UPM consists of six separate business areas. Our business areas are competitive, with strong market positions and a leading financial and sustainability performance. Five of these business areas operate in healthily growing markets.
The business model change has yielded benefits:
- Transparency and accountability – commercial strategies, benchmarking, target setting, incentives
- Cost competitiveness – agility, improved efficiency, optimised sourcing
- Growth – focused investments with attractive returns and clear competitive advantage
Capturing corporate benefits
UPM group aims to add value to its businesses and stakeholders with:
- Competitive and sustainable wood sourcing, forestry and plantation operations
- Value adding, efficient and responsible global functions
- Continuous improvement (Smart) programmes
- Technology and intellectual property rights
- A global platform to build on
- Disciplined and effective capital allocation
- Compliance with applicable laws and regulations and corporate policies
Decision making on the right level
Each business area is responsible for executing its own strategy and achieving targets. Group direction and support from global functions enable the businesses to capture benefits from UPM’s brand, scale and integration, while navigating the complex operating environment. Capital allocation decisions are made at group level.