swisslogexpertise
1997 Annual Report
Logistics for Champions
Swisslog is an international group
supporting its customers in every respect
in achieving supply chain excellence.
The goal of its activities is to reduce its
customers’ logistic costs and tied-up
capital.
Swisslog is committed to ongoing
improvement of productivity, quality and
profitability, and has a leading position in
its industry.
Regardless of their size, Swisslog custom-
ers are among the best in their industries.
Based on comprehensive consultancy,
Swisslog plans, develops, implements,
modernises and maintains mechanical and
computer-controlled materials handling
systems with state-of-the-art technology.
Swisslog is present in the market through
the well-known trade names of its group
companies Digitron, Accalon, Schierholz,
Translift, Cimcorp and Transnorm System.
Active in 19 countries through subsidiaries
and branch offices in Europe, USA, Asia
and Australia, Swisslog currently has
1,850 employees worldwide. The group’s
registered office is in Aarau, Switzerland.
Swisslog creates ergonomic working
environments to relieve its customers’
employees from jobs which are dangerous
and hazardous to health.
Swisslog is responsible in its use of natural
resources and implements environmentally
acceptable solutions.
Swisslog respects the laws, customs and
practices of the countries and communities
in which it operates.
1997 Highlights
January
Schierholz and Digitron Translift operations combined under Conveyor Systems
business segment.
February
Autefa-Certus in Germany orders 18 automated guided vehicles AGV from Digitron for
a Taiwanese customer in the textile trade.
March
Digitron Translift hands over to Land Rover in Solihull (UK) a turnkey end assembly line
for the new Freelander.
Schierholz exhibits for the first time at PROMAT in Chicago, the largest material
handling fair in North America.
Cimcorp, together with Matsushita Electronics of Esslingen (Germany), develops a fully
automatic gun sealing carousel.
April
Swisslog announces the acquisition of Transnorm System GmbH of Harsum
(Germany). Transnorm ranks among the global leaders in belt conveyor systems.
Digitron is awarded a contract to build a second major distribution centre for a leading
Australian retailer in Victoria (Australia).
May
Cimcorp delivers its first MultiPick, a fully automatic order-picking system.
Transnorm presents a new curve belt conveyor system at Hanover.
June
Accalon delivers its first stacker cranes of the type Vectura S32 and D22 to Australia
and Germany.
July
Tiger, the new configurable software platform from Digitron, passes initial trials at
Metroport Group in Pelangi (Malaysia).
Cimcorp opens a liaison office in Seoul (Republic of Korea), its first in East Asia.
August
Schierholz receives a contract from the Strauss dairy group in Israel to build a new
monorail system.
Accalon delivers its first Vectura S12 stacker crane to Taiwan.
Wo sind wir
September
Swisscom commissions Digitron to develop a new flexible order-based warehouse
management system for its central store facility.
Salvesen, a major manufacturer of dairy produce based near Milan (Italy) mandates
Digitron Italia to plan a computer-controlled fresh dairy produce storage centre.
Schierholz, in conjunction with Digitron Malaysia, receives a contract to build an
end assembly line for carmaker Proton/AMM.
Accalon delivers semi-automated guided vehicle systems for Iveco Soffim’s diesel
engine plant at Foggia (Italy).
October
Digitron is awarded a contract by Serete M.S.D. in Milan (Italy) to build a new
logistics centre.
Accalon is established as the groups’ s focus company for AGV products and
subsystems.
Accalon and Transnorm’s first joint pallet conveyor system project is successfully
completed.
November
Accalon sells its first mini-AGVs of the Cartura family.
Cimcorp expands its marketing activities for robot-based order-picking systems
beyond the Scandinavian market.
December
Swisslog reinforces its engineering and systems design expertise through the
takeover of OWL Logistik Systeme in Buchs, Aarau (Switzerland).
NTUC Fairprice, Singapore’s largest food distributor, chooses Digitron Asia Pacific
as systems design partner for its US $ 25 million central storage facility project.
Digitron Benelux successfully concludes retrofit contract with Dutch auto
manufacturer NedCar, the Swisslog Group’s biggest retrofit program to date.
.
1006
Wo sind wir
21.2
-3.54.2
Overview of the Swisslog Group
a strong
211.9
435.5 420.1
10.2
-3.9
238.1
1,097
1,323
Orders received
500 CHFm
400
300
200
100
0
1994 1995 1996 1997
Net sales
500 CHFm
400
300
200
100
0
1994 1995 1996 1997
Net income
15 CHFm
10
5
0
-5
1994 1995 1996 1997
Employees at year-end
2000
1750
1500
1250
1000
750
1994 1995 1996 1997
EBIT
30 CHFm
20
10
0
-10
1994 1995 1996 1997
272.3 255.6
388.4
474.9
13.2
2.27.2
1,121
1,709
group
Content 4 Letter to Shareholders
12 Strategies and Innovations
16 Key Account Management
18 Industry Practices
20 Lifetime Partnership
22 Systems Design
24 Special Systems and Products
26 Customer Support & Service
28 Innovative Products
30 Investor Relations
34 Organisation
36 Adresses
DIGITRON-OWL
ACCALON
SCHIE RHOLZ
CIMCORP
TRANSLIFT
TRANSNORM SYSTEM
swisslog
4
Dear Shareholder 1997 was a successful year for Swisslog.
The group reported a striking improvement in sales and
earnings. Net sales rose 22.3 percent in 1997, from
CHF 388.4 million to CHF 474.9 million. Adjusted internal
growth was 13 percent.
Earnings before interest and taxes (EBIT) were
CHF 21.2 million, almost three times the previous year’s
level of CHF 7.2 million.
All business units contributed to the net income of
CHF 13.2 million.
5
Swisslog continued the successful implementation of the
strategy introduced the previous year of reducing project risks.
New orders are systematically reviewed before acceptance
to see if the margins are compatible with the group’s business
objectives. Thanks to the growing professionalism of project
management, the throughput time of orders from receipt to
shipment has improved. There was a significant rise of the
share of modernisation and other services in group sales and
the use of special systems and products with short delivery
times. This is also relevant to the decline in orders on hand,
whose importance as an indicator continues to decrease.
Strategic pursuit of group expansion
The four strategic key areas for the group are logistics systems,
software, special systems and products, and customer
support. Swisslog intends to support customers on queries
and requests at a local level in order to achieve supply chain
excellence. The three regional units Central and Southern
Europe (Region 1), Scandinavia, the UK, Benelux (Region 2),
and Asia-Pacific (Region 3) support the Logistics Systems
business unit. The companies Accalon, Cimcorp, Schierholz,
Translift and Transnorm are grouped under the Special
Systems and Products business unit. At the start of 1998 all the
group’s software activities were consolidated and put under
single management. In 1997 Swisslog strategically expanded
its range of products and services and know-how.
Following the take-over of the Finnish Cimcorp Oy in 1996 with
its specialist robotics systems, Transnorm System GmbH,
Hanover, joined the Swisslog Group on 1 July 1997. Transnorm
is a leading supplier in Germany of unit load conveyor systems,
and the company also has specialities, e.g. systems used in
airports, which are recognised leaders worldwide. Besides well-
6
Letter to Shareholders
established subsidiaries in France, the UK and the Netherlands,
Transnorm has its own production facilities in Malaysia and
the USA, which in future will also take over the manufacture of
more group products.
In December Swisslog acquired OWL Logistik Systeme AG,
based in Buchs near Aarau, from the Georg Fischer Group.
Besides providing a welcome reinforcement in system planning
and software development, OWL brings with it a solid customer
base, including clients in the food, paper & printing and tobac-
co industries in Germany and Switzerland. This rounds out
activities of the Swisslog Group to be consolidated from March
1998 in the newly-formed Digitron-OWL AG. This company is
responsible for Swisslog’s logistics systems business in
Central and Southern Europe.
The heavily fragmented growth market for computer-controlled
materials handling systems will continue to consolidate, and
Swisslog intends to play an active role in this process.
Further development of areas of expertise
Software production methods were permanently improved by
the introduction of a comprehensive quality assurance
programme. After a development period of around one year
the first of three software platforms for plant warehouse
management went into operation in July 1997 and has been
running ever since without significant disruption. In developing
the software, Swisslog teams pull together the best solutions
and procedures from the group's decades of experience
with modular platforms, which in future will supply the design
basis for individual customer solutions. To date the market
for warehouse management software and related software
platforms is characterised by a large number of small and very
7
small businesses. This means there are attractive opportunities
here for suppliers with a reservoir of experience like Swisslog.
The year 2000 problem will also generate demand for software
specialists, and Swisslog intends to take a proactive role in this
market.
In the Special Systems and Products business unit all group
areas successfully completed a range of in-house develop-
ments. The market response to the commissioning of
the new robot generation from Cimcorp was very favourable,
resulting in a number of orders in Germany, the Far East and
Australia. The Overhead Conveyor business unit expanded its
leading position in Europe. A completely new type of inverted
2-track monorail was designed in close cooperation with a
leading automotive manufacturer. Another important develop-
ment is the Inverted Power & Free System for surface treatment
plants, which is made exclusively from standard components.
Several orders from the USA and elsewhere have already been
won for this system as well.
The new family of “Vectura” stacker cranes was successfully
launched. This new development spells a sizeable reduction in
commissioning times and can be integrated into the monitoring
component of entire logistics systems.
Swisslog intends to push ahead energetically with its activities
in Special Systems and Products in selected high-volume
niche markets, which also have significant sales potential out-
side the group.
The business segment of services and modernisations also
grew strongly and was further expanded. Many of the installed
systems currently in operation are already 15 to 20 years old.
8
Letter to Shareholders
There is a corresponding upturn in demand for replacement
and renovation worldwide, and the group expects a further
strong boost to growth in the coming years from this sector as
well.
Human resources development for employees
The internationalisation of the group made further headway in
1997. At the end of the year the Swisslog Group numbered
over 1,700 employees in 19 countries, all with highly specific
and qualified expertise. The nature of their business demands
openness and the readiness to cooperate successfully
across linguistic and cultural divides within the group and with
international customers. Swisslog intends to use special
training programmes to further hone the technical and mana-
gerial skills of its employees. This will create the foundation
for flexible project work, which will also increase the group's
ability to offset internally the fluctuation in orders which is typical
of the industry.
Stepwise increase in transparency
The reporting system introduced in the 1997 financial year
which separates “Logistics Systems” and “Special Systems
and Products” is improving the transparency of the Swisslog
Group financial statements. We intend to continue increasing
the transparency of reporting in future years.
Board of Directors
The Annual General Meeting also marks the end of René
Garo's term of office as a member of the Board of Directors.
He is standing for re-election. There are no other changes in the
board.
9
Proposal for dividend
The Board of Directors will propose to the Annual General
Meeting payment of a dividend of CHF 2 per registered share.
In future Swisslog intends to follow an income-related dividend
policy. A further consideration in setting the dividends will be
the quality of net income. The stated goal is to finance the
organic growth of Swisslog through internally generated funds.
Business in 1998 and the outlook
The aim for the current 1998 financial year is to strengthen
further Swisslog's earning power. We are convinced that
Swisslog can use its range of products and services to conso-
lidate and expand its leading position in its market segment.
The past year again made very high demands of our employ-
ees, whose individual efforts and flexibility were instrumental in
the group’s success. We wish to thank them most sincerely for
their exceptional commitment and are counting on their future
co-operation.
We also wish to thank you, our shareholders, for your confidence
in the development of the Swisslog Group.
For the Board of Directors
Truls D. Berg Juhani Anttila
Chairman Delegate of the Board
Aarau, April 1998
11
12
Strategies und Innovations
trong internal growth and strategic acquisitionsare transforming Swisslog into a world leaderin logistics. Through its entire range ofproducts and services Swisslog helps itscustomers achieve supply chain excellence.
1997:
strategically focused activities
Whereas in the previous year Swisslog
corporate activities focused on industrial
business, with corresponding orienta-
tion in the organisational structures,
1997 was the year for concentrating
group activities on four strategic areas:
logistic systems, software, special sys-
tems and products and customer
support. The basis for this was the con-
viction that increased customer value is
the only foundation for sustainable
corporate success and that there is
further income potential in the markets
served by the Swisslog Group.
Operating in young and dynamic
markets
With annual growth rates between 5 to
10 per cent in the various parts of the
world and customer segments, the key
markets of the Swisslog Group have
evolved into an attractive industrial niche
sector which has further significant
potential in both commercial and techni-
cal terms.
Typically for young industries the market
is highly fragmented. Overall there are
several hundred companies, mostly
private, active throughout the world sup-
plying their specialities to local custom-
ers. Just a few industrial groups, like
Swisslog, have a reference list of sever-
al thousand installed systems and offer
their products and services worldwide.
our s
s
13
olutions areThree powerful growth factors
Swisslog has essentially identified three
factors determining dynamic demand for
integrated solutions for supply chain
excellence from a single source.
Demands are growing in all industries for
reliability, speed and customisation of
goods and services. Companies are ac-
cordingly choosing materials handling
concepts which integrate all manufactur-
ing and distribution processes in a single
system. Such systems cover all stages
from receipt of individual orders through
co-ordination and control of manufactur-
ing, and management of internal and
third-party warehousing to optimal com-
missioning of deliveries.
Cost competition is continuing to in-
crease, strengthening pressure to cut
operating costs further through efficient
materials handling and release tied-up
capital by optimising inventories and out-
sourcing activities which are not core
activities. Besides new installations
there is growing demand here for mod-
ernisation and expansion of existing
installations (retrofitting) to optimise their
performance.
The scale and technological sophisticati-
on of materials handling installations are
rising steadily. Not all in-house logistics
and technical departments have the
specialist knowledge needed for their
design, installation, operation and devel-
opment. As a result, in-house develop-
ment and operation are mostly proving to
have little economic point, and there is a
corresponding trend towards outsourc-
ing. Intensive industrial experience, a
technologically complete range of pro-
ducts and services and a secure long-
term presence in the world markets are
the key competitive criteria today in the
market for integrated materials handling
systems.
14
Strategies und Innovations
ased on this analysis of the market and its existing strengths Swisslog has
developed and implemented a strategicpackage containing the following elements.
Entrepreneurial thinking
Key Account Management
The best solutions are based on a global
entrepreneurial view. They integrate
company-specific objectives, manage-
ment philosophies and strategies to-
gether with market characteristics and
the mentality of the various cultural areas
in which Swisslog customers are active.
Swisslog accordingly sees key account
management as managing customer
relations in the broadest sense. Con-
stant and intensive customer support at
all levels of the company and all locations
provides the basis for the Swisslog
Group’s “supply chain excellence for
champions”.
Industry Practices
Based on several thousand installations
and ties with leading companies built up
over the years Swisslog has developed
system planning expertise for the differ-
ent requirements of individual industries.
Swisslog is convinced that comprehen-
sive availability of special systems and
products together with application-spe-
cific expertise are the only way of creat-
ing solutions which are setting commer-
cial and technical standards worldwide.
Swisslog is familiar with the varying
needs of the different industries and in
1997 it created the “Industry Practice
Groups”, an internal expert network for
supply chain excellence which brings
together specialist knowledge and
experience and defines industry-typical
standards to ensure technically and
commercial optimal solutions.
Lifetime Partnership
Customers expect their logistic partners
to provide not only the most modern
technological solutions but also compre-
hensive support over the entire lifetime
of the installations. No solution can be
better than its practical performance.
For Swisslog, smooth operation of its
systems is just one aspect, with ongoing
optimisation and adjustment to new
requirements for products and services
playing an essential role in creating
above-average customer value.
tomorrow’s
b
15
Customer-oriented action
Systems Design
Efficient logistics are a strategic com
ponent for success for all Swisslog
customers. Analysis, concept design
and systems design are the technical
foundations for efficient installations.
Comprehensive review of variants and
simulations lead to optimal solutions.
State-of-the-art consultancy and plan-
ning expertise provide the key competi-
tive edge, while thirty years of experi-
ence provide the basis for successful
business.
Special Systems and Products
Modularisation of installations is increas-
ing steadily. This means that customer
solutions will in future consist of optimal
combinations of special systems which
are configured according to specific
customer requirements. Swisslog is ac-
cordingly focusing on developing pro-
duct platforms which incorporate the
status of established technology. Their
use significantly enhances the commer-
cial value of the customer applications
and also reduces installation, functional
and operating risks.
Customer Support
Technical availability and operational
reliability over the entire lifetime of the
systems directly affect income. Swisslog
guarantees need-driven maintenance,
ensuring efficient use of resources at
budgetable cost. Ongoing Swisslog sup-
port to customers also provides the
basis for early identification of and opti-
mal solutions for customer needs.
The following pages show how the SwisslogGroup consolidated its products and
services in an optimised overall packageduring the past year.
standards
16
Key Account Management
Customer satisfaction and trust were once again the
key factors behind the Swisslog Group’s success in 1997.
To create a platform to build such relation-ships, you need constant and intensive
customer management across the board. At Swisslog we call this
Key Account Management.
diverse and intertwining relationships
between Swisslog and its clients. In
this business area, senior managers pool
their broad expertise towards looking
after the needs and requirements of
Swisslog’s clientele, both on a one-to-
one basis and in teams. No matter what
the location or the type of product, they
are the ever-present liaison officers for
our key clients. The key account mana-
gers know the problems their clients face
inside out, and also know their specific
requirements.
Being ideally placed to receive input from
clients, the key account managers can
develop new solutions for system, soft-
ware and product-related problems. Let
us take two examples from the distribu-
tion and automotive segments:
Supply chain excellence – a key
success factor
The distributor clients of Swisslog come
under constant pressure to reduce costs,
speed up distribution and improve the
services they offer. They continually
monitor their distribution networks and
reengineer the logistical processes from
source via storage to delivery. For our
clients, the efficient management of ma-
terial flows is the key to success.
The buzzword here is ECR, or efficient
consumer response. ECR defines the
close collaboration between providers
and retail traders. For optimal results you
need the right IT platform, comprehen-
sive communication between distribution
points and providers, and early warning
systems to keep inventories to a minimum
throughout the material flow chain.
The systems designers of Swisslog have
risen to this challenge, and have devel-
oped a deep understanding of the pro-
cesses involved. In so doing they have
come up with a whole range of solutions,
geared towards maximising the benefit
for the clients. One such approach is the
modular distribution centre.
know
key Account Management comprises the
17
Teamwork conquers Europe, Asia
and the Pacific rim
Working closely with clients in the distri-
bution business, Swisslog has in the past
planned, developed and realised several
high-capacity distribution centres. Work-
ing up from the tried and tested basic for-
mat, we have developed a range of ware-
house modules that can be configured in
line with the client’s specific needs.
Thanks to Swisslog innovations, ware-
house costs can be cut by up to 20 to 30
per cent compared with conventional
systems.
At present Swisslog is implementing two
major retail projects in Australia. Devel-
oping the two distributing warehouses re-
quires the combined know-how of the
Swisslog Group. Digitron is providing the
concept, detailed planning and specifica-
tions, as well as project management.
Accalon is supplying the latest genera-
tion of stacker cranes and pallet conveyor
systems, Digitron Translift the electronic
monorail systems and Cimcorp the
RoboPicks. The warehouse management
software ”Eagle”, which is capable of
meeting the most stringent demands, will
be realised and implemented by Digitron.
Retrofitting means looking ahead:
NedCar, Born, Netherlands
In the summer of 1998, the Dutch car
manufacturer NedCar will start produc-
tion of the new Mitsubishi model. The
production volume is estimated at 50,000
to 70,000 cars per annum.
Swisslog has been NedCar’s partner for
automated guided vehicles AGV since
the mid-1980s. In 1997, we had to re-
vamp every single subsystem, bringing
them up to the latest standards, so that
they could meet the requirements of the
new production line. Added to this, the
new systems had to meet up to rigorous
Japanese quality standards.
NedCar contacted Swisslog in 1995. In
1996, Digitron in Partille, Sweden, built a
prototype full-scale test track where all
the system requirements could be tested,
especially energy consumption. Once all
these tests had been successfully com-
pleted, Swisslog finally received the
order to proceed with the system itself.
Swisslog delivered the system on sched-
ule in December 1997. A total of 85
AGVs were incorporated in the new
plant, which also featured a new steering
system using the cutting-edge software
platform “Fox” developed by Accalon.
A multinational Swisslog team compris-
ing Accalon and Digitron Sweden as well
as Digitron Benelux worked together
with NedCar from the very first initial dis-
cussions right through to final delivery.
The successful conclusion of this
undertaking, the largest retrofit
project in the group’s history, high-
lights the commitment of Swisslog
to the ”living system” concept.
The example of NedCar shows quite
clearly how Swisslog can work
closely with a proactive client to
develop and implement creative and
economically viable solutions,
which can significantly prolong a
system’s effective life.
your client
18
Industry Practices
Every industry speaks its own language and every industry’s requirements vary.
Specific industry practice and state-of-the-art technical standards are essential factors in
guaranteeing optimum customer solutions andrepresent the key criteria underpinning the
market success of the Swisslog Group.
he operating environment of today’s
drinks industry is shaped by increasingly
strict noise abatement regulations and
toward reusable forms of packaging. Dis-
tribution solutions are determined by the
principle of “efficient customer response”
– the ability to react swiftly to customer
demand. The pharmaceutical industry is
characterized by clean room conditions
or highly complex validation processes.
Making optimum use of knowledge
gained through experience
With a view to being able to continue to
play a part in determining the standards
of practice in selected industries, in 1997
Swisslog set up the “Industry Practice
Groups” as Group-wide networks of
experts responsible for evaluating and
focusing our accumulated specialist
technological and commercial knowledge
and developing it further in line with
specific requirements. In the first phase,
the focus is on the industries that make
up the principal markets of Swisslog.
At the same time, the further increase in
follow-on orders from clients in the target
industries witnessed in 1997 confirms
the leading position of Swisslog in the
defined key markets.
Cheese production driven by supply
and demand: Baer AG, Switzerland
In 1996, soft cheese manufacturer Baer
of Küssnacht, Switzerland, decided to
streamline its entire production, originally
a painstaking process involving intensive
manual operations. Baer’s plans revolved
around four requirements. The individual
production processes need to be adapt-
able to daily fluctuations in the quality of
the milk supplied without this resulting in
any significant delay, while at the same
time total production must cover buyers’
day-to-day demand. In addition to these
external operating conditions, at internal
level the solution has to meet the highest
of demands in terms of hygiene and com-
patibility with existing quality assurance
systems.
know your
the operating environment of today’s drinks
industry is shaped by increasingly strict
noise abatement regulations and the trend
19
Baer, a family business with a long tradi-
tion, decided to go for Digitron Translift’s
plant design, which takes full account of
the operational production requirements
for soft cheese in line with new approa-
ches to distribution and logistics in the re-
tail trade. The system installed at Baer’s
plant is based on a special cheese-mak-
ing concept which Digitron Translift had
developed in collaboration with a strate-
gic partner independently of a specific
assignment.
Digitron Translift monorails form the
centrepiece of the system. They provide
flexible links between autonomous plant
segments such as the salt bath and ac-
climatization tunnel for ripening the
cheeses. Being above ground level and
involving fewer load-bearing structures
than conventional floor-mounted con-
veyor systems, the solution designed for
Baer offers major advantages in terms of
operation and a thorough daily disinfec-
tion of the facilities and premises.
The plant automation system designed by
Digitron for cheese production controls
the core production processes on the
basis of the level of incoming orders.
Differences in the consistency of the milk
are compensated for by making adjust-
ments at specific production stages. This
flexibility guarantees a high level of inven-
tory availability, while maintaining a con-
sistent standard of quality – decisive
advantages in a competitive market.
When the plant began operations in the
summer of 1997, it acted as a signal to
the rest of the industry and Digitron
Translift has since received orders for
two monorail systems for what is current-
ly the biggest European plant project in
the soft cheese sector.
Order-driven car production: Ford
Motor Company, Cologne, Germany
For the Ford Motor Company, the grow-
ing range of optional features in today’s
cars has meant a sharp rise in the cost of
maintaining intermediate inventories of
component supplies, e.g. seats or inte-
rior trims, ready for dispatch to the final
assembly line in the correct order. Ford
asked Swisslog and a number of rival
companies to develop proposal solutions
that would cut supply times and reduce
intermediate inventory levels.
Once Digitron had analysed the situation
at the Cologne plant, working in close
collaboration with the engineers and
development planners, the various solu-
tion concepts were examined using a
simulation model. Digitron’s proposal to
set up an intermediate storage facility for
whole car bodies between the paint shop
and the final assembly line proved to be
the best solution.
Swisslog won the order as the general
contractor and equipped an intermediate
car body storage facility with all the
mechanical installations for the handling
of the car bodies, the control units for the
conveyor systems and the software for
the inventory management system. The
technical superiority of Accalon’s stacker
cranes reduces the risk of system failure,
as well as improving warehouse space
utilization and increasing throughput
times.
The efficiency of the logistics planning
was also enhanced, making for a steady
flow of production at the final assembly
stage. As a result, delivery times were
significantly reduced while increasing the
variety of model variants available to
customers.
The co-operation and the ideal integra-
tion within the plant environment in
Cologne strengthened the partnership
between Ford and Digitron. In 1997
comparable systems were installed in
Genk (Belgium), Halewood (UK) and
Valencia (Spain). A further system is
currently being installed at the Jaguar
plant in England.
technology
20
Lifetime Partnership
Swisslog and its customers:
a living system
A wealth of mutual benefits are the key
to the successful lifetime partnership
between Swisslog and its customers.
Swisslog understands its partner’s busi-
ness, is familiar with the practical ques-
tions involved in installing a new mate-
rials handling system and integrates
existing customer structures into projects.
Swisslog ensures that supported instal-
lations are always state-of-the-art. Taking
over maintenance integrates Swisslog
into daily operating procedures and
makes it responsible for maximum avail-
ability of the system. This also makes it a
natural partner in subsequent projects.
Ongoing expansion of the
distribution center: Grattan Mail
Order, Bradford, UK
Grattan is an established UK mail order
company owned by the German Otto
group. To eliminate the inefficiency
caused by having four warehouses at
four different locations Grattan decided
in 1987 to build a new distribution centre
at a green fields site. Digitron was picked
as the system supplier. The system con-
sisted of a two-part 20-metre high fully-
automatic warehouse with integrated
automated guided vehicle AGV system
and conveyor belts. In 1995 the pallet
area was expanded and equipped with
six “Vectura 22” stacker cranes from
Accalon. This increased Grattan’s capac-
ity by 133,000 storage spaces.
know your
years of trouble-free operation
The staff of the British Airport Authority are cheering a
marathon of a very special sort. The baggage transport system
at London’s Heathrow airport includes a Transnorm curve belt
conveyor which has been running for 21 years without a
change of belt or any technically-based shutdown – and this in
operation over a 16-hour day in the main conveyor section.
Ever since 1996 all the original parts of the installation have
been functioning perfectly. Transnorm has a world market share
of over 50 per cent in curve belt conveyor technology. The
London marathon performer represents just one highlight in
over 50,000 supplied curve belt conveyors, many of which have
been in daily operation for over 15 years without a single hitch.
21
21
In 1997 the system was expanded again
with 5 extra stacker cranes. The entire in-
stallation now has 43 aisles, 30 stacker
cranes, 8 AGVs and a warehouse with
607,500 spaces.
Ever since the start of the first project in
1987 Digitron service engineers have
been working full time on site. They are
responsible for both preventive and
operational maintenance work, ensuring
maximal availability of the system.
Grattan’s favourable experience with
customer support and the results of a
Digitron development study have led to
three major orders within 10 years. The
good relationship is continuing: Swisslog
is able to use the warehouse as a refer-
ence project, and Grattan is kept con-
stantly informed of the latest status of
computer-controlled materials handling
systems.
Rebuilding after the fire: Boots
The Chemist, UK
The advantages of intensive cooperation
are particularly apparent in a crisis. In
October 1997, Christmas business had
just started, a forklift caught fire in a main
Boots warehouse. The building was
destroyed, and the inventory along with
it. Supplies to 1,200 stores were threat-
ened.
Digitron responded immediately: within a
few hours of the start of the fire, all the
sections of the installation affected by the
fire were isolated and the conveyor in-
stallations were re-routed. Three weeks
later, Boots had organised alternative dis-
tribution channels for most products,
Digitron got the order to design and in-
stall a new materials handling system for
Boots within 10 months.
The partnership between Digitron and
Boots dates back to 1990, when
Digitron’s bid for the expansion of an
existing warehouse won. The second
project, to install a miniload store and
picking system, followed in 1991. Based
on the success of the two initial projects
and intensive ongoing co-operation be-
tween the two companies, Digitron was
commissioned in 1994 to construct a
7,000 pallet position store and in 1996
to construct a 30,000 pallet position
warehouse.
For the construction of a new warehouse
to replace the one destroyed by fire,
Digitron is acting as system integrator.
Besides supplying the control system
there were two reasons which made
Digitron a particularly suitable candidate
for this job: its ability to develop an opti-
mal solution for the customer which also
includes system elements from third-
party specialists, and its direct access to
the rich fund of specific know-how and
special products in the Swisslog Group.
During project development Digitron
received comprehensive support from
Swisslog Group companies. A Schierholz
chain monorail and Transnorm System
curve belt conveyors are key elements in
the new installation.
installation
“Comprehensive support over the entire lifetime of installations” is the message be-
hind lifetime partnership. By ensuringsmooth functioning of its complex systems
and through ongoing optimisation and adap-tation to new performance requirements,
Swisslog creates above-average customer value.
22
Systems Design
onsultancy for the benefit of the ust-
omer: the Swisslog service offer
The consultancy of Swisslog work covers
the full range of services, from the prep-
aration of business strategies to the
evaluation and expert appraisal of third-
party concepts and encompasses every-
thing in between, including location
studies, plant planning, overall concepts,
detailed planning, concepts for informa-
tion systems, computer simulations and
animations. Swisslog experts monitor all
processes from the draft planning stage
to the final acceptance of a project and
ensure that planning targets are put into
practice successfully.
the team in early 1995 and in 1997 the
plant was taken into service.
The new logistics centre was required to
meet high standards. Available facilities
and operating conditions had to be taken
into account, the existing high bay store
and the bottling lines had to be inte-
grated into the concept. Veltins also
expected its logistics to meet extremely
high standards in terms of coping with its
routine everyday operations. Customers
arriving to collect consignments are
served around the clock. All articles
have to be available for dispatch without
advance notification. In terms of logistics
the task to be addressed was as follows:
loading bays need to be equipped
to handle a strongly fluctuating flow of
materials as and when demanded, with
goods sorted ready for delivery and
facilities on hand to receive empties. At
peak times, 180 lorries arrive daily.
In the fine planning phase, the Digitron
team worked with the customer to find
the most economically efficient ap-
proaches. This involved using the full
panoply of system planning instruments
available: experience with comparable
anticip
The task of systems design and consultancyis to co-operate closely with the customer
in order to arrive at the most economical long-term logistics solution for production,
warehouse management or distribution – the aim always being to enhance the
customer’s competitiveness.
consultancy for the benefit of the
customer: the Swisslog
service offer
The group’s system design credentials
are founded on a number of strengths
and were further reinforced with the
integration of OWL on 1 January 1998.
Ready to deliver around the clock:
brewers C.& A. Veltins, Grevenstein,
Germany
Founded in 1824, C.& A. Veltins is one
of Germany’s biggest private brewers
and has been producing pilsner-style
beer since 1926. Its total output of
premium beer comes to some 2.4 million
hectolitres. Bottled beer makes up
roughly 73 per cent of the total, with
draught beer accounting for the remain-
ing 27 per cent. Its bottling line has a
maximum output of 180,000 bottles per
hour. Unusually, the brewery does not
have its own fleet of vehicles. All prod-
ucts are collected by customers directly
in full pallet-loads of barrels, bottles or
cans.
Faced with a period of tumultuous growth
in the early 1990s, the company had to
decide how best to expand within the
limited space available at its plant site. In
mid-1993, an in-house team made a start
on the planning process, Digitron joined
Simulation: investing without risk
New logistics systems need to
operate without a hitch from the word
go. Any planning error is an invest-
ment error. To eliminate such risks,
Swisslog makes use of computer
simulation systems. This has three
decisive advantages for the customer:
first, the simulation enables material
flows to be presented directly and
realistically. The planned plant opera-
tions are made transparent and all
functions can be defined at an early
stage. Second, the simulation shows
whether the planned system’s per-
formance can actually be achieved in
practice. And finally, the simulation
demonstrates how the system as a
whole will work. The specific oper-
ational features can be evaluated and
the behaviour of the system can be
tested under different workloads.
23
ating needsand distribution centre. The total invest-
ment came to 25 million US dollars.
NTUC needs the new centre to meet
three requirements: logistics costs must
be reduced, the system must operate
with minimum staffing levels, and its
capacity must be geared to supplying
fresh goods reliably and subject to tight
time constraints.
NTUC looked to the international market
in search of a logistics project partner
with a convincing track record in the food
and retailing sector, considerable experi-
ence in planning computer-controlled
systems, plus an in-depth knowledge of
the Asia-Pacific region. NTUC found
such a system planning partner in
Digitron Logistics Systems Pte Ltd in
Singapore. With its reference projects
in Europe and Australia, Swisslog
emerged as first choice. The project is
currently in the planning phase. Once
completed, the NTUC distribution centre
will be the most highly automated facility
of its kind in Singapore – a showpiece
project that will set new standards
throughout Southeast Asia.
systems and technologies was evaluated
and the planned performance was simu-
lated. Then the system requirements
were summarized in the specifications
for the practical implementation. Digitron
planned and implemented the entire
plant control system and the logistics
automation system, as well as being
responsible for managing the construc-
tion site. Digitron Translift supplied the
monorail.
Bigger, better and faster than the
competition: NTUC Fairprice,
Singapore
With 60 retail outlets, NTUC Fairprice is
Singapore’s biggest food distributor.
Despite massive pressure in the form of
competition from international super-
markets and despite an increasingly
price-sensitive clientele, NTUC intends
to continue to pursue a policy of double-
digit growth rates. The only way it can
achieve this is by radically improving its
logistics.
In 1997, NTUC decided to pull down its
existing 25-year old office and depart-
ment store building and build an entirely
new complex complete with warehouse
24
Special Systems and Products
tructured platforms help
applications and service
For Swisslog 1997 marked the start of a
new era. “Tiger” was the group’s first
configurable software platform for ware-
house management. These modular prod-
ucts cover all needs of modern ware-
house management at various levels of
complexity, from a simple warehouse to a
highly automated customer-specific dis-
tribution centre. “Tiger” is the middle
package with broad and configurable
warehouse functionality for automatic
and manual solutions. The family is sup-
plemented by “Shark”, the basic standard-
ised package which runs on Swisslog
hardware and covers all the basic
functionalities of warehouse manage-
ment, and the modular high-end platform
“Eagle”. This is the design base for
highly experienced software specialists
to develop customised solutions meeting
the highest demands on technology and
management.
Solution-oriented development
After just one year in development
“Tiger” faced its first operational test on
21 July 1997, when, under the manage-
ment of the Swisslog development team,
it was commissioned as a configurable
software system at Metroport Group, the
independent warehousing service pro-
vider for Procter & Gamble in Kuala
Lumpur. It has been running smoothly
ever since. In developing these platforms
Swisslog opted for a fundamentally new
approach focusing on solution-oriented
criteria. As a result, the “Tiger” team
initially reviewed the functionalities of a
range of installed systems, concentrat-
ing on the best part solutions in order to
integrate these in a final software pack-
age. The team responsible for the stan-
dardised platform “Shark”, launched on
schedule early in 1998, adopted a simi-
lar approach, confirming yet again the
strategy followed for years in upgrading
“Eagle”.
Clear strategy
The philosophy underlying the new soft-
ware family is as simple as it is demand-
ing: software expertise is the most impor-
tant criterion in competing for supply
chain excellence. Technologically, the
development of a modular software fam-
ily involved no major innovation for the
group – on the contrary: in terms of its
corporate strategy, Swisslog is demon-
strating its ability to utilise the experience
built up within the group to create cus-
creating
s
25
platformsAnother key advantage is the speed with
which individual solutions can be created.
In the case of “Tiger” for example, it takes
only a few months from receipt of the
order to delivery of a fully configured and
installed manual standard solution. And
finally, the use of the software platforms
for a very wide range of applications
generates more industry references and
lays the basis in customer support for
ongoing monitoring and adaptation to
new customer requirements.
Clear structure – customer-driven
products
The first results indicate very favourable
reception by the market. The clear struc-
ture of the products facilitates presen-
tation and subsequent installation. The
range of solutions offered by the software
packages are clearly defined in technical
and commercial terms and are geared to
customer needs: a set price for standard
applications and an extra budget for cus-
tomer-specific applications. The user-
friendly interface and openness to exist-
ing installations facilitate integration with
downstream operating procedures. In
pursuing this new concept, Swisslog
is opening up additional segments of
demand and expanding its customer
base, particularly in the field of manual
warehousing systems.
Usable in all market sectors
The integration of the software platforms
into the supply chain product range of
Swisslog has far-reaching implications,
marking a turning point in the group’s
evolution towards modular-based solu-
tions. Companies of all sizes and in all
industries are looking to Swisslog for
capable solutions which are easy to con-
figure and can be effortlessly adapted
and expanded for future applications. It is
already clear that much future business
will be in the installation and service of
applications based on modular product
packages. The number of employees in
the group’s software activities was
accordingly further increased in 1997,
and at the start of 1998 these activities
were consolidated and placed under
single management.
tomer-oriented platforms and hence antic-
ipate the growing demands of users.
Ultimately, this software development is
the result of a business-oriented group
strategy focusing in supplier terms on
repetition, standardisation and cost-
effective product platforms. In market
terms, the group is banking on key areas
of industry with comparable needs, sub-
stantially reducing the order-specific
engineering input required.
Response to market trends
The specific competitive advantages of
these software platforms can be sum-
marised in five points:
•
Standardising basic functions and
optional packages facilitates adapta-
tion to specific customer needs.
•
The clearly organised product docu-
mentation and presentation software
assist sales and distribution.
•
The Swisslog technology, which has
proved itself in numerous projects,
reduces implementation, functional
and operating risks.
•
Training new users is significantly
simplified, reducing overall the
dependence on specialists.
•
Comparatively low implementation
costs and simple upgrade facilities
enhance efficiency and hence the
commercial value of customer appli-
cations. In this way, Swisslog is
gaining access to further attractive
market segments.
26
Customer Support & Service
n order to
stay profitable in highly competitive mar-
kets companies are increasingly con-
centrating on their core competencies.
Swisslog acts as an outsourcing partner,
taking over maintenance functions for all
the logistics installations and systems
irrespective of the original suppliers. The
maintaining
irange of services runs from isolated
orders through to complete assumption
of operational servicing on site. Profes-
sional plant maintenance with preventive
maintenance and immediate correction of
any disturbances guarantee customers
optimal performance at budgetable
costs.
Thousands of active materials handling
installations throughout the world need
to be maintained and kept operational.
This is why after-sales support is as im-
portant to Swisslog as developing and
selling new installations. Customer sup-
port is lifetime partnership in action.
Swisslog’s service principle is to stay
close to our customers, wherever they
are in the world. This global service
organisation requires close co-operation
within the group.
Guaranteed delivery: Hoffmann-La
Roche, Kaiseraugst, Switzerland
In 1995 / 96 Hoffmann-La Roche AG in
Kaiseraugst commissioned a modern
warehousing and packaging system. The
general contractor was Digitron. A fully
automatic high bay and small com-
ponents store holds drugs and pack-
aging. After commissioning, goods are
forwarded to a largely automatic pack-
aging unit where they are packaged
ready for sale.
For Hoffmann-La Roche the continuous
availability of this installation is crucially
important. A decisive role here is played
by maintenance and servicing of the com-
plex logistics, robot handling, electronic
and computer installations which ensure
largely automatic supply and removal of
material.
For this reason Hoffmann-La-Roche was
in discussion with Swisslog even while
the system was being implemented on
the possibility of outsourcing technical
support to the installation. Digitron has
the optimal solution for an installation with
the required high availability: a specialist
team takes on the responsibility for maxi-
mum possible availability. Since 1995
Digitron has guaranteed permanent and
professional preventive maintenance and
fault recovery to Hoffmann-La Roche’s
total satisfaction. This approach also
ensures ongoing transfer and integration
of technological advances in the installed
system. Total costs of maintenance and
support are firmly budgetable.
27
superiority
The commercial success of an industrial plant depends on its reliability and availability and can only be ensured through a combination of first-class maintenance and continuousmodernisation.
Maximum availability: Daimler-
Benz AG, Sindelfingen, Germany
The Daimler-Benz plant in Sindelfingen
processes some 2,000 tonnes of sheet
metal a day on over 200 presses. A high
bay store with 12 aisles holds pressed
items manufactured in batches for call-off
by the body shop. The necessary trans-
port is handled by 94 automated guided
vehicles which take materials to and from
the various production areas through tun-
nels running for 5.8 kilometres, mostly
below ground.
In 1981 the contract for construction of
the high bay warehouse was awarded to
Digitron after an invitation for tenders,
and the warehouse was commissioned in
1983. In 1988 the “Sindelfingen Metro”
started operations, an automated guided
vehicle system linking the various parts of
the plant.
Even today after 10 and 15 years respec-
tively in operation the system still meets
the stringent demands of Daimler-Benz in
terms of functional reliability and avail-
ability as ensured by a full service main-
tenance contract. Digitron employees in
three-shift working ensure that electrical
or mechanical disturbances are rectified
swiftly and without loss of production.
Complex services: Lübeck Clinic,
Germany
At the central clinic of the Lübeck Medi-
cal University automated guided vehicles
handle all the transport of food, drugs,
laundry and refuse. Digitron planned,
supplied and implemented this automa-
ted material transport system, which was
commissioned in 1992 and very quickly
reached its planned performance in all
circuits. The prerequisite for smooth
AGV operation protected against all
external disturbances was the tunnel
installation. Today, 29 RoboTrailer under-
ground tractors are in use in the sub-
terranean transport system. A number of
freight lifts for individual vehicles carrying
piggy-back roller containers link the sub-
terranean transport levels with the floors
in the hospitals and supplies centre. The
system is centrally controlled, with con-
stant CCTV monitoring of all key system
areas.
The emphasis in hospital logistics is on
supplying patients, and high availability of
the system is essential. For this reason
Digitron was commissioned to provide a
local service team, which supports and
maintains the automated material trans-
port system, is responsible for holding a
stock of replacement parts and also sup-
ports other installations such as washing
machines. The specialists in the team are
experienced Digitron employees. The
service contracts also cover Digitron
suppliers, so that the customer can bud-
get exactly for the maintenance costs.
Based on the initial good experience
Digitron was commissioned in 1997 to
add a further five automated guided
vehicle systems, including lifts. The entire
control system was also upgraded to the
state of the art.
1. TS 1600 belt curve conveyor
1997 saw Transnorm launch a new generation
of belt curve conveyor systems on the market.
Conveying light goods up to 150 kg, the TS 1600
offers a long belt life and maximum performance.
2. TS 4200 belt merge conveyor
The TS 4200 from Transnorm is a key high-perform-
ance component for permanent operation. The
new belt merge conveyor can feed in and out unit
loads of up to 60kg at a speed of 3 m/s and angles
of 30° to 45°.
3. RoboPick
RoboPick, Cimcorp’s new robotic order picking
system makes up individual orders. Its grippers pick
cardboard boxes and plastic containers direct from
pallets or shelves, allowing distribution centres
to make major time savings.
4. MultiPick
MultiPick is the new overhead robotic order picking
system from Cimcorp. The fact that MultiPick
operates independently of fixed roller conveyors
makes for highly flexible warehouse management.
5. Fully automatic gun sealing carousel
In close collaboration with Matsushita Electronics
in Esslingen, Germany, Cimcorp developed a four-
phase plant with 28 processing stations. Measuring
9 meters in diameter, the plant is making a major
contribution to improving product quality.
6. Vectura stacker cranes
Accalon introduced a new family of stacker cranes
in 1997. Thanks to the modular mechanical con-
struction and system components with systematic
parameterisation of the control facilities, the new
stacker cranes can be fine-tuned to customers’
requirements.
7. Contura pallet conveyor systems
Contura from Accalon is a modular pallet conveying
system for weights up to 1.5 tonnes. Contura is also
ideal for linking different conveyor systems within
a large-scale materials handling complex.
28
Innovative Products
2
1
6
materialise
29
4
3
5
d expertise7
30
tInvestor Relations
Registration limit
Upon entry into force of the Federal Act
on Stock Exchanges and Securities
Trading (“Stock Exchange Act”) on 1 Jan-
uary 1998, the percentage limit (transfer
restriction) imposed on the entry of regis-
tered shares in the company’s share
register as stipulated in Art. 6 para. 2 of
the Articles of Association was automat-
ically rescinded. The Articles of Asso-
ciation of Swisslog Holding AG no longer
contain a percentage ceiling on the regis-
tration of shares. The Articles of Asso-
ciation have merely retained a nominee
ruling (Art. 6 para. 4) which stipulates
that no more than 5 per cent of the regis-
tered share capital may be entered in the
share register under the name of persons
holding shares on a fiduciary basis for
third parties not known to the company.
The object of this ruling is to prevent
anyone from secretly securing control
over Swisslog Holding AG.
Shareholders’ duty to disclose
holdings
The shareholders of Swisslog Holding
AG are subject to the disclosure require-
ments of the Stock Exchange Act. Under
Art. 20 of the Stock Exchange Act, any
shareholder who either directly, indirect-
ly or by joint arrangement with third par-
ties acquires or sells shares of Swisslog
Holding AG and thereby attains, exceeds
or falls below a threshold of 5, 10, 20,
33 1⁄ 3, 50 or 66 2 ⁄ 3 per cent of the voting
rights (whether enforceable or not) shall
be required to notify Swisslog Holding
AG and the Disclosure Office of the
Swiss Exchange. Address:
Swiss Exchange, Disclosure Office
P.O. Box, CH-8021 Zurich
+ 41 1 229 29 16 Phone
+ 41 1 229 29 35 Fax
Under Art. 21 of the Stock Exchange Act,
the company is for its part obliged to pub-
lish any such information that it receives.
Shareholders who as of 1 January 1998
had a holding of at least 5 per cent of the
voting rights of Swisslog Holding AG are
granted a period of 3 years within which
Investment policy
The Swisslog Group aims to expand its
presence on the world’s logistics sys-
tems markets. Customer proximity, an
comprehensive range of services and a
broad geographic base are crucial to
success.
The Swisslog Group’s affirmed goal is to
finance its organic growth through inter-
nally generated funds.
Capital structure
As of 31 December 1997, 2,752,000
registered shares at CHF 10 nominal
were outstanding and entered in the
Commercial Register.
The Group holds neither authorised nor
conditional capital.
In introducing a unitary share and
gradually reducing the nominal value to
the minimum of CHF 10 as permitted un-
der Swiss company law, the Swisslog
Group has created the conditions for a
liquid market which is also accessible to
private investors.
he Board of Directors shall propose to theAnnual General Meeting of 13 May 1998 thata dividend of CHF 2 per registered share bepaid out. Swisslog pursues an income-baseddistribution policy.
31
share in ourSwisslog at a glance: an overview for investors
Key data per registered share
(equivalent of registered shares at CHF 10 nominal) 1997 1996 1995 1994
Earnings before interest, tax,
depreciation and amortisation (EBITDA) CHF 10.4 4.5 0.3 3.2
Earnings before interest and taxes (EBIT) CHF 7.7 2.6 -1.3 1.5
Net income/registered share CHF 4.8 0.8 -1.4 3.7
Consolidated shareholders’ equity
per registered share (Net Asset Value) CHF 60.0 62.5 74.1 96.8
1995 / 96 capital repayments by reducing the nominal value per share from CHF 100 to CHF 84 and CHF 84 to CHF 50.August 1997: 1:5 share split from nominal value of CHF 50 to nominal value of CHF 10 per registered share. The figures for 1994 to 1996 were adjusted accordingly.
Dividends 1997 1996 1995 1994
Consolidated net income CHFm 13.2 2.2 -3.9 10.2
Dividend/capital repayment CHFm 5.5 18.7 8.8 8.8
Dividend payout ratio % 42 — — 86
Dividend/registered share 1 CHF 2.0 2 3.2
Capital repayment/registered share 1 CHF 6.8 3.2
1 Equivalent of registered shares at CHF 10 nominal.2 Dividend for the year under review in accordance with the proposal of the Board of Directors to the Annual General Meeting
of 13 May 1998.
32
Investor Relations
successSwisslog: the market view
Share price development of registered shares from 1993 to March 1998
1993 1994 1995 1996 1997 1998
For comparison purposes, prices for the period 1994 to 1996 in the above chart were adjusted to reflect the 1:5 share split.
1997 1996 1995 1994
Price of registered shares 1 High CHF 125 83 72 91
Low CHF 86 61 54 60
Gross return on registered shares High % 2 NA NA 4
Low % 2 NA NA 5
Market capitalisation (31.12.) CHFm 294 203 176 168
Market capitalisation as % of shareholders’ equity % 178 118 86 63
Price-earnings-ratio (PE-Ratio) (as of 31.12.) Factor 22.3 92.3 NA 16.5
1 Equivalent of registered shares at CHF 10 nominal.
50
60
70
80
90
100
110
120
140
160
III IV I II III IV I II III IV I II III IV I II III IV I
150
130
33
to make their disclosure, provided they
do not increase this holding to the next
higher threshold during this time.
Decision not to include opting-out
and opting-up clauses
Swisslog Holding AG has consciously
decided against writing into its Articles
of Association either an opting-out or an
opting-up clause which would waive or
restrict the obligation imposed on share-
holders to make an offer as stipulated un-
der Art. 32 of the Stock Exchange Act
effective 1 January 1998. Under Art. 32
of the Stock Exchange Act, a share
holder who either directly, indirectly or by
joint arrangement with third parties
acquires shares of Swisslog Holding AG
and thereby exceeds the threshold of
33 1⁄ 3 per cent of the voting rights
(whether enforceable or not) is required
to submit a purchase or exchange offer
to all shareholders of Swisslog Holding
AG. Moreover, the minimum price stipu-
lations defined in the Stock Exchange Act
will also apply to any such offer.
Own shares and management
participation plan
As of 31 December 1997, the Swisslog
Group held a total of 24,250 registered
shares of Swisslog Holding AG with
a book value of CHF 1.77 million. These
shares were acquired under a stock op-
tion plan for the group’s executive per-
sonnel and as remuneration for the Board
of Directors. These registered shares are
carried in the books of Swisslog Man-
agement AG.
Remuneration for the Board of
Directors
The remuneration paid to the Board of
Directors takes the form of an annual al-
location of registered shares of Swisslog
Holding AG.
Shareholder structure
Approximately 1,900 registered share-
holders are entered in the share register.
The shares are held by a large of individ-
ual shareholders.
Major shareholders are: Chase Nomi-
nees Ltd, London, with 13.7 per cent and
Co Nominees Ltd, Chelmsford, Essex,
with 5.4 per cent.
Listing
The registered shares of Swisslog
Holding AG are traded on the main
segment of the Swiss Exchange.
An average of 13,424 shares, adjusted
to nominal CHF 10, were traded daily in
1997, corresponding to a volume of
CHF 1.3 million.
Key dates for the investor’s diary
Annual General Meeting:
13 May 1998, Aarau
Dividend date:
20 May 1998
Publication of mid-year figures:
End August 1998
Contact
Juhani Anttila
Delegate of the Board of Directors
Swisslog Holding AG
Bahnhofstrasse 102
CH-5001 Aarau, Switzerland
+41 62 837 95 12 Phone
+41 62 837 95 56 Fax
34
Organisation
Management Committee
Juhani Anttila President and CEO
Andreas Münch Logistics Systems Region 1
Ulf Jansson Logistics Systems Region 2, from July 1, 1997
Sigvard Karlsson Logistics Systems Region 2, up to June 30, 1997
Charles Teissonnière Logistics Systems Region 3, from January 1, 1998
Göran Fredriksson Logistics Products
Uwe Eckert Overhead Conveyors
Kari Ollila Robotics
Uwe Schöning Unit Load Conveying Technology
Urs Birrer Software, from March 1, 1998
Wolfgang Maier Customer Support
Pekka Pylkäs Finance and Controlling
Martin Strobel Legal Services and Human Resources
Björn Berg Business Development
Board of Directors of Swisslog Holding AG
and Swisslog Management AG
Truls D. Berg Chairman up to 1999
Konrad Peter Vice Chairman up to 1999
Juhani Anttila Delegate up to 1999
René Garo Member up to 1998
Hans Hulsbergen Member up to 1999
Guido Patroncini Member up to 1999
Auditors
STG-Coopers & Lybrand AG, Basel
Group Auditors
STG-Coopers & Lybrand AG, Basel
committed to
Chairman
of the Board of Directors
Truls D. Berg
Delegate of the Board of Directors
President and CEO
Juhani Anttila
Customer Support
Wolfgang Maier
Software
Urs Birrer
Business Development
Björn Berg
Logistics Systems Region 1
Andreas Münch
Logistics Systems Region 2
Ulf Jansson
Logistics Systems Region 3
Charles Teissonnière
Logistics Products
Göran Fredriksson
Overhead Conveyors
Uwe Eckert
Robotics
Kari Ollila
Unit Load Conveying Technology
Uwe Schöning
Legal Services and HR
Martin Strobel
Finance and Controlling
Pekka Pylkäs
o excellence
36
Adresses
partners for
Swisslog Holding AG Swisslog Management AG
Bahnhofstrasse 102 Bahnhofstrasse 102
P.O. Box 4003 P.O. Box 4003
CH-5001 Aarau CH-5001 Aarau
+41 62 837 95 37 Phone +41 62 837 95 37 Phone
+41 62 837 95 10 Fax +41 62 837 95 10 Fax
Switzerland
Digitron-OWL AG
Bahnhofstrasse 96
CH-5001 Aarau
+41 62 834 15 00 Phone
+41 62 834 17 99 Fax
Digitron-OWL AG
Erlenstrasse 32
CH-2555 Brügg/Biel
+41 32 374 22 00 Phone
+41 32 374 24 99 Fax
Digitron-OWL AG
Webereiweg 3
CH-5033 Buchs/AG
+41 62 837 41 41 Phone
+41 62 837 41 23 Fax
Germany
Cimcorp GmbH
Monreposstrasse 53
D-71634 Ludwigsburg
+49 7141 38 360 Phone
+49 7141 38 36 10 Fax
Digitron GmbH
Monreposstrasse 53
D-71634 Ludwigsburg
+49 7141 22 600 Phone
+49 7141 22 6055 Fax
Digitron Service GmbH
Martin-Schmeisser-Weg 6
D-44227 Dortmund
+49 231 758 9500 Phone
+49 231 758 9512 Fax
Belgium
Digitron Benelux N.V.
Kernenergiestraat 47-49
B-2610 Wilrijk
+32 3 830 38 00 Phone
+32 3 828 89 26 Fax
Finland
Cimcorp Oy
Sammontie 5
FIN-28400 Ulvila
+358 2 6775 111 Phone
+358 2 6775 200 Fax
France
Digitron S.A.
151, Avenue Aristide-Briand
BP 2275
F-68068 Mulhouse-CEDEX
+33 3 89 32 65 65 Phone
+33 3 89 59 75 51 Fax
Italy
Digitron Italia S.r.l.
Via Columella 40
I-20128 Milano
+39 2 2707 111 Phone
+39 2 2707 1150 Fax
Digitron-Translift S.r.l.
Via Barbera 66, Scala B
I-10135 Torino
+39 11 34 66 66 Phone
+39 11 34 88 283 Fax
Netherlands
Digitron Benelux B.V.
Landzichtweg 66
NL-4105 DP Culemborg
+31 345 53 11 88 Phone
+31 345 53 07 36 Fax
a lifetimeDigitron-OWL Service AG
Bahnhofstrasse 96
CH-5001 Aarau
+41 62 834 17 77 Phone
+41 62 834 17 96 Fax
Digitron-OWL Service AG
Erlenstrasse 32
CH-2555 Brügg/Biel
+41 32 374 22 00 Phone
+41 32 374 24 99 Fax
Digitron-OWL Service AG
Webereiweg 3
CH-5033 Buchs/AG
+41 62 837 41 41 Phone
+41 62 837 41 23 Fax
Digitron Materialfluss System GmbH
Ziegelhüttenweg 4
D-65232 Taunusstein-Neuhof
+49 6128 97 600 Phone
+49 6128 97 6044 Fax
Louis Schierholz GmbH
Arsterdamm 110
D-28277 Bremen
+49 421 8406 0 Phone
+49 421 8406 202 Fax
Transnorm System Holding GmbH
Förster Strasse 2
D-31177 Harsum
+49 5127 402 0 Phone
+49 5127 402 119 Fax
Digitron Benelux N.V.
14, Rue des Cinq Perches
F-77645 Chellex-CEDEX
+33 1 64 21 44 33 Phone
+33 1 64 21 09 70 Fax
United Kingdom
Digitron Ltd.
Units 2/3, Regents Court, Far Moor Lane
GB-Redditch B98 OSD, Worcs.
+44 1527 517 333 Phone
+44 1527 517 344 Fax
Digitron Ltd.
706 Stirling Road, Trading Estate
GB-Slough, SL1 4SY, Berkshire
+44 1753 52 85 45 Phone
+44 1753 57 04 07 Fax
Transnorm System B.V.
Energieweg 10
NL-3641 RT Mijdrecht
+31 297 285 121 Phone
+31 297 286 221 Fax
Norway
Digitron AS
Nedre Rommen 5
N-0988 Oslo
+47 22 78 95 00 Phone
+47 22 78 95 10 Fax
Sweden
Accalon AB
Box 21
S-590 10 Boxholm
+46 142 555 00 Phone
+46 142 506 30 Fax
38
Wo sind wir
Digitron Translift AG
Rainacherstrasse 47
CH-6010 Kriens/LU
+41 41 329 88 00 Phone
+41 41 329 88 99 Fax
Transnorm System GmbH
Förster Strasse 2
D-31177 Harsum
+49 5127 402 0 Phone
+49 5127 402 102 Fax
Digitron-Translift Ltd.
Hallcroft Ind. Estate
GB-Retford DN22 7PT, Notts.
+44 1777 707 511 Phone
+44 1777 860 778 Fax
Transnorm System Ltd.
Ashchurch Industrial Estate,
GB-Tewkesbury GL20 8TD,
Gloucestershire
+44 1684 291 100 Phone
+44 1684 291 550 Fax
Digitron AB
Brodalsvägen 13
S-433 38 Partille
+46 31 336 60 00 Phone
+46 31 336 08 85 Fax
Schierholz Svenska AB
Brodalsvägen 13
S-433 38 Partille
+46 31 336 61 70 Phone
+46 31 44 27 10 Fax
Czech Republic
Schierholz Dopravni Technika s.r.o.
Repna 20
CZ-321 00 Pilsen-Litice
+420 19 78 28 272 Phone
+420 19 78 28 272 Fax
USA
Transnorm System Inc.
1906 South Great Southwest Parkway
Grand Prairie, TX 75051 USA
+1 972 606 0303 Phone
+1 972 606 0768 Fax
Australia
Digitron Logistics Pty. Ltd.
30, Cowper Street, Level 1
AUS-Parramatta NSW 2150
+61 2 9895 1000 Phone
+61 2 9895 1095 Fax
Republic of Korea
Cimcorp Representative Office
42F, KLI 63 B D. Yoìdo-dong
Yeongdeungpo-Ku, Seoul
Republic of Korea
+82 2 783 6851 Phone
+82 2 780 5802 Fax
Malaysia
Digitron Logistic Systems Sdn Bhd
54-3, 2nd Floor, Jalan USJ 9/5P
MAL-47620 UEP Subang Jaya,
Selangor Darul Ehsan
+60 3 724 4 790 Phone
+60 3 724 5 790 Fax
Transnorm System Sdn Bhd
Lot Plo 28 Kawasan Perindustrian
Kluang, 4 1⁄2 Mile Jalan Mersing
MAL-86000 Kluang/Johore
+60 7787 9990 Phone
+60 7787 9966 Fax
Singapore
Digitron Logistic Systems Pte Ltd.
215G Upper Thomson Road
Singapore 574349
+65 453 0192 Phone
+65 453 6018 Fax
39
the future
Impressum
Edited by: Swisslog Management AG, AarauConcept und production: Haussmann, Weber-Thedy
Corporate & Financial Communications, ZürichVisual design: Martina Ott, Zürich
Portrait photographs: Thomas Schuppisser, Langnau am AlbisTypesetting and lithography: Colorlith, Geroldswil
Printing: Offsetdruck Goetz AG, Geroldswil
The Swisslog 1997 Annual Report comprisestwo parts: the report on the activities and the financial overview. The annual report ispublished in German and English. The Germanversion is binding.
even more
Swisslog Holding AG
Bahnhofstrasse 102
P.O. Box 4003
CH-5001 Aarau
Switzerland
+41 62 837 95 37 Phone
+41 62 837 95 10 Fax
www.swisslog.com