Operational Review continued

At the end of the year, we completed the configuration of D365 Sales, which will trigger the implementation of CRM activities in Q1 2023. This module leverages AI to integrate with other strategic applications, such as behavioural data analytics, a product configurator, and collaborative workflows to generate sales.

Group IS accelerated our investment in cloud computing, supporting big data applications. We continue to implement best practice on cyber security throughout our operating companies. Our risk management processes ensure that we monitor the changing risk landscape externally, share lessons learned and apply protectionary measures accordingly.

Esg

Our governance report on pages 58–61 outlines the approach to policies and appropriate committees to ensure Group compliance. As our business grows, so do the requirements to ensure good governance; therefore, we regularly review our governance structure for best practice and put necessary improvements in place.

Our intention is to ensure that our governance policies and values are made accessible across the Group and are meaningful in different cultures around the world. To that end, we have appointed champions across the Group’s geographic territories to interpret and cascade governance policy, thereby enhancing engagement to support compliance.

We continue to invest in our people and actively promote training and development. Externally, the Group’s approach to social engagement ensures that the impact of our operations is positive and that local communities can benefit from supply contracts, charitable donations and employment opportunities. In addition to jobs, we offer career fairs, open days, apprenticeships, work experience and learning resources.

Culture and people

A shared belief system is critical in driving business forward, particularly when markets are rapidly changing. Following our annual employee survey, “trusted”came out as the value that resonated most, reflecting the loyalty that many employees feel towards the Group.

Building on our employee engagement initiatives, we have invested in online training resources and a new careers site that feeds applications from social media and job sites into an applicant tracking system. We have also further developed our intranet, which is now multilingual and structured to serve internal audiences throughout our geographically diverse organisation.

Safety is integral to our culture, sharing beliefs, practices and attitudes that reduce hazards and help to prevent workplace injuries. In 2022 we continued our zero-tolerance behavioural safety campaign, reminding employees of the tools available to safeguard themselves and each other at all times.

Summary and outlook

In a data-driven world, we are making it our business to invest in process improvement, data acquisition and analytics. The resulting intelligence and insights will inform our product development, market outreach and customer relationships, ultimately driving competitive advantage for the Group.

We are pleased with the progress made during 2022 and will continue the momentum into 2023, with plans for further operational improvements that will benefit both the Group and the communities we serve.

Flashnet acquisition

On 10 June 2022, we acquired an 80% majority shareholding in Flashnet S.A., a specialist in the design, development and manufacturing of smart lighting and smart city control systems. Lucy Group has a long history in street lighting controls, and the acquisition of Flashnet will combine the technical and commercial strengths of both businesses.

Flashnet’s 50-strong team based in Brașov, Romania, are at the forefront of technological research and development, integrating the latest hardware and software solutions to create intelligent lighting and IoT platforms which, in combination with our commercial, technical and operational expertise, will create a truly market-leading business.