CEO Letter

Allegion is building a great story of success for our customers, employees and shareholders. As we enter our third year as an independent company, the early chapters of the Allegion story continue to be written, revealing early success and a bright future.  

When we became an independent company in 2013, Allegion created a strong strategic vision, purpose and set of values to drive our Five Growth Pillars. Our pillars help guide Allegion’s path for the future. The initial chapters of the Allegion story show how focus, discipline and execution were leveraged to outperform the market, move opportunistically and shape our future. 

We’ve invested in our people, product portfolio, channels, systems and infrastructure to strengthen Allegion’s position as a global safety and security leader. At the same time, we're refining our strategy to position our business for long-term growth, making the tough capital deployment decisions to position us for the future, while maintaining our industry-leading returns. 

Innovation is thriving with new products, business models and acquisitions. New people have been added to the Allegion family through acquisitions, giving us new perspectives, capabilities and customers. We are building a winning culture through employee engagement that is driving transformation, accelerated growth and profitability in all regions of the world.

Allegion’s board of directors, in partnership with management, sets our strategic direction. From the beginning, Allegion’s vision, purpose and values, supported by our Five Growth Pillars, have been our compass. Whether through the launch of connected home solutions, the acquisitions of AXA, Brio, Milre, SimonsVoss and Zero, or the launch of our channel-led business in the Americas, everything we do reinforces our vision and values. We are guided by these Five Growth Pillars: 

• Opportunistic acquisitions
• Expansion in core markets
• Enterprise excellence
• Growth in emerging markets
• Innovation in existing and new product categories

The thousands of Allegion team members around the globe remain our most valuable resource. Their commitment to our business is reflected in our customer satisfaction, employee engagement and industry-leading results. Allegion has the best team in the industry!  

The board of directors and leadership team are committed to increased employee engagement and remaining one of the safest and healthiest work forces in the world. We believe a highly engaged team contributes to a great business and provides long-term value. 

Allegion is keenly aware of the complex security issues facing today’s world. With more than seven billion people on the planet, safety and security have never been more critical – or more desired. 

The convergence of mechanical and electronic security solutions will continue to increase as the world becomes more reliant on connected devices and embedded intelligence. Allegion’s leadership in mechanical products positions the company well for the intelligent convergence in the connected world. Product vitality and growth in electronics is increasing rapidly today and reflects a great opportunity for future growth.  

By continuing to make smart investments in our business, investing in our team of experts and addressing the security challenges of tomorrow, we believe the next chapters of the Allegion story will deliver profitable growth, value to shareholders and customers, and to the Allegion team 

My very best, 

Dave Petratis, Chairman, President and Chief Executive Officer 

Allegion plc