Dellas S.p.A

Italy, Manufacturing

What Dellas says about its journey towards <IR>

“In Dellas the Integrated Thinking and Reporting contributed to corporate image and reputation improvement, better position in the supply chain and greater trust from providers of financial capital.”

Marco Pasquotti, Group CFO, Dellas

To support its active internationalization strategy, Dellas has carried out a specific Risk management model, not limited to hedge insurable risks, but aimed to manage all categories of risks (strategic, financial, operational, hazard). Among the actions, for Dellas, to hedge the Strategic Risks:

Non-financial KPIs
Integrated Reporting as measure and management of Intangibles.

That is because, in a challenging economic context, like the current, companies, with same financials, may have very different long term results depending on the intangible capital they invested.

Dellas felt that the focus of financial reporting did not allow the organisation to fully explain its values and approach to business, particularly the value of some strategic intangibles.

Dellas needed to go beyond the Financial Reporting with two objectives.

1. Better communication (external topic) to all stakeholders:

To explain and illustrate the capacity for giving added value in a sustainable manner over the longer term, through core non-financial drivers, i.e.:

Customers satisfaction in terms of flexibility and delivery times
Consolidated relations with main suppliers thanks to payment reliability and correctness
Very low employment turnover as result of good level of safety at work and training

2. Better understanding (internal topic) for management and shareholders:

Dellas had just concluded a generational passage of the business from the one generation to the next, and its transformation from an employer to a manager-run company.

Before the passage, the founder was the one who followed all business activities and he embodied the values of the company. After the passage, KPIs (ESG Factors and Intangibles Indicators) became the indicators of business evolution in relation to the different stakeholders:

customers
suppliers
employees
community at large
environment.

You can see the Integrated Annual Reports in the Dellas website here.

Watch the presentation of Integrated Thinking in action in a listed corporation at the MIB Trieste School of Management – 24 November 2017

About Dellas

Dellas is an industrial group based in Verona, Italy, which produces diamond tools for cutting and processing marble, granite, engineered stone and lastly ceramic. Dellas is present with its products in all the main stone extraction markets. Since China, India, Turkey, Brazil, Iran and Italy account for 70% of total extraction, in those countries Dellas has either its own branch or its own dealers ensuring immediate and rapid service.