Management Philosophy

Our vision is to create world-class solutions in sustainable energy means an interaction between economy, social factors and the environment.

The Management Philosophy is summarized in Our Business Principles and Our Values.

Our Business Principles

Our management philosophy is deeply rooted in eight basic ideas that constitute the foundation of all our operations and create the conditions for our continued success.


Although our top priority is profitability, which is essential to our ability to operate, we will never compromise on our values to achieve it.


Our attitude is that long-term profitability can only be based on respect for legislation, honesty, good relations and transparency. Our business principles are available in 20 languages.


Our business principles are available in 20 languages.

Our Values

Our values are an important part of our management philosophy and our corporate culture, and they emphasise that we want to act as a responsible company in relation to the people near us, our external stakeholders and the environment.


Our values are firmly rooted in our long and proud tradition of responsible entrepreneurship.


We work consistently to communicate our core values to all employees in the Group.


Our values are available in 20 languages.

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Our Business Principles

Our vision is to create world-class solutions in sustainable energy. We want to combine strong and sustainable growth with good profitability. Through this we increase value for our shareholders and create the conditions for continued good long-term development.

Our management philosophy is based on success factors for growth through profitability and responsibility. The basic concepts are gathered under the term Our Business Principles. In a successful company there cannot be any compromises regarding issues such as profitability, quality, sustainable development and social responsibility. Being familiar with NIBE's Business Principles is important to all of us. This applies whatever your position in the Group.

I am convinced that Our Business Principles must give you necessary support in your everyday work. It is the everyday and practical application of these principles that creates the conditions for sustainable value creation within NIBE.

Gerteric Lindquist

Business concept

International expansion built on responsibility and sustainability.

Vision

Our vision is to create world-class solutions in sustainable energy.

Business idea

Our business idea is to offer the market sustainable, high quality, innovative and energy efficient products and system solutions within the three different business areas.

The basis for this is the NIBE Group's wide expertise within product development, manufacture and marketing.

Objectives

Our overall goal is to combine strong and sustainable growth with good profitability and create value growth for the shareholders.

We must also be an interesting and developmental workplace for the employees and have happy and secure customers.

Our operations must be characterised by transparency and responsibility.

The Group has four economic objectives;

  • The growth must average 20 percent per year, of which half should be organic and half acquisition
  • Return on equity must, over a business cycle, amount to at least 20 percent.
  • The equity ratio in the Group must not be less than 30 percent.
  • Operating profit for respective business area must, over a business cycle, amount to at least 10 percent of turnover.

Our success factors

Our management philosophy is based on eight basic ideas that create the power for continued expansion through profitability.

Knowledge of our management philosophy is extremely important for both new appointments and an acquired unit in order to understand the company spirit and culture within NIBE.

1. Strong profitability

  • is the most important and basic condition for long-term success and continuous growth
  • is and always has been NIBE's tradition
  • is and always has been NIBE's tradition
  • gives freedom and independence
  • creates job satisfaction and security for the employees and attracts new ambitious employees
  • assumes efficient use of energy and materials and a comprehensive approach to environmental and social aspects.

2. High productivity

  • is vital for good competitiveness
  • the productivity philosophy is based on it being possible to continuously improve everything and what cannot be measured cannot be improved
  • variable wage system based on time measurement creates good productivity, high time efficiency and fair wages
  • time measurement also creates the right conditions for correct calculations, sound investment documentation and the opportunity for follow up.

3. Proactive product development

  • is a condition for continued good organic growth and breaking into new markets
  • quickly converts the customer requirements to the best solutions for each given market situation
  • gives conditions for good production economy
  • focus must be on energy efficient and environmentally adapted products that contribute to reduced climate impact and sustainable development.

4. Quality throughout – customer-centric focus

  • our customers must always have full confidence in our company, products and employees
  • we must be a safe and constructive partner
  • we must be pioneers in quality issues
  • we must have certified management systems for quality and the environment at our production facilities
  • we must have high availability and a professional attitude
  • our environmentally adapted products must contribute to reduced costs and reduced environmental impact for our customers
  • our successes must also benefit the customer through value for money products
  • a NIBE customer must always be satisfied.

5. Market-oriented expansion

  • continuous expansion is absolutely essential for the development of the company
  • the combination of good organic and well judged acquisitional growth is the best way to maintain the vitality of the organisation
  • breaking into new markets must be well prepared and consistently carried out.

6. Focus on three core operations

  • creates both internal and external clarity
  • spreads risk and gives reasonable risk exposure
  • the concentration means constantly improving expertise, which in turn gives an analytical advantage, not least with acquisitions
  • there are very large international expansion opportunities for all three of NIBE's business areas

7. Dedicated employees

  • simple organisational forms and operational leadership create commitment
  • common values and a clear Code of Conduct guide us in our daily work
  • high requirement for honesty and straightforward messages create clarity
  • managers must set a good example
  • all employees must have the opportunity to develop
  • initiative combined with modesty and common sense are the ideal conditions for job satisfaction at NIBE.

8. Long-term

  • accountability, durability and continuity win in the long-term
  • reorganisation only occurs after thorough testing
  • our constant striving to establish long-term relations both internally and in the outside world creates a long-term, sustainable operation
  • continuity of ownership allows maximum focus on the operations and guarantees independence.

Our responsibility

Overall responsibility for the application and follow up of Our Business Principles lies with the Group President and CEO who delegates the practical, daily work to each legal entity within the Group.

All managers must act in such a way that their behaviour works as a model on the issue of the application of the principles.

More information

If you work within the Group you can find Our Business Principles, Our Values, policies, guidelines and checklists on the Group intranet, one.nibe.netexternal link.

Our Business Principles are available in a large number of languages. NIBE's annual report and sustainability report give information on how we realise Our Business Principles in our work.

We refer external stakeholders to www.nibe.com where they can access Our Business Principles, Our Values, Code of Conduct, relevant policies, the annual report and the sustainability report.

Our Values

Our vision is to create world-class solutions in sustainable energy means an interaction between economy, social factors and the environment.

By following Our Values you contribute to NIBE's sustainable development and the global change to a sustainable society. I am convinced that you will make a first class contribution wherever you are in the world.

Gerteric Lindquist

NIBE takes responsibility

Our sustainable value creation supports international initiatives.

By delivering long-term sustainable value to our customers, we are also able to maintain good profitability and help achieve the global development goals.

In line with our operational priorities and our assessments of where we can assert influence, we have chosen to work mainly with 6 of the 17 global goals in Agenda 2030external link.

Our Values

Our Values give you guidance in how NIBE sees issues affecting sustainable development*. We have separated them into eight areas that we call our Code of Conduct. Together with Our Business Principles they form the basis of our business operations.

Our Values also show the customers, suppliers owners and other stakeholders how we view these issues

*Sustainable development is about satisfying the needs of today without compromising the opportunities for future generations to meet their needs. One can see sustainable development as a balance between economy, social factors and the environment.

Code of Conduct

The Code of Conduct, together with the rules for company management and the Group's policies and guidelines, provides a framework for our operations. The code applies to employees, management and board members of NIBE, regardless of where in the world they are located. This also applies to all minority owned companies within NIBE.

The Code of Conduct also shows what we expect from our business partners.The Code of Conduct gives comprehensive guidance in eight areas. 

PoliciesWithin a number of areas the Code of Conduct is supplemented by more detailed policies, guidelines and management systems. 

1. Respect for human rights

At NIBE we treat all employees fairly, worthily and with respect.

*Special treatment may for example refer to gender, religion, age, disability, sexual orientation, nationality, political views or social or ethnic origin.

  • We value and develop diversity among our employees.
  • We do not give any one special treatment* regarding their employment or duties.
  • We do not harass, threaten or discriminate against colleagues or business partners.
  • We respect the right of the employees to organise and negotiate a collective agreement. We also respect the right of an employee to refuse to join a union.
  • We do not permit child labour, illegal labour or forced labour.
  • We ensure that employees under 18 years of age do not carry out risky work.

2. Good working conditions

At NIBE we offer good working conditions and opportunities for personal development

  • We create good relations with our employees and expect involvement in the company's development.
  • We offer employees the opportunity to develop knowledge and skills. This is to increase professional ability and strengthen personal and economic development.
  • We do not compromise on health and safety issues.
  • We take preventative measures to reduce the risk of accidents and work injuries.
  • We pay wages and remuneration according to agreements and according to legislation and regulations. We reward good performance and extraordinary efforts.

3. Reduced environmental impact

*The precautionary principle means that in situations where we suspect environmental and health risks but do not have sufficient knowledge of these risks, we do not put off or ignore decisions on suitable protective measures.

  • Our long-term strategy is of creating world-class, sustainable energy solutions and contributing to the change to a more sustainable society.
  • We live as we learn – this means increased use of renewable energy, conserving natural resources, reduced emissions to air and water, and reduced waste.
  • We have a comprehensive view of environmental issues – from product development until the product is worn out.
  • We identify risks to people and the environment and apply the precautionary principle*

4. Good business ethics

At NIBE, business relationships and business methods are based on compliance with legislation and the application of good business ethics.

  • We make demands for honesty and integrity in all parts of our operations and expect the same from our business partners.
  • Bribes are prohibited. All forms of remuneration to business partners must only refer to actual goods or services.
  • Gifts and other benefits must not exceed local customs and must be in line with local legislation.
  • We must follow competition legislation and work for fair competition.
  • All employees must avoid conflict of interests between private economic issues and the company's business operations.
  • All employees have the right to report economic and other inappropriate irregularities without the risk of negative personal consequences (whistleblower principle).

5. Responsible purchasing

At NIBE we make responsible purchases and place requirements on our suppliers.

  • We only work with suppliers who meet NIBE's Code of Conduct.
  • We make demands of our suppliers and evaluate them both before and during our collaboration.
  • We make demands of our suppliers and evaluate them both before and during our collaboration.
  • The suppliers are encouraged to introduce a certified management system for quality, environment and working environment.
  • We regularly follow up supplier performance. This may mean demands for improvement or that a collaboration is stopped.

6. Product liability

At NIBE the products' function, quality, safety and environmental characteristics are the most important conditions for the Group's continued development.

  • We strive to make our products contribute to sustainable development when they are used by the customer – energy efficiency, ecodesign and lifecycle thinking are important keywords for us.
  • Our products must fulfil agreements and legal norms and standards regarding health and safety during use.
  • We have relevant and clear information about safe and environmentally adapted installation, use, maintenance, storage and final disposal.
  • We ensure that the customer gets fast responses to product questions and requests for information.

7. Social commitment

At NIBE we are involved in the networks and communities where we are active.

  • Where possible we should engage with the communities where we have operations and strive to appoint and develop local employees and managers.
  • We must work for the next generation to have increased knowledge of our processes and products and apply to our company.
  • We must be active in development collaboration with industrial networks, universities and research institutions.
  • We must prioritise grants and sponsorship agreements that benefit the places where we work and support our values and strengthen the relationships with customers and partners.
  • We do not contribute to or involve ourselves with political parties, politicians or political organisations.
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8. Transparency

We maintain close relationships with our stakeholders where the communication is based on regular contact, clarity and good ethics.We keep our shareholders informed about the Groups' operations, results and strategies. This occurs in accordance with the rules for those stock exchanges where NIBE shares are listed.All employees must respect the applicable regulations regarding confidentiality of information that is owned by the company and our business partners. This also applies to information that could potentially affect NIBE's competitiveness, share price and long-term survival.  

The Group's responsibility

The Group President and CEO has the overall responsibility for the application of Our Values. As support there is the Group's Sustainability Council and the Group's Sustainability team.

The Group makes regular follow up and risk assessments of how Our Values are applied. Development and performance is reported in the annual and sustainable report. Compliance is maintained by the sustainability audits.

The management system for quality, environment and working environment contributes to Our Values becoming a reality. Such systems must therefore be in place at all units.

Our Values in daily life

Daily responsibility for how Our Values are applied is delegated to the managers in the Group companies.

The Code of Conduct and policy must in the company's internal training programs for both new employees and those already working within the companies.

Managers must behave in such a way that they set an example in the application of the rules.

Our business partners are also expected to follow Our Values.

Zero tolerance and continuous improvements

We have a zero tolerance approach to breaches of key areas of the Code of Conduct.

This applies, for example, to compliance with the application of human rights and issues such as bribery, corruption and competition law.

In the other areas we work systematically and purposefully with continuous improvements.

Your responsibility

Work within the Group is based on responsibility, transparency, ethical behaviour, respect for the interests of our stakeholders, and applicable legislation.

You are expected to live up to the guidelines in Our Values.

It is also everyone's responsibility to help each other to follow Our Values.

More information

If you work within the Group you can find Our Business Principles, Our Values, policies, guidelines and checklists on the Group intranet, one.nibe.net.

Our Values are available in a large number of languages. NIBE’s annual report and sustainability report give information on how we realise Our Values in our work.

We refer external stakeholders to www.nibe.com where they can access Our Business Principles, Our Values, Code of Conduct, relevant policies, the annual report and the sustainability report.