Graco 2012 Annual Report Download - page 5

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3
We announced the expansion of Project Renewal, a major
sequential step to drive the Growth Game Plan into action
with ve new cost work streams, including Organization
Simplication, EMEA Transformation, Best Cost Finance, Best
Cost Back Oce and Global Supply Chain. By mid-2015, we
expect the expansion of Project Renewal to generate an additional
$180 million to $225 million in cumulative annualized savings.
These savings will be redeployed into programs to strengthen
brand-building and selling capabilities in our Win Bigger
businesses and geographies.
DRIVING THE GROWTH GAME PLAN
INTO ACTION
With solid momentum and our increasing condence across
much of the portfolio, in late 2012 we announced a major initiative
designed to accelerate the pace of transformation and more boldly
drive the Growth Game Plan into action. The centerpiece of this
announcement was a change in our operating model that aligned
our structure with our strategy while also reducing the complex-
ity of our organization. We reorganized the Company around the
rst two pillars of the Growth Game Plan: our brand and category
development activities (Development); and our market execution
activities (Delivery).
The realignment resulted in the consolidation of our nine global
business units into six business segments and the elimination
of the Consumer and Professional groups. This big simplica-
tion step not only heightens visibility into the business, but will
strengthen the quality and impact of our big brand ideas and
enable resources to be allocated against the ideas and businesses
with the greatest right to win — ensuring Newell Rubbermaid is
nimble and responsive in what is a dynamic marketplace.
Coincident with these changes, we strengthened our executive
leadership team with key new appointments from both within and
outside the Company. Every member of this newly assembled team
is a recognized leader in her or his respective eld, and they signi-
cantly strengthen the four key functional capabilities of Customer
Development, Supply Chain, Design and R&D, and Marketing.
Combined, the new Newell Rubbermaid executive team brings
decades of experience to our shared vision of building a better
company, and we began 2013 with this team in place, running at
full speed.
BUILDING CONFIDENCE AND OPTIMISM
I see more potential in our business today than I ever imagined
upon joining Newell Rubbermaid in 2011. Our condence is build-
ing across the business, and we have a growing sense of clarity
that we can accelerate performance by driving the Growth Game
Plan into action. I could not be more condent in our ability to
achieve our ambition to build Newell Rubbermaid into a larger,
faster-growing, more global, more protable company. The oppor-
tunity to unlock our upside is energizing for me and my team and
a compelling opportunity for our shareholders.
On behalf of all my colleagues at Newell Rubbermaid, thank you
for your support throughout 2012.
Best,
Michael B. Polk
President and Chief Executive Ocer
Our executive leadership team is led by Chief Development Ocer Mark Tarchetti
(right), leader of our Development pillar; Chief Operating Ocer Bill Burke (center),
who heads our Delivery pillar; and Chief Financial Ocer Doug Martin.