RISK TREND
DIVERSIFICATION AND
AGRICULTURAL INDUSTRY RISK
Risk Events
� Input pillar risk mitigation over the past few years with diversification
opportunities pursued such as Staalmeester, KLK Landbou
and Falcon.
Description
Senwes is exposed to limited growth opportunities, especially
in the local agricultural sector. The company and industry could
achieve a level of maturity that could increase the difficulties of
volume and profit growth.
Mitigation and Control
Senwes continues to work on a rolling 10-year strategy. The focus
of our strategy is diversification, horizontal integration and local
consolidation, increased investment in efficiencies in the value
chain, business unit integration, joint venture repositioning and
externalisation.
The reduction of risk in the current business models and geographical
exposures therefore remains a high priority.
Opportunities
� Upscaling through consolidation and/or expansion to
ensure critical mass as well as value synergies which will
position the group for growth and long-term survival.
� Diversification and/or externalisation into new markets or
lower risk jurisdictions.
� Development and roll-out of solutions that will ensure
growth in the client base (addition of new clients) and an
increase in the share of clients’ wallets spent across the
Senwes Group.
� Optimise value chain participation through investments
aimed at increasing efficiencies.
Strategic focus areas triggered
� Diversification, horizontal integration and consolidation.
� Internal integration of the customer.
� Reorganisation of business models.
� Unlocking value synergies.
� Increased investment in efficiencies within the value chain.
� Externalisation.
For more info on the group strategy see p. 44
92 ROOTED IN AGRICULTURE