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Corporate Overview About Allegion January 2017.

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Presentation on theme: "Corporate Overview About Allegion January 2017."— Presentation transcript:

1 Corporate Overview About Allegion January 2017

2 Our vision is to make the world safer as a company of experts by securing the places where people thrive Our purpose is to create peace of mind by pioneering safety and security

3

4 Mentoring students around the world donations Employee and company
Thousands of volunteer hours for Habitat for Humanity Service is at the core of Allegion’s values. Each year, our employees around the world are proud to directly support organizations and initiatives through donations, community engagement and volunteerism. We are committed to improving and supporting the communities we call home.

5 Corporate Overview

6 Protecting places that matter Spanning 130 countries and
9,000+ employees Security will always be a top concern and we are inventing new and innovative technologies to keep people protected wherever they are, anytime, anywhere. And security providers and building owners can depend on Allegion to have an integrated, streamlined approach that makes it easy to install, easy to maintain, and built to last. Promising 1 Allegion committed to your protection

7 Our Leadership David Petratis Geographical Leaders Board of Directors
Tim Eckersley Senior Vice President President, Americas Jeff Braun General Counsel Geographical Leaders Lúcia Veiga Moretti Senior Vice President President, EMEIA Jeff Wood Senior Vice President President, Asia-Pacific Tracy Kemp Chief Information Officer David Petratis CEO & Chairman Board of Directors Todd Graves Senior Vice President Engineering & Technology Kirk Hachigian Lead Director, Chair of Corporate Governance and Nominating Committee Functional Leaders Chris Muhlenkamp Senior Vice President Global Operations & Supply Chain Patrick Shannon Senior Vice President Chief Financial Officer Michael Chesser Director Martin Welch III Chair of Audit and Finance Committee Updated Board chair positions, current as of June 2016. Shelley Meador Vice President Chief Human Resources Officer Carla Cico Director Dean Schaffer Chair of Compensation Committee

8 Global Reach $2,068 Million in 2015 Revenue | 10,000+ Channel Partners
* FTEs are approximate and exclude corporate employees.

9 people and their property
25+ pioneering brands Inventors of their categories Allegion has more than 25 brands. Many were the inventors of their respective categories. These brands continue as modern pioneers, driving progress through innovation, sharing our expertise in codes and standards, and collaborating across the security industry. For customers, builders, architects, distribution partners and the people of Allegion, our innovation means peace of mind: one where every development and product is made with a singular purpose in mind: securing what matters. Protecting people and their property

10 Our Pioneering Heritage
1995 1908 1920 1926 1976 2013 Invented the exit device Von Duprin® No. 1 in N. America Created to be a complete solution for workforce management Interflex® European leader Spin-off with a focus on safety & security Allegion™ Constituent of the S&P 500® Created the door closer LCN® The first patents for cylindrical and push-button locks Schlage® Patented the first electrically controlled lock CISA® Italy Created the keyless digital transponder SimonsVoss® In the Top 3 in Europe Allegion brands have established leadership positions in their markets and strong reputations for quality. Those brands have roots in businesses from as early as 1750, and many have since created their respective product categories. Here are just a few of our world-renown brands pioneering brands. Together, we are one Allegion, a modern pioneer continuing that heritage.

11 Our Family of Brands Allegion’s product and technology brands are globally known icons in the security and safety.

12 The Strategic Foundation: Our 5 Growth Pillars
Innovation in Existing & New Product Categories Expand in Core Markets Opportunistic Acquisitions Channel management and demand creation Commercial retrofit and renovation Residential electronics and home automation Accelerate new product development / vitality index Growth of electronic product portfolio Global platforming Emerging markets Emerging technology Expand product portfolio Enterprise Excellence Growth in Emerging Markets Since we became an independent company in Dec. 2013, Allegion has focused on delivering against its strategy. Through focus and discipline, we are making strides in all our EMEIA transformation Enhanced customer experience and lead times Continuous improvement Latin America Asia Pacific Investing in localized products and supply-chain capabilities

13 Key Investments & Acquisitions
2014 2015 2016 Colombia ▪ mechanical locks Schlage Lock de Colombia U.S. ▪ equity investment and alliance in the Internet of Things iDevices® Germany ▪ bicycle locks, lights and electronic control units Trelock® Germany ▪ minority stake in exchange for the Randi brand Eco Schulte U.S. ▪ premium sealing systems Zero International® 2017 Australia ▪ electro-mechanical locking FSH® Australia ▪ sliding and folding door hardware Brio® U.S. ▪ hollow metal doors and frames Republic Doors & Frames In the Americas, we have made investments in the core (Schlage de Colombia and Zero International) and taken an equity position in a leading company in IoT (iDevices) Schlage de Colombia, the 2nd largest mechanical lock manufacturer in Colombia Zero International, a leader in premium sealing systems, based in the U.S. iDevices, we took an equity investment and alliance with a leading U.S.-based provider in the Internet of Things In January 2017, the acquisition of Republic advanced our hollow metal and regional distribution strategy We had a strong U.S. position in portable security with Kryptonite; though two strategic acquisitions (AXA and Trelock, in Europe) we are now have the leading global portable security business. AXA, a leading European-based residential and portable security provider Trelock, a leading European-based provider of bicycle locks, lights and electronic control units In Europe we have streamlined to focus on the core and innovation drivers. We divested Martin Roberts and Randi and acquired European leader SimonsVoss to accelerate growth in electronics. We also gained a minority stake in Eco Schulte as part of the Randi divestiture. Eco Schulte, obtained a minority stake in exchange for the Randi brand in this third-generation German manufacturer SimonsVoss, an electronic lock company with a leading position in the growing European market Australia and South Korea acquisitions have bolstered our competitiveness in electronic residential (Milre) and commercial products (FSH), as well as international foothold in premium hardware for sliding and folding doors (Brio). The divestiture of system integrator, Bocom, returned the strategic focus in China to security hardware. FSH, the leading electro-mechanical locking provider in Australia Brio, a leading designer of sliding and folding door hardware based in Australia Milre, a leading South Korean electronic security producer South Korean ▪ electronic security Milre® Germany ▪ electronic locks SimonsVoss® Netherlands ▪ residential and portable security AXA®

14 Convergence Security is at the cusp of major changes and convergences
Mechanical & solutions electro-mechanical Productivity information technology fueled by Linking health, safety function, & design across residential, Tech transfer multi-family, commercial Security is at the cusp of major changes and convergences New levels of integration and convenience Adaptive environments Enhanced design Construction productivity Convergence also brings new risks that require specialized expertise that Allegion can offer Security is at the cusp of major changes and convergences As seen at right, with increasing technology and broad adoption, come opportunities for adaptive environments, construction productivity, and new levels of integration and convenience Convergence also brings new risks that require specialized expertise that Allegion can offer

15 Our Business

16 electronic sales growth Trailblazer innovation teams active patents
+20% electronic sales growth 75+ Trailblazer innovation teams 550+ active patents Allegion is a leader in physical security products and credentials. Innovation is at the heart of what we do. Our deep expertise and a practical approach, allow Allegion to innovate quickly and provide solutions that address customer needs today, and also allow them to stay safe far into the future.

17 Securing All the Places People Thrive
Allegion products protect people and their property; wherever they live, work & visit. Wherever you go, Allegion is there to protect people and their property. You may easily touch our products a hundred times a week, without realizing it.

18 Security Experts Across Every Environment
Commercial offices & facilities Government institutions Energy facilities Transportation At work Education Community buildings & recreation centers Hospitality Health care facilities In your community Residential Multi-family Portable security At home & on the move No other security products leader has the breadth of expertise that Allegion offers across all these areas…

19 At work Commercial and institutional buildings Communal areas, lifts and interior areas are secured with contactless access control readers, credentials, mobile and cloud applications. Exit devices provide safe egress. Outside doors are secure with weather-resistant locks, openers, closers, hinges and accessories. Managing security is never a simple task. The range of security needs throughout commercial and institutional buildings is vast. Providing quick access by authorized visitors, employees and contractors must be balanced with proper clearance for high-security areas of the building. Access to common areas is made easier with credentials, contactless readers and apps. Once inside the building, interior doors with electronic locks and key pads provide an extra layer of security, and may be programmed for continuous use or only during off-hours. Safety is an important consideration; exit devices were made to control access, while also enabling safe egress during an emergency. Outside doors need to combine durability and reliability. These doors are at the mercy of the weather, so Allegion electronic locks are made of sturdy, rustproof materials. Master key systems allow building managers to manage all its cylindrical locks. Electronic locks without wiring are simple to install, and master key systems provide easy management for cylindrical locks.

20 In your community Public buildings and hospitality Schools and other public buildings need an easy way to grant and limit access, and provide immediate escape in an emergency. Quiet solutions and accessibility options can lead to improved patient and staff satisfaction, and boost productivity. Public buildings and hotels are in constant use, and welcome large numbers of visitors. There is a growing need for solutions to make facilities safe, secure and productive for students, facility staff and employees, yet offer an easy way to grant and limit access. Heavy doors can be difficult to open. Cam-action door closers with a soft opening mechanism, and special hinges, can be installed for easy opening and gradual, risk-free closing. Panic exit devices are designed to provide immediate escape in an emergency, and control access from the outside. At times, students or staff may prop open doors for convenience, which leaves the building vulnerable to unauthorized entry or exit. To prevent this, electronic panic exit devices sound an alarm or alert security when it is opened or left ajar. A master key system allows the building manager to open several doors with a single key and manage specific entrances limited to authorized personnel. And copies of keys can be obtained only upon presentation of a special card.   In the hotel business, being able to control accesses at all times and from any location is a huge benefit. Wireless technology and intuitive, user-friendly interfaces enable you to check guest and staff access status at all times; manage their authorizations; and monitor a number of functions, from battery status to door status (open, privacy function, attempts at opening, emergency opening).  Special situations: Hospitals and classrooms use anti-ligature solutions to prevent clothing and other materials from catching on door handles. Quiet solutions have been shown to lead to improved patient satisfaction Anti-bacterial coatings help protect from the spread of disease. Accessibility aids like automated door openers speed up access and easy-action push bars require low force to open. Wireless technology and intuitive dashboards allow control in real time, from any location.

21 At home Single and multi-family residential Locks and levers incorporate style, design and the convenience of mobile apps and touchpads, without sacrificing safety and security. Owners and maintenance professionals need deadbolts, programmable locks, hinges and window security solutions that are easy to install and maintain. Our home is the one place where we must feel safe and secure: Allegion designs a variety of convenient and reliable products which combine advanced security with ease of use. Residential locks and levers combine style, design and convenience to fit every price point and security level. Builders and multi-family managers enjoy the quality, durability and ease of installation and maintenance. Open architecture makes it easy to manage our electronic locks as part of one security system. Open architecture electronic solutions allow property owners to manage both residence and common area doors on the same system.

22 On the move Global portable security Global portable security and safety products and innovative programs, from the world’s best-known brands: AXA, Kryptonite, Schlage and Trelock Portable security should match the unique needs of its users: actions sports, scooters, bike messengers, city and suburban cyclists. Allegion’s global portable security brands are among the world’s best known names; AXA, Kryptonite, Schlage and Trelock. Allegion’s selection of GPS trackers and portable locks is easily suited to any lifestyle and can keep you doing the things you love—without worry. Innovative programs match a wide range of user needs, and include anti-theft, key duplication and apps to locate and protect your bike. Lights add safety so you can see and be seen in low-light conditions. Channel management provides products for targeted retailers and their customer base. Lights allow cyclists to see and be seen, and offers the flexibility of dynamo-powered, e-bike, battery-powered and rechargeable options.

23 Our Products

24 Product Categories Mechanical locks Master key systems
Mechanical levers & handles Padlocks Locks, keys & levers Electronic and electromechanical locks Cards, credentials & readers Biometric solutions Workforce productivity Access management software, apps & services Electronic access & monitoring Portable & action sports locks & security Action sports lights Portable & out of home Exit devices Door openers & closers Doors Frames Exits, openers, closers & doors Hinges Latches Cabinet locks Thresholds Other accessories Door hardware & accessories Safety & comfort solutions Bath hardware Accessibility aids Quiet solutions Quiet solutions, accessibility & wellness

25 Good to reference – click on the image to launch the videos in a web page.
*Locks up on Skype – redirect them to YouTube version Suggest you show this video to kick off the presentation, before our vision and purpose: “We are Allegion” video tell the story of our heritage, who we are and what we do. Move to our Vision Purpose and Values and then play the second video (employee reflections)…

26 Suggest you show this video immediate after our values.
Good to reference – click on the image to launch the videos in a web page. *Locks up on Skype – redirect them to YouTube version Suggest you show this video immediate after our values. “Employee reflections” video shares Allegion's growth and culture during its three years as a company.

27 About Allegion™ Allegion (NYSE: ALLE) is a global pioneer in safety and security, with leading brands like CISA®, Interflex®, LCN®, Schlage®, SimonsVoss® and Von Duprin ®. Focusing on security around the door and adjacent areas, Allegion produces a range of solutions for homes, businesses, schools and other institutions. Allegion is a $2 billion company, with products sold in almost 130 countries. NYSE: ALLE © 2017 Allegion plc. All rights reserved. AXA, APTIQ, BRICARD, BRIO, BRITON, CAVERE, CISA. DEXTER, ENGAGE, FALCON, FSH, FUSION, GLYNN-JOHNSON, INAFER, INTERFLEX, ITO KILIT, IVES, KRYPTONITE, LCN, LEGGE, MILRE, NORMBAU, PEGASYS, PROEXPRESS, SCHLAGE, SEGUREX, SIMONSVOSS, STEELCRAFT, TRELOCK, VON DUPRIN, XCEED ID, and ZERO are the property of Allegion. All other brand names, product names or trademarks are the property of their respective owners.


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