To meet the new challenges of our fast-moving markets, we have defined a 5-pillar strategy that puts our customers first and focuses on innovation in our products, solutions, and industrial processes.
3 major challenges for the construction industry
LafargeHolcim is evolving in a fast-moving business environment. Our construction and building materials industry is impacted by three major market trends:
- Population growth and rapid urbanization: By 2020, it is projected that the global population will reach approximately 7.7 billion and the number of people who live in or around urbanized areas will rise by 1 billion from today’s levels. This rapid growth during the 21st century is driving an increased demand for affordable housing and infrastructure as more and more people live in or around urbanized areas.
- Increasing demand for value-added products and services from building materials companies: Competition among building materials companies is no longer based only on prices and the ability to deliver cement. To differentiate, we need to offer innovative, user-tailored products and solutions that improve the quality of buildings (e.g., environmental properties, aesthetics, and durability) and reduce the cost of construction or of ownership lifecycle. We also increasingly offer global services and solutions to building companies.
- Resource scarcity and climate change: our industry must create sustainable, resource and energy efficient materials and manufacturing processes.
Innovation at LafargeHolcim
For LafargeHolcim, innovation is a never-ending cycle. We introduce innovations at all levels of our operating cycle to drive transformation of our business, with the ultimate goal of serving our customers the best possible way, whatever their needs. This encompasses:
- Developing integrated market solutions and construction systems for key accounts, for sustainable construction and high performance applications.
- Creating new businesses, as in waste collection, handling, and management.
- Introducing industrial and logistics innovation for improved efficiency and mastery as well as reduction of our own energy footprint.
- Exploring digital innovation, such as “big data,” automation revolution, and building information modeling software.
- Inventing new ways of selling our products and solutions.
- Pushing for open innovation and partnering with experts, start-ups, and academic organizations.