Davey Tree Flipbooks

News from Davey's corporate office. The Big Picture 24 | July/August 2015 B ecause the business environment is becoming more technological and competitive than ever, it's imperative Davey illustrates clear intentions and expectations. As Karl Warnke, chairman, president and CEO says, "We're always working on the direction of the company, as well as our challenges and expectations—all driven by the Davey Strategic Plan and Vision 20/20." Warnke addressed a full crowd in the class- rooms at the Davey Institute during the annual Shareholders' Meeting on May 19. Not only did he recognize a record number of retirees in attendance, but he also acknowledged the presence of directors, out-of-town employees and other visitors before opening the meeting with a reminiscent video highlighting the 30th anniversary of Davey's corporate complex opening in 1985. "We've come a long way since then," Warnke says. RAISING THE BAR. Building on momentum gained from 2014, the company was off to a good start earlier this year. "I'm optimistic about the remainder of the year," says Joe Paul, CFO and secretary as he addressed Shareholders' Meeting attendees. Although Davey leaders continue to focus on risk management—"Our eye is always on safety; it's the nature of the business," Paul says—but disciplined capital allocation is also a management focus moving forward. After Davey completed its 35th year as an employee-owned company at the end of 2014, Paul was happy to report not only an increased share price but also employees' further interest in purchasing shares. ELEVATED SERVICES. The dedication of an increasing number of Davey employees diversifies the company's services in the industry. "No other company is close to having the mix of work we do," says Pat Covey, president and chief operating officer of U.S. operations. While service lines such as Utility and Davey Resource Group have established solid working relationships with their significant clients, others, such as Commercial Landscape Services, have utilized business developers to obtain larg- er contracts including several Davey services. The Davey Institute remains very valuable, providing operations support and differentiating the company. Meanwhile, Residential/ Commercial achieved record revenue in 2014. Acquisitions have helped establish and build upon Davey's ability to leverage multiple Becoming Stronger as One The Davey Strategic Plan drives growth— supplementing our ability to face challenges and perform. services to a single client. But elevating the company's focus on safe productivity also gains clients' trust as well. "We must continually seek ways to elevate our focus on safe productivity," Covey says. "It's a day-in and day-out priority." OPEN TO OPPORTUNITY. Warnke is confident of Davey's abilities moving forward. "My confidence of a bright future for the company is based on two things," he says. "First, the strategic plan; second, I know the depth of management in the company and managers' willingness and ability to work collaboratively as one group, one company." Now that broader engagement and understanding of the strategic plan exists, the company has experienced more measureable and more positive outcomes. "We need to be innovative in all aspects of the company," Warnke says. "Our direction is critical; it has to be clear." According to Warnke, the company is aware of "keen challenges" ahead, but also confident in our abilities to address these issues; in fact, he says, "There is very little we're not capable of doing." Karl Warnke, chairman, president and CEO Pat Covey, president and chief operating officer of U.S. operations Key 2014 Accomplishments • Posted record stock valuation • Set company record for revenue • Record number of employees – 8,260 • Achieved 35 years of employee ownership • Acquired five companies • 14th year of continuous stock appreciation • Shareholders' equity record

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