Company profile Our value chain Our core business is the development, manufacture and distribution of functional fittings for the furniture industry. Ultimately, we want to make end consumer’s lives easier and more comfortable by supplying opening and closing solutions for pull-outs, lift systems and doors as well as associated motion technologies. However, the process of getting a hinge, lift system or roller runner finally installed in a kitchen, living room or bathroom is a complex one involving several stages. For us, it is vital that we keep the entire value chain in mind – from the procurement of the raw materials right through to the assembly of the finished product. We firmly believe that Blum products and services should benefit everyone involved at each stage of the value chain. For end consumers of the furniture products, this means that their furniture not only looks great but is also highly functional. For cabinet makers, it means that units are easy and convenient to assemble. For salespeople it means that they always have convincing selling points to hand, and for furniture manufacturers it means access to innovative product systems and efficient manufacturing processes. Our aim at every stage is to minimise any negative impacts of our business activities and create long-term added value, be that financial, environmental or social. It is a commitment that we uphold throughout our value chain, a simplified diagram of which can be seen below: The process up to the point when a product is finally installed in the end consumer’s home can be divided into several stages. The first is the procurement process, which involves sourcing all the necessary resources, raw materials, semi-finished components, auxiliary materials and supplies (more information in ‘Responsible purchasing’ chapter). This is followed by the production process, which includes both the manufacturing of individual product components and the assembly of those components to produce the finished product. Once complete, the products are put into storage, at which point efficient logistics and warehouse management come into play, including the provision and management of the relevant infrastructure. Finally, the products enter the distribution process, where they are delivered to our direct customers, retail partners and industrial manufacturers using the most efficient – and environmentally friendly – means possible. At all stages, we seek to put our customer’s specific requirements centre stage, e.g. with respect to the product design, the manufacturing possibilities and the range of products (and product variants) that we offer. We also take into account the requirements of the end consumers who will use the furniture during the use phase and whose lives we ultimately want to make easier and more comfortable. At the end of its product life, the furniture is ultimately disposed of – ideally using a professional recycling service. ➔ GRI 2-6 Resources Blum Direct customers Indirect customers Use phase End of product life Procurement process Production process Distribution process – Raw materials – Energy – Semi-finished components – Operating materials and supplies – Component manufacturing – Assembly – Warehouse management – Distribution – Industrial manufacturers – Distributors – Cabinet makers – Furniture users – End of product life 11
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