VINCI - 2008 annual report

12
GROUP VINCI __ 2008 ANNUAL REPORT
Europe remains our main geographical
target. However, we are also seeking to expand
in the Middle East and North America as an
extension to significant contracts won recently
in these two regions. We may also seek growth
in countries where subsidiaries operating in
technological niches have established a foothold.
This applies particularly to the international
networks of Solétanche Bachy and Freyssinet,
now merged within a new VINCI Construction
division for specialised civil engineering.
BUOYANT MARKETS FOR THE LONG TERM
The underlying trends in our markets are urban
development, growing awareness of mobility
issues and growing needs for energy infrastructure.
These three trends will combine to
open up business opportunities over the long
term. About 5 billion people will be living in
cities in 2030, which will generate huge needs
for public facilities, housing, special purpose
buildings, transport infrastructure, power networks,
communication networks, water supply
networks, wastewater collection systems, etc.
These needs will arise in emerging economies,
where there will be a plethora of new projects,
and in developed economies that have to
modernise their facilities and infrastructure
in order to remain globally competitive. The
economic stimulus packages, programmes to
fight climate change and eco-efficiency policies
of governments around the world will also
fuel the flow of projects.
In addition, several factors will combine to accelerate
the development of public-private partnerships
(PPPs) with private operators capable
of assuming every aspect of a project, including
financing, engineering, design, construction
and operation. Those factors are the urgency of
projects, their increasing complexity, the need
for financing and for a life-cycle approach, and
the “user pays” culture.
Our business mix and strategic model are fully
in step with these underlying trends, which will
generate growth over the long term.
Taylor Woodrow Construction, now a subsidiary of
VINCI Construction UK, has three business activities:
building, infrastructure and facilities management.
CONSOLIDATING OUR MANAGEMENT
MODEL
Our management model is as important as our
business model to our Group’s performance.
Founded on a decentralised organisation and
the principles of independence, responsibility
and trust, this model boosts the performance
of each profit centre, located close to its market
and customers. It also makes best use of each
employee’s potential within the scope of clearly
defined guidelines, the most important of which
is transparency. Encouraging individual initiative
goes hand in hand with networking teams and
skills, promoting cross-business activities and
adopting a project approach.
This management model, which is the cultural
pillar common to all our diverse activities and
geographical locations, guarantees the unity of
our Group. We will use the upcoming period of
slower growth to consolidate this pillar by optimising
the performance of our organisation and
production tools, and by investing in our human
resources to develop their management and
other skills.
By acquiring Vossloh Infrastructure Services, now
known as ETF-Eurovia Travaux Ferroviaires, VINCI
moved into the specialist segment of laying rail
tracks and installing overhead lines.
Entrepose Contracting is a major player in the world
market for oil and gas infrastructure.
VINCI is seeking to expand in the Middle East
by piggy-backing on significant contracts such as
the Wadi Dayqah dam in Oman.