Henry Schein 2013 Annual Report Download - page 5

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HENRY SCHEIN 2013
We also were gratified to be recognized for the positive
difference we are making in the communities we serve
around the world. In 2013 and 2014, Henry Schein was
once again included in FORTUNE’s list of the World’s
Most Admired Companies, ranking first in our industry
for social responsibility and numerous other categories.
This year marks the 13th consecutive year that
Henry Schein has been named to this prestigious list. For
three consecutive years, Henry Schein has been included
in the Ethisphere® Institute’s list of the World’s Most
Ethical Companies for exemplary ethical leadership,
worldwide business standards and commitment to
corporate social responsibility. And Henry Schein was
featured in a Harvard Business School Case Study, which
focused on the Company’s path to becoming a values-
driven, highly successful global health care company.
At Henry Schein, we believe that our model of “doing
well by doing good” is not only the “right thing to do,”
but is also a powerful driver of
organizational success and
creating shareholder value.
Henry Schein Cares, our
global corporate social
responsibility program,
helped advance access
to care around the
world by focusing on
wellness, prevention,
treatment, and education;
emergency preparedness
and relief; and building health
care capacity. This is our “higher
ambition” as a company, which was
demonstrated in 2013 through numerous programs:
American Dental Association’s Give Kids A Smile; Henry’s
Angels; Healthy Lifestyles, Healthy Communities; Back
To School; Holiday Cheer for Children; Henry Schein Think
Pink, Practice Pink; New York University College of
Dentistry/Henry Schein Cares Global Dental Student
Outreach Program; Alliance for Oral Health Across Borders;
Global Product Donation Program; and supplies and
financial aid following several devastating events,
including Hurricane Sandy on the U.S.
East Coast, the tornadoes in
Oklahoma and the typhoon in
the Philippines.
Our commitment to
balancing the needs of
our five constituencies —
supplier partners, our
customers, Team Schein,
investors and society—
remains central to our
success. More than 16,000 Team
Schein Members in 26 countries
share a collective commitment to drive the business
success of our customers, which continues to fuel the
financial success of our Company. This is an important
reason why I am confident that Henry Schein’s best years
are yet to come. On behalf of our Board of Directors and
my Team Schein colleagues, thank you for your continued
support and for continuing to “Rely on Us.”
Sincerely,
Stanley M. Bergman
Chairman of the Board and
Chief Executive Officer
March 2014
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On the animal health side, Henry Schein is the leading
distributor to veterinarians in the United States and
Australia/New Zealand, as well as the only Pan-
European animal health distributor. In 2013, we
announced an agreement to acquire an approximate
80% interest in Medivet, a leading
distributor of animal health
products and services in
Poland. With Medivet,
our global animal
health business has
operations in 12
European countries
and a strategic base for
further expansion into
Eastern Europe. During
2013, we underscored
the growing strength of
Henry Schein in the animal health category by rebranding
our U.S.-based business to Henry Schein Animal Health.
In the medical market, we continue to see a consolidation
of physician practices into larger group practices, and
we have been successful in serving the requirements
of this evolving customer segment. Much of our
sales growth in 2013 was attributable to
strengthening relationships with integrated
delivery networks and other large health
care services groups that are evolving
to provide more economical services
to effectively serve a growing number
of covered lives. With standards that
are evolving in a new health care
economy, we act as an integrated
solutions network for our customers —
continuing to offer new business solutions
that promote wellness, enhance primary care
delivery for better clinical outcomes and allow
our customers’ to operate more efficient practices.
Supporting these three global business units is our
Technology and Value-Added Services group, which
has invested in expanding our offering of innovative
practice management solutions and financial products
and services that help our customers reduce costs and
improve profitability. Recent examples of our innovation
driving efficiency in our customers’ practices include
enhancements to our practice-to-lab Digital Dental
Exchange (DDX), integrated supply chain management
between our Animal Health Practice Solutions and
Intelligent Inventory, as well as enhancements to our
Exan software, which serves more than 85% of dental
schools in North America.
Our goal is to have our customers and supplier partners
“Rely on Us.” We strive to be a trusted advisor to our
customers—a provider of solutions that are
distinguished by the widest possible selection of
products and value-added services; by providing expert
advice that reflects a global perspective and an
appreciation of local market differences; and by
maintaining long-term commitment for support. We
help our customers operate more efficient and profitable
practices so they can focus on providing the best possible
patient care. Similarly, for our supplier partners,
Henry Schein represents expanded markets
for their products; strong partnership with
a single organization; proven success in
understanding and communicating
valuable product attributes; and the
ability to help grow market share.
In 2013, we were pleased to climb to
number 296 on the FORTUNE® 500
ranking of the largest U.S. corporations
as measured by sales, and to again be
selected as a component of the NASDAQ®-
100, a globally recognized index that ranks the
top 100 NASDAQ® Stock Market non-financial stocks
by market capitalization.
A MESSAGE FROM THE CHAIRMAN OF THE BOARD
AND CHIEF EXECUTIVE OFFICER
A MESSAGE FROM THE CHAIRMAN OF THE BOARD
AND CHIEF EXECUTIVE OFFICER
#296
FORTUNE® 500
RANKING OF THE
LARGEST U.S. CORPORATIONS
10 0
MEMBER
NASDAQ®
Forward looking statements made in this report are subject to the reservations specified in the
Safe Harbor statement noted in the Company’s 10-K filing