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Strategy

Unlocking the next wave of value creation by pioneering microbial science to improve food and health, for a sustainable future

Under its 2025 Strategy which was launched in August 2020, Chr. Hansen will continue its journey as a differentiated bioscience company with focus on microbial and fermentation technology platforms. 

 

Strategy 2019/20

Where to play

Chr. Hansen’s 2025 Strategy is based on three pillars that set the framework for its future growth trajectory: REINVEST, LEVERAGE and EXTEND.      

REINVEST in core platforms
Chr. Hansen has been the ingredient supplier of choice for the dairy industry for many decades and has also built a strong microbial business for animal feed, dietary supplements and infant formula over the last thirty years. During the strategy period the majority of the absolute growth will come from the core platforms. As such Chr. Hansen will continue to prioritize and invest in Food Cultures & Enzymes, Animal and Human Health. Innovative products, launched across all business areas, are expected in the strategy period, both in existing and new product categories, for example probiotic solutions for foods and pet food.

LEVERAGE the Microbial Platform to grow lighthouses and new areas
Chr. Hansen continues to see many attractive growth opportunities to leverage its technology platform to develop solutions for new applications and end markets. The Company remains committed to further develop its five lighthouses which are new business area of strategic importance with minimum revenue potential of EUR 100m per year and above Group growth rates.


EXTEND Microbial Platform through M&A and R&D partnerships
During the strategy period Chr. Hansen intends to further strengthen its technology platform across its competencies, such as cultures and probiotics, dairy enzymes and value-added fermentation through acquisitions and the expansion of the R&D partner network.

 

How to win

Chr. Hansen has defined five dimensions along which the Company is going to implement the strategy:

  • CUSTOMERS: Chr. Hansen will further broaden its customer base and expand its global reach to become a truly global bioscience company. The Company aims to increase its presence in emerging markets. Secondly, Chr. Hansen will continue to invest in application development, sales and marketing resources to positively influence end-market demand and advance its digital agenda to deliver best-in-class service to its customers.

  • INNOVATION: Bringing new innovations with a sustainable impact to market remains a top strategic priority. As such Chr. Hansen will allocate around 75% of the R&D spending during the strategy period towards new product development. Furthermore, the Company will intensify its efforts to bring products to market faster. 

  • OPERATIONS: Chr. Hansen continues to see ample room to realize further operational efficiencies in its production through process innovations and automation/digitization while driving scalability benefits through future capacity expansions.

  • PEOPLE: As Chr. Hansen grows as an organization it is important to safeguard the Company’s unique purpose and performance culture. Furthermore, the Company will continue to invest in talent management and is committed to driving diversity. 

  • PURPOSE: As part of its new strategy, Chr. Hansen will accelerate its sustainability ambition and commits to the Science Based Targets initiative to limit global temperature rise by reducing its environmental footprint with investments into renewable energy, recyclable packaging and circular biowaste management. 
 

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