Engineering & Machinery sector lead by Sweden's Atlas Copco

March 5, 2002 - Atlas Copco topped the Engineering & Machinery sector in a global study released today. The Competitive Fitness of Global Firms ranks top North American and European firms across eight business sectors using a composite rating termed Overall Market Effectiveness Capability (OMEC). The study is conducted at INSEAD business school in France and published by Pearson Education.

About 1,225 executives employed in 55 different countries contributed to the 2002 study. Firm OMEC results range from a low of 46 to a high of 82. Only 86 firms, out of the 326 covered, achieved a rating over the World Class level with enough data points. The eight sectors covered were: Automobiles & Automotive, Computers & Electronics, Consumer Goods, Engineering & Machinery, Finance & Insurance, Pharmaceuticals & Healthcare, Process Industries, and Services.

In terms of OMEC, the Engineering & Machinery sector increased three points in 2002 over 2001. This increase puts the sector just at the World Class level of 65.

Atlas Copco led the qualifying firms within the sector and ranked among the top 10 firms in 2002 with an OMEC of 77.

OMEC is based on 12 capabilities that comprise the fundamental capabilities of a firm and hence, its competitive fitness. Those capabilities are: Mission & Vision, Customer Orientation, Corporate Culture, Organization & Systems, Planning & Intelligence, Human Resources, Technical Resources, Innovation, Market Strategy, Marketing Operations, International, and Performance.

Atlas Copco also achieved a high E-Business capability rating, at 79. This rating puts Atlas Copco amongst the top 10 firms on E-Business, in addition to OMEC.

About The Competitive Fitness of Global Firms Report
This report publishes results of an annual study conducted by Professor Jean-Claude Larreche, at INSEAD business school. The study ranks top North American and European firms based on fundamental business capabilities based on a survey of top managers from those firms. The capabilities measured are: Mission & Vision, Customer Orientation, Corporate Culture, Organization & Systems, Planning & Intelligence, Human Resources, Technical Resources, Innovation, Market Strategy, Marketing Operations, International, Performance and E-Business. Out of the 326 firms covered, a total of 86 firms achieved above a World-Class rating for 2002 with BMW, Nokia, and Pfizer ranking as the "best". For more information and results of the study, visit: www.corvaltec.com.