Michelin URD 2020 Michelin at a glance A Global Footprint Michelin heritage The Covid-19 Crisis Trends & Issues The All Sustainable Michelin Our Creation Model Four Areas of Growth Tires Mobility Experiences Services & Solutions High-Tech Materials Six Pathways to Success Our Organization Ethics Risk Management 2020 Financial Performance An ALL SUSTAINABLE Future « Our vision of the future is based on the belief that tomorrow, everything will be sustainable at Michelin.» Florent Menegaux, Managing Chairman This vision is constantly pushing us to achieve an optimal balance between personal fulfillment, economic development, and safeguarding the planet and its inhabitants. It is informed by Michelin’s purpose of offering everyone a better way forward. It is inspiring a shared dream: to be recognized by 2050 as a leader in innovations that will have helped humanity to conquer new frontiers. It has guided the Group’s strategic plan and ambitions for 2030. PEOPLE, DRIVING PERFORMANCE Michelin’s corporate performance is closely linked to its employees’ fulfillment. To attract the finest talent, the Group encourages diversity and ensures fair and equal treatment. It offers diversified, open-ended career paths that give everyone the opportunities and resources they need to grow. Michelin ranks among the world leaders in workplace safety and employee engagement. Empowerment, which is practiced across the Group, unleashes the spirit of initiative, brings collective intelligence to bear on issues and helps to create more value for customers by making them the focus of every decision. I Care: helping everyone to succeedMichelin’s new leadership model empowers decision-making as close to operations and customers as possible, to support everyone’s individual success and improve the Group’s agility as an organization. The manager’s role is to explain the meaning of tasks and set priorities, then let the teams manage them as well as possible, ensuring that they have the resources they need to succeed. Transforming the customer relationship: the 2020 Grand Prix de l’Accélération DigitaleIn 2020, the Engage program, which has connected more than 10,000 employees with 100,000 customers, won the Grand Prize for Digital Acceleration in France. Under the program, sales, marketing and service teams work collaboratively with the same data. Customers are pleased with the more efficient, personalized relationship, which encourages cross-selling. PROFIT, Securing our long-term viability Michelin endeavors to drive faster growth, strengthen its resilience and improve its performance, so that it can continue to invest, growth and share the resulting value it creates. This deep-rooted commitment is supported by: A premium, innovation-driven strategy, expressed by a powerful global brand. Recognized technological leadership in mobility and long-lasting performance. New sources of growth in future-facing markets, such as mobility services, sustainable flexible composites, 3D printing and hydrogen systems. A diversified, multi-industry global footprint. Sustained improvement in competitiveness led by the quickening pace of digitalization. Optimized financial management over the short, medium and long term that ensures a robust balance sheet. 646 M€ invested in R&D in 2020 Motion for life: from mobility to motionLaunched in 2020, Michelin’s new international advertising campaign is helping to nurture the brand’s vitality and showcase the diversity of the Group’s activities. PLANET, The source of life Michelin is taking action both upstream and downstream from its operations to fight climate change, conserve natural resources and protect biodiversity. Responsible rubber farming. As the world’s leading buyer of natural rubber, Michelin encourages and practices sustainable rubber tree farming. Circular economy. With its 4R strategy – Reduce, Reuse, Recycle, Renew – Michelin is using only what it needs. It is stepping up its investments in biosourced materials and new recycling technologies. Sustainable mobility. As the world leader in energy-efficient tires, Michelin is helping electric vehicles to deliver all their performance. It offers digital services and solutions that improve the efficiency of transportation systems while reducing their environmental footprint. 2050 ambitionMichelin is aiming to make all its logistics, supply and manufacturing operations carbon neutral and to use only sustainable materials in its tires. Movin'On, the world's leading co-innovation ecosystem focused on sustainable mobility.Created at Michelin’s initiative in 2017, Movin’On brought together more than 250 organizations and companies in 2020.