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Keeping St1 both lean and green

St1 has more than doubled its turnover in just a few years. It has achieved this by taking over distribution sites divested by larger competitors in the Nordic countries. In 2007, St1 purchased Esso’s Finnish operations, and gained Shell’s Finnish and Swedish operations towards the end of 2010. In between, it bought part of Statoil’s network in Sweden and Norway.

The Group now has almost 600 filling stations in Finland and 540 in Sweden, including both St1 and Shell stations. It owns 40 stations in Norway.

Efficiency at the core

Wiio describes how IT and operational development are intertwined at St1. ”We are all in the same boat: we have no separate IT projects, just operational development projects with the regular participation of the management team.”

Large-scale integration

Strong processes also guided St1 as it integrated Shell’s operations with its own. “We began integrating processes with ERP and other systems as soon as the deal was done, at the beginning of last December. Logica, St1’s longterm IT partner, is in charge of project management, change management and technical support”.

Seeking profitable growth

St1’s turnover for this year is estimated at €4 billion. ”We are not seeking to increase our turnover or market share. For us, growth means increasing our profitability. Higher profitability is particularly being sought from outside the traditional fuel trade, from areas such as biofuels, wind power and technology exports.”

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Kevin Zavada O&G Board Program Manager

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