The improving growth momentum confirmed in the first half of Fiscal 2020, reflects the focused action of Sodexo teams around the « Focus on Growth » strategic agenda.
Until the Covid-19 global pandemic struck, Sodexo had shown its ability to strengthen its business model by listening to its clients and consumers and better responding to rising new trends. The first half of the year, from September 1, 2019 to February 29, 2020, with organic growth of +3.2%, reflected solid, profitable and sustainable growth, driven by the momentum of most segments and regions, in line with the strategic agenda.
The priority for Foodservices is producing healthy, varied and balanced meals that respond to the expectations of clients and consumers. Another challenge for Sodexo is inventing the cuisine of the future, combining healthy, sustainable food with enjoyable, customized experiences, by leveraging its expertise in Facilities Management , Benefits & Rewards Services and Personal & Home Services.
With its focused approach on clients and consumers, in-depth knowledge of its markets and differentiating services, Sodexo improved its client retention rate during the first half and won new contracts or significantly extended others such as Merck/MSD in 66 countries and Procter & Gamble in 30 countries (Corporate Services). Numerous local contracts have also been concluded, such as with KLM in the Netherlands (Corporate Services) and Transport for London in the United Kingdom (Government & Agencies), the Tim Horton Field in Canada and the World Market Center Las Vegas in the United States (Sports & Leisure), Grupo Hycsa in Mexico (Benefits & Rewards Services), and Naugatuck Schools and the University of Hawaii in the United States (Education).
In order to support new trends, Sodexo adapts its off ers to the changing needs of its consumers: new on-site Foodservices solutions, like the Enjoy off er in France for small spaces, initiatives to fight food waste (such as WasteWatch) or new recipes, nutrition programs like the Melting Pot off er for schools in the Middle East, which enables students to discover the diversity of culinary traditions. True to this entrepreneurial and collaborative culture, Sodexo also promotes open innovation through Sodexo Ventures and the Accelerators program by building partnerships with startups internationally and developing internal corp-ups, offering specific services such as Wx or Doctor House.
To support its operational efficiency objectives, Sodexo has launched initiatives across all segments and activities aimed at optimizing costs and simplifying the organization. The available financial capacity is then dedicated to deploying new off ers and digital solutions and strengthening marketing and sales. Regional Marketing & Sales Distribution Centers are gradually being implemented to provide increasing support to segments in the areas of digital marketing, client relations and the commercial approach for Global Strategic Accounts. At the heart of the Group’s strategy is the STEP framework (Sodexo Targets for Enhanced Performance), which is based on common operational indicators to assess, manage and drive performance at all levels of the company.
Sodexo employees are central to its offering and its culture. Excellent service quality is ensured through three major levers: a performance culture, resource planning, and training and development for all. The Aspire program for performance management and individual and collective development, aligned with the STEP strategic indicators, new compensation policies and apprenticeship/mentoring solutions for young people in many countries are just a few of the examples of initiatives implemented at Sodexo. The Group is also fully committed to guaranteeing the health and safety of its teams and to diversity, inclusion and business integrity. In support of inclusion initiatives, the Group has structured an international network, Pride, to provide support and visibility to LGBTQ+ employees and partnered with leading organizations worldwide (Workplace Pride, Out&Equal, Acon...). Long-term support for gender equality is reflected by the renewal of Sodexo’s inclusion in the 2020 Bloomberg Gender-Equality index.
Sodexo’s commitment to corporate responsibility is a real competitive advantage today. Each year, an increasing number of clients, with their focused expectations and policies in this area, seek the Group’s expertise. In line with its corporate responsibility roadmap Better Tomorrow 2025, Sodexo acts to strengthen its performance, by promoting healthy and sustainable food choices, reducing carbon emissions, fighting against food waste and boosting local and solidarity-based procurement. For example, Sodexo has joined the Sustainable Coffee Challenge and is committed to ensuring that by 2021, 100% of the coffee served under its own brands are procured from responsible sources. The Group also encourages volunteerism among its teams through the Stop Hunger Goodness Platform. Already operational in North America, the United Kingdom, Belgium and at Sodexo headquarters, this online solution connects employees to the Stop Hunger network of associations.
