PowerPoint Presentation

Company Review session by Nawaz

Company historyIKEA is a multinational group of companies that designs and sells ready-to-assemble furniture (such as beds, chairs and desks), appliances and home accessories. Founded in Sweden in 1943 by then-17-year-old Ingvar Kamprad, who was listed as one of the world's richest people in 2013, The company is known for its modern architectural designs for various types of appliances and furniture, and its interior design work is often associated with an eco-friendly simplicity.

As of December 2014, IKEA owns and operates 351 stores in 46 countries.] The IKEA website contains about 12,000 products and is the closest representation of the entire IKEA range. There were over 470 million visitors to IKEA's websites in the year from September 2007 to September 2008. The company uses approximately 1% of Earth's wood supply, making it one of the largest users of wood in the retail sector.

Product and services

IKEA products are identified by one-word (rarely two-word) names. Most of the names are Scandinavian in origin. Although there are some exceptions, most product names are based on a special naming system developed by IKEA.[43]

Upholstered furniture, coffee tables, rattan furniture, bookshelves, media storage, doorknobs: Swedish placenames (for example: Klippan)Beds, wardrobes, hall furniture: Norwegian place namesDining tables and chairs: Finnish place namesBookcase ranges: OccupationsBathroom articles: Scandinavian lakes, rivers and baysKitchens: grammatical terms, sometimes also other namesChairs, desks: men's namesFabrics, curtains: women's namesGarden furniture: Swedish islandsCarpets: Danish place namesLighting: terms from music, chemistry, meteorology, measures, weights, seasons, months, days, boats, nautical termsBedlinen, bed covers, pillows/cushions: flowers, plants, precious stonesChildren's items: mammals, birds, adjectivesCurtain accessories: mathematical and geometrical termsKitchen utensils: foreign words, spices, herbs, fish, mushrooms, fruits or berries, functional descriptionsBoxes, wall decoration, pictures and frames, clocks: colloquial expressions, also Swedish place names

Awards

Awards[edit]IKEA was named one of the 100 Best Companies for Working Mothers in 2004 and 2005 by Working Mothers magazine. It ranked 80 in Fortune's 200 Best Companies to Work For in 2006 and in October 2008, IKEA Canada LP was named one of "Canada's Top 100 Employers" by Mediacorp Canada Inc., and was featured in Maclean's newsmagazine. Additionally, IKEA is the most popular store for college furnishings

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involvements:

IKEA through IKEA Social Initiative contribute 1 to UNICEF and Save the Children from each soft toy sold during the holiday seasons, raising a total of 16.7 million so far.[76] In 2013, an IKEA soft toy, Lufsig, created a storm and sold out in Hong Kong and in Southern China because it had been misnamed in Chinese.[77]IKEA Social Initiative provided soft toys to children in Burma after Cyclone Nargis.[78]Starting in June 2009, for every Sunnan solar-powered lamp sold in IKEA stores worldwide, IKEA Social Initiative will donate one Sunnan with the help of UNICEF.[79]In September 2011,[80] the IKEA Foundation pledged to donate $62 million to help Somali refugees in Kenya.[9]According to The Economist, however, IKEA's charitable giving is meager, "barely a rounding error in the foundation's assets.

Manufacturing and employees

Although IKEA household products and furniture are designed in Sweden, they are largely manufactured in developing countries to keep costs down. China accounts for about 2 times as much supply as Sweden. For most of its products, the final assembly is performed by the end-user (consumer).

Swedwood, an IKEA subsidiary, handles production of all of the company's wood-based products, with the largest Swedwood factory located in Southern Poland. According to the subsidiary, over 16,000 employees across 50 sites in 10 countries manufacture the 100 million pieces of furniture that IKEA sells annually. IKEA furniture uses the hardwood alternative particle board and Hultsfred, a factory in southern Sweden, is the company's sole supplier

Vision and idea

To create a better everyday life for the many people, this is the IKEA vision. Our business idea is to offer a wide range of well-designed, functional home furnishing products at prices so low that as many people as possible will be able to afford them.We work hard to achieve quality at affordable prices for our customers through optimising our entire value chain, by building long-term supplier relationships, investing in highly automated production and producing large volumes. Our vision also goes beyond home furnishing. We want to create a better everyday for all people impacted by our business.

Key people

From left to right:Martin Hansson, Retail & ExpansionPetra Hesser, Human ResourcesJesper Brodin, Range & SupplySteve Howard, SustainabilityPeter Agnefjll, President and CEOHelen Duphorn, Corporate CommunicationsLeif Hultman, IKEA IndustryAlistair Davidson, CFO

Services

Delivery servicesPicking with deliveryVan hireFurniture recyclingAssembly serviceInstallationKitchen planingCurtain making and desingingFinance servicesRoof rackRecycling ofelectrical and equipment

The story behind the nameThe IKEA name combines the initials of IKEA founder, Ingvar Kamprad, (IK) with the first letters from the names of the farm and village where he grew up- Elmtaryd and Agunnaryd (EA). The IKEA logo has hardly changed during the companys history and the 1967 version remains a consistent symbol of the IKEA business.

IKEA SWOT analysis 2013StrengthsWeaknessesCustomer knowledgeConstantly using innovations to drive costs downSupply chain integrationBrand reputation and market presenceDiversified product portfolioNegative publicityDecreasing qualityStandard products

OpportunitiesThreatsFurther expansion into developing economiesGrowing online salesExpansion to growing grocery marketIntensifying competitionGrowth of average consumer income

Competitors

Home town

Europe

Belgi | Belgique (Belgium) (Bulgaria)esk republika (Czech Republic)Danmark (Denmark)Deutschland (GermanyEire (Ireland) (Greece)Espaa | Espanya | Espainia (Spain)FranceHrvatska (Croatia)sland (Iceland)Italia (Italy) (Cyprus)Lietuva (Lithuania)Magyarorszg (Hungary)Nederland (Netherlands)Norge (Norway)sterreich (Austria)Polska (Poland)Portugal (Portugal)Romnia (Romania) (Russia)Schweiz | Suisse | Svizzera (Switzerland)Slovensko (Slovakia)Suomi (Finland)Sverige (Sweden)Trkiye (Turkey)United Kingdom

North America

CanadaUnited States

Middle East

(Egypt) (Israel) (Jordan) (Kuwait) (Qatar) (Saudi Arabia) (United Arab Emirates)