“INNOVATION”

Harnoor SinghPRN: 14030141064

BRIEFINGS FOUNDERS:- Henry S. BryanHermon W. CableJohn Dwan William A. McGonagle Dr. J. Danley Budd

HEADQUARTERS:- Maplewood, MN, US

3M Company (3M-Minnesota Mining and Manufacturing Company) is a diversified technology company.

HISTORYFive businessmen founded 3M in Two Harbors,

Minnesota, in 1902. Originally a mining venture, the goal was to mine corundum, but this failed because the mine's mineral holdings were anorthosite, which had no commercial value.

Co-founder John Dwan solicited funds in exchange for stock and Edgar Ober and Lucius Ordway took over the company in 1905. The company moved to Duluth and began research and producing sandpaper products. William L. McKnight, later a key executive, joined the company in 1907, and A. G. Bush joined in 1909.

3M finally became financially stable in 1916 and was be able to pay dividends.

6 OPERATING SEGMENTS

Industrial and Transportation Healthcare

Consumer and Office Safety, Security and Protection

Services Display and Graphics

Electro and Communication Businesses

HOW THEY OPERATE?

3M products are sold through a number of distribution channels, including

directly to users and through wholesalers, retailers, jobbers,

distributors and dealers in a range of trades in a number of countries

worldwide. 

AQUISITIONS In April 2012, it acquired CodeRyte Inc. In September 2012, it acquired the

business of Federal Signal Technologies Group (FSTech) from Federal Signal Corporation.

On November 28, 2012, the Company acquired Ceradyne, Inc.

In April 2014, the Company acquired Treo Solutions.

3M IN INDIA 3M India Limited, the Indian subsidiary of 3M Corporation

was established in 1988. 3M has been a steadfast partner in India’s progress for over 25 years, committed to solving problems unique to the Indian customer. The Managing Director at 3M India is Mr. Amit Laroya.

3M Electro & Communications India Pvt. Ltd. is a privately owned subsidiary of 3M Corporation. Together, these two companies market over 7,000 products in India with leading positions in health care, industrial, retail, construction, transportation, energy, utilities, mining, general office and home. In India, the magic of 3M innovation takes places at our R&D centers, situated at Bengaluru and Gurgaon, NCR (National Capital Region). Our manufacturing facilities in India are at Bengaluru, Pimpri (Pune), Ranjangaon (Pune), Ahmedabad & Pondicherry.

SWOT ANALYSIS

STRENGTHS  Diversified businesses - industrial and transportation,

healthcare, display and graphics, consumer and office, safety, security and protection services, and electro and communications.

Strong research and development capability Diversified geographic presence Solid revenue & profit growth solving and delivering unique solutions for original

equipment manufacturers (OEM) and mass channel customers. In addition, technologies such as adhesives, materials science, light management; micro replication and nonwoven materials; and its ability to not only develop unique products, but also to manufacture them efficiently and consistently around the world

WEAKNESSES Low inventory turnover which impacts

inventories and margins Weaker than expected performance in

key segments Not as nimble as smaller, more focused

competitors Lack of synergy between business units Lot of data or virtual warehousing of

data is not being well integrated. 

OPPORTUNITIES Acquisitions in key operating areas Continued global expansion Rising healthcare spending in the US Security concerns with weaker economy

in the US could present opportunities for 3M's security business 

Markets similar to areas it is currently in, such as renewable energy, water infrastructure, architecture, and lighting.

THREATS Rising commodity and energy prices  Exchange rates fluctuations  Environmental regulations Consumer preferences and competitve

conditions 

SALESSales* 30.871 Bil

Income* 4.81 BilSales Growth* +3.20%

Income Growth* +4.80%

Net Profit Margin 15.28%

Debt/Equity Ratio 0.40

Beta 1.07EPS 7.09Forward P/E 17.62

P/E 20.31Market Cap 93.31 Bil

Shares Outstanding 647.97 Mil

FINANCE Sales for the year were $31 billion. In organic local currency

terms, sales increased 3.4 percent. Latin America/Canada led the way with organic growth of 7

percent. Asia Pacific rose 4 percent, the U.S. was up 3 percent and Europe/Middle East/Africa was up 2 percent.

Currency impacts reduced worldwide sales by 1.6 percent, and acquisitions added1.4 percent.

Operations in more than 65 countries Products sold in nearly 200 countries 88,667 employees globallyFive-year financial objectives: Earnings per share were up 6.3 percent to $6.72. 4% to 6% organic revenue growth More than 20% return on invested capital By 2017, annual investment in R&D will reach 6 percent of

sales.

A TALK WITH STRATEGY MANAGER

THE STRATEGIES DEVELOPED BY 3M ARE MEANT FOR LONG-TERM, SUSTAINED INNOVATION. -Dedicated R&D, long-term development

and separate from concept to launch efforts -Apply and use Open Innovation; host

ideation sessions with members of all departments

-Foster a culture of innovation by allowing team members to take risks in a protected environment

-Reward and encourage creativity

THE BOTTOM LINE

“ Research is the transformation

of money into knowledge. “ “Innovation is the transformation

of knowledge into money.“

THANK

YOU

3M Products Enhancing Every Home3M Technology Advancing Every Company3M Innovation Improving Every Life