E³, a unique and powerful performance measurement tool

The health crisis emphasized the need to reboot the Group’s management approach in order to optimize its three financial, environmental and social dimensions. The Group, which already differentiated itself from the traditional silo mentality with its 3P (People, Planet, Profit) approach, is now going one step further with the E3 performance management tool, which intrinsically links the three dimensions.

The idea is to operate in a very granular fashion. The drive for volume is not necessarily synonymous with higher return, but requires more resources (both natural and human), generates more stress in terms of productivity, more complexity in terms of management and, lastly, encourages cost inflation and cash flow problems.

This is why Nexans has chosen E³, a business performance tools that is as powerful as it is unique. Every quarter, all around the world, even the smallest of our units will need to find the right performance balance between the three key dimensions of economy, environment and engagement. This performance is measured and monitored on the basis of three KPIs, i.e., Return on Invested Capital, Environmental Return on Carbon Employed, and Return on Skills Employed.

In order to obtain its “license to operate” each unit will have to adhere to this unique, virtuous and holistic performance model. Although profit remains a source of income for the Group, it must be used wisely to protect the planet and provide employees with an enriching work environment and quality of life.

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