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Yara International to simplify operating model

Published by
World Fertilizer,

Yara International ASA has announced it is simplifying its operating model to strengthen customer focus and drive value creation. The members of Yara Executive Management remain the same following these changes.

"Earlier this year, we set out our strategy as the crop nutrition company for the future, and we are now adapting and simplifying our operating model accordingly. Following a period of substantial investments, our main focus going forward will be on operational excellence, innovation and growing scalable crop nutrition solutions," said Svein Tore Holsether, President & CEO of Yara International.

Yara's activities will be structured within three segments, effective 1 January 2019:

The Sales & Marketing segment will be led by EVP Sales & Marketing, Terje Knutsen. The segment will comprise all of Yara's existing Crop Nutrition business units, in addition to the following business units which are transferred from the former Industrial segment:

  • Base Chemicals
  • Industry Reagents
  • Animal Nutrition (excluding South Africa)

The Production segment is unchanged, and will continue to be led by EVP Production, Tove Andersen.

The New Business segment will be led by EVP New Business, Yves Bonte. The segment will comprise the following units:

  • Two businesses which will be established to commercialise innovation within decarbonisation and circular economy, in collaboration with the other Yara segments
  • A separate business unit for autonomous logistics operations including the Yara Birkeland autonomous electric ship project
  • A portfolio of businesses which will be operated more independently with distinct strategies:
  1. Environmental Solutions
  2. Mining Applications
  3. Animal Nutrition South Africa
  4. Industrial Nitrates

As previously communicated, Yara will continue to actively manage its portfolio of businesses. Yara is currently undertaking a process to evaluate strategic options for the Environmental Solutions business.

"Our crop nutrition focused strategy naturally also includes a strategic evaluation of businesses that are further away from Yara's core, to determine the most value-creating way forward for these, either within or outside Yara,” said Holsether.

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