3.2012 A maga zine from sca on trends, markets and business
Women sail
under the
SCA flag
Power
of
life
Reforesting
Brazil
ing
m
o
o
b
e
h
T
ness
i
s
u
b
g
n
i
clean
CHINA
the
world’s
best
CONSUMPTION
story
4 tips from
a stock market
millionaire
Mattias Andersson
Shape is a magazine from SCA,
primarily geared toward customers,
shareholders and analysts, but also
for journalists, opinion leaders and
others interested in SCA’s business
and development. Shape is
published four times a year. The next
issue is due in December 2012.
Publisher
Joséphine Edwall-Björklund
Managing Editor
Marita Sander
Editorial
Anna Gullers,
Ylva Carlsson, Inger Finell
Appelberg
Design
Markus Ljungblom, Kristin Päeva
Appelberg
Printer
Sörmlands Grafiska AB,
Katrineholm
Address
SCA, Corporate Communications,
Box 200, 101 23 Stockholm,
Sweden.
Telephone +46 8 7885100
Fax +46 8 6788130
SCA Shape is published in Swedish, English,
Spanish, German, French, Dutch and Italian.
The contents are printed on GraphoCote
90 grams from SCA. Reproduction only by
permission of SCA Corporate Communications. The opinions expressed herein are
those of the authors or persons interviewed
and do not necessarily reflect the views of
the editors or SCA. You can subscribe to SCA
Shape or read it as a pdf at www.sca.com.
Address changes can done at
www.sca.com/subscribe or by e-mailing
sophie.brauner@sca.com
3.2012 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS
Power
of
life
Women sail
under the
SCA FLAG
HEADING
FOR A CRIME
MATTIAS ANDERSSON is an
enthusiastic contributor to Shape.
In the past, he has followed Swedish domestic politics, business
and technology and climbed
mountains to report on the Soviet
war in Afghanistan. Shape has
long benefited from his breadth
of knowledge and desire to
analyze the economic and social
trends shaping the world. “Every
time I’ve written for Shape, I’ve
learned something new about
the challenges and opportunities
that will shape the world in the
coming years,” he says.
Andersson has written a num-
ber of works of nonfiction as well
as television series and has produced various television documentaries. Unlike most Swedes,
he has not written a detective
story, but he aims to do so before
the entire Swedish population
drops dead in the world of fiction.
When he is not writing for Shape,
he runs a communications firm
whose managerial meetings
generally end with a wrestling
match.
He lives in Stockholm with
his three children, the oldest of
whom is now packing his bags
for New York.
Contributor
SCA’S SOCIAL MEDIA SITES
Youtube.com/
SCAeveryday shows
commercials and videos from SCA’s
press conferences, presentations
and interviews with executives and
employees.
Slideshare.com/
SCAeveryday
is for investors and analysts, who
can download presentations from
quarterly reports and annual general
meetings.
Facebook.com/SCA is
intended to attract talent,
engage users and provide information
in a way that complements sca.com.
Scribd.com/
SCAeveryday
makes some 50 publications available,
including SCA’s sustainability report,
its Hygiene Matters report and Shape
magazine.
4 TIPS FROM
A STOCK MARKET
Reforesting
Brazil
MILLIONAIRE
g
The boomin
business
cleaning
CHINA
THE
WORLD’S
BEST
CONSUMPTION
STORY
Cover photo:
Getty Images
2 SCA SHAPE 3 2012
Twitter.com/SCAeveryday
provides a good summary of
every thing happening at sca.com and
in SCA’s social media. The aim is to
provide various users, journalists and
bloggers with relevant information.
Flickr.com/
HygieneMatters
supports the launch of the global
report Hygiene Matters with images.
CONTENTS
06. Chinese miracle
Private consumption is growing – and the state will push for
the expansion of health care and other social security systems.
16. Fortune maker
At the age of 96, Sweden’s Lennart Israelsson is
still passionate about stocks. Read his top tips.
20. Nice and clean
The cleaning business is booming – but much could be done to improve
the working environment.
24. Fight the germs
Tork’s antimicrobial foam cleanser combines soap with alcohol.
26. Rescue plan
In Brazil a reforestation project has started and the locals make a living out of it.
32. Heavy costs
Health and wellness in focus when obesity is growing.
34. Fragile life
The first days with a prematurely born baby are anything but calm.
“Stocks
provide
a good
return,
but senior
citizens
dances
have an
even better
one.”
page 16
ALSO...
GIRL CREW SCA’s secret weapon – page 4
SHAPE UP – pages 30-31
12 HOURS with Markus Henningsson – page 40
SHORT NEWS FROM SCA – pages 4–5, 42– 43
DID YOU KNOW...
...that spinach has a powerful effect on muscle strength? See page 30.
UPDATED
News from SCA
The French boat
Groupama sealed the
overall victory in the
latest Volvo Ocean Race
when crossing the
finish line in July.
Women’s boat to
put SCA on the map
With an all-female boat in one of the world’s toughest
offshore races, Volvo Ocean Race 2014, SCA will
have a chance to put the company on the global map
in more than one way.
text ANNA GULLERS
N ALL-FEMALE team will take
A
4 SCA SHAPE 32012
have become increasingly challenging physically, and as a result
there have been fewer and fewer
women taking part. The last time
VOR had a boat with a female crew
was 2001.
“The race is headed for certain
death without women,” says Brisius,
who sees ocean racing as a sport
for both women and men.
THE NEW TYPE of boat now being
developed for ocean racing participants is slightly smaller and has fewer
sails than the 70-foot vessels used
earlier, which helps to even the odds.
Brisius and his team now have to
pick the 10 to 12 women on SCA’s
crew, and he says the applications
are streaming in. The crew will train
over the next few years with experienced ocean sailors and be shaped
into a well-oiled ocean sailing team.
But it won’t include just anybody.
“You have to be an ocean sailor
with strong qualifications, a team
player, enjoy the sea and not have
a tendency to get seasick,” says
Brisius, summing up the profile of
his future crew. While SCA’s ocean
adventure has only just begun, the
strategy is clear:
“Team spirit. That will be our edge.”
FACTS
Next race: 2014–2015
Start: Southern Europe, late fall 2014
Finish: Northern Europe, summer 2015
Boat type: 65-foot one-design
Route: 9-10 legs around the world
P H O T O : Y VA N Z E D D A
on what is possible the
toughest off shore challenge in the world by competing in the next Volvo
Ocean Race. This is the sailing contest that begins in southern Europe
and takes competitors around the
world for nine months, some 39,000
windswept nautical miles and innumerable freeze-dried meals, before
reaching the finish line in northern
Europe. When the starting gun goes
off in late fall 2014, SCA will have a
boat of its own in the competition.
Richard Brisius from Atlant Ocean
Racing, is head of the team managing SCA’s sailing adventure.
“This isn’t just an around-theworld sailing race,” says Brisius,
who has previously managed a
number of successful VOR projects
and has also been a crew member
in two Volvo Ocean Races. “If it’s
handled right, it can generate surprisingly large commercial value. As
a marketing tool, VOR is a diamond
in the rough. It’s a global event that
runs for a long stretch and involves
many countries.”
The competition is one of the
most difficult sporting events in
the world. Over the years, the boats
A lot to communicate
SINCE SEPTEMBER 15 SCA has a new Senior
Vice President Corporate Communications in
Joséphine Edwall-Björklund.
Joséphine Edwall-Björklund, 48, has held
leading positions in communications since
1988. She previously held the position of
Vice President Communications at Ericsson
Global Services.
As head of the Corporate Communications
staff, Joséphine Edwall-Björklund will be a
member of SCA’s
Corporate Senior
Management Team,
reporting to CEO Jan
Johansson.
“Joséphine Edwall-Björklund has a broad
background in internal and external communications including branding and M&A, which
will be of great value for SCA”, comments Jan
Johansson, President and CEO.
From paper to
consumer goods
SCA HAS BEEN reclassified from the Paper
Products category to Household Products in
the MSCI index. The reclassification is a consequence of this year’s large structural deals
that has resulted in 80 percent of SCA’s net
sales deriving from hygiene products. MSCI is
a leading provider of investment decision support tools to investment
institutions. SCA was already classified as a Personal and Household
goods company on the Nasdaq
OMX Stockholm exchange.
New products in portfolio
TWO INNOVATIVE products have been added to
SCA’s incontinence care brand TENA’s product
range: self-tests for early detection of urinary
tract infections and wet gloves.
The self-test for urinary tract infections can
replace a time consuming urine sampling routine. The test is simply placed into and taken
out of the pad with usual diaper change. It’s a
user friendly solution with quick results.
The products were added to the portfolio
through the acquisitions of the Swiss company
Swiss Medical Solution and the Dutch company
JoyinCare, respectively. Some 25 percent of all
Dutch care institutions are using wet gloves.
DONATION
TO REFUGEES
SCA donates 1 million
feminine towels to UNHCR
(the UN refugee agency) to
be distributed in refugee
camps in South Sudan.
Since April, the number of
Sudanese refugees seeking safety in South Sudan
has swelled from 99,000
to 175,000.
The UN refugee agency
(UNHCR) is concerned by
the alarming health and
nutrition situation for the
refugees in South Sudan.
Access to sanitary materials is central to women’s
dignity and self esteem.
The lack of sanitary supplies can affect women’s
health, but also their general mobility.
NEW PAPER
GRADE
In October SCA launches
GraphoInvent, a new publication paper grade, in
some 20 countries across
Europe. The paper has
new qualities, enabling it
to replace more expensive
alternatives. It has high
bulk and feels thick enabling you to reduce grammage, but the perceived
quality is the same as the
more expensive papers.
The lower weight also
makes it possible to save
distribution costs. It is also
cheaper to buy.
See more info:
www.graphoinvent.com
SCA SHAPE 32012 5
China’s
bulging
wallets
text MATTIAS ANDERSSON
CHINA IS AT a historic turning point, notes the con-
sulting firm McKinsey in a report about the new
role of Chinese consumers in the global economy.
“The difference hereafter is that consumption,
rather than investment, will be the driving force.”
The engine of the Chinese economy has been
manufacturing, which has created a surge in
demand around the world for investments and
commodities. A deceleration is predicted in the
wake of the global slump in general and the
European debt crisis in particular. But even with
a slightly slower growth rate, China will retain its
leading position in the world’s growth league and
is expected to account for 43 percent of global
growth in 2020.
6 SCA SHAPE 32012
PHOTO: GALLERY STOCK
For three decades, the Chinese economic miracle
has seen record growth, filling the state’s coffers and
padding the wallets of the growing middle class. With
hundreds of millions of Chinese consumers eager to buy,
the spending spree of the millennium is now at hand.
FEATURE
Chinese consumers have
played a fairly modest role in
the global market – so far.
SCA SHAPE 32012 7
China’s middle class
is larger than the total
US population.
PHOTO: GALLERY STOCK
LTHOUGH THE Chinese economy tripled in
A
8 SCA SHAPE 32012
other social security systems and work to raise the
minimum wage. These measures have already
been implemented in a number of regions.
Andrew Rothman, a macroeconomic strategist
for the investment firm CLSA Asia-Pacific, writes
in an economic forecast for this year that China’s
economy today is already driven by consumption
to a considerable extent. “Forget about the fact
that household consumption accounts for a small
share of China’s GDP,” he says. “Driven by more
than a decade of double-digit income growth and
low household debt, China will this year continue
to be the world’s best consumption story, for everything from instant noodles to luxury cars.“
M
CKINSEY predicts that in 2020 China
will be the world’s second-largest
consumer market, after the US, with
spending of 4.8 trillion US dollars.
Today China is home to a middle class
that is larger than the total US population and has
the highest income among the BRIC countries of
Brazil, Russia, India and China.
The US auto manufacturer General Motors sells
more cars in China than in its domestic market.
New iPhone models have triggered consumer riots
in Beijing. Chinese department stores are now
fi lling up with a whole new generation of young
people who prefer consumption to revolution.
“In China’s future middle class, well-off young
people will replace older people with lower
incomes,” notes the bank Credit Suisse in an
analysis of the Chinese consumer market.
GROWING
OLDER
Percentage of age
60+ in China
2010
12%
2050
30%
SOURCE: UN
the 10 years from 2000 to 2010, Chinese
consumers have played a fairly modest
role in the global market – so far. Compared with citizens in other countries,
the Chinese are notoriously thrifty. While Americans save 4.4 percent of their income, Chinese
save a full one-third of their wages.
Private consumption represents 33 percent of
China’s GDP, compared with 71 percent in the US
and 65 percent in Britain. One important reason
is that people in China are expected to provide a
large share of their own security through their savings for education, health care and retirement.
But now a shift is predicted, partly due to
political reasons. For the Chinese government,
stability is one the most critical points on their
agenda. Since the key to stability is high sustainable growth, China made increased domestic
consumption a priority in the most recent five-year
plan.
“If Europe’s economy collapses and that
affects exports, then what will happen with all the
unemployed?”asks Shaun Rein, managing director of China Market Research Group and author
of The End of Cheap China: Economic and Cultural
Trends that Will Disrupt the World. “The government wants to minimize the risks of social instability, so they cannot rely on the export sector. China
must shift its focus to services and more advanced
manufacturing.”
To stimulate the desire to spend, the Chinese
state will push for the expansion of health care and
FEATURE
“China will this year
continue to be the
world’s best consumption story, for
everything from
instant noodles to
luxury cars.”
Andrew Rothman, CLSA Asia-Pacific
PHOTO: GALLERY STOCK
SCA SHAPE 32012 9
FEATURE
PHOTO: GETTY IMAGES
text JAN HÖKERBERG
POPULATION
TREND
The one-child policy is estimated to have reduced births
by 250 million since 1980.
China, million people.
*UN forecast
1,462*
FROM OVERPOPULATION
TO LABOR SHORTAGE
1,339.7
1,265.8
SCA is investing heavily in the
Chinese personal care and tissue
markets, with the aim of becoming
a leading hygiene player.
JUST BEFORE Mao Zedong’s death in 1976,
S 20
20
20
50
10
2
4
00
8
19
6
19
10 SCA SHAPE 32012
1,008.2
694.6
SOURCE: CENSUS OF CHINA, UN
Chinese women gave birth to an average of six
children. The new political leaders saw the rapid
rise in population as a potential threat, and in
1979 they launched what was to become China’s
famous one-child policy.
The world’s largest family planning program
was implemented through a combination of
carrots and sticks: whoever broke the rule of one
child per family was fined, and mothers pregnant
with a second child were persuaded to have an
abortion. Those who obeyed the policy were
encouraged with financial support.
Since the 1990s, the birth rate in China has
been stable at under two children per woman.
The authorities themselves consider the policy
a success; it is said to have reduced births by
250 million since 1980.
But the policy has also been criticized – for
having promoted infanticide and for 500,000
“missing” girls (traditionally, the preference has
been for boys since they have a better chance
of contributing to the household economy) as
well as for having been unnecessarily harsh. The
general trend in developing countries since the
1960s has been to have fewer babies, and critics
argue that China could have achieved the same
results with less drastic measures.
China’s success with birth control also means
that its population will fall in the long term, and
the number of people over 60 will almost double
by 2050. A shortage of labor and rising costs for
an aging population have replaced overpopulation as China’s great challenge for the future.
Shifting
into a
new gear
CA RECENTLY took an important step
in the Chinese personal care market
by acquiring the Taiwanese company
Everbeauty, including brands such as
Sealer disposable baby diapers and
Dr. P incontinence care products. The acquisition, worth about 290 million US dollars, was
completed on June 1.
“With plants in Shanghai and Kaohsiung
[Taiwan], Everbeauty has been strong on lowcost production,” says Stephan Dyckerhoff,
president of SCA Hygiene Products North Asia.
“Sealer is No. 5 in the baby diaper market in
China, and Dr. P is No. 2 in incontinence care.
Both are very attractive brands for entry-level
users. Through the acquisition we will also get
access to Everbeauty’s distribution channels,
which is very important for us.”
Family-run Everbeauty, founded in 1986,
entered China in 1993 and has grown into a
company with more than 900 employees. Its
brands will complement SCA’s own products
in China, TENA incontinence care products
and Libero baby diapers, which are positioned
in the middle-premium and super-premium
segments respectively.
Sealer is No. 5 in
the baby diaper market
in China.
PHOTO: EVERBEAUTY
TENA was launched in China in 2009 and Libero
was introduced in 2011 as part of an SCA strategy to
build organically in the Chinese hygiene product
market after the company’s packaging business in
Asia had been divested.
In recent years, SCA has also increased its
investment activities in the Chinese tissue market,
the world’s second largest. The first step came in
2006 when SCA started selling Tork away-fromhome professional hygiene solutions in China.
In 2007, SCA acquired 20 percent of the shares
of Vinda Paper, a leading producer of toilet tissue,
kitchen rolls, facial tissues and handkerchiefs.
Vinda is the second-largest tissue company in
China. The ownership was diluted after the company was listed on the Hong Kong Stock Exchange,
but SCA recently bought more shares and now
owns almost 22 percent.
In 2007, SCA also bought the Tempo tissue
brand from Procter & Gamble in Hong Kong,
where Tempo has been the leading pocket handkerchief brand for more than 15 years. SCA has
been able to double the Tempo business in the
past four years by raising its market share to 70
percent and by introducing box tissue. SCA also
expanded the brand into the South China market.
“With 70 percent of the market, our growth
potential for handkerchiefs is limited,” Dyckerhoff says. “Therefore, in the summer of 2012, we
have also been launching Tempo toilet paper in
Hong Kong.”
“We are open
to more
acquisitions,
and we aim
to be a leading hygiene
player in
the Chinese
market.”
Stephan Dyckerhoff
HE CHINESE tissue market has huge potential for growth. The penetration rate
for toilet paper, the main tissue product,
is below 70 percent, and per capita consumption is less than one-fourth that of
Western markets. The four main tissue suppliers
in China are Asia Pulp & Paper (APP) of Indonesia
and the local companies Hengan, Vinda Paper and
Zhongshun. The leading global hygiene companies
have concentrated on the personal care market
in China.
“All top tissue players invest heavily to grow
capacity, which in a longer perspective will
squeeze out the small players,” Dyckerhoff says.
“The top four control today some 30 percent of
the market, and it is expected that their share will
grow to 50 percent in 2016.
“We are open to more acquisitions, and we
aim to be a leading hygiene player in the Chinese
market,” he says.”
T
SCA SHAPE 32012 11
SCA offers
education to hospital
nurses who deal with
elderly people. The
focus is on incontinence care.
expanded to caregivers
After educating several thousands
of Chinese nurses over the past
three years, SCA has broadened
the scope to also train nurses’
assistants about elderly people’s
hygiene needs.
text JAN HÖKERBERG
INCONTINENCE is something that many elderly
people have to live with. Parents who suffer from
incontinence also suffer from lost dignity when
they find it difficult to take care of their own toilet needs and require intensive care from their
children. They become dependent on caregivers, whether family members or otherwise. They
feel helpless and useless. They often get rashes
and skin irritations, have difficulty sleeping and
become stressed.
“That was the starting point,” says Daniel
Huang, regional director for incontinence care at
SCA in Shanghai. “We offered education to hospi-
tal nurses who were dealing with elderly people to
help them improve the lives of their patients.”
Some 6,500 nurses from more than 1,000
hospitals in 12 Chinese cities have benefited from
the education scheme since the project started in
2009. The responses have been very positive.
After educating nurses for three years, SCA
decided in 2012 to broaden the scope of the training program in China.
“This year we are aiming to educate around
1,000 professional caregivers in 55 hospitals in
three Chinese cities – Guangzhou, Hangzhou and
Shanghai,” Huang says.
Caregivers at hospitals work as assistants to the
nurses. It is often the caregivers who do the handson work, such as changing the patient’s clothes and
diapers and helping them with washing and other
hygiene matters.
“The concept is the same as for the nurses program,” Huang says. “We want to increase the caregivers’ skills and knowledge about the patients’
personal hygiene, such as preventive treatment
and available solutions.”
“This year we
are aiming
to educate
around
1,000 professional
caregivers.”
Daniel Huang
SCA SHAPE 32012 13
PHOTO: GETTY IMAGES
Training program
PHOTO: GAO ERQIANG
text JAN HÖKERBERG
Strong demand for
home
nurses
SCA has established a joint venture in China with the Singaporean
nursing-home specialist Econ to
bring home nurses to elderly people.
M
OST ELDERLY PEOPLE in China prefer
to stay at home rather than go to nursing
homes or hospitals, placing heavy
demands on their children to take care
of them.
Since those in the first generation of China’s
one-child policy are now in their mid-30s, most
of them are working. They definitely need help to
take care of parents or grandparents.
SCA decided in late 2011 to start a home-nursing
service in China, employing its own nurses. SCA
and the Singaporean nursing home specialist Econ
Healthcare established a 50-50 joint venture called
Jiahu – Chinese for “home care.”
The nurses can carry out diagnosis and provide
a broad range of nursing and preventive care.
In the first six months, more than 250 senior citizens from 17 communities in Shanghai received
care at home from Jiahu’s nurses, and the support
has been much appreciated by the elderly people’s
families and relatives.
The aim is to develop a strong nurse team and
a successful model in Shanghai within a couple
of years before expanding to other cities in China.
“It is valuable for us to have an experienced
14 SCA SHAPE 32012
A trained nurse from Jiahu visiting a patient’s home.
partner, and we have made a lot of progress
already,” says Daniel Huang, regional director for
incontinence care at SCA in Shanghai. “However,
a barrier is that this type of service is not covered
by medical insurance.”
Because of its aging population, China will
never have enough places in nursing homes for the
elderly. Since most of them prefer to stay at home
anyway, home nurses can definitely be a solution.
Whether that happens is a question of changing
the regulations to permit medical professionals to
provide medical services at homes, which is not
allowed today.
“But over a short time, we have noticed an
increased acceptance from the community for
this project,” Huang says.
“A barrier
is that this
type of service is not
covered by
medical
insurance.”
TENA Lady Mini Magic. Just as discreet as regular pantyliners.
But four times drier.
FEATURE
From empty pockets to
Stock market
millionaire
A lot of people thought Lennart Israelsson was crazy when
he bought stock for 600 Swedish kronor in 1946. Workingclass people didn’t do that. Slowly his stock portfolio
grew, and in 2007 it was worth 140 million kronor
(EUR 17 million). Then he chose to give away
almost his entire fortune.
W
text CHATARINA ALMQVIST photo PONTUS JOHANSSON
hy did you decide on
stocks in particular?
While most of my
friends were buying their
houses, and thus creating
real value, I had unsteady work at SJ, the
Swedish Railways. I often had to move to
different towns, so it wasn’t a good idea to
invest in a house. In 1943, I got a permanent job at the Konga station in Småland in
southern Sweden. That was during the war,
and the trains were often late because of
military transportation. To pass the time,
I read the newspaper Göteborgs Handelsoch Sjöfartstidning and Carl Pokorny’s
column about the stock market. He wrote
how equities were good protection against
inflation, although it took me three years
16 SCA SHAPE 32012
before I bought my first stock for 600
Swedish kronor (EUR 45) in the engineering
company Sandvik.
Your mother was pretty unhappy about
your interest in stocks. Why?
She had an uncle who lost a lot of money
in the Kreuger crash in 1932. I listened to
what my mother said, but I didn’t follow
her advice. My friends thought I was totally
crazy – it was really unusual for workingclass people to invest in stocks at that time.
It was only rich old guys who dealt in stocks
– we called them coupon clippers.
What was your childhood like?
I was born in 1916 on a small farm in
the village Algutsboda in Småland. It was
a place where nothing had happened in
300 years. People milked their cows by
10 QUESTIONS
When other people
have sold off in a
panic, I’ve bought.
It’s so much fun to
buy when things
are cheap! ”
Stocks and
dancing
Age: 96.
Lives: In Nässjö, Jönköping
County, Sweden.
Family: 88-year-old partner,
son, two grandchildren.
Education: Six years of
elementary school.
Interests: Stocks, dancing,
crossword puzzles, walking.
Best stock advice: Buy
shares in companies that
have a good cash flow, and
equity discount rate, and are
highly capitalized.
Best stock market buy:
The investment company
Ratos. Their shares have
increased considerably since
I bought some.
hand, plowed with wooden plows and had
no electricity.
When I was 13, I finished school and
then I worked in the fields. When I was
22, I moved to Stockholm and got a job at
Sieverts Kabelverk [a cable manufacturer],
which I really enjoyed, but then World
War II broke out and I was laid off. I went
home to Småland for Christmas and saw an
ad in the local paper that SJ was looking for
people in Kalmar, so I applied, got a job and
started at SJ in 1940. Then I worked there
for 40 years, first as a temporary employee
at 180 kronor a month and fi nally as a station manager at 5,400 kronor a month.
How did you achieve success with your
stock market activity?
I didn’t make much money as an SJ
employee, but I bought shares with the
dividends I got. And then I’ve often done
the opposite of what the experts have said to
do. For instance, when everyone was supposed to buy IT stocks, I bought real estate.
I’ve considered stock market slumps to be
a good time to buy. When other people have
sold off in a panic, I’ve bought. It’s so much
fun to buy when things are cheap! The stock
market always recovers. Things have pretty
much looked the same the whole time
I’ve been at it – it goes up and down. I fi rst
became a millionaire when I retired in 1980.
My basic rules when I’ve looked at a company are that they should preferably earn
SCA SHAPE 32012 17
3 40,000 SEK
t
323,000 SEK
Right time on the stock market
Lennart Israelsson is good at picking stocks, but he also
invested in shares during the golden years of the stock market,
1980 to 2000. On average, 1,000 SEK invested on the Stockholm Stock Exchange in 1946 increased to 5,800 SEK by 1980
and to 346,000 SEK by today. (With inflation, 1,000 SEK in
1946 would be worth 19,400 SEK today.)
t
t
1946
1950
73,000 SEK
t
5,800 SEK
3,900 SEK
1,000 SEK
1955
1960
1965
t
t
1970
1975
1980
1985
1990
1995
2000
2005
2012
“I was presented to the king, who
said, ‘Right, Aktiestinsen, I know
who you are’.”
LENNART ON SCA
SCA is a very safe investment as a long-term holding. “In my lifetime, nothing
has increased in value as
much – in percentage terms
– as forest property. SCA
also has good cash flow.”
Forests also have a considerable future value as
oil supplies decline and the
earth’s population increases. The company also has
good products. “When the
population doubles, that’ll
require a lot of toilet paper,
so prospects are bright.”
18 SCA SHAPE 32012
10 kronor a share but only pay out half that
money in dividends so they still have cash.
The dividend yield should be around 4 or
5 percent, the P/E ratio should be between
5 and 15, and there should be a good equity
discount rate, preferably 20 to 30 percent.
Then I’m also careful about cash flow. If
they have a good cash flow, they can buy
companies, they can increase their dividend or, when times are bad, they can keep
their dividend at the same level as before
because they have a good cash position. I’ve
only bought shares in Swedish companies.
That’s been enough since many of them
operate in an international field.
What’s your portfolio worth today?
In 2007, it was worth 140 million kronor
(EUR 17 million). Since then, I’ve given
away almost all my money. Among other
things, I’ve started five foundations, four
at different schools and one with the Royal
Swedish Academy of Sciences. A professor called from there and wondered if I
wanted to make a donation for a foundation
launched in Carl Linnaeus’s name – we’re
both from Småland. But I was so impressed
that a professor called me up that I invested
30 million kronor and instead started a
foundation in my own name.
But giving almost everything away?
That’s the best thing, being able to give
money so that others can get some use
and joy out of it. Education is the best
investment there is, but when I was growing up, it wasn’t common for people to
get an education, so now I want to help
others get one.
Y
ou first became famous
in Sweden when you were
retired. How did that
happen?
I was invited to give a lecture
at the bank where I was a customer. There
were three of us giving talks – a journalist
from Stockholm, an equities analyst from
Malmö and then me. I talked about the
stock market and how I became a millionaire. I was contacted later by one of the
tabloid papers that was doing a story on me.
The reporter thought I needed a stage name
so he came up with the idea of “Aktiestinsen,” or “the shareholding stationmaster,”
because I dabbled in stocks and had worked
with the railroad. But I was never a stationmaster. I was a station manager.
So you’ve never had a quiet retirement?
I’ve worked more than I thought I would
10 QUESTIONS
At the age of 95 Lennart Israelsson gave up driving. But he’s still into stocks. And dancing.
as a retiree. I’ve given talks at Rotary
clubs, universities, senior citizen clubs and
meetings for people interested in stocks.
I even gave a talk at the Globe Arena in
Stockholm in front of 2,500 people. I never
thought that could happen, that I could
stand in front of so many people. People call
me up almost daily who want advice on the
stock market. It’s all fun, especially talking
with young people.
Do you have other passions besides
stocks?
Dancing – I’ve had a lot of fun with that!
I go once a week to a senior citizens dance,
and it was at one of those that I met my partner. I always say that stocks provide a good
return, but senior citizens dances have an
even better one.
I also read a lot, do crossword puzzles,
take walks and live a healthy life. I’ve
never smoked or been a drinker. I drink
water and call it the water of life because
it looks like aquavit.
Is it true you’ve been to the Nobel
banquet?
My partner and I were there four or five
years ago. I get an invitation every year
because of my foundation at the Royal
Swedish Academy of Sciences, but we
haven’t been there since then. The party
goes on pretty late. But if my health’s OK,
we’ll probably go this year.
I was also at a lunch at the Royal Palace.
I was presented to the king, who said,
“Right, Aktiestinsen, I know who you are.”
I chatted a bit with the king. He was really
nice and pleasant.
You know, I really can’t grasp how well
my life has gone. I’ve been healthy my
whole life and my mind works fine. I sold my
car when I was 95. It was time – I was entering a traffic circle when a car came speeding
along. I was able to slam on the brakes and
avoid a crash. I’ve driven a car for 75 years
without ever having an accident and didn’t
want to end with one.
CRUCIAL
STOCK
TIPS
1. Dividend. It’s good if a
company earns SEK 10 per
share but only pays out
SEK 5. Then it has a good
cash position.
2. P/e ratio. It should be
around 5–15.
3. Price/book-value ratio.
It’s good to get one that is
undervalued.
4. Cash flow. There should
be a good cash flow in the
company. Then the company can buy other companies, buy back its own
shares or, in hard times,
keep dividends at the same
level as the year before.
SCA SHAPE 32012 19
FEATURE
Everyday
heroes
text SUSANNA LINDGREN photo PYSSE HOLMBERG
stylist JOHANNA LEIFSDOTTER model SYNK CASTING
Cleaning is a booming business. More than
4 million people in Europe are involved in the
challenging job that keeps our workplaces
or public buildings clean and healthy. But in
many places these everyday heroes still don’t
get the recognition they deserve.
20 SCA SHAPE 32012
FEATURE
Cleaners are working
in tough environments,
and the rate of sick leave
and work-related health
problems is high.
T
here are five times as many cleaning
companies in Europe today as there
were 20 years ago. Some 160,000
companies employ more than 4 million cleaners, whose mission is to
keep our schools, hospitals, shopping centers
and train stations healthy, hygienic and dirtfree. The increase is due in part to higher cleaning standards and generally increased demand
for a cleaner environment.
“The biggest factor behind the growing
number of companies comes from outsourcing,” says Andreas Lill, director at the European Federation of Cleaning Industries (EFCI)
in Brussels. “This American trend has spread
in Europe during the last two decades. Increasingly, public administrations outsource their
cleaning, catering or security services that
were previously provided in-house.”
SCA SHAPE 32012 21
FEATURE
“This is a
very good
example
of how
suppliers
of cleaning materials can
improve
the daily
lives of
cleaners.”
EFCI is the recognized social partner to the
European Commission in questions relating to the
cleaning industry. One major task for the organization is to promote professionalism within the
industry. Just as important is the mission to ensure
better recognition of the cleaning profession and
to raise the status of the job in the eyes of the general public.
“Cleaners are often still regarded as replaceable,
especially those who perform the everyday chores
like cleaning the office floor,” Lill says. “In many
countries the cleaners are still not expected to be
Improved
handling
SCA has developed a new packaging
system designed to make working
life easier for cleaners. The aim of the
unique, ergonomically designed Tork
Easy Handling system of boxes and
plastic packaging is to prevent stress
injuries, boost efficiency and make
cleaner’s job a little easier.
22 SCA SHAPE 32012
seen, which forces them to work uncomfortable
hours like early mornings or late afternoons.”
He is convinced that making cleaners more visible is a win-win proposition. It makes clear that
an important job is being done, and the cleaners
themselves feel more involved in the business
where they perform their cleaning tasks.
“Sweden is a good example where 70 percent
of all cleaning jobs are performed during office
hours,” Lill says. “In the south of Europe, only 20
percent of cleaning services are performed during
office hours.”
D
aytime or nighttime, regardless of
when the job is performed, cleaners
are working in tough environments,
and the rate of sick leave and workrelated health problems is higher in
the cleaning industry than in many other sectors.
This is a problem that affects not only the individuals but the industry as a whole.
“One major reason for the high sick leave is
musculoskeletal disorders,” Lill says. “It’s not
surprising that you get pain in your arm or neck
after doing the same movement all day long.” Lill
welcomes SCA initiatives to offer easy-to-handle
cleaning material and packaging.
“This is a very good example of how suppliers
of cleaning materials can improve the daily lives
of cleaners,” he says. “Carrying, opening, storing,
unfolding and disposing of cleaning materials are
the most important considerations in improving
their working conditions.”
EVERY WEEK, cleaning workers in Europe handle
almost 1 million packages filled with Tork hygiene
products. These packages need to be received,
transported within the building, stored, carried,
opened, disposed of and recycled. To identify
potential improvements in how the packaging is
handled, SCA initiated an observation study of cleaning workers and customers in Germany, France,
MARKET
A clean passion
Cleaning supervisor Nedzad Turkanovic has two passions. One is
floors. The other is to make sure the working conditions for his staff
are good and the tasks are as enjoyable as possible.
NEDZAD TURKANOVIC’S team at Malmö University has 16 people who keep the floors, lecture
halls and toilets clean. As team leader he knows
that good knowledge of both cleaning and how
to do it in the most ergonomic way possible is
of great importance, both for the result and for
the well-being of his staff. Turkanovic regularly
attends courses and seminars and also teaches
other colleagues in new methods and changes
within the cleaning industry.
“The latest trend is to incorporate more
tasks than just cleaning in our work schedule,”
Turkanovic says. “Besides general cleaning,
my team is also in charge of the laundry and the
maintenance of the coffee machines.”
Making the job more of a multipurpose
service makes it more flexible and enjoyable,
which is reflected in a decrease in the amount
of sick leave taken by cleaners, he says.
AS A SUPERVISOR , Turkanovic doesn’t grab the
mop himself as often as he used to. But there is
one thing he really enjoys – a well-maintained
and easy-to-clean floor.
“Part of my job is to maintain the floors and
worktops in the classrooms, and I really enjoy
sanding, repairing and treating them to keep
them in good condition,” he says. “I don’t know
why I’m so passionate about that, but it’s something I really enjoy.”
Age: 38
Workplace: Cleaning
supervisor at the Faculty
of Odontology at Malmö
University.
Lives: In Malmö, Sweden
Hobbies: Biking and fishing,
still dreaming about catching
the really big old pike.
Latest read book:
Steve Jobs, the authorized biography by Walter Isaacson.
Best music for cleaning:
Dire Straits.
Tork Easy Handling Carry Box
makes it easy to carry one
cardboard box in each hand.
sound practice. The packaging is also easier both
to open and to flatten as no tools are required.
“The new Tork Easy Handling products have
been very much appreciated by my staff as
the packaging is so easy to handle, just like the
new soap dispensers from Tork,” says cleaning
supervisor Nedzad Turkanovic in Malmö (see
article on top of the page).
SCA SHAPE 32012 23
PHOTO: SCA
the Netherlands and Sweden. The main aim of the
survey was to study workers handling Tork products
in order to identify areas of improvement.
“The main goal of our new Tork packaging is to
improve quality of everyday life and create awareness
of the cleaners’ situation,” says Kristian Grennfelt,
manager of the Tork Packaging Development and
Industrial Design Center. “As a major supplier we feel
a responsibility to improve working conditions in the
cleaning business.”
The Tork Easy Handling system, consisting of the
plastic Carry Pack and the cardboard Carry Box,
introduces several functions that improve efficiency
and ergonomics compared with traditional packaging. New handles allow cleaners to carry one
cardboard box in each hand, a more ergonomically
Good cleaning equipment is also essential
for the well-being of his staff.
“Today everyone in my team has a combi
machine for floor cleaning that facilitates the
mopping of heavy flooring,” he says. “That’s
great as it puts less strain on the body. Anything
that improves working conditions is good, such
as better packaging and soap dispensers.”
Nedzad
Turkanovic
TECHNOLOGY
CL
HANDS
Tork Premium
ANTIMICROBIAL
FOAM CLEANSER
The S4 premium antimicrobial foam cleanser has so far been
launched in Europe and
Australia.
2-in-1 product
Simultaneously cleans
and sanitizes the skin.
Low-alcohol formulation.
Hygienic system
Sealed system.
No bacteria buildup.
Easy to use
Low push force required, suitable for
people with limited
hand strength.
Recommended by the
Swedish Rheumatism
Association.
Better for the
environment
Collapsible bottle takes
less space.
Recyclable packaging.
It’s during times
of increased
risks, when
there are more
pathogens,
that we need
a more potent
formulation.”
EAN
CONSCIENCE
By combining the mechanical removal of soap with the
antimicrobial effect of alcohol in an antimicrobial foam cleanser,
you can give the germs on your hands a real fight.
text ULF WIMAN illustration LADISLAV KOSA
T
HE SWINE FLU pandemic
of 2009 scared most of us.
Hygienic demands changed
and hand-rub sanitizers
flooded the market.
The demand has since slackened, but
the product group is here to stay as an
important complementary niche. When
Tork launched its new S4 foam soap
system in 2011, an antimicrobial foam
cleanser was included in the range.
During the swine flu pandemic Tork
saw a gap in the market. “There was
conventional soap and there were soaps
and sanitizers based on strong antimicrobial chemicals,” says Peter Bergman,
product manager for soap. “We wanted to
cover the middle ground with a foam
cleanser that was effective against germs
but milder and better for the environment.”
Tradional soap and warm water are
sufficient in most everyday situations and
environments. SCA’s recommendation is
normally to avoid using biocides unless
motivated by a certain need or requirement. Alcohol is an exception, however,
and does not have the same negative
effects on health and environment as traditional biocides and can thus be an extra
protection during flu season or pandemic
threats.
Tork saw a chance to combine the best
of two hygienic worlds: soap’s ability to
mechanically remove dirt and alcohol’s
sanitizing properties.
“Soap doesn’t kill germs, but lifts them
from the skin so they can be washed
away,” says senior scientist Carolyn
Berland. “Chemicals such as alcohol kill
germs like the flu virus on the skin. No
chemical is effective against everything,
but by combining the mechanical removal
of soap with the antimicrobial effect of the
alcohol, we obtain a good effect against a
broad spectrum of pathogens.”
WE NORMALLY have lots of bacteria on
our hands, but most are not harmful,
Berland explains. “If we use soap to wash
our hands and rub our hands together
for 30 seconds, our immune systems can
deal with any remaining germs,” she
says. “It’s during times of increased risks,
when there are more pathogens, that we
need a more potent formulation.”
The antimicrobial foam cleanser is a
complex product, and the formulation
has been patented. “It’s difficult to find
the right surfactant, one that will work
well with the alcohol content,” Bergman
says. “You risk losing the soap’s foaming properties, so quite a lot of work went
into that.”
The area is further complicated by
a distinction in the hygiene industry
between cosmetics and biocides. Conventional soap belongs to the cosmetics
category, which is governed by simpler,
common European Union legislation.
Alcohol sanitizers, on the other hand,
belong to the biocide group, where legislation differs locally throughout Europe
and the rest of the world. Having to
deal with various rules and regulations
complicates both the development and
the marketing.
“Unfortunately, biocides can’t be
eco-labeled in Europe, while they can
be in the US, for example,” says Janne
Müntzing, Global Segment Director.
“Alcohol is one of the most effective biocides, but when diluted in sewage, it loses
its antimicrobial effect and so is relatively
harmless for waterborne organisms. It’s
problematic to produce products that
balance the need to target germs effectively and be environmentally acceptable, but our antimicrobial foam cleanser
manages to do that.”
SCA SHAPE 32012 25
FEATURE
Greening
Deforestation is a major cause of climate change,
accounting for up to one-fifth of manmade carbon
emissions by one estimate. In Brazil, a reforestation
project aims to offset this trend while also providing
a way for local people to make a living.
text ANNA MCQUEEN photo CORDIER SYLVAIN, GETTY IMAGES
26 SCA SHAPE 32012
FEATURE
the forest
“Curbing deforestation is
a highly cost-effective way
of reducing greenhouse
gas emissions.”
FORESTS ARE HOME to most of the world’s landbased flora and fauna. They provide a livelihood for more than 1.5 billion people who rely on
them for food, shelter and fuel. Forests are also
key to the environment because growing forests
sequester vast quantities of carbon dioxide and
store carbon, both in the trees themselves and
in the vegetation and soil below. But the world’s
mature forests are under serious threat. Half have
already been destroyed. Of what remains, only 10
percent is protected. According to the UN Food and
Agriculture Organization, forests are disappearing at a rate of around 13 million hectares a year,
the equivalent of 36 football fields every minute.
Deforestation is a major cause of climate
change. IPCC – the Intergovernmental Panel on
Climate Change – estimates the carbon released
from deforestation accounts for up to 20 percent
of global manmade emissions – more than the
world’s entire transportation sector. The Stern
Review on the Economics of Climate Change,
commissioned by the UK government in 2006,
is categorical: “Curbing deforestation is a highly
cost-effective way of reducing greenhouse gas
emissions,” it said, and it called for urgent action
to preserve the remaining areas of natural forest.
As Europe’s largest private forest owner,
SCA SHAPE 32012 27
Velvet is made from
both recycled content
and new fiber.
SCA takes its environmental responsibilities
seriously. SCA’s forests are managed long term
with sustainable timber production and preserved
biodiversity as prioritized objectives. During the
last 50 years, the standing volume of living trees
has grown by more than 40 percent. In SCA’S own
forests, growth rate exceeds fellings by more than
20 percent, which means that SCA’s own carbon
sink grows by 2,6 million tons of carbon dioxide
per year.
SCA’s high ambitions regarding forests and
climate are expressed in many ways. For the
Velvet tissue brand, SCA has made the “Three
Trees Promise,” by which every tree harvested to
provide raw material for Velvet tissue is replaced
by three new ones.
VELVET TISSUE is made from a combination of soft-
wood and hardwood fibers and recycled content.
Since all hardwood pulp and some of the softwood
pulp is procured from other suppliers than SCA,
the Velvet promise is not based only on SCA’s own
high-standard forestry practices, where each tree
harvested is replaced by three new ones. In Brazil,
SCA has established a pioneering partnership with
ethical forestry company Amata to plant the trees
required to fulfi l the “Three Trees Promise”.
“We are incredibly proud to be in partnership with
Amata, which is reintroducing indigenous trees to
Brazil,” says Sarah Wilson, communications director for SCA UK and Ireland. “Amata has developed
a forestry model that aims to give a value to trees,
helping local people to make a living from the forest.” Some of the trees will be harvested when they
reach maturity and can be used commercially by
local people, who are also learning to graze cattle
among the trees. “Instead of clearing land to make
way for ranching or palm oil production, Amata
believes that this method provides a viable alternative for local people to make a living and encourages
ongoing replanting of trees,” she says.
SCA has been involved with Amata for several
years, and more than 3 million trees have been
planted so far.
28 SCA SHAPE 32012
Local people are employed to plant sustainable forests.
SCA & Amata
1=3
Every tree harvested
to provide raw material
for Velvet tissue is
replaced by three
new ones.
HOW THE
PARTNERSHIP
WORKS
SCA PROVIDES funding for Amata, which
uses the money to buy, plant and maintain
trees. “Sustainability is a big part of our
DNA, and we strive to be ethical and sustainable in what we do,” says Sarah Wilson,
communications director for SCA UK and
Ireland. “We believe partnerships of this kind
may provide an alternative to some of the
commercial practices that can lead to deforestation.” SCA does not own the trees, and
there is no financial gain – this investment is
purely ethical.
Amata employs local people and teaches
that responsible forest management is an
economically viable alternative to cattle
ranching and other activities that lead to
deforestation.
The indigenous trees that Amata plants
create sustainable forests and are treated
as a crop, and thus an investment. They are
ready for harvest when they reach maturity,
at between six and 40 years. Some existing
trees that already grow in areas of the land
owned by Amata, primarily around watercourses, will be permanently protected.
Currently this includes some 15 million trees
that will never be harvested.
A new paper grade –
developed from fresh ¿bres
Thanks to fresh fibres GraphoInvent
has high bulk and feels thick enabling
you to reduce grammage. This brings
a number of benefits. The paper costs
less, but the perceived quality is the
same. Lower weight also means that
you and your customers save money
on distribution.
The high opacity of our paper means
that you can’t see the print through
the paper, even at low grammages.
It also means that you can choose a
lower-weight paper without losing the
feeling of quality.
graphoinvent.com
4ĄQFĞ÷SJHIĠBOĐ÷VMLĥ
SHAPE UP
PHOTOS GETT YIMAGES, ISTOCKPHOTO
Why spinach
makes us strong
EVERYONE KNOWS that spinach is good for you – but why?
Nitrate, which is found naturally
in spinach, has a powerful effect
on muscle strength. Scientists
have now identified two relevant proteins, the production of
which is stimulated by the intake
of nitrate. In addition to spinach,
nitrate occurs naturally in other
vegetables like beets and chard.
15
MILLION children around the world each year are
estimated to be born preterm, that is, before the
38th week of pregnancy.
Source: WHO (World Health Organization)
With
room for
a laptop
THE HUGO COMPUTER case,
is made of heat-treated
wood with no chemicals
used in the manufacturing
process. The heat darkens
the colour of the original
wood. Creators are Jonas
Lindgren and Thomas
Jacobsson, students
from Skellefteå,
Sweden.
BENEFITS BENEATH
THE BARK
SPRUCE BARK, a by-product
in the paper pulp industry,
has been shown to contain
beneficial antioxidants. Using water and ethanol under
a high temperature and high
pressure, Swedish researchers have found an environmentally sustainable way to
obtain the antioxidants. Antioxidants have been investigated for the prevention of
diseases such as cancer and
coronary heart disease.
Doing the dishes
makes men happy
DOING THE DISHES makes you
happy. At least if you’re a man.
A study carried out in seven
countries involving only men
shows that those who spent
time doing the dishes, cleaning the house, cooking and
doing other household chores
were happier than less active
men. On the whole, men who
worked around the house were
more satisfied with life than
men who were less active, and
they experienced fewer conflicts related to work and their
day-to-day life than other men.
Men from seven countries –
Sweden, Norway, Denmark, the
Netherlands, Germany, France
and Britain – were included in
the study, which was conducted by Cambridge University.
DID YOU KNOW THAT…
LACTIC ACID BACTERIA can alter
immune responses in urinary
tract cells. An extra injection of
The next generation’s
walkers will be robots
MANY OLDER PEOPLE fall down and have problems
getting up from the floor. The solution to the problem
may be a walker that lifts up someone who has fallen. A
Swedish research engineer has invented a walker that,
along with this lifting capacity, has GPS, Skype
and cameras, is powered by a motor and is
more of a robot than a traditional walker.
“A walker with a lifting function costs
just a few hundred dollars more, since
the technology itself is pretty simple.
Local governments [which finance
healthcare in a country like Sweden]
will quickly get that money back by not
having to move people to housing for
the elderly,” says Bo Glimskär, the walker’s
inventor.
lactic acid bacteria can reduce
the risk of women experiencing
urinary tract problems.
Harry Potter’s creator turns to tree
houses.
Fit for
a wizard
THE CREATOR of Harry Potter,
J.K. Rowling, is building twin
wooden tree houses on stilts
worth 159,000 EUR for her
children. The author wants to
create a fantasy world in the
backyard of her 17th century
mansion in Edinburgh and has
hired a company known for its
environmentally sound tree
houses, the Swedish newspaper Dagens Industri reports.
The wooden houses, which
will be 40 feet (12 meters) high,
are to be linked by a gangway
made of rope and have a secret tunnel with lights around
the doors and balconies.
The singer and soccer wife
Victoria Beckham is said to
have spent almost 40,000 EUR
on a tree house for her sons.
“Between 5 and
7 percent of the
world’s population suffer from
incontinence.”
Source: SCA
SCA SHAPE 32012 31
MARKET
FEATURE
The heavy costs of
OBESITY
text CHARLES MASTERS
I
photo TIM ROBERTS, GETTY IMAGES
Obesity is a growing problem for modern societies,
and its impact falls not just on individuals but also on
the companies where they work.
N THE PAST few decades, obesity has gone
from an exceptional condition to the biggest
single health risk to individuals. There are
now more obese people in the world than
undernourished ones.
According to the World Health Organization,
worldwide obesity has more than doubled since
1980. In 2008, more than 1.4 billion adults were
32 SCA SHAPE 32012
overweight. Of these, more than 200 million
men and nearly 300 million women were obese.
“Overweight and obesity are major risk factors
for a number of chronic diseases, including
diabetes, cardiovascular diseases, incontinence
and cancer,” the WHO warns.
Inevitably, the cost to society is skyrocketing.
According to a recent report, medical spending
FEATURE
”There are now more
obese people in the
world than undernourished ones.”
in the US due to obesity now exceeds even that due
to smoking.
Once considered a problem only in high-income
countries, obesity is now dramatically on the rise
in low- and middle-income countries, particularly
in urban settings. Studies suggest the rate of
obesity among children in Asia is increasing at
around 1 percent a year, roughly the same as in
the US, the UK and Australia. According to some
forecasts, Southeast Asia and the Western Pacific
are currently facing an epidemic of diseases
associated with obesity, such as diabetes and
cardiovascular disease.
The cost for society as a whole is huge, as
countries’ health services struggle to keep up and
all kinds of public amenities have to be adapted to
accommodate the increased bulk of users – from
reinforced ambulances to extra-wide plane and
stadium seating. Each year, cars in the US are
burning nearly a billion more gallons of gasoline
than if passengers weighed what they did in 1960
(1 gallon=4,5 liters).
THERE IS A COST for companies too. For employ-
ers, obesity means a workforce vulnerable to
chronic conditions such as heart disease and
diabetes.
And because obesity raises the risk of a host of
medical conditions, the obese are absent from
work more often than people of healthy weight.
Even when poor health doesn’t keep obese
workers home, it can cut into productivity, as the
overweight grapple with pain, shortness of breath
or other obstacles to working at full capacity.
“Obesity should be a concern for every
employer,” says dietitian Paul McArdle of UK
health provider Bupa. People who work long hours
are most in danger, especially if they don’t take
proper meal breaks and fi nd it hard to make time
for exercise.
For managers responsible for employee welfare,
though, there is cause for optimism in terms of
tackling this issue. As the WHO observes, “Obesity
is preventable.”
Biggest loser. SCA Americas
runs weight loss and
walking programs for its
employees.
SCA Health & Lifestyle initiative
WITH CARE
FOR WELLNESS
The key to SCA’s approach to wellness is making it
easy for employees to take care of themselves.
THE COMPANY’S Health & Lifestyle
initiative is addressing issues
such as food for well-being.
Canteens at SCA plants have embraced healthy eating and offer a
wider choice of fresh foods. SCA
managers are also encouraged to
take part in training aimed at detecting employee health problems
before they reach the crisis point.
These initiatives provide
benefits for both individuals and
company productivity.
“Our Health & Lifestyle Program is not specifically aimed at
obesity, but rather at increasing
awareness among employees
about a healthier lifestyle,” says
Christopher Zorn, director of human resources at SCA Consumer
Goods Europe.
THE PROGRAM was initiated in
2010 to address health-related
absenteeism and the challenges
of an aging workforce. To tackle
this, SCA is looking at improving
the ergonomics of machines and
improving general staff fitness
levels. “We managed to reduce
absenteeism during the year to
November 2011, and we hope this
trend will continue,” says Zorn.
SCA AMERICAS runs weight loss
and walking programs, and
it keeps employees informed
through biweekly emails, quarterly newsletters and an “Ask
the Doctor” program where staff
can submit questions to an SCA
physician.
“We conduct annual health
assessments at all of our sites in
the US, which are voluntary for all
employees,” says John O’Rourke,
vice president of human resources, SCA Americas. “In addition to
identifying employees with longterm health-risk factors, we have
even identified some employees
with immediate risks that needed
quick attention that, in some
cases, proved to be life-saving.”
OUTLOOK
Born
fighters
text SARA BERGQVIST photo OSCAR MATTSON
Sometimes life doesn’t go the way you think it will.
When your baby is born before its due date
– long before its due date – your early days
with a newborn are anything but tranquil.
But with the right help, they can still
be deeply rewarding.
OUTLOOK
PRETERM
BIRTHS
About one out of 20
babies in Sweden
is born prematurely,
before the 38th
week of pregnancy,
and weighs less than
5.5 pounds. (2,500
grams).
Today, babies
born in week 22-23
have a chance of
surviving. Roughly
70 to 80 percent of
the babies born in
Sweden earlier than
the 29th week of
pregnancy survive.
Babies born earlier
than the 35th week
of pregnancy often
need help breathing.
Babies born extremely prematurely
may need to be on
a respirator. Later,
it may be enough
for them to have
additional oxygen.
36 SCA SHAPE 32012
I
N THE NEONATAL ward of Halmstad Hospital
in Sweden, the corridors are not filled with
the cries of babies as in a typical maternity
ward. Except for the beeping of the equipment monitoring the babies, it’s so quiet you
can hear a pin drop. There are currently seven tiny
babies being cared for here along with their parents.
One of them is three-weeks-old Elton. He’s as cute
as a button, with black hair and a little upturned
nose, a mouth like his mother Emma’s and the eyes
and nose of his father, Viktor. He actually should
not have been born for another couple of months,
so he only weighs 2 pounds and 10 ounces (1.2 kilograms). But that’s still 4 ounces (120 grams) more
than when he was born, so he is gaining weight as
he’s supposed to and has already moved up a size in
diapers. Viktor and Emma have no idea why Elton
suddenly decided to come into the world so far
ahead of his due date.
“One day, my stomachache got worse and
worse,” Emma recalls. “I couldn’t believe it was
labor pains because it was so early. But when we
finally went to the hospital I was already dilated
four centimeters.”
To stop the contractions, she was given medicine that was supposed to counter the preterm
labor pains. That helped for two and a half hours,
but then the contractions started up again.
“First, I was really scared,” she says. “It hit
me that he would be far too tiny. When he came
out, I didn’t hear him cry and didn’t know at first
whether he was alive or not. But pretty soon, a doctor came in and said, ‘That went well.’”
The day after the baby was born, his parents
got to hold him for the first time. “It seemed
totally unreal, and both of us cried,” she says. “In
the beginning, it seemed like he was more tubes
than baby, and since he was so tiny he had almost
no subcutaneous fat. At first, we didn’t dare do
anything without asking, but the staff have been
absolutely wonderful and did a great job showing
us what we should do.”
Emma glances tenderly at the incubator next
to her, where Elton is sleeping. At the moment the
incubator is partially covered with a blanket, and
inside it is dark, warm and comfortable – just like
in a womb. To keep the baby’s arms and legs from
spreading, as they do with babies born prematurely,
Elton has been carefully wrapped so he can lie in a
fetal position. Electrodes are attached to his chest
and foot to monitor his pulse and breathing. During
the entire conversation Emma and Viktor keep a
careful eye on the two screens displaying these vital
signs as well as the oxygen level in his blood.
N
OW, THREE WEEKS after Elton’s
birth, Emma and Viktor seem full of
confidence. The doctors have said
Elton is healthy, so they are taking complete care of him. Emma
and Viktor change his tiny diaper by putting their
hands through holes on each side of the incubator.
And the tube feeding through his nose, which both
thought was a bit scary, is also going smoothly.
“He’s too tiny to suck, swallow and breathe all
at the same time, so I can’t breast-feed him yet,”
Emma says. Viktor adds, “But he usually gets a
little milk on a cotton swab when we tube-feed
FEATURE
Elton on his father’s chest – part of the
kangaroo method, aimed to replicate the
environment in the mother’s womb. Lying
skin against skin on the parents for a
number of hours each day makes the baby
feel secure. The baby’s temperature is more
stable, breathing is more even and quieter,
and sleep is better. When babies lie on their
mother, they also try to find her breast.
SCA SHAPE 32012 37
OUTLOOK
Elton was born
after a pregnancy of
27 weeks and 5 days. He
weighed 1,090 grams and
was about 38 centimeters long.
him so that he gets used to the taste.” Every baby
that comes to the neonatal ward at Halmstad
Hospital is born in the 27th week or later. The tiniest babies, those born in the 22nd to 26th week, are
taken to the regional hospital in Gothenburg or
Lund. For babies like these who are born extremely
prematurely, there is a risk of complications such
as visual and audio impairment, cerebral palsy
damage and epilepsy. But many of the babies born
extremely prematurely also come through nowadays with no after-effects.
“Almost every baby born at our hospital survives
and has a good life,” says Ulrika Sennow, maternity nurse at the hospital. “The main challenge
is bringing the families together, getting them
to feel that this is their child and helping them to
take care of their child on their own. Many parents
undergo a crisis and are frightened, worried and
unsure and don’t know where they should be in
this hospital world.”
So a lot of the work involves supporting these
new parents, getting them to bond with their
babies and including the parents in their child’s
care as much as possible.
“There’s already a difference when the infant is
38 SCA SHAPE 32012
delivered, when the mother can’t have her baby on
her stomach right after giving birth,” says Jenny
Örnstedt, another nurse. “But just because things
were difficult in the beginning doesn’t mean that it
will be difficult later on.”
P ARENTS WHO REMAIN at the hospital
have their own room where they can
live. At first, the babies stay in a shared
sleeping room. But as the baby grows,
the family can spend more time alone
with the infant in their own room. Around the 35th
week, some families go home, with many getting
a few days a week of home care initially. Emma
and Viktor are really looking forward to that. But so
far, Elton has to make do with the sleeping room he
shares for the time being with the other babies. Now
it’s feeding time with milk every three hours – and
Viktor carefully lifts Elton from the incubator and
places him on his chest, skin on skin. Elton’s tiny
hand is closed in a fist, right on his father’s chest,
and he looks as if he is enjoying this closeness.
“He can be out of the incubator now for several
hours. This is by far the best time of the day,” says
Viktor, who looks at least as happy as his son.
“Almost
every baby
born at our
hospital
survives
and has a
good life.”
Ulrika Sennow, maternity
nurse at Halmstad Hospital.
“The diapers should
also not make any
noise when they’re
being handled.”
Carolina Gäbel
DIAPERS MADE
BY HAND
With its Libero brand, SCA produces tiny diapers for the smallest of babies. Since premature
babies have extremely sensitive
skin, softness is critical.
“THE DIAPERS SHOULD also not make
any noise when they’re being handled so
the baby doesn’t wake up unnecessarily,” says Carolina Gäbel, a midwife and
information consultant for SCA who was
involved in developing SCA’s latest diaper for premature babies. “They should
have a discreet design, not fit too tightly
around the baby’s thin bones and not leak
or contain any unnecessary substances.
All our preemie diapers carry the Nordic
Ecolabel, the Swan.”
The diapers are available in two sizes,
Minipremature for babies up to 2.6
pounds (1.2 kilograms) and Premature
for babies up to 4.4 pounds (2 kilograms).
The larger size is sold in drugstores,
while the smaller size is only distributed
directly to hospitals. Just 90,000 of the
smaller-size diapers are made each year
at SCA’s plant in the Slovakian town of
Gemerská Hôrka. Production of the
tiny diaper takes place in two stages, the
first in a machine that normally makes
panty liners.
“Since production is so small, it’s
enough to run the machine a few hours
a year,” says Björn Hultander, a product
developer at SCA. “The next step is done
totally by hand so that the transitions
are as soft as possible. The kangaroo
method is often recommended for
babies born prematurely, with the
parents spending many hours each day
with the baby skin against skin. So the
diaper has to be as soft on the outside
and have soft edges.”
The Premature diaper is sold in far
greater numbers and is more like a regular diaper. “It’s more advanced, has more
barriers and is intended for larger quantities of liquid,” Hultander says. “But it’s
just as soft on the inside.”
This is the actual
size of a hand-made
diaper for premature
babies.
“Since production is
so small,
it’s enough
to run the
machine a
few hours
a year.”
12 HOURS
with Markus Henningsson
When SCA drew up plans to acquire PLF, Markus moved
to France to work with the business plan. He embraces the
French way of life in his new home on the Atlantic seaside.
text ANNA McQUEEN photo ALASTAIR MILLER
With a goal of running three
times a week he’s up early
for a run along the glorious
Atlantic coast.
6 am
40 SCA SHAPE 32012
Back home for a shower and
breakfast with the family.
6:30 am
Leaves home in La Rochelle.
7:30 am
A ship came in yesterday with
a cargo of decking, and he’s
very happy with the quality.
Briefing with MD of SCA Timber France, Jacques Morand,
to provide an update of where
the business is at.
8:00 am
9:30 am
At the builders
merchant – VM – with
their purchaser.
Markus inspecting a
shipment of decking.
FRANCE
Markus
Henningsson
Age: 37
Title: Business development manager, SCA
Born: Karlstad, Sweden
Lives: La Rochelle,
France
Family: Married with
two daughters, ages
1 and 3
Interests: Hunting,
running, cooking
Favorite food: For the
past year and a half,
French cuisine, especially fruits de mer.
Last book:
“Merde, actually”
by Stephen Clarke
Meeting in Rochefort with
builder’s merchant Rullier,
a key client for decking.
They are happy, although
the poor, rainy summer has
slowed sales.
10:30 am
After a quick sandwich on
the motorway, he heads
for Poitiers and a meeting
with PLF Director Patrick
Boisseau. Together they visit
another major customer to
discuss SCA’s new redwood
cladding product.
Meeting at PLF HQ with
the production engineer to
discuss the environmental
FSC certification process
currently under way and the
further development of the
new redwood cladding with
an adapted raw material from
SCA’s sawmills in Sweden.
2 pm
3 pm
SCA’S ACQUISITION of French solid-
wood products company PLF this March
saw Business Development Manager Markus
Henningsson dispatched from his Swedish homeland to Bonneuil-Matours, near Poitiers, to oversee the integration. The move was a challenge for
Henningsson and his young family, but they are
now settling in and getting used to la vie française
from their new home in the beautiful seaside town
of La Rochelle. “The cultural differences were
bigger than we thought, but we’re slowly picking
up the language and the habits of the locals,”
Henningsson says.
Since the acquisition of PLF, Henningsson’s
life has been a whirlwind. “I’d been working on
developing a business plan prior to the takeover,
and now we’re slowly starting to fi nd ways to
integrate PLF’s wood processing and distribution
business into the Swedish mother company,” he
explains. “With my background from the mill
side in Sweden and understanding of market
conditions in France I can facilitate the process.”
Understanding different perspectives and finding
synergies from them are the common factor to his
days. Aside from that and his morning run, no two
days are alike.
Quarterly PLF sales meeting,
with focus on the new product range.
Calls the children to say
goodnight before dinner with
the sales team and a night in
a hotel to be ready for tomorrow’s meeting in Poitiers.
4 pm
6 pm
SCA SHAPE 32012 41
SCA INSIDE
Pellets
for horses
SCA BIONORR has developed
a bedding material for horses
and horse owners – stall bedding pellets. The pellets are
manufactured from pure sawdust. When moisture is added
to the pellets, they expand to
about twice their size, quickly
disintegrate into sawdust and
provide a stable and dust-free
bedding surface in the horsebox. The bedding product
has also demonstrated highly
positive results for horses
previously suffering from
pressure sores.
TENA trains caregivers
RECOGNIZING ELDERLY care as
an important social issue, SCA’s
brand TENA has initiated and organized free education and training
forums for caregivers in Singapore
and Malaysia. By the end of 2012,
around 1,500 participants will have
been trained.
The fast-growing populations
require an increase in the capacity
and quality of home-based healthcare for the elderly.
“Public awareness and education is very important for improving
the quality of care for individuals
affected with incontinence, and
42 SCA SHAPE 32012
proper knowledge and support
also help to ease the everyday lives
of caregivers themselves,” says
Leonard Lim, TENA senior marketing manager in Malaysia.
TENA also launched the 3rd Care
Giving Day public welfare event
“New Care, Hearty Warmth” in Beijing in July. In cooperation with the
Beijing Nursing Association (BNA),
TENA introduced the first “Incontinence Home Care Community
Model” in China during this event.
This concept will bring more professional solutions to incontinence care
through trainings and seminars.
News from SCA
Donating
hair for wigs
SCA WAS THE lead sponsor for
a local cancer fundraising event
in Arizona, USA. SCA donated $5,000 for Hairstock
2012, a community festival
that raises money to support Northern Arizona
cancer patients and their
families. The festival features a day of “art, music
and hair” and the event raised
nearly $14,000. Festival-goers
also donated more than 100
locks of their hair to make wigs
for patients who suffer hair loss
as a result of chemotherapy.
A GREEK
HAPPENING
THE GREEK LIBERO team counted an im-
pressive 15,000 guests at the third Libero
Day in Athens’s Goudi Park in June. The
kids tried various activities such as a
climbing wall, bouncy castle, painting and
puppet theater. Meanwhile, parents had
the chance to relax under the Libero tent.
SCA donated the proceeds of the product
sales to the Hatzikyriakio Foundation and
the Greek Society for Disabled Children
(ELEPAP).
SCA INSIDE
PHOTOS SCA, ISTOCKPHOTO
Pregnancy
flashmob in Malaysia
SHOPPERS IN Kuala Lumpur were
recently surprised – when a flashmob of 25 pregnant mommies
– unexpectedly launched into a
groovy dance performance at two
prominent shopping centers in the
city. Activities like this are part of an
overall program to connect with Malaysian parents in an engaging way,
so as to clearly differentiate Drypers
from other brands in the baby care
category.
Strollers in disguise
SCA JOINED THE holiday celebrations in the
Russian town of Tula on June 1, when the annual Mothers & Children Parade takes place.
The parade counted around 3,000 participants
and included a stroller parade where you
could see strollers converted into a Russian
samovar or a piano for a day. SCA acted as
official partner for the event .
“We support regional events like the Mothers
& Children Parade as they give us the chance
to present SCA and to underline that SCA is
a global company with a regional presence.”,
says Veniov HR Manager Inna Anisimova.
Tula is the next bigger town to Veniov, where
one of SCA’s personal care plants is located.
SCA also runs a tissue plant in the region.
Baby artists
IN SEPTEMBER Libero launced a limited
Libero Art Collection. The diapers have
been decorated by the children themselves. They laughed, experimented
and painted freely and then SCA’s designer Karoline Lenhult helped to pick
out the details that were best suited for
the new collection. The diapers are sold
in all Nordic markets and the Baltics.
The campaign will focus on digital activities such as the Libero Baby Club, Youtube, Facebook and Twitter. Check out the
humorous TV commercial with kids in the
creative mood on www.libero.se or search
for Libero Art Collection on youtube.com.
Three awards for
Tempo’s inner strength
SCA’S TEMPO TEAM won three different
awards in Hong Kong recently with their
brand campaign “Power of Strength.”
The message in the campaign is that nothing is stronger than your inner strength, which
allows you to tackle every situation and rise
above every challenge.
To watch the TV commercial on YouTube
search for “Tempo, the power of strength”.
SCA SHAPE 32012 43
L IBER O ART E DI TION . NOW I N STOR ES.
SC A Pro du c ts AB
Fo rsma n & B o de n fo rs