3M CEO Inge Thulin to emphasize R&Dby Martin Moylan, Minnesota Public Radio
ST. PAUL, Minn. — 3M today lowered its annual sales growth target and pledged to boost spending on research and development.
CEO Inge Thulin told investors and analysts that the company expects 4 to 6 percent annual sales growth from its existing business, down from the goal of 7 to 8 percent set by former CEO George Buckley in 2009.
Thulin said the higher target was an unrealistic stretch in these economic times. He also said he'll boost R&D spending to 6 percent of sales by 2017.
"It's becoming very clear for me that investment in research and development is the key enabler for you to be really successful, because it's driving so much benefit for any enterprise, for 3M specifically," Thulin said.
As part of his five-year plan for the company, Thulin also set a goal of annual earnings per share growth of 9 percent to 11 percent.
Thulin joined 3M 33 years ago and rose the ranks through the company's health business.