The past year ushered in a series of challenges for the companies in the fuel sector. The decisions made by us have demonstrated that we are able to take rapid steps to adapt to a demanding environment and ensure the desired profitability for our projects.
The segmental management model we have implemented enhances management efficiency, delivering cost and revenue synergies across the organization.
2014 ushered in a series of challenges for the companies in the fuel sector. The decisions made by the LOTOS Group have demonstrated that we are able to take rapid steps to adapt to a demanding environment and ensure the desired profitability for our projects.
The key factor that had a strong impact on both the global and Polish petroleum markets in 2014, with significant consequences for the LOTOS Group’s performance, was the price of crude oil, which also determined the price of petroleum products.
The LOTOS Group’s Strategy is designed to strengthen our position as a strong, innovative and efficient business which plays a major role in ensuring national energy security.
Our operations consist in crude oil production and processing, as well as wholesale and retail sale of petroleum products, among which are: fuels (unleaded gasoline, diesel oil and light fuel oil), heavy fuel oil, bitumens, aviation fuel, naphtha, propane-butane LPG and base oils.
At the LOTOS Group, we identify a range of diverse risks, which may affect all areas of our business. The key risks in terms of their impact on our operations are the financial risks as well as risks affecting the exploration and production area. In the analysis of the risks, we also factor in issues related to sustainable development.
With revenue of ca. PLN 28.5bn in 2014, we rank fourth in the group of 500 largest businesses in Poland.
Awards and distinctions
In 2014, LOTOS Group companies were honoured with awards and accolades in the key areas of business management, corporate social responsibility, and quality of products and services.
- Paweł Olechnowicz, President of the Grupa LOTOS Board, received the Crystal Laurel of Skills and Competence from the Regional Chamber of Commerce in Katowice in recognition of excellence in combining business with social responsibility goals and contribution to Poland’s economic growth.
- For another consecutive year, LOTOS Terminale and LOTOS Lab were awarded Forbes’ Diamonds in the category of companies with revenue of PLN 50m or less. For the eighth time, the Forbes monthly together with Bisnode Polska, a business intelligence agency, compiled a list of companies with the fastest value growth.
- Grupa LOTOS took the top position in the Pillars of Polish Economy ranking, in the Province of Gdańsk. The ranking was compiled by the Puls Biznesu daily’s editorial team, under the auspices of the Ministry of State Treasury, Polish Investments Programme, and Polish Agency for Enterprise Development. The winner was selected by local governments.
- The judging panel of the 20th edition of the ‘Business Person of the Year in the Pomerania Region’ competition awarded the ‘Business Person of the Last 25 Years (1989–2014) in the Pomerania Region’ titles to six business people whose achievements gained the highest rating - including Paweł Olechnowicz, President of the Grupa LOTOS Board.
- The Polish Success Academy, run by the Polish Business Club Association, awarded a Gold Medal and granted membership to Paweł Olechnowicz, President of the Grupa LOTOS Board, in recognition of his innovative business projects.
- The winner of 2014 Polish Individual Quality Award in the Practice category was Halina Stasiewicz, Process Management Office Director, Grupa LOTOS. The awards are organized by the National Chamber of Commerce. The award, named after Professor Edward Kindlarski, is presented to individuals who have made an outstanding contribution to the development of the Total Quality Management concept, succeeded in implementing quality systems in their organizations or made a meaningful contribution to TQM training.
- Grupa LOTOS received the Super Leader award at the 10th Congress of the National Association for the Protection of Classified and Business Information and Personal Data.
- Grupa LOTOS received a Top Quality Human Resources Certificate from the Polish Human Resources Management Association, for implementing the organization’s business strategy through the creation of an engaging workplace.
- Another Best Annual Report award was granted to Grupa LOTOS. Having stated that the 2013 Integrated Annual Report of Grupa LOTOS exemplifies a publication based on which investment decisions can be made at a relatively minimal risk, the Chapter of the ninth edition of the contest ranked our Company in the third place in the ‘Main Prizes for Large Companies’ category.
- At the grand gala event of the 10th edition of the Nafta/Chemia Conference, the ‘Man of the Decade – who Changed the Polish Oil and Chemical Industry’ titles were awarded, with Paweł Olechnowicz, President of the Grupa LOTOS Board, as one of this year’s honorees.
- Paweł Olechnowicz was among Poland’s top 20 CEOs with the most successful track records according to Bloomberg Businessweek Polska. The top 20 managers ranking is based on a survey, with the final rank depending on the overall number of votes cast by respondents (other managers) in favour of a candidate.
- Corporate Social Responsibility
- Quality of products and services