The information contained in this booklet is based on
first-hand interviews with chief executive officers of
Global Growth Companies.
The views expressed in this publication do not
necessarily reflect those of the World Economic Forum.
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Contents
1. Introduction and Background ..............................................................................................1
2. Index of Portrayed Global Growth Companies ...................................................................2
3. Global Growth Company Success Stories
Accretive Health ......................................................................................................................4
Banco Compartamos ..............................................................................................................6
Beijing Redbaby Info-Tech.......................................................................................................8
Better Place ..........................................................................................................................10
Celulosa Argentina ................................................................................................................12
du .........................................................................................................................................14
IDEO .....................................................................................................................................16
illycaffè ..................................................................................................................................18
Indika Energy ........................................................................................................................20
Karuturi Global ......................................................................................................................22
Kokusai Kogyo Group ...........................................................................................................24
KPIT Cummins Infosystems ..................................................................................................26
LCY Chemical Corp. .............................................................................................................28
Lynas Corporation Limited ....................................................................................................30
MB Holding Company ...........................................................................................................32
M+W Group ..........................................................................................................................34
ReachLocal ...........................................................................................................................36
Serum Institute of India .........................................................................................................38
TAK Agro ..............................................................................................................................40
TOTVS ..................................................................................................................................42
Trina Solar .............................................................................................................................44
Vingroup ...............................................................................................................................46
WISeKey ...............................................................................................................................48
Yida Group Co.Ltd ................................................................................................................50
4. Global Growth Company Partners and Industry Shapers ................................................53
5. Annexes
Global Growth Company Community Agenda .......................................................................54
Executive Summary – Redefining the Future of Growth: The New Sustainability Champions........55
Acknowledgements ..............................................................................................................57
Photo Credits ........................................................................................................................58
Introduction and Background
This year marks the fifth anniversary of the founding of the World Economic Forum’s
Community of Global Growth Companies (GGCs). During the past five years, we have
witnessed the emergence of a new generation of economic leaders.
Recognizing their importance, the Community engages those players that, in addition to
showing consistently high growth rates, act as disruptors of traditional industries through
their new technologies and innovative business models. GGC members come from both fast
growing emerging markets and established economies.
As of August 2011, the Community includes more than 310 members from 70 countries and
various regions. Membership is by invitation only, reviewed by a committee that applies strict
selection criteria, and limited to 50 new companies globally each year. Eligible companies
generally have a turnover between US$ 100 million and US$ 5 billion, and consistent annual
growth rates exceeding industry and regional averages. Importantly, GGC members are
building a global business beyond their traditional markets and are committed to having a
positive effect on the economies and societies in which they operate.
To illustrate the diversity, richness and best practices of the Community, we are delighted to
share the profiles of 24 Community members in the second edition of Trailblazers, Shapers and
Innovators.
The World Economic Forum is proud of the Global Growth Company Community. We are
confident that these new champions will fully leverage the platform that the Forum provides to
them, and that they will make a strong commitment to our mission to improve the state of the
world.
Jeremy Jurgens Jerry Yu
Senior Director Director
Centre for Business Engagement Centre for Global Growth Companies
Index of Portrayed Global Growth Companies
M+W Group (p34)
Stuttgart
Infrastructure & Urban Development
IDEO (p16)
Palo Alto Accretive Health (p4)
Professional Services Chicago
Healthcare
(Consulting/Market Research)
Better Place (p10)
Palo Alto
Automotive
WISeKey (p48)
Banco Compartamos (p6) Geneva
Mexico City Information Technology
Banking (Microcredit)
ReachLocal (p36)
Woodland Hills
Media, Entertainment & Information
TAK Agro (p40)
Lagos
Agriculture, Food & Beverage
TOTVS (p42)
São Paulo
Information Technology
Celulosa Argentina (p12)
Buenos Aires
Pulp and Paper
Beijing Redbaby Info-Tech (p8)
Beijing
Retail and Consumer Goods
illycaffè (p18) Yida Group Co. Ltd (p50)
Trieste Dalian
Agriculture, Food & Beverage Trina Solar (p44)
Infrastructure & Urban Development
Changzhou
Energy (Photovoltaic modules) (Real Estate)
KPIT Cummins Infosystems (p26)
du (p14) Pune
Dubai Information Technology (Automotive)
Telecommunications
Kokusai Kogyo
Group (KKG) (p24)
Tokyo
Infrastructure & Urban
Development
MB Holding Company (p32)
Muttrah
Energy (Oil) LCY Chemical Corp. (p28)
Vingroup (p46) Taipei
Hanoi Chemicals (Fertilizers)
Serum Institute of India (p38) Infrastructure & Urban Development
Pune
Healthcare
Karuturi Global (p22) Indika Energy (p20)
Bangalore Jakarta
Agriculture, Food & Beverage Energy
Lynas Corporation Limited (p30)
Sydney
Mining & Metals (Rare Earths)
Global Growth Company Success Stories
Accretive Health
Healing Healthcare
A
cross the US, up to 90% of As a result, many hospitals and primary care
hospitals collect only 85% of their centres are haemorrhaging double-digit
due. Insurance claims revenue.
are often delayed,
denied, lost or overlooked. As Instead of Since 2003, Chicago-based
for emergency room services, addressing only Accretive Health has been
in the vast majority of cases, “attacking this very significant
partial solutions
hospitals are mandated by hospital revenue leakage”, in the
law to carry the treatment of or focusing wholly words of Etienne Deffarges, the
the uninsured, often at their on cost reductions, company’s Vice-Chairman, and a
own expense. While hospital Accretive Health member of the company’s founding
executives have their hands full
focuses on the entire management team. The company’s
focusing on clinical care and focus is to bridge and patch the
quality, front-end administrators
revenue cycle of its losses and inefficiencies rampant
are often inadequately armed customers. across the healthcare field. A built-
to grapple with, much less for-purpose company, Accretive
entirely understand, one of the most arcane, Health brings its industry-changing expertise
complex payment systems administered by and unmatched technology to everything
any industry. from insurance and benefits verification,
to medical treatment documentation and
coding, authorizations and referrals,
and bill preparation and collections.
The result: significant, sustainable
improvements in medical quality and
hospital operating margins, not to
mention increased patient satisfaction.
Instead of addressing only partial
solutions or focusing wholly on
cost reductions, Accretive Health
focuses on the entire revenue cycle
of its customers – typically multi-
hospital systems, including faith-
based or community healthcare
systems, academic medical centres,
independent ambulatory clinics, and
physician practice groups. Through
its innovative technology and process
excellence, the company assumes
responsibility for the management and
4 I World Economic Forum I Global Growth Companies
cost of a customer’s revenue cycle operations. too. Thanks to the recent White House allocation
It supplements the client’s existing staff with of US$ 16 billion to switch the US over to
seasoned Accretive Health personnel, technology, digital medical records, medical billing systems
savvy and culture. Not least, it serves as an on- will be compelled to undergo massive annual
site operational partner. upgrades in the future. Many medical executive
are concerned about their capacity to cope with
Among Accretive Health’s most recent initiatives these new regulations – and will happily outsource
is a pioneering alliance with Minnesota-based this function if it means +4-6% annually to their
Fairview Health Services, which cash collections and improved results.
owns seven Midwestern hospitals
and 42 primary care clinics. This "For every Deffarges credits the company’s
partnership focuses on reducing 100 patients who highly productive partnership with
total cost of care while improving the Global Growth Companies
medical outcomes, with thus-
show up to be Community “with helping us explore
far promising early results. The admitted at a future markets, and gain a greater
company is also expanding its hospital we serve, understanding and connection in
reach by promoting its offerings we will find 85 certain markets, such as India, where
internationally. we already operate.” Accretive Heath
paying solutions
Chief Executive Officer Mary Tolan
Accretive Care does a lot of things through a variety of recently addressed the prestigious
in a unique way. Example: It may funds." World Health Congress, and, given
step up to find coverage solutions her past participation in Davos, will no
for the uninsured. It may uncover ways to doubt be a valuable contributor to future World
increase the yield on a co-payment. It may ensure Economic Forum events.
that no process breakdowns lead to an insurance
company denial – Did the hospital get the right Over the past five years, the publicly traded Accretive
authorization and/or the proper referral? Was X Health, which reported 2010 revenue of US$ 610
or Y truly a medical necessity? Accretive Health million, has had a compounded annual growth rate of
helps health providers recover lost or delayed 45%. Since 2005, the company has also increased
revenue, but it also helps countless patients pay revenues by +359%. Currently holding only 1% of
for healthcare they otherwise could not afford. US market share, Accretive’s high-level growth is
Says Deffarges: “For every 100 patients who highly sustainable. From the perspective
show up to be admitted at a hospital we serve, of the health industry, Accretive Health
we will find 85 paying solutions through a variety is a niche market with limitless potential
of funds – whether it’s through federal money, that will continue to shape
state money, private foundations or specialized the health revenue cycle
interest funds.” landscape in the US and
beyond in an innovative,
By digging up and navigating health laws and game-changing way.
regulations, Accretive Health is fundamentally
reshaping the landscape of revenue cycle
management. The healthcare industry is booming,
Accretive Health
Industry Sector: Healthcare
Location: Chicago, USA
www.accretivehealth.com
Mary A. Tolan
Founder and Chief Executive Officer
Global Growth Companies I World Economic Forum I 5
Global Growth Company Success Stories
Banco Compartamos
Lending a Hand
A
cross Mexico, the beneficiaries range “The financial sector
from a small Oaxacan retailer to a in Mexico has been very
Tlaxcala-based glazier and a Coahuila successful attending to the
native who used her microloan to pay needs of the middle-class and up,”
off her electricity bill and put down a payment on says Executive Vice-President Carlos Danel,
a half-dozen computers needed to start her own “but it has historically not seen the base of the
small coffee shop. pyramid as potential clients.” One of Banco
Compartamos’ competitive advantages? Talking
These three individuals were among the to potential clients in the streets and in the
beneficiaries of the 2011 Banco Compartamos mercados about their goals and dreams – then
microentrepreneur awards, given to women figuring out the best ways to serve their financial
who demonstrate outstanding entrepreneurial needs.
spirit. Over the past two decades, thanks to
Banco Compartamos’ microfinance programme Founded in 1990 as a not-for-profit NGO and
that advances loans of roughly 1,000 pesos supported by aid from international donors, the
apiece to local citizen within the country’s bank recognized early on that the accelerated
lowest economic brackets, Mexico City-based population growth across Mexico and Latin
Banco Compartamos has become one of Latin America had surpassed available jobs. Then
America’s largest, most successful institutions. and now, its goal is to bring financial services to
6 I World Economic Forum I Global Growth Companies
the largest number of people in the shortest amount from Mexico, the United States, Europe and South
of time, in particular to rural, underserved female America. More to the point, Banco Compartamos’
entrepreneurs who historically lack access to working historic IPO is the culmination of an ongoing strategy
capital loans. The bank realized early on that the within microfinance to bring in the private sector, and
highest form of collateral in socially cohesive Mexico relays the message that social service and profits can
was, and still is, a person’s reputation. exist side by side.
Example: Under the bank’s “Becoming a publicly traded company is not
“Credito Mujer” programme, Banco the road for every microfinance organization,”
Banco Compartamos extends says Danel, adding that post-IPO, Banco
Compartamos’
loans from 1,500 to 27,000 pesos Compartamos has tripled in size and is able
to each member of a group of comparative to serve many more millions of underserved
anywhere from 10-50 women, all advantage? Taking households. “But it does make sense for
of whom are granted life insurance to potential clients some markets and institutions.”
at no additional cost. The group in the streets and
then guarantees the bank that Today, Banco Compartamos boasts a
they will repay the loan, even
in the mercados portfolio of US$ 11,621 million pesos
if one of its members defaults. about their goals that it lends to more than 2 million clients
Once clients have paid off the first and dreams – then spread across commerce, building,
loan, they qualify for additional figuring out the best services, agriculture, livestock farming and
loans. These microloans permit manufacturing – a figure that dwarfs non-
ways to serve their
low-income Mexicans to develop profit microfinance organizations in Latin
productive activities that help them financial needs. America. The bank boasts 391 service
pay off their bills, improve their offices located in 32 Mexican states,
living environments, or buy raw materials en route to employs more than 12,000 people. And for the past
creating their own “microenterprises”. seven years, it has provided its investors with an
average annual return on equity of roughly 47%.
In 2000, Banco Compartamos morphed into a
“SOFOL”, rendering the bank eligible for bank Founder José Ignacio Avalos Hernández coined the
loans, debt placements and development bank bank’s name, Compartamos, which means “Let’s
funding. In 2006, Mexican authorities gave Banco Share”. As the bank expands its operations to other
Compartamos its bank license. And a year later, regions of Latin America, in particular Peru and
Banco Compartamos did something that transformed Guatemala, this philosophy can only bring the bank
it into an industry to watch. By launching a 2007 IPO, and its customers additional dividends. Not least,
the bank effectively became an intermediary financial this Latin American bellwether is showing the rest of
agent between large investors and the lower income the industry what the possible future of microfinance
segments. Banco Compartamos’ IPO caused some holds.
controversy within the industry about the spirit
and meaning of microfinance, yet no one could
dispute the total proceeds of US$ 468 million, with
purchases by 5,920 institutional and retail investors
Banco Compartamos
Industry Sector: Banking (Microcredit)
Location: Mexico City, Mexico
www.compartamos.com
Carlos Labarthe Costas Fernando Alvarez Toca
Executive President Chief Executive Officer
Global Growth Companies I World Economic Forum I 7
Global Growth Company Success Stories
Beijing Redbaby Info-Tech
Family Affair
W
hen pondering Beijing-based selling, among other things, baby food, furniture,
Redbaby Info-Tech, one can’t help nursing equipment and maternity clothing (China
but think of Amazon.com. The is the second-largest market for child-friendly
original Web-based bookseller products after the US). Today, with its dedicated
continues its restless evolution and today sells call centre, community sites, special channels,
consumers around the world everything from multiple platforms, distribution branches across
shoes to grilling equipment and iPod speakers eight Chinese provinces, and focus on customer
to power tools. Could Redbaby follow in its experience, Redbaby is a multi-channel retailer
footsteps? catering to the needs of the entire family, offering
roughly 6 million Chinese consumers convenient
A leading catalogue and online retailing shopping services 24/7.
company, and China’s largest multi-channel
direct sales retailer, Redbaby is clearly poised Led by Chief Executive Officer Xu Peixin, the
for continuing growth and success. Founded company broke even in its first year of funding,
in 2004, the company began its life as a B2C with 2007 revenue of US$ 86 million, and since
baby and maternal care product company 2004 has grown annually by 300%. Named
8 I World Economic Forum I Global Growth Companies
the number one e-commerce website of the top the first female integrated shopping website in China..
100 most valuable companies worth investing in, With its combined revenues of RMB 1.5 billion from
its shareholders include Northern its online and catalogue sales businesses
Night Venture Capital, New Enterprise in 2010 (with maternal care and childcare
Associates and KPCB China. Redbaby "Performance is products accounting for RMB 960 million,
understands that among the keys to not a competitive and non-maternal and childcare products
its success is the fruitful relationship accounting for RMB 540 million), experts
enterprise. The key
between the customer and the predict that the company’s new online
company. “Performance is not a is the customer, good shopping platform, Binggo.com, will pass
competitive enterprise,” Xu Peixin has customer service, its target of RMB 1 billion this year, while
been quoted as saying. “The key is good customer revenues from other businesses maintain
the customer, good customer service,
experiences and, parity with those of last year. According
good customer experiences and, to plans that the company revealed in
ultimately, trust.”
ultimately, trust." 2010, Redbaby will make its website the
core of its business while maintaining a
In addition to its various shopping websites, the dual catalogue/online business model.
company has opened a dozen branches covering
16 provinces and cities to handle, on average, “We are very honoured to become a member of
the 30,000 orders for 60,000 products that run the Global Growth Company Community,” says
through its system every day. Other B2C companies, Xu Peixin. “As the demand for the entire market
including Dangdang, and even Amazon in China, continues to expand, we expect our own growth to
outsource their logistics services. But by establishing continue, along with the continuous innovation we
its own logistics team, Redbaby has lowered costs have seen during the past seven years of industry
and improved its delivery systems, easily outpacing leadership.”
the competition.
Today, with operations in Beijing, Tianjin, Shanghai,
Shenyang, Nanjing, Wuhan, Dalian, Hangzhou and
half a dozen other cities and towns, Redbaby’s
growth is poised to continue alongside China’s rapid
development, especially after the company launching
Beijing Redbaby Info-Tech
Industry Sector: Retail and Consumer Goods
Location: Beijing, People’s Republic of China
www.redbaby.com.cn
Xu Peixin
Chief Executive Officer
Global Growth Companies I World Economic Forum I 9
Global Growth Company Success Stories
Better Place
Electric Dreams
P
erhaps no company extant has more goal? To reduce worldwide reliance on oil with
direct links to the World Economic a market-based model and infrastructure that
Forum than Better could potentially spur widespread
Place, founded in Palo adoption of a new breed of electric
Alto, California. Founder and Chief Thanks to Better vehicles.
Executive Officer Shai Agassi has Six years after he first mulled
said that his company’s name
Place, consumers over Schwab’s challenge,
was inspired by a question Klaus have the same Agassi’s Better Place is on track
Schwab posed in Davos in 2005: freedom driving to becoming the first scalable,
“How do you make the world a electric cars as they sustainable personal transportation
better place by 2020?” system designed for the mass
enjoy today with
market, well beyond early adopters
Agassi took Schwab’s dictum their gas-powered or “greenies.”
not as a hypothesis, but as a vehicles.
thoughtful call to arms. After all, Why electric cars, and why
then as now, gas-powered vehicles continue to now? The reasons range from economic and
play a critical part in the high levels of carbon technological to environmental and health-related
emissions across the developed world, by as (with a dash of geopolitics thrown in), according
much as 50% in some European countries. This to John Proctor, Better Place’s Director, Global
is why former SAP-executive Agassi came up Communications, who points out: “With
with a plan to create a complete solution for Better Place, consumers gain affordability and
electric transportation. Better Place’s audacious convenience.” After all, if they don’t, they won’t
opt for electric at
the scale needed for
significant impact on oil
dependence.
Thanks to Better Place,
consumers have the
same freedom driving
electric cars as they
enjoy today with their
gas-powered vehicles.
Embedded software in
their cars’ dashboards
lets them know how
much energy remains
in the battery and, if
needed, guides them
to physical charge
10 I World Economic Forum I Global Growth Companies
spots and battery switch stations across a country Place announced a strategic agreement with China
or region. Replacing a nearly drained battery at Southern Power Grid Company, the world’s eighth
an automated switch station takes less time than largest utility, to further advance electric cars with
replenishing a car with gas at a fuel pump. Home- switchable batteries across China. The new alliance is
and workplace-based charge spots enable drivers rolling out a battery switch station and joint education
to top off their batteries easily and centre in Guangzhou by the end of 2011.
regularly. And thanks to advances in
the batteries, and the stable cost of Replacing a nearly John Proctor notes that Better Place
electricity relative to oil prices, the per- has created an ecosystem that extends
drained battery
kilometre cost of transportation in an far beyond a carmaker like Renault to
EV sedan is significantly lower than at an automated achieve its mission. The company’s range
that of a gas-powered one, even after switch station of alliances includes a fleet of owners in
consumers factor in the amortized takes less time than Israel, as well as the leading operators
cost of the battery.
replenishing a car of gas stations, Danish state railways,
global powerhouses like GE, automotive
But it’s not just consumers who with gas at a fuel clubs, HSBC and other financial backers,
would win big if electric vehicles with pump. and (in the largest deal of its kind) an
switchable batteries gain widespread electric utility in Australia that will power
traction. EVs offer governments the opportunity the company’s network with 100% renewable energy.
for energy independence and environmental More automobile manufacturers are expected to
sustainability. A collective movement towards sign on, too. Not least, governments and the public
electric-powered transport keeps funds otherwise sector can begin establishing a sustainable direction
spent to import oil within a nation’s borders, opens – and example – for future generations.
up new opportunities to use surfeits of electricity that
otherwise go to waste at off-peak times, and creates By the end of 2011, Renault will begin rolling out the
new markets for renewable energy from wind, solar, first of 100,000 switchable-battery vehicles already
geothermal and tidal sources. Moreover, the charge committed for Israel and Denmark, with Australia to
spots, battery switch stations, grid technologies follow in 2012. And CEO Agassi is proof positive that
and other infrastructure engender new (and hard- one person can be charged to help make the world a
to-outsource) jobs in construction, engineering and better, cleaner place. As the CEO himself said once,
management. “Sometimes people
have to remind you
In 2008, Israel became the first country and Renault to aim high.”
the first carmaker to embrace the Better Place model
of building a network to enable the mass adoption
of electric vehicles and offering a clean, competitive
alternative to gas-powered cars. Denmark and
Australia followed suit soon thereafter. This past
April, alongside officials from Guangzhou, Better
Better Place
Industry Sector: Automotive
Location: Palo Alto, USA
www.betterplace.com
Shai Agassi
Founder and Chief Executive Officer
Global Growth Companies I World Economic Forum I 11
Global Growth Company Success Stories
Celulosa Argentina
Into the Woods
T
he 2008 International Book “For us, trees are a crop, like growing
Fair in Buenos Aires, Argentina, soybeans or corn,” says Chairman
had a not-altogether-expected Douglas Albrecht, remarking that
patron. The literary world may Argentina is one of the most efficient
have been migrating slowly towards places in the world to grow food and
Kindles, Nooks and e-books, but the forestry products. Celulosa Argentina’s
support of corporate sponsor Celulosa dedication to “sustainability” extends
Argentina reminded the publishers, across his business model and practice
authors, librarians and to how Albrecht manages
book sellers milling around his approximately 2,000
the largest book fair in the "For us, trees employees. “We take
Spanish-speaking world are like crop, like our carbon footprint very
that, well, paper matters. seriously.”
growing soybeans
Those two words might and corn." Celulosa Argentina also
well be among the owns and operates
dictums of Martinez, Argentina-based sawmills, paper mills and plywood mills
Celulosa Argentina and its shareholder, across Argentina, Uruguay and Chile –
Grupo Tapebicua, a leading player centres that specialize in growing and
in that country’s forest industry and processing eucalyptus and pinewood
renewable energy sectors. An integrated for the purposes of manufacturing and
regional corporation that links solid, distributing high-quality plywood, floors,
sustainable forest development with decks, tongue-and-groove boards,
the manufacturing, marketing and beams and moulding. The company
distribution of successful high value- also owns some 21,000 hectares of pine
added products, Celulosa Argentina has and eucalyptus forest in the northwest
resource and energy investments across Argentine province of Corrientes and in
Argentina and Uruguay that include pulp, Uruguay. Every year, Celulosa Argentina
paper and forestry products, as well as produces roughly 217,000 tons of pulp
bio-diesel and oil and gas exploration. and 205,000 tons of paper, including
Committed to the use of renewable packaging paper and coated and non-
resources, the company oversees its coated printing, writing and tissue paper
forests in accordance with the most (a fast-growing market in which Celulosa
stringent environmental guidelines and Argentina plans to expand its presence),
international criteria, with a chain of that it then distributes to both domestic
custody involving raw material derived and global markets. Not least, its affiliate
from forests certified under Forest company, Patagonia Bioenergia, is
Stewardship Council standards. one of the world’s largest independent
producers of soy biodiesel.
12 I World Economic Forum I Global Growth Companies
No less impressive than its holdings is the company’s the Community of Global Growth Companies
longstanding corporate responsibility. As the second (Celulosa Argentina has been a Member since
largest employer in Argentina’s Corrientes province, 2009), particularly during these volatile economic
Celulosa Argentina regularly donates wood for the and political times. In particular, he appreciates
construction of rural housing. The company also the knowledge he has gained – and can continue
works jointly with local health centres, conducting imparting – from his South American headquarters.
campaigns such as Dengue Prevention and for the “We do have a small but important niche in the global
prevention of other diseases, and is committed to community,” notes Albrecht. “In our wood products
providing its products to local fire brigades, hospitals business, for example, there is a growing demand
and schools. for inputs coming primarily for
Asia. Here, Asia talks to South
Celulosa Argentina’s growth strategy focuses on America without necessarily
value-added businesses, including tissue and talking to North America.
hygiene products, renewable energy and in food- From the perspective
related sectors. Optimally, the company will continue of global growth, I find
acquiring forestry assets, thereby reducing its it extremely valuable
dependence on third parties for its raw materials, to interact with a
including fibre and eucalyptus wood. community that can
share these issues
As an Argentina-based businessperson, Chairman together.”
Albrecht has found value in interacting with
Celulosa Argentina
Industry Sector: Pulp and Paper
Location: Buenos Aires, Argentina
www.celulosaargentina.com.ar
Douglas Albrecht
Chairman
Global Growth Companies I World Economic Forum I 13
Global Growth Company Success Stories
du
The Ringing Sound of Success
T
he United Arab Emirates (UAE) has services to individuals, homes and businesses,
one of the most modern, sophisticated and carrier services to businesses. It has also
telecommunications sectors in the brought to the market new services including
world. It’s a fast-growing one, too. its Pay by the Second billing system, Mobile
According to the Global Information Technology TV, mobile payments, and du’s “Wow” recharge
Report published by the World Economic Forum card, which offers subscribers the choice among
in 2009, the UAE is the most wired among Arab “more credit”, “more international” and “more
nations, with soaring broadband subscriptions time”. Not least, du brings scalable media
accounting for more than half of all Internet technology platforms and telecommunication
connections. solutions to the broadcast community through
its world-class teleport (Samacon) and Master
With over 2,000 employees, a mobile subscriber Control Room (MCR) facilities.
base of over 4.7 million customers across the
United Arab Emirates and over 20% growth The company continues to innovate and
thus far in 2011, du is the second largest expand. In 2009, du and UK giant Vodafone
mobile operator in the UAE, as well as the Group signed an exclusive non-equity strategic
telecommunications operator of choice for a partnership to help both companies better
large majority of new subscribers. serve the needs of their respective customers
in the UAE. As a result, du now has exclusive
Consumers can buy the company’s products access to Vodafone’s range of products,
and services either online or through du’s devices and services in the UAE, and will be
retail network, to date including 41 shops able to draw on Vodafone’s experience in supply
and over 3000 authorized dealers, including chain management, technology development
the company’s Abu Dhabi and Dubai flagship and acquisition of enterprise customers from
stores. Among du’s offerings: fixed and mobile multinational companies, as well as improved
telephony; broadband connectivity; and IPTV inter-working between networks across the
14 I World Economic Forum I Global Growth Companies
67 countries where Vodafone operates. In return, copying machines. Not least, in a hot, sunny part
Vodafone’s customers will enjoy extensive coverage of the world, du has implemented its first-ever solar
across the UAE, and du’s state-of-the- power project on Sir Bu Nair Island,
art 3G network. In 2008, the company which will provide mobile coverage
also joined with Microsoft to organize Paralleling its for the entire island using zero fossil
the “Imagine Cup” competition for
fast growth, du is fuel energy – meaning zero carbon
UAE college and university students, a emissions. To improve its environmental
competition designed to spark students’
also a champion friendliness, the company plans to
creativity and innovation in developing of the environment implement additional power sites at
intelligent mobile apps on the themes dedicated to remote locations.
of social networking, lifestyle and reducing technology
environment to serve a social cause. Then there’s the Green du initiative,
waste across the aimed at improving the eco-friendliness
Paralleling its fast growth, du is also UAE. of du’s base transceiver stations. du
a champion of the environment. For has contracted with a leading German
the company, sustainability can be as elemental company to implement a hybrid power system in
as printing double-sided paper to reduce waste; their base transceiver sites. The new systems will
establishing a system-wide eco-friendly e-billing be fully implemented in over 100 sites by the end of
system; providing reusable coffee and tea mugs 2011, reducing company-wide fuel consumption by
for employees; or, partnering with Hewlett-Packard more than 50%.
to create the Planet Partners Program, dedicated
to reducing technology waste across the UAE by du isn’t just a telecommunications company, but an
recycling the toner cartridges used in printers and industry leader, whether locally or long-distance.
du
Industry Sector: Telecommunications
Location: Dubai, United Arab Emirates
www.du.ae
Osman Sultan
Chief Executive Officer
Global Growth Companies I World Economic Forum I 15
Global Growth Company Success Stories
IDEO
Design for Living
“O
ne of the fascinating shared Founded in 1991, the Palo Alto,
challenges of being a California-based IDEO design firm is an
member of the Global Growth industry pioneer whose human-centred, design-
Company Community,” says based approach brings sustainable innovation to
IDEO Chief Executive Officer Tim Brown, “is the organizations, business, governments, healthcare
recognition that, while we may be strong in our providers and social sectors. Whether IDEO is
own countries, we are continually learning in working on new products in the medical industry,
new, different markets. And, not least, that we or working with healthcare giants like Mayo Clinic
also recognize that the era when companies or Kaiser Permanente, or alongside government
were internally focused and controlled their own agencies in Singapore and the US, the company
brands and services may be coming to an end.” believes that the power of design – and design
thinking, which combines technical possibility
The first mouse for Apple. The Palm V handheld with sound business strategy around human-
device. Crest’s no-squeeze, stand-up toothpaste centred needs – can help create new products,
tube. Bank of America’s Keep the Change shape human behaviour, solve problems and
account service. Air New Zealand’s redesigned create long-lasting, sustainable solutions. IDEO’s
economy class, not to mention the LifePort mission, says Brown, is threefold: to understand
Kidney Transporter. Without the industry-shaping what consumers really need; turn that need
innovations of design and consultancy firm into a compelling product or experience for the
IDEO, the world might still be pressing random, consumer and the company; and then learn
crooked buttons, or lugging around a clattering how to create and scale that same product or
50-pound digital calendar in a backpack. experience.
16 I World Economic Forum I Global Growth Companies
Whether it’s a retailer who seeks IDEO’s help IDEO is consistently ranked by industry experts as
in reaching a new demographic, a smartphone among the top 25 most innovative firms in the world.
manufacturer seeking to reinvent the gaming Today, its client list ranges from Hewlett Packard to
experience, a hospital eager to improve the overall AT&T, Vodafone, Samsung and BBVA, with more
quality of its patient care, or a government looking than half its overall revenue coming from European,
for ways to increase healthy eating Asian and overseas clients.
in children, IDEO assembles a
team made up of industry experts "More and more IDEO Chief Executive Officer Brown is
who observe and assess the global companies most excited by the potential of fostering
consumer experience. Business genuine social innovation by addressing
realize that
designers, industrial designers, such global issues as poverty, nutrition,
engineers, psychologists, social innovation is a health, water and sanitation, economic
scientists, marketers and other IDEO practical, scalable, empowerment, access to financial services,
multidisciplinary experts partner with sustainable way of and gender equity, in both the private and
clients to tackle systemic challenges,
doing business – and public sectors. How will medical device
ultimately formulating working companies, insurance companies, financial
models and working prototypes
in a volatile world, service providers and non-profits of the
using the methods and tools of they are making future tackle these concerns?
IDEO’s design-thinking approach. innovation a core
The result: new companies, competency." Brown reserves his greatest excitement for
business models, brands, products, the Asian markets, as he considers Asia
services, spaces and interactive experiences, as well the epicentre of exciting, innovative ideas, industries,
as newfound company-wide cultures and internal and markets. Even better, with its new locations in
systems and processes that allow for ongoing, Singapore, Tokyo and Mumbai as well as its office
sustainable innovation. in Shanghai, IDEO as poised for continuing success
and growth. Says Brown: “More and more global
By inspiring some of the biggest companies in the companies realize that innovation is a practical,
world to transform their organizations by focusing scalable, sustainable way of doing business – and
on consumers, IDEO has become far more than a in a volatile world, they are making innovation a core
design company. Today, along with design firms, it competency.”
competes with management consulting companies
such as McKinsey, The Boston Consulting Group In hindsight, you might say that industry-shaper IDEO
and Bain. IDEO invites its clients into the innovation led the way.
process by encouraging them to identify consumer
needs, use collaboration as a means to generate
growth, and bring new ideas to market.
IDEO
Industry Sector: Professional Services (Consulting/Market Research)
Location: Palo Alto, USA
www.ideo.com
Tim Brown
Chief Executive Officer
Global Growth Companies I World Economic Forum I 17
Global Growth Company Success Stories
illycaffè
Dark Victory
i
llycaffè seeks nothing less than perfection. “illycaffè is a stakeholder company founded on
Founded in 1935 and headquartered ethics, whose goal is the improvement of quality
in Trieste, Italy, the food and beverage of life,” Andrea Illy says. This philosophy explains
corporation markets its signature why the company’s commitment to continuously
espresso blend in 140 countries worldwide, exceeding environmental, social and economic
employs 800 people, and serves more than sustainability standards on all rungs of the value
50,000 high-end restaurants and Italian-style chain has made illycaffè an industry-shaping
coffee bars on five continents. leader. “Coffee that is consumed
(Lest anyone forget, company mainly in the western countries comes
founder Francesco Illy invented By guaranteeing a from the south of the world, from
the “illetta”, the first coffee countries that often are poor and
profit to its growers
machine with automatic water underdeveloped,” says Anna Adriani,
dosing and a compressed air in every transaction, illycaffè’s Global Public Relations and
jet – which is the predecessor illycaffè has created Corporate Responsibility Director. “So
of today’s espresso machines). a full-fledged, it is important that the company deals
industry-leading with these countries in a sustainable,
Led by Chairman and Chief ethical way.”
Executive Officer, Andrea Illy,
system that instils a
a third-generation member of widespread culture illycaffè has long considered “quality”
the founding family, today’s of quality and and “sustainability” to be inseparable
illycaffè takes a holistic sustainability from – and contagious. Over the years, the
approach towards its industry, company has made huge investments
the boardroom to the in improving its environmental impact
focusing on all factors that go
into creating a singular cup plantation. management. Example: in 2003, its
of espresso: the production, central Trieste facility rolled out a new
the relationship with growers, the blend, the roasting unit, whose maximum fume emission
machines, the preparation, the training of rate was over 1/20th lower than the legal limit –
specialized bar staff, and even the design of the an initiative that significantly reduced its energy
bars and venues where consumers consumption and increased its production
enjoy a great cup of coffee. This capacity.
360-degree approach
works: in 2010,?the From the coffee farmers in South and Central
illycaffè group, with its America, India and Africa, all the way to the
11 direct and indirect espresso-sipping consumer, illycaffè’s tireless
subsidiaries, achieved search for quality creates a virtuous cycle that
consolidated sales of € 305 creates value for all its stakeholders. It buys
million with 3.5% net profits, with the highest-quality beans directly from farmers,
exports representing 56% of total paying them higher prices than international
sales. market standards in order to reward quality
18 I World Economic Forum I Global Growth Companies
products and foster ongoing improvement. In industry-leading system that instils a widespread
conjunction with the Oxford University Centre culture of quality and sustainability from the
for the Environment, illycaffè undertook in 2008 boardroom to the plantation. In short, everyone wins.
a three-year research project to develop a more
sustainable agricultural The food and beverage
production system, and industry has taken
identify a model that notice, too. While
could be extended to global authorities
other crop production have recognized and
systems. The result? honoured illycaffè
A series of pioneering over the years for
growing, production its sustainability (the
and processing company’s awards
techniques, including include the UNI EN
the ecologically-sound ISO 14001 standard,
“semi-washed” method certifying the company’s
that illycaffè suppliers environmental
use during post-harvest management system;
processing, which and the EMAS
preserves up to 90% certification strictly
of the water that other governing emissions,
methods consume, while energy consumption
also reducing potentially and waste recycling),
polluting waste water. few distinctions made
illycaffè prouder than
But producing one the distinction it
blend across the world received earlier this year.
means an increased In March 2011, illycaffè
investment in logistics. How does illycaffè offset the was the first-ever company to receive the rigorous
cost disadvantages, and balance short-term financial Det Norske Veritas (DNV) Responsible Supply Chain
goals with long-term green impact? “Again, for us, Process Certification, attesting to the company’s
quality without sustainability cannot exist,” says longstanding sustainable approach to production,
Adriana. “This is our business model, our mission, one that recognizes everyone from the board of
our passion, and our obsession. ‘Short-term’ is not directors to management and operational personnel.
part of illycaffè’s vocabulary. We are a stakeholder
company whose historic and long-term goal is to illycaffè’s long-term success shows that creating a
improve the quality of life of everyone with whom we business on a foundation of ethical environmental,
interact: customers, clients, employees, suppliers social and economic sustainability can create an
and communities.” enviable – and duplicable – model of caffeinated
growth, profits and pride.
By guaranteeing a profit to its growers in every
transaction, illycaffè has created a full-fledged,
illycaffè
Industry Sector: Agriculture, Food & Beverage
Location: Trieste, Italy
www.illy.com
Andrea Illy
Chairman and Chief Executive Officer
Global Growth Companies I World Economic Forum I 19
Global Growth Company Success Stories
Indika Energy
Staying Power
I
t can be challenging for a business and construction services; mining contractor and
to succeed in Indonesia. Entrenched services; coal transport and logistics services;
and traditional, the largest economy and even a power generation project.
in South-East Asia is known for its
complicated regulations and occasionally long- One major coup was the 2009 acquisition of PT
winded bureaucratic processes. Moreover, the Petrosea Tbk, a multidisciplinary engineering,
republic was hit hard by the Asian construction and contract mining
financial crisis of the late 1990s, company with a high-achieving
when Indonesia’s economy shrank The main driver track record in Indonesia. The
by nearly 14%. But over the of Indika Energy’s purchase not only strengthened
past few years, according to M. Indika Energy’s leadership in mining
Arsjad Rasjid P. Mangkuningrat,
moves: Strong services, but also buttressed its
President Director and Co-Group integration along capacity to deliver total energy
Chief Executive Officer of Jakarta- the whole energy services, from acquiring mining
based PT Indika Energy Tbk, the supply chain. rights and feasibility studies, to
Indonesian business environment mining operations, processing,
has mounted a gradual, steady production and barging, and
economic recovery. Notes Mangkuningrat, a transhipment and offtake – which is another way
World Economic Forum Young Global Leader of of saying that the company, which currently has
2011: “The most important thing is that we are more than 6,000 employees, became a fully
moving in the right direction.” integrated entity with strategic synergies in place
to fuel its future growth, while leveraging Asia’s
Take the company currently led by rapidly growing demand for energy.
Mangkuningrat and his co-chief executive officer,
Wishnu Wardhana, as an example. Incorporated The main driver of Indika Energy’s moves: Strong
in 2000, with roots in the energy sector spanning integration along the whole energy supply
as far back as 1973, Indika chain. “We want to combine natural resources,
Energy is Indonesia’s services and infrastructure in a seamless way,”
leading integrated energy says Mangkuningrat, adding that, in the past,
company, providing its this has proven to result in group synergy and
customers total energy improved operating efficiency. Although coal is
solutions in the areas the core driver of Indika Energy, given the poor
of energy resources, state of infrastructure in Indonesia, logistics and
energy services and transportation are also vital components of the
energy infrastructure. It supply chain. Adds Mangkuningrat: “In mining,
accomplishes this through there are two main cost centres – mining services
strategic investments in the and logistics – and by having these businesses,
areas of coal production; we are converting our costs into revenue on a
engineering, procurement consolidated basis.”
20 I World Economic Forum I Global Growth Companies
Mangkuningrat believes that the company’s complete Driven by its goal to become an integrated world-
understanding of the supply chain has given it an class energy player, the company will continue
enormous advantage over other coal companies. leveraging Indonesia’s national resources, taking
Take Cirebon Electric Power as an example. Cirebon advantage of the increasing demand for energy,
not only buys the group’s low-calorific coal, but integrating its energy platforms with operational
also ensures steady income for the group whenever efficiency, maximizing production, and increasing
commodity prices fluctuate. Says Mangkuningrat: partnerships within the energy sector.
“This way, our financial risks are well-managed
and, on the aspirational side, we have synergy and Final words? “Of course, like every business, we face
security.” a lot of challenges,” says Mangkuningrat. “But good
corporate governance is transforming the Indonesian
Unlike most Asian companies, Indika Energy has business environment. Has it reached 100% yet? No,
a distinctive dual Chief Executive Officer structure. but we are getting there. The fundamental issues we
According to Mangkuningrat, it is among the factors face are those faced by corporations everywhere:
that makes the company unique, along with its globalization, competition and a pressing need for
strategy. “Indonesia has abundant natural resources, transparency. The best part is, we are increasingly
political stability, strong macroeconomic policy and primed to compete against ourselves.”
a demographic bonus of a large, young population.
Equally important, we have a young and very
dynamic leadership team too,” he emphasizes.
Indika Energy
Industry Sector: Energy
Location: Jakarta, Indonesia
www.indikaenergy.co.id
M. Arsjad Rasjid P. Wishnu Wardhana
Mangkuningrat Vice-President and Co-Chief
President Director, Co-Chief Executive Officer
Executive Officer
Global Growth Companies I World Economic Forum I 21
Global Growth Company Success Stories
Karuturi Global
Stemming World Hunger
I
t sounds at first like a fever dream: roses, website, www.rosebazaar.
acres upon acres of them, growing in com, the only flower-auction portal
Ethiopian and Kenyan greenhouses, in India and South-East Asia, is the
against a backdrop of richly tilled land. culmination of Karuturi Global’s efforts to develop
It’s even more surprising to discover that an a real-time auction engine for agro commodities
Indian corporation, Karuturi Global, and other perishable goods. In
is responsible for the planting, addition, Karuturi Global’s highly
cultivation, storage, export, and Investing in profitable and fast-growing IT
distribution of roughly 555 million agriculture is business offers e-commerce
stems annually across Europe, the solutions to large MNCs and
among the best ways medium-sized companies around
US, the Middle East, Australia and
Japan. not just to keep a Bangalore dealing with perishable
reliable lid on supply goods and commodities, paper
Karuturi Global is the world leader shortages, but also industries, workflow automation
in the production of cut roses with and telecommunication, and
to boost African and
an 8% share of the floriculture it recently expanded into the
market that industry experts predict global agriculture. consumer broadband market.
will rise to 13% as the corporation
expands its African base of operations. But But Karuturi Global isn’t merely a multinational
that’s just one of its businesses. Back home in Indian agriculture products company. The
Bangalore, the company is engaged in the bulk company is a genuine change agent for global
processing, bottling, and export of gherkins and growth, prosperity, and cultural and economic
other vegetables. The company’s e-commerce transformation.
22 I World Economic Forum I Global Growth Companies
Among the company’s stated missions is to do is among the best ways not just to keep a reliable lid
whatever it can to help alleviate worldwide and on supply shortages, but also to boost African and
African food shortages. Towards this end, Karuturi global agriculture.
Global was among the very first foreign firms to
acquire land tracts from the Ethiopian and Kenyan Karuturi Global is also committed to sustainability.
governments – to date, more than 300,000 hectares The company uses indigenous greenhouses,
of land – to grow and produce maize, vegetables, rainwater harvesting, environmentally-friendly
grains, corn, palm oil and sugar cane. By April 2013, fertilizers, and hydroponic cultivation. Devoted to
Karuturi Global will have developed one-third of favourably influencing the lives of African workers and
its land-leased 300,000-hectare plot in Gambella, their families, Karuturi Global donates and distributes
Western Ethiopia, with the entire farm ready for clothing, has contributed US$ 75,000 towards one
planting by the spring of 2015. Even better, despite township’s drinking water supply, provides free food
water supplies being copious in Gambella, Karuturi and healthcare services to non-employed locals, as
Global plans to construct its own irrigation and well as infrastructure to local police departments, and
energy infrastructure, rather than depend on an even manages a Kenyan football club. Alongside its
overtaxed government. social welfare and community development initiatives,
the company has provided schools, housing and
The question remains: Why Africa? For agro-based transportation facilities to its 3,000-strong workforce
corporations, the continent is opportunity-rich. The across Kenya and Ethiopia.
political and macroeconomic systems are stable.
Land, labour and export prices are relatively low. And For the world and its fragile food supply, Karuturi
in a world facing present-day and future food crises, Global hopes that everything will ultimately come up
Karuturi Global believes that investing in agriculture roses.
Karuturi Global
Industry Sector: Agriculture, Food & Beverage
Location: Bangalore, India
www.karuturi.com
Sai Ramakrishna Karuturi
Managing Director
Global Growth Companies I World Economic Forum I 23
Global Growth Company Success Stories
Kokusai Kogyo Group (KKG)
Behind Green Eyes and Green Vision
W
hat does Japan – and the rest of from its distinctive “perspective from the sky.”
the world – look like from above? But in response to the demands of an
Can an eagle-eyed environmental and energy age
perspective help accompanied by climate change, a
global society and governments spate of natural disasters and rapid
worldwide grow safe, secure,
KKG uses aerial IT evolution, KKG is pioneering a
community-oriented infrastructures photography and wholly new course. Using its cutting-
that put the environment, and high-resolution edge data capturing technologies to
human beings, first? satellite to adapt acquire a wide range of topological,
geological and oceanographic
its findings to help
One company strongly believes data, KKG has re-engineered
the answer is yes. Since 1947, prevent, or mitigate, its geographical and geospatial
publicly listed aerial-surveying future environmental information business into a “green
specialist Kokusai Kogyo Group emergencies across infrastructure” business, with the
(KKG) has been measuring
the globe. goal of creating a low-carbon,
everything from the continental disaster-resilient and, not least,
shelf to outer space. In the 60- people-friendly society.
plus years since its founding, KKG has come up
with a wide variety of solutions, serving areas Under the leadership of its dynamic Chief
ranging from city planning, disaster prevention Executive Officer, Sandra Wu, KKG has
and protection to environmental improvements, rededicated itself to developing and managing
green infrastructures on a
global scale, including solar
photovoltaic power plants
in Japan and Europe. “We
think it is the future,” says
Wu. KKG wants to do
more than simply maintain
and/or preserve the global
environment; it wants to
change it. Accordingly,
KKG has reorganized its
core businesses into three
synergistic segments. The
Geospatial Consulting
business uses cutting-edge
technologies to support
infrastructure development
and protect society from
24 I World Economic Forum I Global Growth Companies
natural disasters and environmental issues. From on disaster relief to the quake-hit area, KKG used
technical design to operation and management, the aerial photography and high-resolution satellite
second segment, Green Energy, leverages KKG’s images, tsunami disaster simulations, and analysis
expertise in renewable energy to develop, operate of geological surveys covering active faults and other
and manage solar photovoltaic power facilities, hazard sources. An equally essential company goal:
as well as to provide customized To adapt its findings to help prevent, or
renewable energy solutions to local mitigate, future environmental emergencies
communities. Finally, KKG’s Green "The private sector across the globe. This past spring, Wu
Property business is responsible joined more than 2,600 participants from
and our society rely
for private and public property and 168 countries in the United Nation’s Global
construction management with on each other – and Platform for Disaster Risk Reduction
solutions for energy preservation we know we have to in Geneva. As the only private sector
and promoting use of renewable build together with panellist among ministers and leaders of
energies, using its patented international NGOs, Wu drew widespread
the society."
geospatial technology and green attention and acclaim for arguing on
energy experience and expertise. behalf of what the private sector can bring
to national and local-level disaster risk reduction –
As it transitions to a future “Green Community”, namely expertise, experience and highly practical
KKG is today engaged in global environment-related solutions.
projects in more than 100 countries and developing
renewable energy power plants across the globe. Actively involved in the World Economic Forum, and
KKG plans on leveraging its track record in Europe one of the key players within the Forum’s Disaster
and Japan as a springboard for future expansion into Risk Partnership initiative, the experienced, Chinese-
Asia and other countries. “Our target has never been born Wu is one of the first Asian women to be named
just Japan,” says Wu. “Whatever we do, we can to the leadership of a Japanese company, a listed
introduce the Japanese experience to the rest of the one with more than 60 years history. While Wu avoids
world.” using words like “vision” or “mission,” she and her
company are both bursting with plans for the future.
KKG is also using its broad-based experience to help
the world avert future environmental disasters. In the “As far as renewable energy is concerned, this is an
wake of the Tohoku earthquake and tsunami, KKG important, even crucial, time for KKG,” says Wu. “We
set up an immediate response centre to provide up- want to make a contribution to society. The private
to-the-moment information to the central and local sector and our society rely on each other – and we
governments. Shouldering the cost, and focusing know we have to build together with the society.”
Kokusai Kogyo Group (KKG)
Industry Sector: Infrastructure & Urban Development
Location: Tokyo, Japan
www.kk-grp.jp
Sandra Wu Wen-Hsiu
President and Chief Executive Officer
Global Growth Companies I World Economic Forum I 25
Global Growth Company Success Stories
KPIT Cummins Infosystems
Making a Difference 2.0
T
he most dynamic ideas sometimes by over 35% and reduces greenhouse gas
spring forth at the least opportune emissions by over 30%. Designed to operate
times. in everyday urban traffic, Revolo is the only
technology in the world that can transform a gas-
In 2008, a KPIT Cummins engineer found guzzling passenger car into an environmentally
himself trapped in Mumbai rush hour traffic. mindful, fuel-efficient, high-performance hybrid,
Gazing out the window of his car without interfering with the original
at the carbon emissions choking equipment manufacturer (OEM)
the skies, he wondered: Could "We believe that the transmission configuration.
KPIT Cummins Infosystems, world of automobiles
a leading product engineering None of which should come as any
is at a major
and IT consulting company with surprise to the industry-shaping
a longstanding focus on the paradigm shift. KPIT Cummins, which dubs itself
automotive, manufacturing and With the Revolo, an engineer of “a smart and green
energy & utilities industries, come we were focused future, who drives sustainable
up with an innovative solution to
on coming up evolution through co-innovation”.
reduce carbon emissions without With its technology and domain
drivers having to trade in their
with an affordable prowess and approximately 6,500
automobiles for a new hybrid? and retrofittable employees, and driven by its
solution." philosophy of “green growth”, KPIT
Two years later, in collaboration Cummins partners with over 150
with Bharat Forge, Pune, India-based KPIT global manufacturing corporations, including
Cummins announced Revolo, an industry- original equipment manufacturers and Tier
shaping plug-in parallel hybrid solution for 1 companies. Through its industry-shaping
automobiles. In only four to six hours (the time expertise in architecting simple, dependable,
it takes to install the technology), car owners futuristic engineering and enterprise solutions,
can add the Revolo system to their engines, at the company helps its customers bring advanced
around one-fifth the price of currently available products faster to their target markets. Today,
hybrid automotive options, no matter what the KPIT Cummins has offices in 11 countries,
age of the vehicle, thereby saving on gasoline including China, the United Kingdom, India,
and reducing CO2 emissions. So far, in pre- France, South Africa, Germany, Japan, South
compliance tests the company Korea and the US.
has conducted, KPIT
Cummins has The Revolo is only the latest innovation for
found that the company’s research and development
the Revolo arm, the Center for Research in Engineering
technology Sciences and Technology, or CREST for short.
improves KPIT Cummins’ CREST team focuses on
fuel efficiency building capabilities to enable KPIT Cummins
26 I World Economic Forum I Global Growth Companies
to maintain its global leadership in selected niche juncture, the number of old cars on the road will
technology areas – among them innovating break- be greater than the new cars on the road. With the
through technologies in the areas of Revolo, we were focused on coming
green energy, automotives and high- up with an affordable and retrofittable
performance computing. Over the solution.”
years, the company’s investments Revolo is a
have paid off. KPIT Cummins has filed technology that Vehicles recharge their batteries through
over 35 patents, including 14 in the can transform standard external electricity sources –
fields of battery management, vehicle a gas-guzzling and are 80% cheaper when compared
safety and advanced driver assistance to competing hybrid car kits. As part
systems. The company is currently
passenger car into of the KPIT Cummins-Bharat Forget
at work developing cutting edge an environmentally joint venture, the company will train
technologies in the areas of multi- mindful, fuel- technicians on how to install the Revolo
core processors, implementation of efficient, high- into vehicles. The company is currently
vision primitives that are required for in conversation with numerous OEMs
performance hybrid.
development of the Lane Departure on offering Revolo as an OEM-fitted
Warning System, new technology for solution. Revolo technology is on track to
data parallelization, vision management and the likes. commence commercial production by 2013.
And, of course, there’s the Revolo. “We believe that If automobiles are part of a “mobility continuum”,
the world of automobiles is at a major paradigm in the words of Pandit, industry role model KPIT
shift,” says KPIT Cummins Chief Executive Officer Cummins is steering the world towards a cleaner,
Ravi Pandit, “and that they must become cleaner, more sustainable future.
safer and more sustainable.” He adds: “At every
KPIT Cummins Infosystems
Industry Sector: Information Technology (Automotive)
Location: Pune, India
www.kpitcummins.com
Ravi Pandit
Chairman and Group Chief Executive Officer
Global Growth Companies I World Economic Forum I 27
Global Growth Company Success Stories
LCY Chemical Corp. (LCY)
Chemical Reaction
“G
lobal Growth Company We hope that by attending this forum, other
Community members members can learn about LCY’s uniqueness.”
have the benefit of finding
new opportunities and The uniqueness of LCY is obvious to any
possible collaborations,” says Charles Wei observer. Founded in 1915, the company has
Financial Department Vice President. “Not to come a long way since its early origins as a
mention gaining advanced knowledge through forest products manufacturer. Evolving over the
exchanging experiences across industries. decades into a leading methanol derivatives
business – as well as the largest solvent
manufacturer in Taiwan – LCY is today a US$ 2
billion corporation that develops products and
services in solvents, plastic, rubber, electronic
material and solar green energy, with applications
related to human life and technology innovation.
Among the company’s highlights: LCY was the
first company to receive a licence to import
petroleum after the deregulation of the Taiwanese
petroleum market. It is the largest thermoplastic
elastomer manufacturer in the world. It is the
largest solvent manufacturer in Taiwan (as well as
the sole producer of electronic graded IPA and
Acetone in Taipei), and its revenues and profits
have grown 25 times over the past 18 years.
“We have established a multinational operation
through organic growth, joint venture and
acquisition,” says Charles Wei. “What makes
us distinctive? Our vision, focus and drive. We
have a well thought-out strategy, coupled with
the focus of our core competency including
28 I World Economic Forum I Global Growth Companies
operational excellence, EHS (environmental, health several initiatives in the areas of renewable feedstock,
and safety) commitment, quality enhancement, in order to reduce the consumption of petroleum.
and differentiated products and processes, not to And through process innovation, LCY has made its
mention our drive to success.” manufacturing process cleaner and more
efficient, thereby sharply reducing energy
That drive to success is due in part
"At LCY, we know consumption.
to LCY’s chairman of the board, MIT
that the competition
and Stanford-educated Lee Bowei, Today, LCY has four factories in Taiwan,
a leading executive in the Asia- is moving forward another four in mainland China, one in
Pacific region, whose father, K. K. fast, and that the Qatar, and a 10th one in the US. And
Lee, founded the company. Under only way to stay the company will continue growing and
his guidance, and thanks to its ahead of the game is innovating. “At LCY, we know that the
estimable safety and environmental via technology and competition is moving forward fast, and
record, LCY has made ongoing
innovation." that the only way to stay ahead of the
efforts towards sustainable game is via technology and innovation.
development. Says Charles Wei: “We Furthermore, we believe it’s imperative to
are responsible for our people and environment... In have the right people, capability and strategy. Thanks
our group, we have a company producing polysilicon, to our talented, motivated team, technological
which serves the solar energy market to decrease capability, well-defined strategy, we have a great
our dependence on petroleum, and thus reduces roadmap that will help us continue the growth of our
greenhouse gas emissions.” Moreover, LCY has company.”
LCY Chemical Corp. (LCY)
Industry Sector: Chemicals (Fertilizers)
Location: Taipei, Taiwan, China
www.lcy.com.tw
Lee Bowei
Chairman of the Board
Global Growth Companies I World Economic Forum I 29
Global Growth Company Success Stories
Lynas Corporation Limited
The Good Earth
Q
uestion: What do iPods, iPads, Brazil and other countries are scrambling to meet
smartphones, computer disc drives, what experts forecast will be heightened global
flat panel displays, lasers, hybrid demands, in an environment of unpredictable
cars, automotive supplies, and attendant soaring
catalytic converters, wind turbines prices (since the start of 2011, prices
and energy-efficient fluorescent "Steel is the bread of of rare earth metals have more than
light bulbs have in common?
industry. Oil is the quadrupled).
Answer: Each is in part or wholly
dependent on the presence
blood of industry. The good news? Sydney, Australia-
of rare earth metals, a set of Rare earths are the based Lynas Corporation Limited,
17 chemically similar elements vitamins." an ASX 100-listed company, is
embedded in the Earth’s crust poised to provide the first significant
that are crucial to high-tech global manufacturing new source of supply of rare earth metals to
and production. global industries outside of China when it begins
production in its new, state-of-the-art refinery in
China has long been the dominant supplier in Malaysia by the end of 2011.
the specialty metals industry, mining and refining
over 90% of today’s worldwide rare earth metals The foundation on which Lynas Corporation’s
market, despite having only 37% of proven strategy is built is Mount Weld, in the under-
reserves. Today, Australia, the US, Canada, India, populated outback of Western Australia,
30 I World Economic Forum I Global Growth Companies
renowned as the richest known deposit of rare earth protests from
metals in the world, and where a rare earth metals a segment
concentration plant has already begun operation. of the local
Nearly 2,500 miles away, close to the Malaysian Malaysian
industrial port of Kuantan, Lynas Corporation is community,
completing construction of one of the world’s largest which led to the
refineries for rare earth metals – the US$ 230 million, company strengthening technical
state-of-the-art Lynas Advanced Materials Plant and safety measures in the
(LAMP). It is the first rare earth metals concentrate plant, the new Lynas Corporation
processing plant constructed outside refinery boasts state-of-
China in almost three decades. the-art pollution control equipment and
Upon completion, Lynas Corporation radiation sensors, including roughly 12
expects the refinery to be able to meet "As far as our acres of impermeable storage pools
almost a third of the world’s demand personal computers that will contain the by-products with
for rare earth metals, not counting are concerned, the very low levels of naturally occurring
the Chinese market. Not least, it will radioactivity until disposal or recycling
world has become in concrete products or road-base.
have created a stable, fully integrated
source of rare earth metals from mine conditioned to size More to the point, Lynas Corporation is
through to market, along the way and colour – all of dedicated to transparent engagement
highlighting Lynas Corporation as an which require rare with both community and governmental
industry-shaping leader within the regulators. “If we are about a stable,
earths."
mining industry. sustainable future,” says Curtis, “our own
environmental footprint must be to the
Lynas Corporation Executive Chairman Nicholas highest available standards. We don’t want to export
Curtis notes that contemporary social trends – pollution.”
including digital convergence, the worldwide desire
for smaller, lighter, faster products, and widespread Nor is Lynas Corporation pausing for breath.
environmental concerns – will only increase in Recently, the company announced a joint venture
the future. “As far as our personal computers are with Siemens that will specialize in the production of
concerned, the world has become conditioned to high-powered rare earth magnets used in energy-
size and colour – all of which require rare earths,” efficient engines and wind turbines. But whether
says Curtis. Regarding the use of rare earth metals Lynas Corporation is providing raw materials for the
in hybrid cars, catalytic converters, wind turbines, creation and production of hybrid cars or energy-
energy-efficient light bulbs and other ongoing societal efficient light bulbs, the company sees itself less
currents, he adds, “No political system is going to as a mining company and more as a provider and
move backwards on emissions control. No one is industry-shaping leader of sustainability globally,
going to say, “Let’s be less energy-efficient.” while maintaining the highest possible environmental
standards. To this end, Curtis quotes an aphorism he
To this end, backed by its stated environmental borrowed from a Japanese colleague that he believes
promise of Zero Harm, Lynas Corporation is poised cogently sums up Lynas Corporation’s vision and
to redouble its transformative practices of leading reach: “Steel is the bread of industry. Oil is the blood
the way towards a stable, sustainable future. Despite of industry. Rare earths are the vitamins.”
Lynas Corporation Limited
Industry Sector: Mining & Metals (Rare Earths)
Location: Sydney, Australia
www.lynascorp.com
Nicholas A. Curtis
Executive Chairman
Global Growth Companies I World Economic Forum I 31
Global Growth Company Success Stories
MB Holding Company
Exploration and Production
F
irst established in Oman in 1982 as With its 6,500 employees from 51 countries,
MB Trading, subsidiary company MB family-owned MB Holding comprises four
Petroleum Services grew swiftly into one main businesses. The strategically located MB
of the largest, fastest-growing oilfield Petroleum services provides quality drilling and
services companies in the Middle East, with integrated well services, and is today one of the
operations and subsidiaries in over 20 countries. most successful global oilfield service providers
Thanks in no small part to its commitment to the in the region. As a “one-stop-shop” for oilfield
highest possible health, safety and environmental services and solutions, MB Petroleum has drilled
protection standards, today Oman-based MB and serviced over 10,000 oil, gas and geothermal
Holding Company has spread its business to wells. Petrogas E&P is one of the fastest-
include exploration and production of oil and gas, growing exploration and production companies
investments, engineering, manufacturing and in the region. It is the holding company for MB
trading, and mining and processing of minerals. Holding’s oil exploration and production interests
in Oman, India and Egypt. In only 10 years, the
Founder and Chairman Mohammed Al Barwani company has grown its oil production from a few
credits the success of MB Holding to “out-of- thousand barrels of oil per day (bopd) to more
the-box thinking – and the very best people.” than 50,000 bopd gross.
He adds: “People always think of countries such
as Germany as the chief exporter of technology Subsidiary Mawarid Mining is a successful mining
and services. Yet, we are an Omani company company in Oman. The company’s copper
that operates in Germany, China, Australia, New business operates several open pit copper mines
Zealand and elsewhere, and today competes on and also processes ore at its copper concentrate
the global stage.” facility in Oman. With strong in-house technical
32 I World Economic Forum I Global Growth Companies
capacity and expertise in exploration, drilling, project waste disposal, careful chemical handling and site
evaluation, mine planning, mining and processing, restoration at the conclusion of activities. Over the
the company is well positioned to rapidly assimilate years, the company has set up four environmental
new projects and opportunities. Mawarid Mining target areas: waste minimization and management,
plans to aggressively expand its project portfolio on pollution prevention, resource conservation and
the international stage. Finally, United Engineering energy efficiency. Subsidiary United Engineering
Services is one of the leading oil field services Services alleviates its carbon footprint by developing
companies in Oman, with customers including innovating methods to improve energy efficiency.
all major oil and gas companies in
Oman, from PDO to Halliburton and Despite MB Holding’s global reach and
Schlumberger Weatherfold. "Today, even to success, Barwani notes, “We are still
very much a family business. My wife and
As well as being an industry leader and
grow in your own I started this company and our children
a model for family-owned businesses, country, you need have joined in, and our employees reflect
MB Holding is unusual within its to be world-class. that family-owned spirit.” Explaining the
industry for its financial transparency. Even if you are a company’s dominance on the worldwide
Notes Barwani: “Very few Middle stage, he says simply: “Today, even to
local company, your
Eastern or family companies would grow in your own country, you need to
publish their financial information competition will be world-class. Success internationally
on their website or would be rated always be global." leads to better credibility in the domestic
by the agencies.” This transparency market, leading to more acceptance
increased in 2010, when MB and, eventually, growth. Furthermore,
Petroleum Services launched the first ever high-yield even if you are a local company, your competition
bond issued by any family-owned company. “As we will always be global. As an analogy, these
grew internationally, it was difficult to find a bank that days in any country, a local restaurant will
would fund our business in, say, Indonesia or Papua often be situated next door to, say, an
New Guinea,” says Barwani. “Going to the bond international fast-food chain – and
market was an ideal way to bring MB Petroleum the only way it can
Services to the capital markets.” compete is to be
more efficient than
MB Holding is also committed to high standards of its competition.”
environmental protection and pollution prevention.
The company’s guiding motto: protect the
environment by being proactive rather than reactive.
To this end, MB Holding pre-plans and manages
its oilfield operation with an emphasis on regulated
MB Holding Company
Industry Sector: Energy (Oil)
Location: Muttrah, Oman
www.mbholdingco.com
Mohammed Al Barwani
Founder and Chairman
Global Growth Companies I World Economic Forum I 33
Global Growth Company Success Stories
M+W Group
The Social Engineers
A
few months ago, the international integrated solutions, the corporation generated a
engineering and construction 2010 order intake of roughly 2.1 billion euros and
company M+W Group hit a new boasted revenues up 40% to nearly 1.8 billion
record within the photovoltaic sector. euros (divided roughly among Asia, Europe, the
By accepting a contract for a new solar cell Middle East, Africa and the Americas).
plant in Asia, the up-and-comer was the first
ever to exceed the 10-gigawatt mark for the Privately owned by the Austrian Stumpf Group,
design and construction of photovoltaic plants. the company supported many more “firsts” in
With a global market share of over 30%, 2010. By constructing a flat panel display plant in
photovoltaic is the second key industry (after mainland China, for example, the Group played a
semiconductors) where M+W Group is fostering critical role in expanding that industry beyond its
its world leadership in one of the predominant Taiwanese market. In
world’s most dynamic industries. the dynamically growing industry of
lithium-ion-battery manufacturing,
With its unique strategy of "We should do M+W Group was chosen as the
“entering at the peak of high-tech whatever we could to high-tech partner to complete the
demand and innovation, and then protect the climate, first large-scale new manufacturing
progressively driving the economic facility in Europe, and is today the
and also show that
upraise of that industry,” the preferred partner for multiple other
Stuttgart, Germany-based M+W it can be done in car and battery manufacturers.
Group has built up a formidable an economically
reputation as the leading global feasible way." Other markets on which the
engineering, construction and company has set its sights?
project management company in One focus is on medical devices
the fields of advanced technology facilities, life and healthcare, a sector where the company
science and chemicals, energy and environment is gaining significant momentum, especially
technologies, and various other high-tech across South-East Asia. The company is also
infrastructure. experiencing successful evolution in the field of
carbon-neutral power generation – beyond its
From concept development to solar and biogas expertise, M+W Group was
turnkey handover, M+W Group recently awarded its first major order to realize
now manages high-tech projects a leading-edge waste-to-energy project in the
up to 5 billion euros, ensuring United Kingdom. And thanks to its strategic
superior quality standards as investment in Schmid Silicon Technology, M+W
well as swift and cost-effective Group now covers the entire photovoltaics added
completion. With its more than value chain, from sand to solar power plants.
6,000 employees linking complex
facility demands with process Alongside that drive, social responsibility and
and automation technologies to sustainability have always been pillars of the
34 I World Economic Forum I Global Growth Companies
company’s strategy. In the 1990s, long before Xella, M+W Group is also a founding member of the
green thinking became trendy, the company built corporate trust “2 Degrees – German Companies for
its Stuttgart headquarters to become a model for Climate Protection”, whose common goal is to work
waste-reduction, energy efficiency and recycling. with science and society towards implementable
“Back then, we decided we should set a benchmark solutions for climate protection for the long term,
– that we should do whatever we could to protect beyond day-to-day business.
the climate, and also show that it can be done in an
economically feasible way,” says M+W Group’s chief In the future, the company plans to expand further
executive officer, Juergen Wild. “These initiatives only into emerging regions and markets, especially
continued when our company became a forerunner across Asia, the area of its greatest present-day
in the photovoltaic industry.” Then and now, M+W growth. CEO Wild brings up another commitment
Group’s headquarters feature sustainable solutions the company would like to explore in the future: “How
such as environmentally responsive materials and M+W Group can best contribute to food security
technologies, daylighting terraces, green roofs, programmes across the globe. Given our knowledge
gardens and energy management controls. about facility production sites in the nutrition market,
we could be a partner for the turnkey construction
M+W Group is an integral participant and founding of these kinds of facilities.” Given M+W Group’s
shareholder in the Desertec Industrial Initiative, a pioneering efforts in industry and social and climate
visionary cooperative effort that seeks to provide eco- protection over the past two decades, one has
friendly, secure and affordable energy to a significant little doubt the company will continue outpacing its
portion of the world’s population. And along with competitors and reshaping its industry as well as all
Deutsche Bahn, EWE, Otto Group, PUMA and the industries it serves.
M+W Group
Industry Sector: Infrastructure & Urban Development
Location: Stuttgart, Germany
www.mwgroup.net
Juergen Wild
Chief Executive Officer
Global Growth Companies I World Economic Forum I 35
Global Growth Company Success Stories
ReachLocal
Value Ads
I
magine for a moment the local Australian In contrast to the rules of traditional media
landscaper who turned a US$ 2,000 advertising, where a business bought ad space
investment into roughly 250 phone in a newspaper or on the radio with no verifiable
solicitations from customers and 2,700 way of measuring whether or not it worked
website impressions. Or the New York City outside word-of-mouth, ReachLocal’s founding
podiatrist who, for a budget of US$ 3,000, innovation was its ability to measure real-time
ended up with 68,169 website impressions, 600 consumer engagement. “Local businesses
website visits, and nearly 100 new phone calls. live and die by the phone call,” explains Zorik
Gordon, ReachLocal’s co-
In 2004, small and medium-sized founder, president and chief
businesses (SMBs) were in a jam. executive officer. “We asked
In contrast to the
The Internet was capturing a huge ourselves: How can we track
percentage of ad space once rules of traditional the actual phone calls that
colonized by offline media, including media advertising, our technology platform was
print and radio spots. Search ReachLocal’s delivering?” The answer:
engines and social networking were
founding innovation ReachLocal’s Reverse Proxy
evolving in scale and sophistication. Technology, which permits the
Consumers of all ages were hunting
was its ability company to track, and even
down products and services online. to measure real- record, customer interactions.
Businesses and advertisers – most of time consumer “That allowed us to come back
whom didn’t altogether understand engagement. to our local businesses and
the Internet – weren’t sure what to do, tell them precisely how many
or how, exactly, to do it. There were phone calls they received,” says
practical issues, too; what doctor, dentist, florist, Gordon. “Delivering ROI and proving it to the
contractor or appliance retailer had the time and local business is, and was, the foundation of our
sophistication to figure out how to best advertise business.”
locally?
ReachLocal’s locally-based Internet marketing
This is when Woodland Hills, consultants, or IMCs, evaluate the needs of
California-based ReachLocal a local business, then customize marketing
jumped in with a transformative campaigns based not only on those needs,
idea: to bring together advertisers, but also on pre-existing proprietary data about
publishers and solutions onto a other successful, similar ad campaigns. Is an
single proprietary technology platform. Then SMB interested in devoting its budget to search
as now, the company’s role was to serve as engine marketing? Display advertising? Social
an essential intermediary between small and media? Banner ad design? Video production?
medium-sized bricks-and-mortar businesses and Assisted chat servicing? What’s more, unlike
the fragmented world of the Internet. offline advertising mediums, a business can enjoy
36 I World Economic Forum I Global Growth Companies
an ongoing personal relationship with its IMC while standalone review Bizzy publishes fuels the site’s
gaining an ongoing education in reaching customers recommendation engine, enabling consumers to
online. find the best places to eat, shop and play based on
others with similar tastes. In 2011, ReachLocal also
Today, ReachLocal is a publicly traded corporation expanded its suite of offerings by acquiring the daily-
on NASDAQ and headquartered in Woodland Hills, deal platform, DealOn, which will give the company a
California, with over 1,300 employees operating direct centre-stage presence in the popular deal-of-the-day
sales offices in 54 cities across the US, Australia, market with its product ReachDeals.
Canada, Germany and the United Kingdom. The
company is a Google Global Premiere Partner and, By continuously exercising its potential to disrupt
together with Google, will export its suite of industry- the value chain, displace incumbents and rewrite the
changing technologies into additional world markets. rules of its industry, ReachLocal has been ranked
on numerous prestigious lists, including being
As the world goes more and more mobile – a “big recognized as among the most successful media
access disruption,” notes Gordon – ReachLocal is companies in the US as well as among the fastest-
prepared to confront increasing convergence with growing technology companies in North America.
the roll-out of Bizzy, a mobile app that lets customers By exporting its reach to a worldwide stage, the
“check out” from the places they frequent, including company’s membership in the Global Growth
restaurants, retailers and entertainment venues, while Company Community can only enhance its compass,
uploading ratings, reviews and photographs. Every range and influence.
ReachLocal
Industry Sector: Media, Entertainment & Information
Location: Woodland Hills, USA
www.reachlocal.com
Zorik Gordon
President and Chief Executive Officer
Global Growth Companies I World Economic Forum I 37
Global Growth Company Success Stories
Serum Institute of India
A Shot of Hope
T
heir products have been used in enormous numbers of vaccines and has added
140 countries across the globe. The hepatitis-B, rabies and others to its list of
company has touched countless products, it has simultaneously expanded its
millions of young lives; in philanthropic reach. Nowadays, the
fact, two out of three of the world’s company brings its products not
children have used one or more A philanthropic just to protect Indian children but
of their products. The company’s also to millions of underprivileged
business model can
chairman and managing director, children in developing markets
Cyrus Poonawalla, was quoted maintain a healthy across the world. Serum Institute of
once as saying that he reaches bottom line while India sells some 80% of its products
more children across the globe providing coverage to groups such as UNICEF, the
“than Coca-Cola or Pepsi could
and global reach to World Health Organization (WHO)
ever hope to reach up to the age and the Pan-American Health
of 10.” All thanks to a deceptively
untold millions of Organization – and is the largest,
simple product: a vaccine. customers. lowest cost, most reliable WHO
pre-qualified vaccine producer in
From its early days in 1966, when vaccines the world for the measles and measles-rubella
were a luxury for Indian children, the mission of combined vaccines, as well as for the diphtheria,
furthering the health of children in developing pertussis, tetanus, and hepatitis-B combined
countries has been at the core of the Serum vaccines.
Institute of Health’s business model. In the
years after its founding, the company began Serum Institute of India
manufacturing abundant lower-cost, life-saving also has a formidable
vaccines targeting tetanus, diphtheria, pertussis, history of philanthropy.
measles, mumps and rubella – “for less than the The company has
price of a cup of tea,” in Poonawalla’s words –
helping to eliminate India’s reliance on imported
medicine. Today, Pune, India-based global heath
and healthcare champion Serum Institute of India
is India’s number one biotech company, and the
fifth largest manufacturer of vaccines and other
immunobiologicals by volume in the world (behind
GlaxoSmithKline, Sano-Aventis, Merck and
Novartis).
The company’s dictum: Progress is not only
about how we grow. It is about how we make
a difference in the lives of others. As Serum
Institute of India continues to manufacture
38 I World Economic Forum I Global Growth Companies
donated roughly 23 million doses of the measles- company has already seen several million doses
rubella vaccine to countries such as Laos and successfully used in the region, at less than 50 cents
Uzbekistan, while supplying nearly 20 million doses a dose.
at a 50% discount to the Philippines
in conjunction with WHO/UNICEF. The company’s ongoing success
Chairman Poonawalla has urged other "Progress is not only proves that a philanthropic business
large pharmaceutical manufacturers
about how we grow. model can maintain a healthy bottom
to follow the Institute’s “philanthropic line while providing coverage and
pricing policy” on behalf of the world’s
It is about how we global reach to untold millions of
underprivileged children. What’s more, make a difference in customers. As Poonawalla notes, if
over the last several years, the Serum the lives of others." companies were judged not on their
Institute of India has worked alongside market cap but on the number of
partners to develop a new meningitis A vaccine to people whose lives they positively affect, Serum
help redress outbreaks in the sub-Saharan region, Institute of India would be among the biggest, most
one with the potential to provide users with long- valuable businesses in the world. As things stand
lasting immunity. According to Poonawalla, the today, it is still among the world’s most admired.
Cyrus S. Poonawalla Serum Institute of India
Chairman and Managing
Director
Industry Sector: Healthcare
Adar C. Poonawalla
Executive Director Location: Pune, India
www.seruminstitute.com
Global Growth Companies I World Economic Forum I 39
Global Growth Company Success Stories
TAK Agro
People-Fuelled Agriculture
A
s the most populous country in Africa combined capacity of more than a million tons
– as well as the world’s eighth largest annually, thus ensuring TAK Agro’s status as the
nation – Nigeria is fertile and abundant single largest blender capacity in West Africa.
with natural resources. And with the Yet, as the TAK Agro managing director Amritpal
help of recent reforms, the country’s history of Singh Walia says, “The real innovation is wanting
corruption and unrest has given way to economic to do something beneficial, and believing that
growth and optimism about the future. this is a way to succeed in this region.”
Among the nation’s leaders and champions is Why fertilizer? For one thing, fertilizer increases
TAK Agro, a company that over the past decade crop yields. Fertilizer promotes biodiversity.
has become a dominant force in the West Correctly applied, fertilizer can increase farmers’
African fertilizer industry. (TAK Agro’s products disposable incomes while enhancing food
are so widely used that some parts of Nigeria security. Not least, in a country marked by
colloquially refer to fertilizer as “TAK.”) Privately widespread poverty, where roughly 65% of the
held TAK Agro is an agricultural conglomerate population works within the agricultural sector,
that, from early on, has consistently innovated the UN Development Programme estimates that
in every step of the agri input supply chain, from every dollar that is invested in agriculture yields
fertilizer raw material imports and production to two dollars in increased crops, leading to yet
irrigation systems. Today, the corporation owns another three dollars in synergies within the non-
five fertilizer-blending plants in Nigeria, with a agricultural sector.
40 I World Economic Forum I Global Growth Companies
In a nation with a complex history, “the question was, In an effort to buttress its position as the most
‘How do we go straight to the farmer and circumvent dependable agricultural supplier in sub-Saharan
a public sector system that was open to abuse?’ We Africa, TAK Agro will continue acquiring warehousing
had to use people power – which was a new thing and logistics capacities, thereby permitting the
for many Nigerians,” recalls Walia. company to have a completely internalized, reliable
production chain – free from supply chain swings and
TAK Agro understood full well that to develop fluctuations. Moreover, the company has acquired a
alternatives, they first had to create high-capacity phosphate fertilizer plant,
the private market by engaging and which experts believe will play a critical
educating local farmers. Working By giving power role in ensuring the region’s future
alongside NGOs, TAK Agro is prosperity, and is in line with TAK Agro’s
to local farmers,
establishing small model farms across philosophy of impact investing and
the country, teaching farmers about the TAK Agro helps to valuing its company and actions via the
elements of tilling, seeding and growing, alleviate poverty triple bottom line approach – investing
and the benefit of optimally balanced and to enhance in people, the plant and profit.
soils. Understanding that among the
societal cohesion
key problems that farmers face include TAK Agro has been a member of the
the costs of land clearing and a scarcity and stability, which, GGC Community since 2011 and widely
of fertilizers and tractors, TAK Agro ultimately, leads to involved in the World Economic Forum
distributes the land among the local agricultural self- on Africa. The Nigeria-based directors
population, ensuring that small-scale sufficiency. are responsible for TAK Agro’s local
farmers organize cooperatives to ensure operations, while other international
competitive pricing for their products. offices coordinate global procurement
As the company and the farmers clear and prepare and operations. But as the management points out,
the land, TAK Agro provides water, tools and tractors. the company’s success is much larger than fertilizer.
(The company owns TAK Tractors, Nigeria’s leading “Our ultimate innovation is not in, say, creating a
tractor assembly and distribution company, with one-kilogram bag of fertilizer. The real innovation
service centres scattered throughout the country.) is taking a new approach to business and realizing
Down the line, local farmers can then engage in that, by involving, educating and
TAK’s Farmer Market Support Program, selling their investing in the local communities
produce directly to strategically located TAK Agro- and end-users, thereby creating
owned storage facilities that, in turn, resell produce in your market, you can develop a
bulk to commodity exchanges. sustainable business. That is
our innovation.”
By giving power to local farmers, TAK Agro helps to
alleviate poverty and to enhance societal cohesion
and stability, which, ultimately, leads to agricultural
self-sufficiency. “Problems can only really be solved
by the private sector,” says Walia. “If the private
sector sorts itself out, it can fix the majority of global
problems.”
Amritpal Singh Walia TAK Agro
Managing Director
Industry Sector: Agriculture, Food & Beverage
Location: Lagos, Nigeria
Global Growth Companies I World Economic Forum I 41
Global Growth Company Success Stories
TOTVS
All for One
I
t’s no coincidence that the word With more than 26,000 active clients and 5,000
“TOTVS”, pronounced Totus, is derived direct employees, plus 4,000 people at their
from the Latin word meaning everything exclusive channel of distribution, in 23 countries
and everyone. With its 48.6% market including Mexico, Argentina and Portugal, the
share in Brazil alone (34.5% across Latin 27-year-old Brazilian-based corporation is a
America), TOTVS is the largest application leader in the development and sales of integrated
software company in emerging countries, and business management software and related
the sixth largest company in application software service provisions. TOTVS is extraordinarily
in the world. Across Brazil and Latin America, the multifaceted, offering a wide portfolio of vertical
company serves just about everyone. solutions and value-added services such as
consulting, infrastructure and business process
Says José Rogério Luiz, the company’s former outsourcing (BPO) to industries as varied as
executive and financial vice-president and today agribusiness, financial services, manufacturing,
a member of its Strategy Committee: “Latin health, education, logistics, legal and retail.
America is the only region in the world where
SAP and Oracle are smaller than us, and where “Our main focus – that is to say, some 80% of
TOTVS is the industry leader.” He adds that, our sales – is on companies with sales between
“historically, people don’t pay as much attention R$ 10 million to 2 billion,” says Luiz. Unlike most
as they should to smaller companies. But as software companies, he adds, the offices of
TOTVS shows in Latin America, you can be a TOTVS are located not just in the obvious cities
leader in a very competitive market.” – Rio de Janeiro, São Paulo – but in small towns
across Brazil and Latin America. “We are the
McDonald’s of software,” Luiz says with a laugh.
And TOTVS continues its remarkable evolution.
From 2008 to 2010, it was the only corporation
among the six biggest global players in
application software to show two-digit organic
growth, in this case an average annual growth
of 21%. The company closed the first semester
42 I World Economic Forum I Global Growth Companies
of 2011 with a net profit of 11.5% above IS10, company’s goal: to offer an increasing array of
amounting to R$ 69.96 million, and with net revenues personalized software solutions for all its markets,
of 16.9 percent above 1S10, amounting R$620.214 while remaining mindful of the specific challenges
million. (representing the company’s 22st consecutive and legal compliances pertinent to each sector. As
trimester of growth). a result, customers large and small are
freed up to focus entirely on their core
Committed to spearheading the TOTVS is the businesses, while outsourcing all their
consolidation of its sector, TOTVS largest application operational procedures to TOTVS.
has acquired over the years several
software company in
critical competitors in Brazil, including Another key factor contributing to
Logocenter, RM Sistemas and Datasul, emerging countries, TOTVS’s growth is its business model.
in the process significantly increasing and the sixth TOTVS is the only enterprise in its
both its portfolio and its vertical largest company in segment with 58 distribution channels
operations. “We provide technology,
application software in Brazil, and an additional 16 across
distribution – and we pay attention the international market. Thus, the
to a company’s legacy,” says Luiz. in the world. company is able to operate on three
“Companies are proud of their own Across Brazil and business fronts pertaining to software:
processes, which is why we try to adapt Latin America, the licensing, service and maintenance.
our product to the client, and not the company serves just In sum, its business model is
other way around.” customized to help small and mid-sized
about everyone. corporations – and emerging markets
TOTVS is also the only Latin American in general – become more competitive
company with a proprietary technology platform that around the world.
it uses while developing its software solutions – and
it possesses operational expertise in the following If anyone disputes the increasing prominence of
10 segments: legal, financial services, distribution Latin America and information technology in general,
and logistics, retail, education, construction and they need only look ahead to the 2014 World Cup
projects, manufacturing, agribusiness, health and and 2016 Olympics in Brazil. By succeeding in its
services. Within each segment, TOTVS has created ongoing mission to equip the companies it serves
a discreet intelligence unit. Among other activities, with a bridge to the corporate social network of the
these units are charged with elaborating operational future, TOTVS shows it is more than poised for the
strategy, maintaining relationships with the market, spotlight.
identifying strategic partnerships, and communicating
material facts and information to each sector. The
TOTVS
Industry Sector: Information Technology
Location: São Paulo, Brazil
www.totvs.com.br
Laércio José de Lucena Cosentino
Chairman and Chief Executive Officer
Global Growth Companies I World Economic Forum I 43
Global Growth Company Success Stories
Trina Solar
Sunny Skies
A
s the world’s first Global Growth developing a sustainable global
Company Industry Shaper in the PV industry.
solar sector recognized by the World
Economic Forum, Trina Solar Limited The company’s performance has been
has a long, illustrious and ongoing history as a exemplary. According to the 2011 global PV
solar photovoltaic (PV) pioneer. industry sustainable growth index report, Trina
Solar ranked in first place worldwide. In a
An internationally recognized manufacturer of separate survey, the Solar Scorecard 2011 world
mono- and multicrystalline photovoltaic modules, ranking for PV Manufacturers’ Toxics Coalition,
publicly traded Trina Solar has morphed into which measures product recycling, green job
an industry bellwether since its founding in creation and corporate transparency, named
1997. Trina Solar’s high-quality PV modules Trina Solar number two. In the context of its
provide clean, dependable solar electric power membership in the Global Growth Company
to on-grid and off-grid residential, commercial, Community, Trina Solar looks forward to sharing
industrial and utility-scale applications around its practices of green growth and sustainability
the world. Attracting investors ranging from across a broader international platform.
Milestones Capital to Merrill Lynch and with sales
and marketing offices and installation partners Trina Solar researches, develops and
throughout Asia, Europe and North America, manufactures its ingots, wafers, cells and solar
Changzhou-based Trina Solar is committed to modules at its facilities in Changzhou, and
improving the competitiveness and efficiency of then sells them across all major PV markets
solar energy en route to leading the way towards worldwide, including in Germany, Italy, USA,
44 I World Economic Forum I Global Growth Companies
France and Japan. Trina Solar also successfully which provide cutting-edge equipment with the latest
targets emerging PV markets such as Israel, technology for the company’s high-quality production
Malaysia, India and Australia. The company has facilities. Just last year, says Jeffrey Fan, Trina Solar
been growing steadily, evinced by its construction provided solar panels to the Belgium Pavilion on
of China’s first PV model house, 40 standalone PV behalf of the 2010 Shanghai Expo, and, as part of
power stations in Tibet, and the largest-ever 20-KW the United Nations Millennium Development Goals,
PV power station in Jiangsu province. teamed up with the UN Environment
Programme and the Earth Institute
According to Jeffrey Fan, Director of of Columbia University to provide off-
Communication, Trina Solar’s vertically
Trina solar’s grid solar systems to African countries
integrated business model has pioneering rainbow that lack grids and are badly in need of
established an industry benchmark. curve allows electricity. In the company’s 2010 fourth
The company has evolved beyond a the company to quarter report, Trina Solar reported
traditional “smile curve” – which focuses sales of 1.06 GW, with net revenues of
continuously
on original equipment manufacturers US$ 1.857 billion.
(OEM) while other players along the ensure high-quality
value chain control branding and products and In its own backyard, Trina Solar has
technological innovation – by adopting processes along the devoted significant time and resources
instead a “rainbow curve,” which
entire integrated to dramatically reducing both electricity
combines superlative R&D, world- consumption and pollution caused by
class, high-quality and low-cost value chain, while its own manufacturing processes, and
manufacturing, and global branding all maintaining one installed anti-pollution equipment at
under one roof. By combining ingots, of the lowest cost facilities around the globe to reduce,
wafers, cells and modules all on one structures in the treat and recycle manufacturing waste.
campus, this pioneering rainbow curve
allows Trina Solar to continuously
industry. As Trina Solar is innovative,
ensure high-quality products and passionate and responsible as well
processes along the entire integrated value chain, as committed to further reduce costs by innovating
while maintaining one of the lowest cost structures integrative system solutions along the value chain
in the industry. Moreover, to date, the company to downstream businesses, it’s no coincidence that
has roughly 150 patents for technical innovations, the company’s logo comprises two colours: blue,
including producing silicon ingots and wafers by representing the sky, and a red dot, mirroring the
using a portion of reclaimable silicon raw materials to vast energy of sun. “Trina”, after all, is a transliteration
reduce the reliance on polysilicon. of the original Chinese name (TianHe). means “sky,”
or “heavens,” while means “combine harmoniously”.
Today, Trina Solar’s growing global presence has Trina Solar’s continuing mission is to leverage
expanded to include offices in Zurich, Madrid, advanced photovoltaic technology to keep bringing
Munich, Milan, San Jose, Seoul, Tokyo, Sydney, the sky’s most abundant resource, the sun, to
Beijing and Shanghai. Trina Solar has long-term customers around the world in the form of clean,
partnerships with leading equipment suppliers in reliable solar electricity.
Switzerland, Italy, Germany and the United States,
Trina Solar
Industry Sector: Energy (Photovoltaic modules)
Location: Changzhou, People’s Republic of China
www.trinasolar.com
Gao Jifan
Chairman and Chief Executive Officer
Global Growth Companies I World Economic Forum I 45
Global Growth Company Success Stories
Vingroup
Room for Growth
V
ietnam has come a long way since the Established in 2002, and publicly traded since
economic and humanitarian hurdles 2007, Vincom has quickly established itself
it witnessed during the mid-1970s. as the largest player in Vietnam’s property
Over the past decade, the country’s development market. Vincom develops, leases
economic growth has been among the world’s and sells high-quality retail, residential and mixed-
healthiest and steadiest. In 2010, Vietnam’s GDP use properties in major urban city centres. Over
growth rate exceeded forecasts by reaching the years, the company has launched a massive
6.78% – the first year Vietnam achieved a GDP number of mixed-use and high-end real estate
greater than US$ 100 billion. Foreign direct projects in large cities across Vietnam, including
investment continues to hold strong. And thanks Vincom Center Hanoi, Vincom Center B Ho Chi
to current government policies supporting Minh City and countless other projects currently
economic liberalization and modernization, under development.
industry experts predict the country will continue
to flourish, with a potential growth rate of roughly Established in 2001, and publicly listed in 2008,
10% annually. Vinpearl is the largest tourism and hospitality
company by market capitalization. The company
Hanoi-based Vingroup, the holding company is the developer and manager of Vinpearl Nha
of Vincom Joint Stock Company and Vinpearl Trang Resort & Spa, Vinpearl Luxury Nha Trang
Joint Stock Company, is one of the industry- and Vinpearl Amusement Park on Hon Tre Island,
leading corporations helping to give Vietnam its and Vinpearl Luxury Da Nang in Da Nang City –
contemporary dash and dynamism. all high-quality, integrated hospitality and resort
complexes in prime
locations in key tourism
destinations.
Driven by a young,
ambitious and
highly experienced
management team,
Vingroup’s diversified
business lines
encompass everything
from hotel management,
eco-tourism and resorts
to apartment, office
and retail leasing; and
spas, golf courses
and beachfront villas
to the development
and management of a
46 I World Economic Forum I Global Growth Companies
number of five-star and five-star-plus resort projects the Group
– and even Vinpearl amusement park, the largest has spent
recreational park in Vietnam. billions of
Vietnamese dongs (VND) on social contributions
Vingroup is well situated for future growth, thanks that benefit the poor, the infirm and families of the
to a growing Vietnamese middle class, a younger war-wounded. In 2006, Vingroup also established
demographic with increasing disposable income, the Kind Heart Foundation, the first social fund
and the company’s strategic focus on the upper mid- established by a Vietnamese enterprise to benefit the
end segment of the residential market. Not least, community for charitable and humane purposes. To
Vietnam’s 2011 property market is highly date, the Kind Heart Foundation has
ranked for its level of attractiveness to donated tens of billions of VND annually
foreign investors in emerging markets. "From management to schools, poverty-stricken and elderly
To continue growing its revenues, citizens, and disaster-stricken regions.
down to employees,
Vingroup intends to leverage its And in the wake of the 2009 typhoon,
strengths in the high-end real estate what sets us apart which displaced 150,000 residents
sector by strategically focusing on is that we are of central Vietnam and destroyed
leasing large, mixed-use developments determined to get unnumbered properties, Vingroup
that generate recurring revenues, on
things done. We are launched a VND 5 billion relief fund to
sales of the residential components at help victims and rebuild flood-ravaged
projects located in prime locations and tough, and we have properties.
on developing high-end resorts. high standards."
“We don’t advertise how much we
Asked to explain the group’s success, Vice- give away,” notes Thuy. “But for us, the benefits
Chairwoman and Chief Investment Officer Le Thi are twofold. First, we are able to give back to the
Thu Thuy notes that Vingroup typically accomplishes community and to people who need help. And
in 22 months what takes other companies three second, since many of our management team
to five years to build. “From management down and employees came from humble backgrounds
to employees, what sets us apart is that we are themselves, we don’t want people to sit in their
determined to get things done. We are tough, and offices and forget about their own roots. Above all,
we have high standards.” while we are an international company, we feel it is
our duty to focus on the betterment of our society.”
Another factor that sets Vingroup apart from its
rival is its commitment to Vietnam’s social welfare.
Believing that business has to develop in conjunction
with humanitarian, social and charitable activities,
Vingroup
Industry Sector: Infrastructure & Urban Development
Location: Hanoi, Vietnam
www.vincom.com.vn
Le Thi Thu Thuy
Vice-Chairwoman and Chief Investment Officer
Global Growth Companies I World Economic Forum I 47
Global Growth Company Success Stories
WISeKey
Brand New Key
C
arlos Moreira is nothing if not art, military-grade specialized security and digital
prescient. Back in 1999, the identification technologies, WISeKey’s ongoing
WISeKey chief executive officer saw mission statement is succinct: “to facilitate and
that the Internet was hip. It was enable the mass use of secure digital identities in
snappy. It was game-changing. Obviously, it was everyday life.”
user-friendly. But there was one big downside:
the Web’s security infrastructure was porous From the beginning, WISeKey engaged in early,
and ill-equipped for stable, secure transactions. complex and high-end applications, including
“We knew one day this would be a real working alongside the Swiss government to
problem,” Moreira recalls. “The question was, secure airtight political e-voting from personal
while maintaining a cool, open infrastructure, computers, and partnering with Microsoft on
how could we start developing reliable security its Citizen Service Platform, which enables
solutions?” local, regional and national governments to
allow citizens and enterprises to identify and
Geneva, Switzerland-based global e-security authenticate themselves across borders and
leader WISeKey (WIS stands for World Internet multiple identity systems and cloud services.
Security) is dedicated to restoring the universal Then as now, WISeKey subsidiaries also solve
right to privacy and anonymity – or at the advanced e-security issues for organizations
very least the right to choose when and how in sectors ranging from defence and health to
to entrust others with personal, identifiable education and finance. And last year WISeKey
information. By providing governments, made news by announcing plans to collaborate
businesses and individuals with state-of-the- with venture capital firm WI Harper on developing
business opportunities in China on behalf
of telecommunications and e-commerce
businesses.
Today, though, it’s not only industries and
governments that need to secure data. Thanks in
large part to social networking, individuals want
to protect and own their private information, too.
Says Moreira: “If the highway a car is travelling on
is not secure, then you need to secure the car.”
Which is why, over the last five years, WISeKey
has also migrated “from an haute couture to a
prêt-a-porter platform”, in Moreira’s words. The
goal: to help users migrate from an obsolete,
password-based infrastructure to a digital identity
encryption-based one.
48 I World Economic Forum I Global Growth Companies
WISeID is a downloadable, theft-proof application divided among
that stores and accesses a person’s usernames, the club, the network
passwords, PINs, account numbers, bank and provider and WISeKey.
credit card details, frequent flyer programmes,
rewards points, and other user credentials, creating WISeKey’s continuing growth and global leadership –
a single, standalone digital identity. This way, every the company recently finalized the construction of a
single identity and contact detail is traceable to a second high security data centre in Bilbao, Spain, in
single person, and his or her mobile addition to the one it has already built
device. Lost your smartphone? You in Geneva and the one in operation in
are the only one who knows your WISeKey’s industry- the Swiss Alps – is due in no small part
credentials. Moreover, a copy is stored defining technology to its dynamic chief executive officer.
on an encrypted cloud under the user’s As an early participant in the evolution
control. With the personal data stored
platforms help bring of the Global Growth Company (GCC)
safely in WISeID, individuals regain the identity back to Community, Moreira dubs WISeKey’s
privacy they had all but forgotten was where it belongs: in alliance with the GGC as one of the
their right. the individual’s own company’s “most relevant milestones”,
one that he says has benefited the
hands.
Moreira is particularly excited about company in countless ways, not least in
WISeKey’s partnership with football terms of international exposure. “As we
club Real Madrid and its use of WISeID on behalf of travel around the world to regional meetings,” says
its 600 million fans worldwide. As one of the world’s Moreira, “the interaction between WISeKey and all
leading emotional brands, Real Madrid recognized these different sectors, from health to e-government
that its enormous and devoted fan base needed to banking and technology, has brought our outreach
a dependable way to establish a trusted online to new dimensions. It’s been exciting to see the
community – and called upon WISeKey to create a connections between WISeKey and global growth.”
proprietary digital identification platform to monetize
both the content and the interactions with fans. Humans are so enamoured with the digital revolution
“Unlike with Facebook, the digital identity belongs that it is easy to forget that one of its downsides is
to you, the individual, the fan, and not to the service the erosion of anonymity. WISeKey’s industry-defining
provider,” says Moreira. Not least, Real Madrid technology platforms help bring identity back to
shows that security can be monetized via advertising where it belongs: in the individual’s own hands.
and rewards programmes, with the proceeds evenly
WISeKey
Industry Sector: Information Technology
Location: Geneva, Switzerland
www.wisekey.com
Carlos Moreira
Chairman, Chief Executive Officer and Founder
Global Growth Companies I World Economic Forum I 49
Global Growth Company Success Stories
Yida Group Co. Ltd
Promoting Green Growth
Y
ida Group is one of the Founding Founded in Dalian in 1984, Yida Group is a large-
Members of the Global Growth scale enterprise group focusing on real estate
Company Community. For the past development, the operation and management
five years, company executives have of software parks, IT consulting services, IT
participated in each of the Forum’s Annual education and training, and cold chain logistics
Meetings of the New Champions in China – and (among other things). But the core business of
the company has been an active, engaged and the Yida Group is real estate. Over the years,
committed member of the Community. Along Yida Group has created over a million square
the way, Yida Group, the largest developer metres of development each year in cities ranging
of software parks in China, has grown at an from Shenyang to Beijing and Tianjin. What is
impressive pace across the global stage. the Yida Group’s most notable development?
Dalian Software Park, which is today considered
“Yida is a corporation that dedicates itself to the most “competitive” software park in China.
social responsibilities,” says ShanBao Hongkui, A major recipient of Japanese and Korean
Vice President of Yida Group. “That is the core foreign investment, Dalian has become one of
dynamic which enables Yida to be an urban the top information technology and business
operation provider rather than a real estate processing outsourcing destinations in the world.
developer.” With tenants from 42 Fortune 500 companies,
50 I World Economic Forum I Global Growth Companies
including IBM, Hewlett-Packard, Accenture, But it is in the
Panasonic, Sony, Hitachi, Oracle and Fidelity, the area of corporate
Dalian Software Park has the highest rate of foreign- citizenship and
invested enterprises in the nation. green technology
that Yida Group
Yida Group strives to create the best possible living has become an industry-shaping global leader.
and working spaces based on what the company Believing that “enterprise lives for society”, Yida
dubs “the harmonious coexistence of humans and Group has been devoting itself over the past 26 years
nature, industry and environment”. Carrying out to public welfare and corporate citizenship. In 2009,
its mission of “innovate life” through in response to a state-proposed low-
“delicacy, modernity, affinity and taste”, carbon and green economy, Yida Group
Yida Group’s corporate aesthetic Yida is a corporation helped create Dalian BEST (biodiversity/
encompasses exquisite architecture,
that dedicates emerging/science/technology) City –
beautiful environments and seamless an innovation marked by the perfect
services. The secrets of its success
itself to social alliance of “ecology, technology and
are industrial innovation, system responsibilities. That innovation”. Thanks to Yida Group’s
breakthroughs and management is the core dynamic efforts, this “ecological version of
innovation. For example, in the Dalian which enables Yida Silicon Valley”, in Bao’s words, will bring
Software Park, business and living are together technological innovation, top
to be an urban
integrated. With schools and hotels industry and advanced eco-friendly
sharing space with hospitals, the operation provider development, affording cutting-edge
Software Park combines business with rather than a real convenience to its residents. Thanks
recreation. It is also one of the first estate developer. to high-end infrastructure and service
software parks to offer clients value- functions, the BEST City has become a
added services, such as outsourcing centre for sustainable development.
BOT support, talent training, headhunting and a lot
more. Clearly, Yida Group’s Chairman Sun Yinhuan took
to heart what he heard in Davos over the past three
In 2006, Yida Group incorporated Dalian YIDATEC years – that the green economy underpins the
Co., which has become one of the leading IT relaunch of global economic growth. “Yida’s vision is
solutions & services providers in China. Among Yida to be a leading, modern, international and ‘evergreen’
Group’s subsidiaries are the Dalian Neusoft Institute company,” says Bao Hongkui, “and we believe that
of Information, today the largest software talent our collaboration with the Global Growth Company
developing base in China, and Yida Construction Community is a great step towards that goal.”
Engineering, which focuses on the construction of
both commercial residential buildings and industrial
buildings.
Yida Group Co. Ltd
Industry Sector: Infrastructure & Urban Development (Real Estate)
Location: Dalian, People’s Republic of China
www.yidagroup.com
Sun Yinhuan
Chairman of the Board
Global Growth Companies I World Economic Forum I 51
Global Growth Company Partners and Industry Shapers
Global Growth Company Partners
Global Growth Company Partners are among the most influential and successful companies within their industries.
These companies are well respected in their home markets and have grown successfully beyond their borders since
inception. GGC Partners are exceptionally committed to the mission of the World Economic Forum and contribute
actively to the Forum’s projects and initiatives.
Angermayer, Brumm & Lange Investors Germany
Banco Compartamos Banking and Capital Markets Mexico
Boodai Corporation Multi-Industry Kuwait
BSE LTD Banking and Capital Markets India
Genpact Professional Services India
Globis Corporation Education Japan
Home Instead Senior Care Healthcare USA
IDEO Professional Services USA
illycaffè Agriculture, Food & Beverage Italy
International Bank of Azerbaijan Banking and Capital Markets Azerbaijan
International Personal Finance Professional Services United Kingdom
Kentaro AG Media & Entertainment Switzerland
Monex Group Banking and Capital Markets Japan
Moser Baer India Multi-Industry India
Neusoft Corporation Information Technology and Electronics People’s Republic of China
OTKRITIE Financial Corporation Banking and Capital Markets Russian Federation
Saigon Invest Group Real Estate & Urban Development Vietnam
SBI Holdings Banking and Capital Markets Japan
Sekunjalo Investment Investors South Africa
The Kuwaiti Danish Dairy Company Consumer Industries Kuwait
Yida Group Co. Ltd Infrastructure & Urban Development People’s Republic of China
Global Growth Company Industry Shapers
Global Growth Company Industry Shapers are exciting new companies from around the world that have demonstrated
strong potential to disrupt the value chain, displace incumbents and transform their respective industries.
Industry Shapers are an integral part of the Global Growth Company Community. They play an important role in
shaping specific industry issues and contributing to the Forum’s programmes and projects through their innovative
approaches.
Accretive Health Healthcare USA
Aecon Group Infrastructure & Urban Development Canada
Better Place Automotive USA
comScore Inc Information Technology and Electronics USA
Current Group Energy – Smart Grid USA
Enso Capital Management Investors USA
Gamesa Corporación Tecnológica Renewable Energy Spain
GridPoint Energy – Smart Grid USA
Grupo ABC Media, Entertainment & Information Brazil
Kokusai Kogyo Group (KKG) Infrastructure & Urban Development Japan
Lynas Corporation Limited Mining & Metals Australia
NetQin Mobile Inc Telecommunications People’s Republic of China
SPX Corporation Energy USA
Technogym Retail and Consumer Goods USA
TIBCO Software Information Technology and Electronics USA
Trina Solar Energy People’s Republic of China
VeriFone Holdings Telecommunications USA
Wyse Technology Information Technology USA
Global Growth Companies I World Economic Forum I 53
Annexes
Global Growth Company Community Agenda
The Global Growth Companies, as a major World Economic Forum community, participate in many of the Forum’s
foremost events including:
The Annual Meeting of the New Champions. As the flagship event of the Community, the Annual Meeting of the
New Champions is a privileged occasion for peer-to-peer interaction and networking with outstanding industry leaders
and experts from academia and the business world.
Regional meetings. Held on five continents, region- and country-specific events constitute an excellent opportunity
to contribute to regional issues and explore local growth opportunities.
World Economic Forum Events 2011
14-16 September Annual Meeting of the New Champions Dalian,People’s Republic of China
World Economic Forum Special Meeting
21-23 October on Economic Growth and Job Creation in Dead Sea, Jordan
the Arab World
12-14 November India Economic Summit Mumbai, India
World Economic Forum Events 2012
16-18 April World Economic Forum on Latin America Mexico
9-11 May World Economic Forum on Africa Addis Ababa, Ethiopia
30 May-1 June World Economic Forum on East Asia Bangkok, Thailand
10-12 September Annual Meeting of the New Champions Tianjin, People’s Republic of China
World Economic Forum on Europe
October TBC
and the Middle East
5-7 October India Economic Summit New Delhi, India
In addition, Global Growth Companies have the privilege of participating in community private events held throughout
the year. Exclusively reserved for Global Growth Company Community members, these modules are the occasion to
address the unique needs and opportunities of Global Growth Companies through peer interaction and to reaffirm
community links.
54 I World Economic Forum I Global Growth Companies
Executive Summary – Redefining the Future of Growth: The New Sustainability
Champions
With the global population expected to reach 9.1 billion by 2050 and with rapid
economic growth in emerging countries, pressure on the planet’s ecosystems will
continue to increase. By 2025, Brazil, China, India, Indonesia, South Korea and the
Russian Federation will account for more than 50% of the world’s economic growth. Redefining the Future of Growth:
The New Sustainability Champions
Population expansion drives increasing demand for the basic necessities of
water, food and energy. Moreover, economic growth will reinforce expectations
and aspirations for a better life among the world’s newest consumers. Alternative
approaches to growth and development will be essential to meet the basic needs
and ensure a minimum well-being of the emergent middle classes, as well as to
protect the environment.
In collaboration with The Boston Consulting Group
With these concerns in mind, the World Economic Forum’s Centre for Global Growth
Companies partnered with The Boston Consulting Group to explore how emerging
market growth companies create innovative and profitable solutions to drive growth while positively influencing their
regions’ sustainability.
The report, Redefining the Future of Growth, identifies and studies 16 emerging market companies that share a
unique mindset and set of best practices – called the New Sustainability Champions.
Based in countries such as Costa Rica, Kenya, Brazil, India and Egypt, these companies provide inspiring examples
for any corporation around the world interested in tackling the challenges of performance, innovation, growth and
sustainability.
Specifically, the New Sustainability Champions:
1. Proactively turn constraints into opportunities through innovation
2. Embed sustainability in their company culture
3. Actively shape their business environments
Moreover, they demonstrate superior financial performance when benchmarked against their peers.
The mindset, practices and business models of these Champions offer critical insights for emerging market
businesses, established multinationals and governments. They could provide multiplier effects and create the basis
for replication and extension among companies operating in emerging markets. They also serve as a starting point
for redefining the future of growth: a growth that is robust and efficiently binds all elements of sustainability together –
economic, environmental and social.
The full report can be downloaded at www.weforum.org/nsc
Global Growth Companies I World Economic Forum I 55
Acknowledgements
This report was prepared by the World Economic Forum’s Centre of Global Growth Companies headed by Jerry Yu.
Jiaoli Chen and Marjorie Buchser oversaw and co-led the creation and development of this report.
Writer: Peter Smith
Editors: Fabienne Stassen and Helena Halldén
Design and Layout: Kamal Kimaoui
Designer: SilverMoon Ad. (Beijing) Co., Ltd.
Global Growth Companies I World Economic Forum I 57
Photo Credits
Page 4 Page 23
Copyright Accretive Health Copyright Karuturi Global
Page 6 Page 24
Copyright Banco Compartamos Copyright Kokusai Kogyo Group
Page 8 Page 28
Copyright Beijing Redbaby Info-Tech Copyright LCY Chemical Corp.
Page 10 Page 30
Copyright Better Place Copyright Lynas Corporation Limited
Page 12 Page 32
Copyright Celulosa Argentina Copyright MB Holding Company
Page 13 Page 35
Copyright Celulosa Argentina Copyright M+W Group
Page 14 Page 42
Copyright du Copyright TOTVS
Page 16 Page 44
Copyright IDEO Copyright Trina Solar
Page 19 Page 46
Copyright Illycaffè Copyright Vingroup
Page 21 Page 48
Copyright Indika Energy Copyright WISeKey
Page 22 Page 50
Copyright Karuturi Global Copyright Yida Group Co.Ltd
58 I World Economic Forum I Global Growth Companies