Deutsche Bahn AG An international mobility and logistics service provider

Transcription

1 Deutsche Bahn AG An international mobility and logistics service provider Presentation at Brest State Technical University Deutsche Bahn AG Michael Gödde Brest (BY), 12 September 2013

2 DB s history began 1835 with the opening of the six kilometer-long Nuremberg-Fuerth line The history of the railway in Germany TODAY START Nuremberg-Fuerth with the Adler locomotive Split up into Bundesbahn and Reichsbahn Leading international passenger and logistics company Founding of the Deutsche Reichsbahn Deutsche Bahn AG 2 Deutsche Bundesbahn and Deutsche Reichsbahn merge to become Deutsche Bahn AG

3 The Railway Reform Act of 1994 marked the beginning of a new railway era in Germany and the creation of Deutsche Bahn AG Before Rail Reform Today Bureaucratic structures Monopoly structure Heavy government influence High losses personnel expenses exceeded revenues More than EUR 30 bn in debt Rail was losing market share Implemented entrepreneurial structures Rail opened up to competition Responsibility for local rail passenger transport delegated to regional levels Modern and efficient organization Competition is expanding Value-driven decision making Greater profitability Debt is continuously shrinking Rail is enjoying a renaissance Deutsche Bahn AG 3

4 With its nine business divisions DB is active in all segments of the transport market Passenger Transport: Domestic and European-wide mobility services DB Bahn Long Distance Long-distance rail pass. transport 1 DB Bahn Regio Regional/urban pass. transport (GER) DB Arriva Regional/urban pass. transport (EU) 2 Transportation and Logistics: Intelligent logistics services via land, air and the sea DB Schenker Rail European rail freight transport DB Schenker Logistics Global logistics services Infrastruktur: Efficient and future-oriented rail infrastructure in Germany DB Netze Track Rail network DB Netze Stations Traffic stations DB Netze Energy Traction current DB Services 3 Integrated range of services 1 Within Germany as well as cross border traffic; 2 In UK with Arriva-affiliate CrossCountry also long-distance passenger transport; 3 Business unit is assigned to the Rail Technology and Services division Deutsche Bahn AG 4

5 Passenger Transport DB is the second biggest provider in the entire European passenger transport market 2.7 billion passengers per year in trains and buses 25,000 passenger trains per day Once around the world the distance traveled by every ICE train per month 9 neighboring countries can be reached directly via DB DB Bahn Long Distance DB Arriva DB Bahn Regional DB Bahn Sales 1 As of December 31, 2012; Figures on the left side are rounded and exclude Arriva; 1 DB Bahn Sales is a service center within the passenger transport division Deutsche Bahn AG 5

6 Transportation and Logistics DB is the second biggest worldwide provider of transport and logistics services More than 2,000 locations in over 130 countries 400 million tonnes of freight transported via rail per year 95 million shipments sent per year via European land transport 6 million square meters of storage space around the world DB Schenker Rail DB Schenker Logistics As of December 31, 2012; Figures are rounded; 1 Twenty-foot Equivalent Unit Deutsche Bahn AG 6

7 Infrastructure DB operates the biggest rail network in the heart of Europe 5,700 train stations serve as railway gateways in Germany 34,000 km long rail network three times as long as the German Autobahn network 48,500 heated switches out of a total of 72,000 5th largest provider of energy in Germany annual volume of available energy equal to energy consumed by Berlin metropolitan area DB Netze Track DB Netze Stations DB Netze Energy DB Netze Projects 1 As of December 31, 2012; Figures are rounded; 1 DB Netze Projects is a service center within the infrastructure division Deutsche Bahn AG 7

8 Services DB Services is DB's nation-wide, high-performing internal service provider DB Services Over 6,000 "Call a bikes" in numerous major cities make us Germany's largest bicycle rental company DB Systel DB Communications Technology DB Services 13 facilities provide technical support for 6,900 locomotives and 2,100 railcars 500 IT applications for the DB Group DB Security DB Heavy Maintenance DB Motor Vehicle Fleet 2,300 security personnel in trains and at stations ensure the safety of our customers 1 As of December 31, 2012; Figures are rounded; 1 Employees directly employed at DB Security Deutsche Bahn AG 8

9 DB is active in its market segments with independent commercial services and publicly mandated services We differentiate between independent commercial services and publicly mandated services Independent commercial services Publicly mandated services Passenger Transport Long-distance transport services Direct competition, above all, with cars and airplanes End-customer business Intensive level of fixed assets Local public transport services Contracted routes, tender competition Customers here are both the contracting organization 1 as well as the passenger (end-customer) Intensive level of fixed assets Transportation & Logistics Rail freight transport services Rail competes directly with other modes of transport Big customer business, clear sector focus Intensive level of fixed assets Freight forward. and logistical services Direct competition (world-wide) Full service forwarder, large customer base, broad mix of industries Less intensive level of fixed assets Infrastructure Provision of infrastructure No competition, monopoly position in regulated markets, public-sector contracts for reliable and efficient provision of infrastructure at competitive prices Customer: Carriers (derived demand) Very intensive level of fixed assets 1 Contracting organizations can be states, state-run enterprises, transport associations, or regional bodies Deutsche Bahn AG 9

10 In 2012 DB achieved the highest revenue and profit in its history Revenues 2012 in millions EBIT 2012 in millions DB Bahn Long Distance 4, DB Bahn Regional 8, DB Arriva 3, DB Schenker Rail DB Schenker Logistics 4,925 15, DB Netze Track 4, DB Netze Stations 1, DB Netze Energy 2, DB Services 1, ,296 2,708 As of December 31, 2012; 1 Difference between total for divisions and DB Group due to other activities/consolidation Deutsche Bahn AG 10

11 DB is becoming increasingly active in international markets however, the primary focus remains on rail and Germany Revenues by region (100% ~ annual revenues in bn EUR) Revenues by activity 100% ~ annual revenues in bn EUR) 68% International % 42% 62% Non-Rail % 48% Germany 74% 58% 52% Rail 59% Stand: ; 1 Group financial statements according to IFRS Deutsche Bahn AG 11

12 DB has about 300,000 employees around the world, of which more than 190,000 are based in Germany Employees by business unit 100% ~ 287,508 full time equivalent Other activities DB Services 9.2% 8.5% 32.2% DB Bahn Long Distance: 5.5% DB Bahn Regional: 12.9% DB Arriva: 13.8% Employees by region 100% ~ 287,508 full time equivalent North- America 3% Europe excluding G. 27% Germany 65% Asia 5% 16.7% Remaining international locations 1% DB Netze Track: 14.4% DB Netze Stations: 1.7% DB Netze Energy: 0.6% 33.4% DB Schenker Rail: 11.1% DB Schenker Logistics: 22.3% As of December 31, 2012 Deutsche Bahn AG 12

13 Today around 100,000 employees represent DB Schenker worldwide in 130 countries DB Schenker locations and employees Europe (incl. Russia) approx. 74,800 employees Employees per business unit 32% 68% America approx. 9,100 employees Own locations Partners Near Middle East / Africa approx. 1,000 employees Asia-Pacific approx. 13,800 employees DB Schenker Logistics DB Schenker Rail Date: May 2013, natural employees DB Mobility Logistics AG, Transportation and Logistics division 13

14 With 20 bn EUR revenues DB Schenker is the second largest logistics company in the world Top 10 Players of the wordwide transportation and logistics market 1 Revenues 2011 und 2012, in bn EUR, variable foreign exchange rates DHL Global Forwarding, Freight, Supply Chain/CIS Union Pacific Kühne + Nagel ,3 Nippon Express Distribution & Transportation BNSF SNCF Geodis 9.5 CSX Corporation Norfolk Southern Increase % 27,5 +2.6% +15.8% +15.4% +8.0% +3.4% +0.9% +8.4% +7.0% CEVA % 1 Without shipping lines, Chinese and Indian railway as well RZD 2 Strong foreign exchange effect 3 Invoiced net sales (comparable with revenue of DB Schenker) 4 CEVA is headquartered in the Netherlands Sources: Annual statements, press, GSL DB Mobility Logistics AG, Transportation and Logistics division 14

15 DB Schenker Rail offers a wide range of products for our customers DB Schenker Rail product portfolio Core products Industry solutions Additional services Block train Single wagon disposal solution Automotive RailNet Intermodal chemsolution Door-to- Door Logistics Rail Logistics Eco Plus ECO 2 PHANT paper solution oil solution Sidings Maintenance RailRo- Cargo traffic Source: GSL 15 DB Mobility Logistics AG, Transportation and Logistics division

16 Our network of integrated transport and logistics services is the basis to become profitable market leader Network integrated transport and logistics services Current actions Profitable market leader Enhancement of solutions for selected corridors Transeurasia (China train) Southeast-Europe (Bosporus shuttle) West-East corridor (Automotive-Zug DE-PT) Door-to-door-solutions for the entire supply chain Multimodal transport solutions with integrated contract logistics solutions Dedicated industry solutions and market development through competence centers Strenghtening hinterland networks of DB Schenker Rail and DB Schenker Logistics Ocean in Europe Cross-business unit development of multimodal industry solutions, for example regarding automotive, industry and consumer goods Sources: GSL 16 DB Mobility Logistics AG, Transportation and Logistics division 16

17 Our organization makes European services possible GEFCO transports ECR / DB SR Other partners Direct connection between the UK and Poland Regular scheduled train between Portugal and Germany Train transportation Truck distribution B NL DK D PL SK London Wroclaw Brunswick Gevrey hub F AT I CZ HU Porto Frankfurt a.m. Lisbon Gefco is a new major customer of French subsidiary ECR Successful acquisition of highquality transports, primarily by strengthening the wagon group network in France Source: DB SR 17 DB Mobility Logistics AG, Transportation and Logistics division First regular rail freight transport offered between the UK and Poland Uses the High Speed One connection between the Channel Tunnel and London, which was completed in 2011 Regular train connection with a specific focus on automotive customers added Short transit times (3-4 days) create a competitive advantage over truck transport

18 DB Schenker is developing the rail corridor between China and Europe Routes Duisburg PL Moscow BY Mala/ Brest KAZ Southern route Distance from Chongqing approximately 10,300 km Transit time (terminalterminal): days First pilot transports in 2011 Additional border crossing and stop RU Dostyk/ Alashankou MN Chongqing Northern route Zabaykalsk/ Manzhouli CN Distance from Shanghai approximately 12,900 km Transit time (terminalterminal): days Uses the Trans-Siberian Railway Shanghai Transport alternative with - Lower transport costs than air freight and - Shorter transit times than ocean freight Interesting for customers in different industries, including electronics, automotive, chemicals Uses DB Schenker s (logistics) networks and resources in China and Europe Trans Eurasia Logistics (TEL), an affiliate of Deutsche Bahn, operates rail service between the terminals DB Mobility Logistics AG, Transportation and Logistics division 18

19 In 2013, we will expand the Xrail network to Northern Italy Xrail Alliance single wagonload network Objectives Alliance of 7 European RUs to promote single wagonload transport across Europe Current Xrail countries Extension in 2013 Increase quality and competitiveness of European single wagonload network Implementation Extension 2013: single wagonload in North Italy in co-operation with RCA By 2015: Implementation of common capacity management system (based on Netzwerkbahn) Source: Xrail, GSL DB Mobility Logistics AG, Transportation and Logistics division 19

20 Project Wadi ensures DB s market presence in emerging railway markets Project Wadi Joint Venture with Etihad Rail (ER) Construction of a UAE¹-wide federal freight and passenger railway in three stages Objectives 1 UAE = United Arab Emirates 2 GCC = Gulf Cooperation Council Source: L.RF DB Mobility Logistics AG, Transportation and Logistics division Stage 1 characteristics: 266 km route between Ruwais and Shah One customer: ADNOC (Abu Dhabi National Oil Company) Operation of two trains daily Consulting services for stages 2 and 3 20 Securing long-term presence in the GCC 2 region and door-opener for follow-on projects for DB group Establishment of an operations & maintenance joint venture Status of tender process DB nominated as preferred bidder Negotiations with ER to be finalized end of Q Operations to commence in October 2013

21 Automotive RailNet offers efficient and flexible automotive transports European-wide Automotive RailNet Provision of an European-wide railway network for automotive transports to connect manufacturers and suppliers with sales markets and production centers About 3 million vehicles per year are transported via rail More than 250 trains per day are in the Automotive RailNet both single wagonload as well as block trains Safe and fast transport across Europe supported by modern IT-systems to monitor transport streams Development of integrated transport solutions Source: DB SR DB Mobility Logistics AG, Transportation and Logistics division 21

22 The strategic direction DB2020 can be explained along three core questions Where are we today? What challenges and opportunities will we encounter on our journey? Where will we be in 2020 and how will we get there? Deutsche Bahn AG 22

23 Today We hold leading market positions in Europe and the world Schenker No.1 Rail freight transport No.1 3 Land transport No. Ocean freight 5 No. Contract logistics Netze No.1 Rail infrastructure No.2 Air freight No.1 Operation of railway stations Bahn No.2 Local rail passenger transport No.2 Long-distance passenger rail transport No.2 Bus transport As of Dec. 31, 2012 Deutsche Bahn AG 23

24 Challenges and Opportunities The megatrends of the future Globalization Liberalization Demographic change Climate change and scarcer resources Deutsche Bahn AG 24

25 Challenges and Opportunities The world is growing together, and is becoming more complex and connected Deutsche Bahn AG 25

26 Strategy Achieve sustainable business success by bringing all three dimensions into harmony with each other Vision Sustainability dimension We are becoming the world's leading mobility and logistics company Sustainable business success and social acceptance Profitable market leader Economic Top employer Social Eco-pioneer Environmental Top Top Top Strategic directions 1 2 Customer and quality Profitable growth Deutsche Bahn AG 26 3 Cultural change/ 4 employee satisfaction Resource preservation/ emissions and noise reduction

27 Strategy We want to improve customer satisfaction by offering comprehensive information, friendly service and modern vehicles 1 Customer and quality Gross capital expenditures until 2020 Areas for action (selected examples) Information and Service 86 billion 1 Expand customer information and service Modernization of vehicle fleet Upgrade and expand infrastructure Consistent process quality Link global IT systems together Modernize and expand passenger stations Push product and process innovation 1 Of which 34 billion were DB funds (ex-m&a projects) Deutsche Bahn AG 27

28 Strategy We intend to defend and expand our leading market position by growing continuously 2 Profitable growth Expand existing and new customer business Acquisitions and tenders Areas for action (selected examples) Develop networks Cross-modal solutions Improve capacity utilization and productivity Expand industrial competence +100% 34,4 70 Liberalization opportunities offered by European passenger transport market Deutsche Bahn AG 28

29 Strategy We want to become one of the top 10 employers in Germany by 2020 and also be a top-ranked employer in international markets Top 10 NEU Top 20 As a top employer we win and build loyalty with qualified employees who work with enthusiasm for DB and its customers Deutsche Bahn AG 29 I m a proud DB employee 10 Top

30 Strategy We want to significantly increase employee satisfaction via the cultural change we initiated 3 Qualified employees Cultural change/ employee satisfaction work enthusiastically for DB and its customers Areas for action (selected examples) Regional future-focused discussions Employee satisfaction Employer attractiveness Manage demographics Understanding leadership Diversity in leadership Compatibility of career and family Internationalization Talent Pools Career planning Deutsche Bahn AG 30

31 Strategy By 2020 we ll be recognized as the pioneer of environmental measures including the reduction of CO 2 emissions and noise 1 Top Specific CO 2 - emissions DB -20% Share of renewable energy in the DB rail energy mix 20% 35% +75% Rail noise -50% As an eco-pioneer our products set standards for the efficient use of resources Deutsche Bahn AG 31

32 Strategy We will expand our leading environmental position by using resources more efficiently, as well as by reducing CO 2 and noise 4 Resource preservation/ emissions and noise reduction We are a leader in environmental protection Areas for action (selected examples) Use of wind and hydroelectric energy Noise abatement Efficient use of energy Freight transport using EcoSolutions CO 2 -free offers for passenger transport Electro-mobility on the road Efficient usage of materials and resources Deutsche Bahn AG 32

33 Our DB2020 strategy defined the framework, we will resolutely continue with its realization We are becoming the world s leading mobility and logistics company For people. For markets. For tomorrow. Deutsche Bahn AG 33