Logitech 2014 Annual Report Download - page 13

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Focus on Driving Growth
Focus on Profit Maximization
been tapping into. We also successfully introduced new products in our Unified
Communications (UC) product line, designed for enterprise communications. In particular, the
ConferenceCam CC3000e is driving growth in this category.
Focus on Return to Profitability
Our goal for our LifeSize and Remote Controls businesses in FY 2014 was to return them to
operating profitability by the end of the year – and we delivered.
Building the Logitech of Tomorrow
Our Vision for Logitech is to become a powerful innovator and, in fact, a Design company. In
this context “Design” is not just color or shape. That is “design” with a small “d.” “Design” with a
big “D” is about using the integration of leading-edge technology, innovation, and consumer
insights to create amazing experiences. We believe we can use Design as a strategic and
differentiating lever to add value to the company. In FY 2014, we hired a Chief Design Officer
and built up our internal Design talent, to complement our powerful technology capability, one
that we will grow and expand in the years to come.
We introduced many well-designed products in FY 2014 and won an unprecedented number of
design awards, over 20. While we’re at the very beginning of transforming Logitech into a
Design company, we are on the right track.
We are striving to act like a small company again, as a cultural ambition. In this regard we aim
to be faster, simpler and more responsive. After flattening the organization last year, we took
steps this year to create more collaborative working environments by consolidating key work
sites and opening up offices spaces so that our employees are in closer proximity to one
another. We will continue to pursue opportunities to build a small-company culture.
As pleased as we are with our strong performance in FY 2014, we know we are still in the midst
of our turnaround. To sustain our progress we are focused on:
• Nurturing growth. We are driving sales in our current Growth category businesses as
well as cultivating new growth engines – what we call seeds.
• Maximizing profitability in our PC Peripherals business. We are continuing to innovate in
this core category, but we are investing appropriately, mindful that we expect our PC
peripherals markets to continue to decline.
• Managing our operating expenses to drive operating leverage and to create capacity to
invest in our growth.
• Continuing to push the boundaries in product design. We are building our brand and our
business with iconic products that stand out in a competitive market for their excellence
in using leading-edge technology, innovation and consumer insights.
• Remaining committed to return cash to our shareholders through dividends and share
repurchases.
We could not have delivered our strong FY 2014 performance without the dedication and
determination of our employees, who are transforming our company with speed and innovation
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