the copy paper and graphic paper category. The EU Ecolabel, which used to be known as the EU Flower, provides consumers with

a guarantee that products have an environmental impact that is lower than or similar to comparable products on the market. The EU Ecolabel is based on the environmental load of the product from the raw material to when it is disposed of that is, over the products entire life cycle.

EXPANDED COOPERATION
SCA will invest about 380 million Swedish kronor (55 million euros) in an expanded cooperation between SCAs industries in the Sundsvall region and Sundsvall Energi AB, Sweden. The agreement enables SCA to increase its deliveries of green energy to Sundsvalls district heating grid. Among other things the investment covers converting two oilfueled boilers into boilers fueled with wood pellets. SCAs cooperation with the community of Sundsvall in Sweden will reduce the oil usage by 30,000cubicmeters.

Change process updates logo

SCA HAS undergone

major changes in recent years and today is a leading global hygiene and forest products company with a strong sustainability image. SCAs logo is therefore being updated with stronger, brighter colors and softer lines. Care of life is also written

in full, underlining the message. SCA has the ambition of building a strong Group brand, where SCA guarantees all the Groups product brands, and that employees, products, processes and the whole business develop in a sustainable and responsible way.

GETTY IMAGES

SCA SHAPE 1 2013 5

6 SCA SHAPE 1 2013

COMMUNITY RELATIONS

Good Neighbor Inc.

A growing number of companies see community relations as the key to both good relations and good business. Community relations, in this view, are seen not just as philanthropy but as part of a business strategy that creates value for both the company and the community.
text MATTIAS ANDERSSON illustrations LODIE

USINESS STARTED LONG centuries before

the dawn of history, but business as we now know it is new new in its broadening scope, new in its social significance. Business has not learned how to handle these changes, nor does it recognize the magnitude of its responsibilities for the future of civilization. So said Wallace Brett Donham, the dean of the Harvard Business School, in a 1929 speech that addressed the changing role of increasingly large and powerful corporations in society. It is hardly news that good relations and a good reputation are good for business. Many powerful people have realized the importance of giving back to the world in which they operate, by providing bread and circuses to the Roman populace or, in the case of the automotive pioneer Henry Ford, dances for his workers and their wives. What is today called Corporate Social Responsibility, or CSR, began in the 1920s and has followed a fairly circuitous route. As recently as the early 2000s, companies faced deep public suspicion of their professed high aims as they made well-meaning but not always long-term efforts ranging from charity to initiatives to prevent climate change.
SCA SHAPE 1 2013 7

COMMUNITY RELATIONS

But following a turbocharged maturity period, efforts have today been consolidated. Value creation, rooted in a companys operations and business strategy, and a focus on good local relations are the sustainable formula for corporate community relations. Today I would no longer talk about CSR for companies, but just community relations, says Lutz Meyer, the head of a public relations company responsible for German Chancellor Angela Merkels re-election campaign. The relationship with the local community is today of fundamental importance for the long-term success of all modern organizations. Today companies must act as good citizens accountable, transparent and generally decent in their contact with their neighbors. As John F. Kennedy once said, Ask not what your country can do for you ask what you can do for your country. A large number of the worlds most successful companies are trying to be good neighbors for commercial reasons.

Being a good company is simply not good enough, says Allyson Park, vice president of corporate external affairs at the Coca-Cola Company. If we are to achieve our business goals, we will need to grow in a way that continues to enrich the world around us. The soft drinks giant is one example of a company working actively on local relations in places where the company has operations. The approach is one way of helping to protect the global brand from damage ranging from legal action alleging

SCA is greening communities and deforested areas, such as in Mongolia (page 13).

8 SCA SHAPE 1 2013

Chinas rapidly growing elderly population gets enhanced life quality when SCA educates nurses in incontinence care.

Investing in the community should be embedded in every corporations DNA.

racial discrimination to accusations of complicity in the global obesity epidemic. The Coca-Cola Foundation donates more than USD 70 million annually to various local initiatives. Nowadays a large proportion of this money goes to projects promoting exercise and food awareness among young people. Climate-smart solutions, sustainable water management and recycling are examples of local projects supported worldwide. Investing in the community should be embedded in every corporations DNA, says Carsten Krebs, director of corporate communications for Volkswagen of America. Not only does it show integrity on the part of the company, but it also demonstrates a commitment to the growth and development of the community where your employees live and work.
COMPANYS OWN employees are often an important driving force in community relations. One example is Ericsson Response, which has 140 volunteers. Their effort consists of rapidly restarting telecommunications and data networks in disaster areas where the existing infrastructure has been hit. The largest effort to date was in Haiti after a severe earthquake in 2010. At the request of the United Nations, 18 people worked in shifts around the clock for six months to support other aid organizations with functioning communications. Like many long-term community relations projects, Ericsson Response is close to the companys operations and reflects a core value: functioning communications are a human right. The focus on the local community has a long tradition at many companies and is part of their corporate culture, but it is now beginning to have a broad impact as a part of corporate strategy.

Were seeing a clear shift in these issues, says Mats Jutterstrm, a researcher at the Stockholm School of Economics and co-author of the book Corporate Responsibility: CSR as a Management Concept. Today the majority of companies realize that it facilitates their own operations and contributes to better business. Underlying the increasing interest in both CSR issues and community relations is a broader understanding of the complex world in which global companies operate, he says. Today most companies understand the often many and shifting interests affecting a companys operations, he says. Internal commitment to
SCA SHAPE 1 2013 9

COMMUNITY RELATIONS

is the SCA way

these issues has varied. PR departments, human resources and those working with environmental management have shown the most interest, while finance departments have been more skeptical. But I think were seeing a change here and an understanding that this is a way of creating increased value for the company. He describes the basis of corporate community relations as a win-win situation in which both the company and the community benefit from the initiatives. Relationship building with the local community can fulfi ll various purposes: it may be about marketing the company to local target groups, but also about preventing crises through understanding and good relations with important stakeholders.

LOCAL

As a hygiene and forest industry company whose products touch many lives, SCA has a history of solid community relations. In fact, locally supported community involvement isapart of the business strategy.

UTTERSTRM SEES a trend today in which the various concepts in CSR and community relations are aligned and partly converge. Its basically about seeing the companys role in the world and managing those relationships well because its good for business in the long term, he says.

Are companies taking over functions that society was previously responsible for?

Thats hard to say, Jutterstrm says. Society sets the framework in many areas through rules and regulations at national or supranational level, such as in the European Union. But there are major differences between various countries with different traditions. In the United States, companies traditionally have a stronger role as a community player. But were increasingly seeing initiatives, such as corporate branded multipurpose arenas. Today most people agree that long-termism gives shareholders a better return over time. Even Jack Welch, the former General Electric CEO who was embraced as a superhero of capitalism, has expressed sympathy with this view. On the face of it, shareholder value is the dumbest idea in the world, Welch told the Financial Times in 2009. Shareholder value is a result, not a strategy. Your main constituencies are your employees, your customers and your products.
10 SCA SHAPE 1 2013

W
Kersti Strandqvist, senior vice president, corporate sustainability.

EVE ALWAYS had an important role to

play, and we see it as an opportunity to make a difference in peoples lives, says Kersti Strandqvist, senior vice president, corporate sustainability at SCA. Maintaining good community relations is a boon to all parties because it instills pride in our employees, creates goodwill in the community and contributes to enhancing customer loyalty. With its roots in the Swedish forest industry, SCA has a long history of local community relations. Although its business today is global, its perspective is local, embracing small-scale collaborations around the world. These can include anything from conducting training programs to breaking taboos to distributing sanitary pads in refugee camps. Our goal is not to take over the role of civil society, but to contribute in fields where we have our core competence and interests, Strandqvist says. This creates a foundation for long-term efforts and real, measurable effects.

Musah from South Sudan poses in front of a newly built latrine, a project within the Oxfam-SCA partnership.

When SCA joins a project, it needs to be one that creates clear value for the company, and this helps to ensure the companys long-term commitment, Strandqvist says. This may occur through expanding awareness in fields that are important to us, such as teaching children good hand hygiene, teaching young girls about puberty and menstruation, and training nurses in incontinence care, she says. Our involvement enhances the value of our brand and contributes to good, mutually rewarding relationships. SCAs efforts to be a good corporate citizen are based on several guiding principles. Projects should be clearly linked to the companys business strategy and to the geographic areas in which the company operates. All collaborations should be long-term and should be partnerships with a clear allocation of roles. Projects should also have a direct link to the companys products, as with educational initiatives in the fields of health, hygiene and incontinence care.

Our involvement enhances thevalue of our brand.

Kersti Strandqvist, SCA.

Community relations by focus areas

Environment 28% Health and Hygiene 25% Emergency Relief 19% Sports/Culture 12% Other 6% Donations 5% Education 5%

SCA SHAPE 1 2013 11

FEATURE COMMUNITY RELATIONS

Planting trees in Europe.

POLAND GERMANY FRANCE AUSTRIA

USA

Helping the homeless inFrance Education in puberty and menstruation in Latin America
DOMINICAN REPUBLIC PUERTO RICO

Partnership with Philadelphia Eagles American football team

Every little bit counts

28 28

%
ECUADOR

67 67
NIGER SOUTH SUDAN

Better hygiene in Niger and South Sudan

COLOMBIA

PERU BOLIVIA

BRAZIL

CHILE

SCA has more than 200 community projects all over the world, ranging from educating nurses in incontinence care to planting treesin Brazil.

45
Planting trees in Brazil

MSEK

In 2012, SCA invested SEK 45 million in community relations projects. Here are a few examples of how this fundingwas used.

HELPING THE HOMELESS INFRANCE In close collaboration with the French Red Cross, SCA participated in a project to help the countrys many homeless people. Efforts included training and volunteer activities. In 2012, some 40,000 hygiene kits were distributed, containing soap, shampoo, skin cream, sanitary pads, condoms and razors. The initiative was based on the recognition that there are strong ties between

hygiene, health and dignity for at-risk groups. The ESSEC Business School helped to assess the initiative and found that it created lasting effects, making it a model and an inspiration for other projects. BETTER HYGIENE IN AFRICA Working with the charity organization Oxfam, SCA is contributing to improving conditions for good hygiene for people

in Niger and South Sudan. Basic good hygiene is the foundation for good health. SCA and Oxfam build latrines and sinks and provide schools with soap. Schoolchildren are taught the importance of basic hygiene, and stipends encourage girls to get a full education. In Niger, SCA supports women suffering from incontinence as a result of early childbirth. The project is pursued with a clear link to SCAs brands TENA, Edet, Tork andLibresse.

12 SCA SHAPE 1 2013

In Brazil, SCA has so far planted almost 5 million trees.

New trees in Inner Mongolia

CHINA

%
MALAYSIA

Training in incontinence care in China

forests in Inner Mongolia. What started out as a local initiative, the Million Tree Project aims to restore the ecological balance and slow climate change with the planting of 1million trees in one of the worlds harshest environments. So far SCA has contributed 2,000 new trees, and SCA employees have planted trees on a volunteer basis. The company also supports similar projects in Europe and Brazil. In fact, in Brazil alone, SCA has so far planted almost 5million trees (read about this project in Shape no. 3, 2012).

Educating young women in Malaysia

Community relations by region

Europe/Africa, 67% Americas 28% Asia 5%

FOR YOUNG WOMEN IN LATIN AMERICA AND MALAYSIA SCA supports a large number of educational initiatives for girls regarding menstruation and physical development in Bolivia, Colombia, Ecuador, the Dominican Republic, Chile, Peru and Puerto Rico. Since the start of the project, more than 1.5million girls have participated. Similar measures are being carried out in Malaysia and other markets. This initiative is linked to SCAs brands Nosotras, Donnasept andLibresse. THE GREENING OF AMERICANFOOTBALL In 2007, SCA entered a partnership with the Philadelphia Eagles American football team. The Eagles are well known for their green thinking and strive to minimize their environmental footprint in all contexts, such as with biodegradable beer cups and recycled trash. SCA played a vital role in contributing to the teams Go Green program, making the Eagles the greenest national sports team in the United States. SCA is the clubs sole hygiene supplier, thanks to its commitment to sustainability, and the stadium uses 100 percent recycled towel, tissue and napkin-dispensing systems from SCA. The partnership also includes mutual events such as treeplanting projects.
SCA SHAPE 1 2013 13

6
The training course has been well received among professional care providers and has now been expanded to include new important groups in healthcare, such as those who often provide practical nursing measures.

KNOWLEDGEABLE CARE PROVIDERS IN CHINA Since the project started in 2009, some 6,500 Chinese nurses from more than 1,000 hospitals have gone through SCAs training program on incontinence. The aim is to enhance the quality of life for Chinas rapidly growing elderly population through increased knowledge. Although incontinence is a common problem for millions of elderly people, the topic is stillheavilytaboo.

GLOBAL TREE PLANTING PROJECTS SCA is participating both as a company and by providing volunteers in a project to halt the expansion of the desert by planting

10 QUESTIONS

The planet is a sick patient, and the diagnosis right now is bleak. Sosays the environmental scientist Johan Rockstrm, who nevertheless has ideas about how to make things better.
text CHATARINA ALMQVIST photo PETER CEDERLING

14 SCA SHAPE 1 2013

A QUEST
to save the world T
he world is facing a number of tough challenges in terms of major environmental problems. The Human Quest: Prospering Within Planetary Boundaries is a new book that explains the latest research results to political leaders, corporate executives and the general public, and offers prescriptions for what needs to be done. Johan Rockstrm, executive director of the Stockholm Resilience Centre, spoke to Shape about the book, which he wrote with Mattias Klum, one of the worlds top nature photographers. Former US president Bill Clinton wrote the foreword. What made you write the book? Like many of my research colleagues, I believe we have to solve the major global environmental problems much faster than were doing today. Mattias has seen wonderful places in his 25 years as a nature photographer, but he has also witnessed the destruction of habitats and seen the consequences of that for humanity. We started talking in conjunction with the Copenhagen climate change conference in 2009. Thats when the idea was born that we should do a book together where we summarize the latest research fi ndings and connect them with a photographic narrative. The aim is to reach both hearts and minds and help people change perspectives to one where our communities reconnect to the planet.

SCA SHAPE 1 2013 15

Johan Rockstrm
Age: 46. Family: Wife Ulrika, a veterinarian, and children Isak, Alex and Vera. Lives: Rind outside Stockholm. Background: Agronomist at the Swedish University of Agricultural Sciences, professor of environmental science at Stockholm University. Interests other than the environment: Sailing, skiing, family and nature. Musical taste: Oooh, that depends on my mood, but preferably music from the 1980s and Timbuktu.

World famous botanist Carl von Linn (Carl Linnaeus) watches Johan from the wall.

What does the latest research show? The first part of our book outlines how we have entered a new geological era, the Anthropocene, in which humans have become a geological force. For many thousands of years, humans had very little impact on the planet, but the pressure on the environment has changed dramatically just in the past 50 years. The curves that show this change all look alike pointing straight up like a hockey stick. The climate, the hole in the ozone, air pollution the curves begin the same way in the mid1950s. Thats when we have the full impact of the industrial revolution and the market economy, and then we enter the modern consumer society. After that, we ask whether the fact that humans are a geological force plays any role. Our economy and social well-being are dependent on a sustainable planet in balance. That may sound obvious, but we have created an economic system and a development model that are based on the planet being an endless resource that we can simply tap into. Relative to the Anthropocene era, our conclusion is that the Holocene, the geological era
16 SCA SHAPE 1 2013

Want to know how you can help save the world? Suggestions can be found in Rockstrms book The Human Quest.

that we have had over the past 12,000 years, is the only state that can support the modern global economy. So we must quickly return to a state like that in the Holocene era. Finally, the book is about how we should act. We must begin to take stewardship of the entire planet. Our research at the Stockholm Resilience Centre has developed a framework that entails nine sustainable planetary boundaries and shows how they can help humanity ensure a sustainable future. Research today shows that as long as we keep the world within these safe global boundaries, we can continue to develop in a positive way. If we exceed the boundaries for such things as water, land, biological diversity and air pollution, we run the risk of abrupt changes that can have disastrous consequences for humanity. What diagnosis do you give the world right now? The planet is a sick patient, so the diagnosis right now is bleak, but it is a very resilient patient that wants to demonstrate its enormous capacity to withstand changes. The problem is that this resistance is on the decline. A concrete example is the Arctic Ocean, which lost 30 percent of its summer ice for a few months in 2007. No one can yet say whether this is a threshold effect, that it will suddenly be too much and tip over, but 2012 was another new record low for the Arctic. How did you get Bill Clinton to write the foreword to your book? Ive given lectures a few times at events he has taken part in. Mattias had also met him at one point. We also had great help from Niclas Kjellstrm-Matseke, CEO of the Swedish Postcode Lottery, which supports Clintons Global Initiative. When Bill Clinton saw a draft of the book, he was really positive. We also have forewords from

10 QUESTIONS

corporate leaders, Nobel laureates and politicians, like Gro Harlem Brundtland, the former prime minister of Norway and former General Director of the World Health Organization. You were ranked as the most influential person in Sweden on environmental issues in 2012. Do you feel influential? No, defi nitely not as influential as many people think when you get an honor like that. Giving a research director an award is one way to emphasize that science is really important in decisionmaking processes. But you still manage to get 17 Nobel laureates to come when you invite them to an environmental meeting. How do you arrange that? As a research director, I can naturally play my role and do the best we can to be a bridge between science and society. But its in large part because we are one of the worlds leading crossdisciplinary environmental research centers. Then its easy to call a meeting. You wanted to save the world even when you were little. Where does this early conviction come from? I grew up in Brazil, and as a Swede I was really proud of the environmental campaign Keep Sweden Tidy. When you live in So Paulo, where its easy to see problems like garbage and poverty, then your commitment grows. But it wasnt like I woke up as a five-year-old and said I wanted to save the world. Rather, my genuine environmental commitment first came when I started studying at the Swedish University of Agricultural Sciences in Ultuna and began to understand the links between world food production, global environmental change and sustainable development. When there are too many environmental disasters and failed summits, how do you manage to keep fighting? I am inspired by my research colleagues. We have an incredible work environment here, with people who devote all their energy every day to research on sustainable solutions. We dont go around being depressed. Instead we focus on how we can carry this knowledge forward. Then its always inspiring to see the good examples found in sustainable management, for instance, trying to improve the situation for the the coral reefs or the status of cod in the Baltic Sea. Are you an environmental offender in any area? Were all environmental offenders. Its frustrating you wish you could be the perfect person, but

STOCKHOLM RESILIENCE CENTRE

The Stockholm Resilience Centre is an international crossdisciplinary research center where people conduct research on social-ecological systems, with humans and nature studied as an integrated whole. The aim is to gain new knowledge and tools that enable long-term sustainable production of ecosystem services and stronger resilience for humanwell-being.

We dont go around being depressed. We focus on how we can carry this knowledge forward.
its really hard in a modern society. We do as much as we can by having wind-powered electricity and geothermal heating. But we consume just like a typical Swedish family, we eat meat, we drive to the mall and I fly a lot in my job. So both in terms of consumption and transportation, my record isnt perfect either. You did the Vasaloppet (a Swedish cross-country ski race) in 1996 representing the African country of Niger. How did you prepare for that? I did roller skiing. I was studying for my PhD in Niger, and one morning I saw a car that had a Vasaloppet sticker on it. It turned out to be a Danish environmental worker who was also crazy about skiing. We became good friends, and we wrote a letter to Vasaloppets management saying that we wanted to race for Niger and asked if they could cover the cost of our participation. We promised that we would only train on roller skis in preparation for the race. There was also a hidden agenda. We wanted to make people aware of the challenges faced by regions with a water shortage. So I skied in a Niger Tuareg caftan and was interviewed on TV at each refreshment station.
SCA SHAPE 1 2013 17

HOW CAN WE CONTRIBUTE?

Take in new knowledge and share it with friends. An understanding of the global environmental risks and of the possibilities of adjusting to sustainable societies is all-important for rapid, positive change. Convert to renewable energy. Its easier today than you think. Change your transportation habits. Ride a bike and take mass transit. Make demands for better access to bike paths, trains and buses. Consumption try to buy organic.

ECONOMY

The goal is to establish six to 10 global brand platforms in hygiene products.

MORE GLOBAL BRANDS ON THE WAY

Today, SCA has two global brand platforms, but it aims to raise that number to between six and 10 in the future. Inaworld of increasingly similar needs, hygiene products can be developed towork in all markets.
text GRAN LIND photo GETTY IMAGES

The strategy is based on growth in existing markets and expansion into new markets in Asia, Latin America. In hygiene care, needs are very similar, Michalski says. People ask for basically the same things whether in Scandinavia or in China. But that does not mean that the brand name is the same everywhere. The same product can be sold under different trademarks in different markets.
THE POTENTIAL FOR growth is great in emerging markets. While needs are global, different regions have large differences in consumption. For example, sales of incontinence products in the Western world are 10 times higher per person than in emerging countries. The difference is about the same for baby diapers if you compare Asia with Western Europe and North America. Another factor in favor of SCAs own brands in emerging markets is that their market structure differs from that in the West. In Europe a large share is sold through the retailers own brands, while emerging markets in Asia are dominated by producer brands, Michalski says.

ENA FOR INCONTINENCE CARE and Tork

for Away From Home tissue products are long-established global brand platforms from SCA. But SCA aims to develop more brands to be sold worldwide, each with revenue of at least 1 billion euros. The goal is to establish six to 10 global brand platforms in hygiene products, says Christoph Michalski, president of SCAs Global Hygiene category. This includes both expansion of existing products and new products. One of the great benefits of global brand platforms is economies of scale, particularly in the research and development stage. Its all about being able to spread the costs over larger volumes and to roll out fast.

In hygiene care, needs are very similar.

Christoph Michalski, SCA

18 SCA SHAPE 1 2013

fait, bien fait. Vite Sil y avait une expression pour dcrire Lola ce serait celle-l. Une fonceuse efcace. Alors lorsquelle entend parler du nouveau truc qui vient de sortir, qui fait les choses bien et vite, elle nhsite pas une seconde, elle le prend, elle lessaie, vite fait, bien fait.

Nouvelle serviette Nana Dry Fast elle absorbe plus vite que jamais*.
*compare aux anciennes serviettes Nana ultra

SCA HYGIENE PRODUCTS S.A.S. au capital de 83 390 129 - RCS Bobigny 509 395 109

MARKET

Dirty dogs in South America can be cleaned with dog wet wipes from SCAs Familia brand.

Products pushing the boundaries

Knowing where to look for new growth is key to any business. Adjacent products that capitalize on a trusted brand can represent achance to reap hidden benets
text ANNA MCQUEEN photo SCA 20 SCA SHAPE 1 2013

In todays market, if you stand still you lose.

Mats Berencreutz, SCAs executive vice president for Hygiene Products

CCORDING TO A NEW STUDY in the Journal

of Consumer Research, consumers are more likely to buy products they have previously considered rather than items that they think might provide the greatest value. This is good news for companies seeking to capitalize on brand awareness to introduce adjacent lines to grow sales. In France, Peugeot started out making coffee mills and bicycles and went on to become Europes second-largest carmaker. Japans Yamaha began its life making pianos and now produces a range of musical instruments, electronics and motorcycles. In the US, Apple turned its personal computer business into a global consumer electronics giant. SCA has also been looking at ways to expand its offerings into new areas.

SPICY CARS. Peugeot and its pepper mill.

BRANDS ON THE MOVE

The TENA incontinence brand has been expanded. Besides skincare products, theres now a test for urinary tract infections that you place in the diaper. Another recent product is a wet glove, used in institutions for washing elderlypeople. The Tork brand of away-from-home products has grown from tissue products to encompass soaps and alcohol gels, air fresheners, bins and wet wipes. The Libero brand includes a full range of diaper products from premature baby size through to specic products for potty training, bedwetting and swimming. The brand also includes a wide range of nursing pads, wet wipes, baby oil and washing products, lotions and creams, changing mats and bibs. The Familia brand has extended from household tissue products to facial and body care, air freshener, antibacterial gels and deodorants, and wet wipes for dogs.

THIS IS SOMETHING we have been exploring over the last couple of years, seeking to utilize our existing strong brand assets to push the boundaries of our existing business, says Mats Berencreutz, SCAS executive vice president for Hygiene Products. Our aim is to be constantly assessing changing market needs and leveraging our brand platforms to meet them. The Libero brand in Scandinavia, Russia and some other markets has been extended to include a range of products to cover all baby needs such as wet wipes, wash creams and even

SCA SHAPE 1 2013 21

MARKET

Adjacent products are important because consumers are looking for bundled solutions.

Motorcycles and instruments in Yamahas world.

clothing. Its like a one-stop shop for parents, and it capitalizes on their trust and the emotional connection they have with the brand, Berencreutz says. Once you have that, you can use it to grow sales. Expanding the brand into different product areas is a natural step for SCA, says Kristoffer Wendelboe Jensen, regional marketing manager for Libero. The Libero brand has a very strong position in consumers minds regarding safety and quality, and these factors can be transferred to other products that will then share the same benefits, he says.
MOVING INTO adjacent products in no way detracts

from SCAs core business, Wendelboe Jensen says. It simply gives us a stronger image and gives us a more complete presence in the home, as well as putting us in a better position to ask for more in-store promotional opportunities and special displays. It underscores our commitment to our
22 SCA SHAPE 1 2013

customers children and makes peoples lives easier. In exchange, we enjoy their loyalty and enthusiasm. In Colombia, adjacent products are seen as providing an advantage with consumers. They dont see the world like a manufacturer does, says Cristina Arbelaez Bridge, marketing director for family care at Familia, a 50 percent joint venture with SCA. Adjacent products are important because consumers are looking for bundled solutions. When we can understand customer routines and offer complementary products to those routines, customers gain a better perception of the brand and they begin to generate new demand. Adjacent products make us stand out from the crowd and create profitable growth. At SCA, Berencreutz says, Our history has been all about using our strong relationship with and knowledge of our customers and consumers to strengthen our brands and diversify our growth. In todays market, if you stand still you lose.

Wet gloves and baby oil are part of SCAs range of products.

TECHNOLOGY

A lighter forest footprint

It might sound odd, but military technology could be the way to a more efcient and environmentally sound type of forestry. A caterpillar track improves access and has less impact on the forest oor.
text SUSANNA LINDGREN illustration BAE SYSTEMS photo GETTY IMAGES

HE SWEDISH FOREST industry has been working with defense equipment manufacturer BAE Systems on a fast, smoothrunning forwarder that runs on rubber caterpillar tracks. Caterpillar forwarders were tested in the 1950s, but they lost out to superior wheeled technology at the time. Wheeled forwarders are commonly used to clear felled logs off the ground. These machines can weigh as much as 40 tons, so their tires often leave deep depressions in the forest floor, especially in areas with low bearing capacity such as spruce forests. This limits access to logs, particularly during the wet seasons. As the industry is eager to solve this environmental problem, the tracked vehicle technique has attracted considerable interest in the Swedish forest industry. The track marks themselves arent a huge problem, as thats mainly cosmetic, says Magnus Bergman, chief technical officer at SCA. The problem is that the marks can cause an outflow of water that brings humus into the streams. With a rubber tracked vehicle, the ground impact is significantly lower as these vehicles drive on the surface and we would get access to the raw material all year round. The HFT (Hybrid Forestry Truck) forwarder employs the same tracked vehicle technique as the all-terrain vehicle BvS10 and combat vehicle CV90 built by BAE Systems and used by the peacekeeping forces in Afghanistan.
24 SCA SHAPE 1 2013

A doubled speed in the terrain compared with awheeled forwarder implies up to 20 percent higher productivity.

B
The HFT project is one of the biggest collaborations within the industry in the quest for a more efcient and environmentally soundforestry.

Another advantage with the rubber tracked vehicle is that vibrations and shocks from the uneven ground are eliminated in the track system, which makes it more comfortable for the drivers, and the vehicle can be made lighter, says CarlGustaf Lf, head of civilian vehicles at BAE Systems in Sweden. As the cabin also can be lower, this gives less of the pendulum effect, which today is a bit of a strain for the driver. The technology, specially designed for advanced military vehicles, is already in use in the civilian market with tracked vehicles for customers such as energy companies, which need remote access to maintain the electrical grids or explore for oil and gas. Three years ago we also took our hybrid electric drive to the civilian market, to give mining vehicles a more efficient drive line, Lf says. The result is a faster machine that consumes less fuel, which also will be very beneficial for this new type of forwarder.
ESIDES THE ADVANTAGE of lower fuel

consumption, using the military mobility technique on the forwarder would create a much faster machine. A forwarder normally travels at a speed of 5 kilometers per hour. A CV90 can make 70 kilometers per hour. A doubled speed in the terrain compared with a wheeled forwarder implies up to 20 percent higher productivity, says Lf. So far the tracked forwarder only exists virtually. 3-D models of the forwarder have been implemented into a virtual world where the design properties can be tested, verified and altered. In this virtual landscape the forwarder is maneuvered and tested on different terrains. Its not as exciting as a normal computer game, Lf says. Its more like a game for design engineers, as the environment is very mathematical and doesnt have any exciting graphics, but it is a perfect tool to verify important properties of the design early in the process and capture and alter potential design flaws. This means that we can come up with a very mature design before we start building, and we can be confident that we have a high degree of compliance from the beginning. The plan is to be able to start building the first prototype in 2013 and have it ready in early 2014.
SCA SHAPE 1 2013 25

88 YEARS OLD
for a day
text SARA BERGQVIST photo PONTUS JOHANSSON

BACK SPLINT WITH CONICAL SPIKES UNDER THE VEST Causes constant pain that is exacerbated by bending down

EARPLUGS AND EARMUFFS Substantially impaired hearing

DOUBLE ELBOW PADS Restrict mobility

Instantly Im almost blind and deaf, and the pain in my back makes my eyes water. For a few hours I get to experience double my 44 years. Shape journalist Sara Bergqvist gets a days foretaste of what its like to be old.

DOUBLE GLOVES Restrict mobility and make it difcult to grip things

HE GLOBAL POPULATION is aging rapidly. To increase understanding of elderly consumers needs, several SCA employees and customers have tried out an age suit, which quickly makes the wearer feel 30 to 40 years older. Now its my turn. Suddenly Im 20 kilograms heavier, burdened by weights and pads that restrict my movements and make me unsteady on my feet. Add a pair of glasses that simulate cataracts and some earplugs and earmuffs that make me nearly deaf, and Im ready to go out food shopping. Ill admit Im a bit nervous. Will I fall and break something? Or be run over by a car, as I can neither see nor hear and

SHOES WITH A ROUNDED SOLE Impair balance

26 SCA SHAPE 1 2013

MARKET
GLASSES WITH THE SAME EFFECT AS CATARACTS Substantially impairedvision

VEST WEIGHING 10KILOGRAMS Makes it difcult to move

age suit
Not shown: neck collar that impairs neck mobility

parts of the

The

WEIGHTS AROUND THE WRISTS Make it difcult tomove

am moving at a snails pace? The suit has an additional feature a back splint with conical spikes that dig into the back at the slightest movement. I break into a cold sweat and my eyes water when I try to bend down and put on my shoes. No, going shopping with the back splint is out of the question, so I take it off again. Being old for a day is tough enough. Being old and in pain is unbearable. The first problem arises immediately. How do you lock the door when you cant see? I grope to locate the keyhole and finally manage to find the right key for both locks. This is followed by the challenge of getting downstairs without falling. Phew, I manage that by carefully going down one foot at a time. Its lucky the stairs are not freshly scrubbed or I would probably have slipped.
OUTSIDE ITS FOGGY, thanks to the

KNEEPADS WITH DOUBLE FASTENINGS Restrict mobility

glasses. I feel lonely and shut into my own silent world. Shadowy figures suddenly materialize half a meter in front of my eyes and move aside. I wonder whether there is anyone I know nearby. How isolated you must feel as an elderly person. The first store I visit is new to me, creating some confusion. How can I find anything here? I can see the shelves but cant make out what is on them, apart from a bright Coca-Cola sign. With my stiff legs I make my way to the next store that is located nearer home ground and where

SCAS AGE SUIT

Many consumers of SCA products are much older than the average SCA employee. The age suit gives a unique opportunity for younger people to discover what old age feels like. The hope is that this will provide valuable knowledge as a background for product development, product design and packaging design. Externally, SCA uses the suit to enhance understanding of the needs of elderly consumers in customer segments such as retail, assisted living, hospitals and home help services.

WEIGHTS AROUND THE ANKLES Make it difcult to move

SCA SHAPE 1 2013 27

MARKET

Its difcult and it hurts when reaching for the products. And why is the text so small?

I can find my way around. Its not easy reaching the products on the shelves. The suit protests and feels heavy. I turn over a small round container with an orange label in the refrigerated display, which has aroused my curiosity. Why doesnt it say anything on it? I ask. It says Skagen shrimp salad, but the text is quite small, says the photographer.
MOST PACKAGES SEEM to present the same problem. In the meat aisle I fi nd one on which I can make out a picture of a cow, but I cant read the label. Steak perhaps? I can actually identify a few products: semi-skimmed milk, candy, soft drinks, snacks, toilet paper. My diet would probably not be the healthiest if I want to see what Im buying. Im starting to get tired. Its hard work looking for products you cant see and reaching for items on the top shelves. A chair
28 SCA SHAPE 1 2013

wouldnt be a bad idea. And a WC, as the age suit is squeezing my stomach. I join the checkout line. An elderly gentleman takes something off a shelf near the checkout, knocking down a whole pile of chocolate bars in the process. Silent sympathy. When its my turn to pay the next major problem arises the chip and PIN machine. My clumsy fi ngers try to insert my card. Can I enter my PIN now? I ask the checkout assistant, who kindly guides me through the whole process. All the same I still manage to enter the wrong PIN and have to start all over again. I wonder if the other people in line are getting impatient. Luckily I cant see their facial expressions. Outside the store, I tear off the earmuffs, earplugs and glasses to get home in one piece on my own. Im relieved to have halved my age again, but I now have considerably more understanding of what its like to be old.

of the population in developing countries is older than 65 years, rising to 25 percent by mid-century. By 2100, China, the US, Japan, India and Brazil will all have more than 1 million centenarians.

15%

WE LIVE LONGER
From the Stone Age up to the 19th century, average life expectancy was fairly constant at around 30 to 40 years, mainly due to high maternal and infant mortality rates. Since then, average life expectancy has doubled in most countries. Japan has the worlds highest average life expectancy: 86.5 years for women and 79.6 years for men.
SOURCES: U N I T E D NAT I O N S P O P U L AT I O N DIVISION 2009, S C B S TAT I S T I C S S W E D E N 2 0 1 2 .

www.sca-tork.com

Smarter handling saves time, money and improves ergonomics.

Choose the easy way to handle boxes and bags

Cleaning crews spend a lot of time carrying and handling boxes and bags. To make their job easier and free time for other tasks, Tork has developed Tork Easy Handling. Here are some of the smart solutions: &
Smart one-hand-grip you can lift and carry a box and still have one hand free, or carry two boxes at a time. &
Quick opening no tools are needed to open our packs. &
Easy disposal carry away up to ten attened boxes at a time. Tork Easy Handling the easy way to improve your business. Talk to your distributor or read more at www.sca-tork.com.

SHAPE UP

Check out whats happening outside SCA.

A skiers fantasy
THE MOUNTAIN HILL CABIN, created by

Norwegian architectural studio Fantastic Norway, is the answer to a skiers fantasy. The private timber lodge is being built in a restricted area in a remote mountain landscape that can only be reached on skis during the winter. The cabin is designed as a landscape element that leads wind and snow around and over the building. The angles of the roof are set at 23 degrees, which enables the residents to go skiing and sledge riding on top of the cabin. The cabin is to be erected during summer 2013.
X

www.fantasticnorway.no

The lack of privacy and the necessary infrastructure for cleaning and washing, the fear of staining and smelling, and the lack of hygiene in school toilets are major reasons for being absent from school during menstruation, and have a negative impact on girls right to education. Catarina De Albuquerque, UN Special Rapporteur, in the report Menstrual Hygiene Matters

Recycled cycling
AN ISRAELI AMATEUR cycling enthusiast and

expert in designing automated mass-production lines has created a cardboard bicycle. The bike weighs 10 kilograms but can carry a200-kilogram rider. Its mostly made of cardboard and recycled materials that have been treated with a waterproof coating. Whats more, it is designed to be manufactured at a cost of less than SEK 100 (EUR 12), making it not only one of the most sustainable bikes you could imagine but also one of the cheapest. The designer, Izhar Gafni, was initially told that his idea was impossible, but he was convinced that paper could be strong if treated properly.

30 SCA SHAPE 1 2013

A perfect pot
ARE YOU BUYING new pots for

Fewer pests mean more food for local farmers and their families in Kenya.

your seedlings every year? Making pots for seedlings is a great way to recycle newspaper and save money gardening. At the Internet site ehow.com you can nd detailed instructions on how to fold newspaper into a sturdy pot. To transplant the seedlings into the garden, simply cut the bottom of the pot and put the whole thing in the ground. Keeping the seedling in the pot helps protect the roots during transplanting, and the newspaper will decompose in the garden.

SCENTS SCARE OFF PESTS

A SPECIAL TECHNIQUE that dis-

courages harmful insects and weeds has been developed by researchers in Kenya. It involves using scents to direct insects and weeds to assigned locations. The point is to use plants whose scents scare off harmful insects instead of using insecticides. The method has been developed at the International Centre for Insect Physiology and Ecology (ICIPE) in Mbita, Kenya.

GETTY IMAGES

THE MAN FLU FOR REAL

WHAT WE ALL THOUGHT was a myth has

now been proven true: men feel more ill than women. According to scientists at the University of Cambridge, this is because the amount of hormones in humans decides how we perceive pain and the u. For men, testosterone production starts fading when the body temperature rises to 37.7 Celsius (100 F), which makes men feel ill. The levels of the female hormone estrogen dont start getting low until 39.6 C (103 F).

meters
...is the height of worlds rst modern wind turbine made of wood, in Hanover, Germany. X www.timbertower.de

SCA SHAPE 1 2013 31

with Ulrika Libander

Laboratory engineer Ulrika Libander tests incontinence products at an early phase a task that requires hands-on work, solid analysis and a lot of patience.
text SARA BERGQVIST photo SVANTE RNBERG

Follow an SCA employee during a day at work

The working day begins with reading e-mail. Ulrika is waiting for a delivery so her group can start a new project, but nothing has arrived yet. She checks that she has booked the necessary testing equipment.

WHEN ULRIKA LIBANDER was 16 years old she got to do a work-experience program with her father at pharmaceutical company AstraZeneca, and thats when she made up her mind: she was going to work in a laboratory someday. And now she does. Shes been at SCA for 16 years now, 14 years in research and development and the past 2 years at the incontinence products laboratory. What I like the most about it is the variety, Ulrika says. I like combining practical and theoretical work, both in a team and on my own. The best thing is when you have a theory, you test it, and your analyses confi rm it.

Ulrika leaves the house with her younger daughter, Maja, whom she drops off at daycare. Then she continues her drive to SCA. Picture 1

Quick coffee break and runthrough with coworkers.

Preliminary tests of a new method in the test-dummy laboratory. Picture 2

Lunch. Ulrika always starts her lunch hour by calling her 90-year-old grandmother, who lives on her own 600 kilometers away. Picture 3

7 am
32 SCA SHAPE 1 2013

7:40 am

8 am

8:15 -11 am

11 am

12 HOURS

I think you have to be a bit of a nerd to enjoy this kind of thing.

ULRIKA LIBANDER
title: Laboratory engineer atSCAs Incontinence Lab. Age: 43 Lives: Sr, outside Gothenburg. Family: Husband Patrik and daughters Hanna, 11, and Maja, 8. Interests: Exercise, cooking, opera, boating, family and home. Lives on a farm with hens, sings in SCAs choir Fabrikren. Favorite food: Thai. Hidden talent: Has danced ballet for many years.

Most of the time she tests products at an early phase. Sometimes theyre completely new products, and other times theyre changes to an existing one. For example, if they want to change one material in a product to a less expensive one, we first have to test that the quality remains the same, she explains.
MOST OF THE TESTS are about product function,

but at the moment shes conducting expanded tests of a method for open incontinence products. Soon well see if the method also works for our incontinence pants, a type of underwear.

Ulrika and her colleagues work with around 60 different testing methods to determine the products absorbency, absorption rate, adhesive properties and much more. Prior to each test, they also need to check that the fluid has the right qualities, calibrate the measuring equipment and adapt the software. I think you have to be a bit of a nerd to enjoy this kind of thing, Ulrika says with a grin. I even take my work home with me to some extent whenever Im abroad I always have to look and see what kind of hygiene products they have that correspond to ours at SCA.

Lunch ends with coffee in the department with her colleagues Emma Lundstrm Urea and Linda Fransson. Another colleague stops by to tell Ulrika that the delivery shes been waiting for has arrived.

Ulrika does two more types of tests in the drop-in lab. Ulrikas nearest manager, Brita Jungenfelt, drops by to discuss questions about chemicals shes received from the lab in Shanghai.

Ulrika unpacks the new products that have just arrived. Before tomorrows tests they need to be placed in the lab to adapt to its temperature and humidity levels.

Report writing and analysiswork.

Home again after stopping off for groceries on the way. Looks in on the kids, checks homework and readies things for the following day. Later in the evening she heads off to the gym for a workout.

11:30 am

11:40-2:40 pm

2:40-3:40 pm

3:40-5 pm

6 pm
SCA SHAPE 1 2013 33

FACTS
VOLVO OPEN 70 (TRAINING) VOLVO ONE DESIGN

Waterline length: Mast height: Number of sails: Mainsail area: Weight: Draught:

70 ft (21.5 m) 31.5 m 10 175 m2 14-14.5 tons 4.5 m

19.8 m 30.3 m 7 151 m2 11.6 tons 4.7 m

Keel system (both yachts): A swing keel can be angled 40 degrees to starboard or port to reduce the leeway. Two centerboards can be lowered through the hull, making it possible to tack closer to the wind. This is retained in the new design.

TRAINING
The Puma, a 70-foot yacht that came in third in the last Volvo Ocean Race, has been bought and rebranded for SCAs crew until the delivery of its own racing yacht. Training on such a large yacht will have its advantages for the all-female Team SCA.
text ANNA GULLERS photo SCA 34 SCA SHAPE 1 2013

with

VOLVO OCEAN RACE

a twist

HEN WINTER WINDS were at their most biting in December, SCA purchased a training yacht for the all-woman crew, Team SCA, which is set to compete in the Volvo Ocean Race. The training yacht is the Puma, the Volvo Open 70 that finished third in the Volvo Ocean Race last July. The Puma has undergone a facelift in the UK to rebrand it with SCAs logos and a new design. At 70 feet, the Puma is both larger and heavier than the yacht the team will use to compete in the race starting in autumn 2014. Its usual for racing crews to buy a training yacht that they start test-sailing early on, says Killian Bushe, a technical consultant to Team SCA. In the next edition of the Volvo Ocean Race, all the teams will be sailing the same yacht class, a Volvo One Design. The yachts are exact copies of one another, and all the fittings are identical. The crew on board will make all the difference in the race. The new yacht class currently under construction is smaller at 65 feet (19.8 meters), making it possible for an allfemale crew to compete. But its an advantage for the women to train on a 70-footer, as the racing yacht will feel considerably easier to handle, Bushe says. The 65-footer was designed by USAbased Farr Yacht Design and is being built by a consortium of boat builders in the UK, France, Italy and Switzerland. SCAs yacht is expected to be ready for delivery in August or September. While the new yachts are under construction, trials are in progress to select 11 elite yachtswomen to form Team SCA. We hope to have the first group of yachtswomen ready toward March-April 2013 and most of the crew in place in the summer, says Richard Brisius, CEO for Team SCA.

SCA SHAPE 1 2013 35

OUTLOOK

I want to dress a Coca-Cola the Gaultier way.

The phone wears Prada

Companies from different industries collaborate with famous designers to enhance the value of their brands and appeal tonew consumers.
text JONAS REHNBERG illustration TEAM HAWAII

Jean Paul Gaultier, at the launch of his first bottle design.

MBRACE A GAULTIER-DESIGNED

corset by having a Coke. Enjoy the texture of a Porsche surface by touching your computers external hard drive. Or wear Prada simply by picking up your cellphone. All of this, and more, is possible in the era of cross-branding, when large companies seek new ways of boosting the brand and reaching new consumer groups by teaming up with leading designers. Style and design are becoming increasingly important in an age when personal branding ranks high on the agenda of consumers, particularly in the worlds growth markets, where the spending power of the middle classes has skyrocketed. And designer collaborations

Coca-Cola Gaultier-style.

arent confi ned to products but extend to services such as hotel stays as well. Italys Missoni has designed several hotels, and when Giorgio Armani, perhaps the countrys best-known designer, unveiled his intention to collaborate with the Emaar Hotel & Resorts, he underlined the pervasiveness of fashion. Today, more than ever before, fashion has expanded to encompass our way of life, not just how we dress, but where we live, which restaurants we eat at, which car we drive, where we go on holiday and which hotels we stay in, Armani said. This continues our ongoing strategy of building the Armani universe into a comprehensive lifestyle brand. Another prestigious name that has
SCA SHAPE 1 2013 37

OUTLOOK

Lindex Missoni collection.

lent its air to a host of different products is Porsche, where Ferdinand Alexander Porsche, the grandson of the founder, has designed not just mens watches and eyewear but also external hard drives for LaCie, cellphones for BlackBerry and even trams for the city of Vienna. Highprofile fashion name Prada collaborates with South Koreas LG on designing cellphones, and the worlds leading fairytale factory Disney asked shoe designer Christian Louboutin to come up with a Cinderella shoe that would appeal to the Sex and the City generation when relaunching the classic tale on DVD. I have been so lucky to have crossed paths with Cinderella, an icon who is so emblematic to the shoe world as well as the dream world, Louboutin says. For obvious reasons, the apparel industry is the one field where designer collaborations come naturally. Leading
38 SCA SHAPE 1 2013

clothes retailer H&M has cooperated with top names in haute couture, from Karl Lagerfeld to Stella McCartney. These highly publicized collaborations have firmly secured H&M a position among the 25 most valuable brands on the 2012 Interbrand List of Global Brands, far ahead of other retail chains and even ahead of names like Nike and American Express.

Lindex, with more than 460 stores in Europe and the Middle East, launched the fruits of a collaboration with Italian design house Missoni in September last year, the impact was phenomenal, according to marketing director Johan Hallin. Sales exceeded our wildest expectations, he says. The lines of shoppers queuing up were long even in smaller cities, and

HEN FASHION RETAILER

Sales exceeded our wildest expectations.

Johan Hallin, marketing director Lindex.

FEATURE

SCA

DESIGNED DIAPERS
SCA HAS DEVELOPED several spring

H&M and Maison Martin Margiela.

Prada calling.

Christian Louboutins Cinderella shoe.

collections for its Libero baby products, each based on a unique theme that is used in marketing campaigns, packaging and diaper prints. Many collections were inspired by the fashion industry, with promotional material showing happy kids stumbling around on catwalks. In 2010, Libero developed a football collection as a tie-in to the FIFA World Cup in South Africa. The purpose was to highlight the importance of promoting physical activity in developing childrens motor skills. These commercials have received abig following on YouTube. The spring collections have been extremely successful in boosting brand recognition, says Kristoffer Wendelboe Jensen, regional marketing manager for Libero Nordic at SCA. The spring of 2013 will not feature a special collection, since the entire Libero line is undergoing a redesign by renowned SCA designer KarolineLenhult. Other collections: 2011: Libero Action (YouTube search: Libero climbing baby) and Dance Collection. 2012: Art Edition and Love collection (YouTube search: Libero spring collection).

our servers nearly broke down from the massive traffic to our online shop. Sales in the third quarter of 2012 increased by 11 percent compared with the same quarter a year earlier. Lindex markets womens clothing and chose to partner with the house of Missoni in part because it has women in leading positions. The two partners agreed to donate 10 percent of the proceeds from sales of the Missoni line to breast cancer research. We wanted our collaboration to result in something worthwhile; its all about doing good together, Hallin says.

ESIDES POSSIBLE goodwill effects and commission fees, whats in it for haute couture designers who decide to cooperate with massmarket outlets? At Missoni, says creative director

Angela Missoni, The collaboration offered us a unique opportunity to offer all women affordable design and at the same time help spread information about breast cancer. When Americas second-largest discount retailer Target entered into a collaboration on womens wear with avant-garde designer Isaac Mizrahi, some speculated it would erode the value of his own brand. In helping the giant retailer become a hip style destination, Mizrahi was seen as taking a big professional risk by moving from highend design to cheap chic for the mass consumer. But as he told the Wall Street Journal, Youre not selling out, youre reaching out. The collaboration later expanded into housewares, accessories and bedding, and it has proved to be a massive success for both brands.

2013: The new Libero fairy-tale collection features different landscapes.

SCA SHAPE 1 2013 39

SCA INSIDE
SOUTH POLE

News from Internal news SCA from SCA

START

East Antarctica

This extreme and dark journey started on March 21 and will cover a distance of 2,000 miles at temperatures as low as -90C.

West Antarctica

FINISH

Cold journey

for Tork
achieve the first-ever winter crossing of the Antarctic. A winter crossing of the Arctic was recently completed by a Norwegian team, which means that the Antarctic winter crossing is the last major polar challenge remaining. A key goal of The Coldest Journey team is to raise USD10 million for Seeing is Believing, a global initiative to tackle avoidable blindness in developing countries.
The expedition is headed up by Sir Ranulph Fiennes and will be subject of a documentary.

A team making an attempt to cross Antarctica during the winter is taking Tork products along with them.

HE COLDEST JOURNEY expedition will,

besides earning a place in the Guinness World Records, help to gather valuable data from Antarctica, and the venture will also raise millions of pounds for charity. The team is taking supplies of Tork Liquid Soap and Tork Premium Hand Sanitizer Alcohol Gel plus dispensers along with 180 rolls of Tork conventional toilet paper on the six-month trek. The journey started on March 21, 2013, and will cover a distance of 2,000 miles. Most of this will be in complete darkness and at temperatures potentially as low as 90C (130F). The main objective of the expedition is to

Read more: X www.thecoldestjourney.org/ X www.seeingisbelieving.org.uk/ X www.tork.co.uk

40 SCA SHAPE 1 2013

FEATURE

Photos SCA, ISTOCKPHOTO

Agreement on wind power

SCA HAS SIGNED an agreement with energy

company E.ON, through which the two companies will cooperate on a number of wind power projects. The agreement covers approximately 270 wind power stations and a total energy production of more than 2TWh annually. The project is expected to be in operation by 2017.

Tempo toilet paper to Hong Kong

TEMPO HAS BEEN performing extremely well

The solar collection tubes help Patras Mill in Greece to save energy and money.

Solars shining example

AN UNEXPECTED BENEFIT of SCAs

2012 acquisition of new mills: innovation reaching down from the rooftops. At the Patras Mill in Greece, a row of solar collection tubes on the roof of the mill gathers energy from the warm Grecian sun to do triple duty. First, the rooftop row of collectors helps to heat water destined for the plants boiler feed tank, increasing the waters temperature from an average of 15 degrees C to nearly 29 degrees C. This water-heating boost reduces costs compared to the previous method of pre-heating water with liqueed petroleum gas (LPG). It also reduces the energy intensity

of tissue produced at Patras by 1.5percent. In addition, as an added benet, the solar water heating system at Patras provides hot water for the employees cafeteria as well as for personnel showers. We previously pre-heated water for the boiler with LPG, which is very expensive in Greece, said Patras environmental and safety manager Betty Peppas. Most of the energy consumption at the mill is from the main paper machine, so pre-heating the water helps save energy and money. The payback for this project was less than one year, and we are very happy with the results.

over the past years in Hong Kong since SCA acquired the brand from P&G in 2007. It has achieved more than a 70 percent market share for handkerchiefs and also became the No.1 box facial brand. Now it is time to move into the next tissue category in Hong Kong, and we are very excited to see another success with the launch of Tempo Toipa that started from September 2012, says Stephan Dyckerhoff, president SCA Hygiene North Asia. Tempo toilet paper is made from imported German tissue paper converted in China, using a special new-to-the-market three-layer technology where Tempos renowned leaf embossing pattern rmly holds together two outer soft layers and an inner strong layer.

SCA SHAPE 1 2013 41

SCA INSIDE

New office in Mumbai

FOLLOWING THE REGISTRATION of

Marita Sander (left), SCAs communication director for sustainability, with Ingalill Ostman of SKF.

Award for best sustainability report

WELL-BALANCED, transparent and future-oriented sustainable report. That was the citation when SCA was awarded Best Sustainable Report 2011 by FAR, the professional institute for authorized public accountants in Sweden. The annual event took place in Stockholm in December 2012. SCAs report clearly communicates SCAs work with sustainability and it contains both innovative solutions and shows a high conscience about the surrounding world and the effect SCA makes, says se Bcklund, president of FARs workgroup for sustainable development.

SCA Hygiene Products India Pvt. Ltd. in May 2012, SCA now also has a physical presence in one of the fasted-growing markets in the world. The new ofce in Mumbai was inaugurated in December in a traditional Hindu ceremony. India provides SCA with very interesting business opportunities, says Thomas Wulkan, president for MEIA (SCAs business unit for the Middle East, India and Africa). Setting up an ofce in Mumbai brings us closer to our customers and consumers in India and helps us to even better understand their needs and to adapt our offerings accordingly. The Hindu

Pooja* ceremony has lled us with a lot of good energy and helps us tackle the exciting challenge of increasing our presence on the growing Indian market.

*During the inauguration a prayer ceremony, called Pooja, was performed by a Pandit (priest) to bring good luck to the business.

India provides SCA with very interesting business opportunities.

Thomas Wulkan, president for MEIA

High scores for foam party

THE FOAM PARTY CAMPAIGN for

SCAs report shows a high conscience about the surrounding world.

se Bcklund, FAR

Tempos facial tissue Icy Menthol has won several Kam Fan awards, one of the most prestigious creative awards in Hong Kong. Besides a series of Facebook sites for the launch, the campaign included a TV ad followed by a viral video. See the video on YouTube: Tempo Icy Menthol

The awards in Kam Fan: Silver. Best TV Campaign, household products Silver. Best integrated campaign Silver. Highest-scoring TV campaign (no gold, so top award) Silver. Highest-scoring Integrated Campaign (no gold, so top award).

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Booming e-commerce
in South Africa
TENA WEB SHOPS

In South Africa, incontinence products are not easily accessible, and they are also difcult to distribute. This means opportunities for TENA, SCAs brand for incontinence care.
text SUSANNA LINDGREN photo GETTY IMAGES

E-COMMERCE IS BOOMING in South

Africa, growing at a rate of 30 percent a year, mainly in consumer products. In November 2012 TENA launched its latest web shop in South Africa, where incontinence is still a taboo topic. E-commerce enables discreet shopping, says Carolina Liljendal, eBusiness manager at SCA. Visiting our web shop makes it possible to privately check out our full range of products in peace and quiet, which is very important for many of our consumers. Its essential to realize that e-commerce is an important sales channel in itself today, and not just a complement. The lack of a state reimbursement system means that individuals are responsible for their healthcare-related spending. Incontinence is a fairly new category in the South African retail market, and products are not easy accessible or well distributed in the country.

We are seeing great interest from consumers who are purchasing for their relatives living in long-term care facilities and very often in different provinces, says Jana Joeaas, commercial director in South Africa.
SOUTH AFRICA has very few geographically consolidated retirement regions where people move when they reach retirement age. TENAs web shop gives people access to discreet shopping and convenient delivery so they dont have to travel vast distances. As few people in South Africa have access to a home computer, most electronic communication is done via smartphones, including shopping. Social networks offer one channel for promoting the web shop, but equally important are traditional brochures handed out by local doctors, giving step-by-step instructions on how to order online.

TENA currently has 14 web shops targeted to consumers in Europe and Africa. The concept is the same regardless of location. By lling out a short questionnaire, consumers receive suggestions for the products most suitable to their needs. Their purchases will be shipped in anonymous brown boxes. The UK and Finland are so far the biggest markets for the TENA web shops. But e-business is expanding, and European sales are expected to grow by 25 percent a year. Usage of mobile devices is increasing, and this is a trend that TENA is also experiencing. To meet this need TENA will launch a responsive site this year. Responsive web design is crafted to provide an optimal viewing experience across a wide range of devices such as PC, tablets and mobile phones.

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