Philips Consumer Lifestyle Drachten

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					Philips Consumer Lifestyle
More than 60 years at the forefront of innovation and production!
2   Philips Consumer Lifestyle Drachten
Royal Philips Electronics NV                              4

Philips Consumer Lifestyle                                7

Philips Consumer Lifestyle Drachten                       8
      - High Impact Innovation Center                   10
      - Innovation Domestic Appliances                  12
      - Innovation Personal Care                        14
      - Shaver production                               16

Are you going to be part of our next success?           18

                                                Philips Consumer Lifestyle Drachten   3
                     Royal Philips Electronics NV
                     A consumer-centric and marketing-oriented
                     organization focused on health and wellbeing
                     Philips Consumer Lifestyle Drachten is part of Royal Philips Electronics NV, one of
                     the largest companies in the field of health, lifestyle and technology worldwide. As a
                     consumer-centric and market-oriented organization, we develop meaningful products
                     that improve people’s health and wellbeing. With our products, we want to contribute to
                     a healthy and comfortable life for consumers. By health we do not just mean the medical
                     aspects of health: staying fit, healthy food and a healthy lifestyle are just as important.
                     Sustainability and corporate social responsibility are also high up on our list of priorities.

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Our brand promise:
sense and simplicity
In a world where complexity increasingly touches every aspect of our daily lives,
we will lead in bringing sense and simplicity to people by providing innovative
solutions that are advanced, easy to use, and designed around the needs of all
our users.

Sense and simplicity is our brand promise and inspires us in everything we do. It
inspires us to:
• Develop meaningful solutions that meet the needs and wishes of consumers.
• Use the latest insights and technologies to offer a better solution.
• Create solutions that are user friendly as well as advanced.

Investment in innovation and design                                Sectors
Philips belongs to the top 50 of global brands. It has leading     Philips employs well over 119,000 people worldwide.
positions in many markets in the fields of health, consumer        Its head office is located in Amsterdam. With health and
lifestyle and lighting. Well over 50,000 registered patents,       wellbeing as the company’s spearheads, Philips supplies
36,000 registered trade marketing and 63,000 design                the professional and consumer markets with products
rights illustrate the company’s innovative nature. To ensure       from three overlapping sectors: Healthcare, Lighting
that we keep this leading position in the market, we will          and Consumer Lifestyle. Philips Drachten is part of the
continue to offer people meaningful innovations and will           Consumer Lifestyle sector.
continue to make substantial investments in development.

                                                                                                Philips Consumer Lifestyle Drachten   5
                     Sustainability is a key focus at Philips. We aim to minimize our ecological footprint, and
                     this does not only apply to our products, production and purchasing, but also to our
                     processes and the communities in which we operate. We use our expertise to simplify
                     complex worldwide issues, such as the growing need for greater efficiency in energy
                     consumption and healthcare, by developing sustainable solutions for consumers and
                     professional users in all markets.

                     All Philips products go through an EcoDesign process in which the consequences for the environment
                     are considered in terms of energy consumption, hazardous substances, recycling, weight and lifetime.
                     Philips’ environment-related procedures are audited by an independent party every year and the results
                     are laid down in the annual sustainability report. Philips also stimulates education programs aimed at
                     energy saving solutions. The company also strives to provide better healthcare at lower costs all over
                     the world, including in such emerging markets as China and India.

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Philips Consumer Lifestyle
Products that bring comfort to people’s lives
Philips Consumer Lifestyle wants to improve the quality of people’s lives through the
timely introduction of meaningful innovative lifestyle products. We achieve this, for
instance, by:

• Having intensive contacts with end users to gain profound insights into the needs
  and wishes of consumers.
• Translating these insights into innovations through the collaboration between
 different disciplines.
• Learning fast and limiting costs by determining the added value in the early stages
  of the development process.
• Playing a leading role in ‘Open Innovation’ by working closely together with partners
  inside and outside Philips.

                                                                      Philips Consumer Lifestyle Drachten   7
    Philips Consumer Lifestyle Drachten
    More than 60 years at the forefront of innovation
    and production
    Philips Drachten is part of the Consumer Lifestyle (CL) sector. With more than 2000 employees
    with 35 different nationalities, Philips CL Drachten is one of CL’s largest development and production
    centers in Europe. We develop many innovative, consumer-oriented products that make life more
    comfortable for the global market. These products include coffeemakers, vacuum cleaners, hot air
    fryers and energy lamps. Philips CL Drachten has also been the development and production center
    for Philips shavers since 1950. Here we manufacture the most sophisticated Philips electric shavers.

    Millions of people across the world use our products every day.         Continuous innovation
    The reason for this success: our ambition to make high-quality          Innovation is the common theme in our business processes.
    products that excite people and that are among the best in their        We are continuously working on new, innovative products and
    class. We fulfill this ambition by collaborating in multidisciplinary   the improvement of our processes. We do this together with
    teams that are consumer-oriented, open-minded towards the               suppliers and knowledge centers.
    outside world, constantly looking for improvements, and prepared
    to go the extra mile every day.

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         Examples of these innovative products are the
         Wake-up Light which enables people to wake up
         more pleasantly, the SENSEO® coffee machine which
         offers a path-breaking new way of enjoying one cup
         of delicious coffee, the SensoTouch 3D which is our
         best shaver ever, and the airfryer which uses the highly
         innovative ‘Rapid Air Technology’ to prepare delicious
         snacks without oil.

Our organization
The organization of Philips CL Drachten                                   Despite the great diversity of activities, we present ourselves as
                                                                          one site. The 1Dracht& program plays an essential role in this: it
comprises the following parts:
                                                                          is the major starting point in all our activities. With 1Dracht&, we
                                                                          strengthen the synergy between various groups and functions.
• High Impact Innovation Center                                           This has big advantages, as close collaboration allows us to make
                                                                          optimal use of each other’s knowledge and skills. The 1Dracht&
• Innovation Domestic Appliances
                                                                          program also extends the career opportunities for employees.
• Innovation Personal Care                                                Because so many different activities take place on our site,
• Shavers production                                                      employees can easily make a career step by transferring to another
                                                                          job or product group on the same site. This enables them to gain
• Supporting services, such as IT
                                                                          valuable experience and to develop themselves. This makes Philips
                                                                          CL Drachten a highly dynamic and challenging work environment.

Warm welcome
We develop our products in close collaboration with Consumer Marketing and Design. Philips CL Drachten also contributes to sales
promotion and the opening up of new markets. We do this first of all by producing high-quality products and delivering them very fast.
We regularly receive managers and representatives from sales organizations and chain stores on our site. Our site is also regularly visited
by government officials, politicians and journalists. All guests can count on a warm welcome from an enthusiastic team that gives fascinating
presentations and offers interesting tours.

                                                                                                                Philips Consumer Lifestyle Drachten   9
                      Philips Consumer Lifestyle Drachten

                      High Impact Innovation Center:
                      Development of path-breaking pioneering technologies
                      Philips Consumer Lifestyle’s technological know-how is largely concentrated in Drachten,
                      for instance in the High Impact Innovation Center (HIIC in short). HIIC is the ‘laboratory for
                      future Consumer Lifestyle products’. This innovation center is at the basis of many high-tech
                      innovations that have to lead to new, meaningful products for consumers.

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HIIC                                                             Open Innovation
Well over one hundred highly educated engineers and              Using the ‘Open Innovation’ principle as its starting point,
specialists work intensely on the predevelopment of new          HIIC collaborates closely with other leading sectors,
advanced technological solutions. They are closely involved      commercial partners and suppliers. Research universities,
in function and product development. The HIIC experts            universities of applied sciences, engineering agencies
have an academic degree in a relevant subject from a             and scientific research centers inside and outside the
research university or a bachelor’s degree from a university     Netherlands are also part of the open innovation
of applied sciences and are specialized in such disciplines as   network. As Philips Consumer Lifestyle’s research center,
metal forming, plastics, decoration, electronics and applied     HICC is like a spider in a web. Thanks to the exchange of
chemistry. They closely follow all major technological           knowledge and the close collaboration with partners,
developments that may be important to Philips CL. This           HIIC is able to come up with trailblazing innovations.
keeps Philips CL always at the forefront of innovation.

                                                                                              Philips Consumer Lifestyle Drachten   11
                      Philips Consumer Lifestyle Drachten

     Domestic Appliances
                      Domestic appliances
                      of the future
                      How will we vacuum clean our home five years from now?
                      What will be the successor of the SENSEO® coffee machine?
                      What innovative and affordable appliance to purify water and
                      air will be required, not only in the West but also in the rest
                      of the world?

                      Innovation Domestic Appliances (IDA) is looking for answers
                      to these and many other questions. IDA is an innovative think-
                      tank responsible for the function and product development of
                      small domestic appliances.

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Innovations that IDA came up with include the airfryer           Strong together
equipped with the path-breaking ‘Rapid Air Technology’,          ‘Open Innovation’ is also the guiding principle at IDA.
Senseo and espresso machines, vacuum cleaners,
                                                                 The development engineers collaborate intensely with
water purifiers, air cleaners, and the Perfect Draft home        internal and external partners, such as HIIC, Innovation
draft beer dispenser. The specialists at IDA also develop        Centers in Asia, SaraLee (Douwe Egberts), suppliers, and
numerous other household appliances, such as electric            scientific institutes.
kettles, toasters, irons, deep fryers. Approximately 120
employees work on function and product development,              Supply
product research, testing and verification, lifecycle support,   IDA manages a supply chain with over 20 production and
and quality.                                                     supply centers all over the world. The two most important
                                                                 production centers are in Poland and China. Supply
                                                                 consists of Supply Management, Purchasing, New Product
                                                                 Introduction (NPI) and the Model Shop.

                                                                                              Philips Consumer Lifestyle Drachten   13
                      Philips Consumer Lifestyle Drachten

                      Innovation Personal Care
                      Male Grooming and Vitalight
                      Innovation Personal Care develops the new generation of Male Grooming products
                      (shavers, trimmers and body groomers) and Vitalight products (energizing light products).
                      Each innovation needs to hit the bull’s eye. Innovative products also call for fast execution.
                      The time between idea and realization has to be as short as possible to stay ahead of
                      the competition.

                      Philips Shavers: wet and dry electric shaving                market leader in electric shaving since the 1960s.
                      Every day, millions of men all over the world use an         Philips has a market share of more than 50%. We would
                      electric shaver. There is every chance that they are using   like to maintain this position. That is why we closely
                      a Philips shaver. Together with its sister factory in the    track consumer wishes and continue our search for
                      Chinese city of Zhuhai, Philips CL Drachten is one of the    ever more perfection with ‘cutting edge technology’.
                      largest and most modern electric shaver manufacturers        Our products keep up with time and each new
                      in the world. All Philips shavers are developed in           generation is a response to changes in consumer wishes.
                      Drachten. All over the world Philips shavers are known       We want to exceed these wishes by offering even
                      for their perfect shaving sensation. Philips has been        better performance, more comfort, modern designs
                      manufacturing shavers since 1939, and has been the           and plenty of options.

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               Close to the skin
               What do consumers experience?

               With Male Grooming appliances we come very close to the skin of consumers. Safety,
               comfort and performance come first during development. All products are extensively
               tested in our Product Research Center. The effects on skin and hair are checked with
               highly sensitive instruments. We establish how the shaving performance can be further
               improved and how consumers experience our products. The test results help us to
               continuously improve our products and adjust them even better to consumers’ wishes.

Beard trimmers, hair clippers, and body groomers
Men increasingly feel a need to express themselves    Whether they want a smoothly groomed face,
through styling. Instead of seeing shaving and        a clear-cut hairline or total hair removal: the
grooming as a necessary evil, they regard it as a     grooming products developed in Drachten
form of self-expression. Shaving and styling are      cater to all consumer wishes. Developers
often combined: for instance by wearing a macho       keep a close eye on consumers and
stubble beard during the weekend, while sporting a    their wishes. This enables them to
closely shaven face during the week. Men feel freer   create advanced and easy-to-use
and more inclined to express themselves through       products that comply with the
their appearance. Philips wants to provide them       latest trends.
with the right products to do so!

                                                      Vitalight - for a comfortable life
                                                      Relaxation, vitality, pain reduction and making life more pleasant: those are
                                                      the key concepts for Vitalight. In Drachten, the department develops and
                                                      tests a wide variety of products, ranging from the Wake-up Light to the
                                                      Energy Light and InfraCare.

                                                      Vitalight’ products bring sunshine into people’s homes. The Wake-up Light
                                                      allows people to wake up naturally by imitating a sunrise. This results in a
                                                      more pleasant waking-up experience. Other well-known top products of
                                                      Vitalight are the InfraCare infrared lamps and the Energy Light, which uses
                                                      light to give more energy during the dark winter months.

                                                                                                        Philips Consumer Lifestyle Drachten   15
                      Philips Consumer Lifestyle Drachten

                      Shaver production
                      World-class production center
                      The shaving heads and shavers developed and manufactured in Drachten have been
                      successfully distributed and sold all over the world for many years. Our development
                      and production processes are characterized by great flexibility, high quality, continuous
                      improvement and the lowest possible costs. Our employees work as one close-knit team
                      that continuously goes the extra mile to deliver top performance at world-class level.

                      Flexible production process
                      In 1950, Philips founded a factory for the production      way for mechanized and even fully automated production
                      of electric shavers in Drachten. There have been lots of   methods. This helped us keep our costs down and stay
                      developments since then. Manual work has largely made      competitive. Big challenges like these are just our thing.

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High standards
A shaver consists of various parts that are nearly all made in house,
such as shaving heads, trimmers, plastic parts and power supplies.
Next these parts are combined with the greatest possible precision
to create complete, high-quality shavers. Our production processes
have been arranged in a way that ensures the delivery of perfect
quality. Only shavers that meet the highest standards will be released
for delivery to our customers.

Innovative production techniques
Developing an innovative product is one thing, but mass producing
such a product is a different story. Philips CL Drachten has the
expertise to ensure that its production processes run smoothly.
To achieve this, we use the latest technologies in the fields of
electrochemical processing, metallurgy, robotized production
processes, insert molding, and decoration. The production process
is supported from start to finish by modern logistic management

High speed
Our production process is very fast. When we receive an
order from one of our sales organizations or a large chain
store, we can produce and deliver the requested shavers
within a few days!

Simply Philips
The entire production process is geared towards maximum
performance and minimum waste of raw materials, time and energy.
Small intermediate stocks, thorough quality checks and automated
production systems guarantee high-quality output. Each employee
contributes to the continuous improvement of our processes.

Care for people and environment
During the production of our shavers, we pay close attention to the
environmental impact of our processes and the working conditions
for our employees. Our site meets all occupational health, safety and
environment standards. Safety, health, energy efficiency, recycling and
waste control are at the top of our list. Water and air are cleaned
with modern purification plants to prevent pollution and odor
nuisance. Philips takes its responsibility on this point, and even goes
a little further than is required by law. Care for people and the
environment are also part of being a world-class production center!

                                                                          Philips Consumer Lifestyle Drachten   17
                      Are you going to be part
                      of our next success?
                      We offer employees a challenging environment in which they have plenty of opportunities
                      to develop themselves and to make use of their talents. We value our people because
                      they are the basis for our success. Their initiatives and efforts enable us to exceed
                      consumer expectations.

                      Thanks to its size and versatility, Philips CL Drachten can offer excellent internal
                      training and career opportunities. We also regularly offer research and work
                      experience internships.

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Would you like to work in a dynamic,
international high-tech organization and
contribute to the development, testing and
production of top products that are sold all
over the world? Go to
to apply for a job.

                                                Philips Consumer Lifestyle Drachten   19
Philips Consumer Lifestyle
Oliemolenstraat 5
9203 ZN Drachten

Postbus 20100
9200 CA Drachten

Tel.   +31 512 59 91 11
Fax    +31 512 53 13 25
                                    July 2011

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