MICHELIN STAKEHOLDERS

APRIL 30, 2020

Grande Ecole ESSEC Business school
Contents
Michelin Introduction ............................................................................................................................. 1
Michelin Stakeholders............................................................................................................................. 1
1. Customers ................................................................................................................................... 1
2. Michelin employees .................................................................................................................... 1
3. Governments and communities local to Michelin sites.............................................................. 0
4. Various pressure groups (example Friends of the Earth) ........................................................... 0
5. Financial institutions and Major shareholders ........................................................................... 0
6. External members of the Michelin Stakeholder committee ...................................................... 1
7. Michelin Group brand portfolio .................................................................................................. 1

Michelin Introduction
Michelin is one of the leaders in tires manufacturing and marketing. Michelin’s group mission is ‘to
make a sustainable contribution to progress in the mobility of people and goods by constantly
enhancing freedom of movement, safety, efficiency and pleasure when on the move’.

Michelin Stakeholders
Shareholders make a part of stakeholders in Michelin as any other company.

The Group-level stakeholder committee is made up of 13 individuals from around the world. The
committee has an annual meeting with the president and the executive board to discuss the Group’s
sustainable development and mobility strategy, technology and responsible employer practices.

There are various groups of stakeholders.

1. Customers
Michelin has various segments of customers.

a. Automotive Customers – Automotive B2C global and regional brands, 2 wheelers,

automotive original equipment customers and vehicle manufactures such as Suzuki, Toyota,
Tata Motors, Peugeot, Honda, etc.
b. Aircraft wheels
c. Road Transportation Customers – Off highway transportation, Long distance transportation,
urban transportation.
d. Specialty Businesses Customers – Mining, Motor sports, High tech materials, Mobility
experiences, and
e. Distribution partners – Tyres distributors, Care dealers, Auto centres, garages,
f. Travel Assistance – Services and solutions, Fleet management and conveyor belt helping
them optimize tire and fleet management, including Effitire, Effifuel and Effitraile.

Expectation: Good Product & solution quality, Service management and Timely delivery

2. Michelin employees
By end of 2019 it had 69 production plants across the world and employed 1,21,300 people. The
employees work within the following departments in Michelin.
 a. Manufacturing f. Development of service technologies
b. Supply chain and IT department
c. Customer experience g. Operations quality
d. Purchasing h. Corporate and business service
e. Research and development operations.

Managers Title
Florent Menegaux Chief Executive Officer
Jean-Dominique Senard Chief Executive Officer & General Partner
Michel Rollier Chairman-Supervisory Board
Marc Henry Chief Financial Officer
Terry K. Gettys Executive Vice President-Research & Development
Eric Philippe Vinesse Executive Vice President-Research & Development
Barbara Marguerite Dalibard Member-Supervisory Board
Olivier Bazil Member-Supervisory Board
Jean-Pierre Duprieu Member-Supervisory Board
Anne-Sophie de La Bigne Member-Supervisory Board
Expectation: Professional Growth, Learning, Renumeration, Work Life balance.

3. Governments and communities local to Michelin sites

Michelin operates in 10 regions: Northern Europe, Eastern Europe, Southern Europe, Central
Europe, North America, South America, Central America, Africa, India, Middle east, east Asia,
Australia, and China and maintain it’s network locally, nationally and internationally.
Government plays an important role in terms of regulation, security standards and
development policy. Michelin needs open communication with local, national and
international levels because of its global operations and to understand changes in society’s
expectations and tap into criticism and suggestions.
Local communities where Michelin operates are also stakeholders because Michelin
operates in that community by using its human and natural resources. Michelin is
responsible for any harm to the community’s resources and ethically obliged to make its
workplace safe and help prosper the local community living standards.

Expectation: Jobs, taxes, infrastructure, safety and better living standards of society

4. Various pressure groups (example Friends of the Earth)

Due to rising Global Warming and increasing pollution from its rubber products, Michelin
focus on Corporate social responsibility and has an ethics committee.

Local level: Local NGOs & Non-profit organizations, eco- friendly clubs, Labour union, etc.

Government level: Environment protection organization, ministry of economy, etc

International Level: UNESCO (United Nations Economic and Social Council). etc

Expectation: Pollution free, Sustainability, waste management, recycle old products etc

5. Financial institutions and Major shareholders

Michelin needs to make profits for its institutional and individual shareholders.
 Shareholders Name %

Mage Invest SAS 3.86%

The Vanguard Group, Inc. 3.55%
Norges Bank Investment Management 2.92%
Pilgrim Advisors, Inc. 2.50%
Michelin SCA ESOP 1.80%
Marathon Asset Management LLP 1.71%
Oddo BHF Asset Management SAS 1.52%
BNP Paribas Asset Management France SAS 1.48%
Amundi Asset Management SA (Investment Management) 1.25%

Harris Associates LP 1.24%

Holdings Name Equities % Valuation
PT Multistrada Arah Sarana Tbk (MASA) 9,149,766,702 99.6% 274,858,992 USD
Societe Internationale de Plantations d’Heveas 1,921,924 38.0% 181,129,325 USD
PT. Gajah Tunggal Tbk (GJTL) 348,480,000 10.0% 6,324,912 USD
Societe Africaine des Plantations d’Heveas SA (SPHC) 2,527,330 9.89% 5,559,267 USD
Expectation: Dividends, return on investment and increase in share price

6. External members of the Michelin Stakeholder committee

a) Isabelle Autissier, President of WWF France
b) Thierry Bogaty, Head of Amundi SRI Expertise, Amundi Asset Management
c) Marc Chollet, General Manager Strategy, Solvay
d) Fabien Derville, Chairman of the Board of Directors, Mobivia
e) Nicolás Estupiñan, Director Research & Knowledge, Development Bank of Latin America
f) Diana Filippova, CEO, Stroïka
g) Lila Karbassi, Director Programs, United Nations Global Compact
h) Eleonore Morel, CEO, FIDH (International Federation for Human Rights)
i) Kemal Özkan, Assistant General Secretary, IndustriALL Global Union
j) Cécile Renouard, Philosopher and PHD Director, ESSEC Business School
k) Felix Tropschuh, Vice President Sustainability, Audi
l) Jian Zhuo, Vice Director Department of Urban planning, University of Tongji (Shanghai)
Expectation: Economic, academic, research and Innovation

7. Michelin Group brand portfolio

MICHELIN MASTERNAUT UK LEVORIN
GUIDE MICHELIN NEXTRAQ BOOKATABLE
ADVANTAGE RESTAURANTES.COM CAMSO
BFGOORICH SASCAR EUROMASTER
BIBENDUM TABLET FENNER
BLACKCIRCLES.COM TÉLÉFLOW
KLEBER INDUSTRIE TRUCKFLY
LEHIGH TECHNOLOGIES UNIROYAL
Expectation: Growth, Synergies, Cost Optimization & reduction, value proposition, differentiation