STG uses cookies. Learn more about cookies CAREERS MEDIA ABOUT CONTACT OUR TOBACCO OUR RESPONSIBILITIES Business Strategy ROUTE 2016 - OUR strategy IN ACTION Our ’Route 2016’ strategy was developed following the merger of Scandinavian Tobacco Group and selected Swedish Match businesses in 2010, which created a world leader in cigars and pipe tobacco. The core aspiration of our strategy is that by 2016 the Group will fully benefit from leveraging our market leading position and from focusing solely on cigars, pipe tobacco and fine-cut. IMPROVED GEOGRAPHICAL FOOTPRINT AND GROWTH IN CATEGORIES At the time of the merger, our strongholds were in those geographies and categories that have been declining the most. Since then, we have built stronger market positions in growing categories such as little cigars and fine cut, and in new geographies where we see opportunities for our portfolio. Today, our position is growing in all categories except machine-made cigars, and in all geographies outside Northern and Western Europe. Our growing regions account for more than 60% of our net sales. IMPROVED SUPPLY CHAIN LAYOUT We have changed our factory footprint since the merger in order to consolidate our leading position as a cost-efficient manufacturer of quality cigars, pipe tobacco and fine cut. This is the case in our handmade cigar, our pipe tobacco and our fine-cut supply chains. We have also made substantial changes in our machine-made cigar supply chain, where we are reducing the number of manufacturing sites from six to four factories and investing significantly. MORE EFFICIENCIES AND INNOVATION TO COME Our markets offer significant growth opportunities, and ‘Route 2016’ positions Scandinavian Tobacco Group well to seize these. We focus on innovation and product development together with an increased emphasis on delivering efficiency. Initial synergies were obtained shortly after the merger in 2010 primarily from the merging of our commercial organisations, and we are now also beginning to see the full effect of an integrated supply chain. Our strategy outlines an ambitious innovation agenda, which aims to deliver an innovative mind-set across the organisation alongside a stream of tangible break-through innovations in the market place. Following the review of our strategy, we are pushing even harder to bring innovation and newly developed products to the consumer. MISSION With great brands and talented and curious people we give smokers the best smoking enjoyment and thereby secure continuous growth in turnover and profit. VISION To be a dynamic and innovative tobacco company with growing leadership in cigars and pipe tobacco and a significant position in fine cut. OUR VALUES TRUST builds better performance TEAMPLAYER. Together we are better RESPONSIBLE. We are accountable INNOVATIVE. We challenge conventional thinking PASSIONATE. We love what we do EXPLORE OUR WORLD From Our Tobacco Library Learn About some of the Most Commonly Used Tobaccos and where they come from Read more Sourcing Nature Get the Insights: From Seed to Cigar, Pipe Tobacco and Fine Cut Read more Verellen Joins Our Group Acquisition of Belgian Cigar Manufacturer Consolidates Key European Markets Read more Scandinavian Tobacco Group Our Group is all about creating moments of great enjoyment for smokers. This promise has made us the world's largest manufacturer of cigars and pipe tobacco. Fast facts #1 in cigars and pipe tobacco 200+ brands in our product ranges 31 companies in our group 8400 employees worldwide LinkedIn Contact our headquarters Contact your local sales office © 2014 Scandinavian Tobacco Group A/S