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The following example is typical of the services we provide:

A multi-national chemical company was engaged in manufacturing and distributing a range of industrial products, using two overlapping technologies.  The company was the global leader in Technology A - its major profit contributor, by far.  Unfortunately, this market was shrinking, largely as a result of increasingly restrictive, environmental regulations.  In Technology B, on the other hand, the company was a small "2nd tier" supplier in a growing market.  In contrast, it was struggling against fierce competition, particularly from a few, giant multi-national competitors and cheap imports from Asia.  Considering its lack-lustre performance in Technology B, as well as the long product development and selling cycles that are characteristic of the industry, the company was deeply concerned about its future and its strategic direction.  In addition, it was under pressure to find a solution that they could be incorporated into the approaching, global strategic planning initiative of its offshore parent.  

Within a short space of time, we investigated the industry attractiveness of both technologies, with particularly emphasis on market forces, size and trends, and competition.  Simultaneously, we reviewed the company’s ability to compete, largely in terms of marketing, manufacturing, and organization.

We concluded that the company had a low probability of succeeding with Technology B.  On the other hand, little had been done to exploit its market position and its strengths in Technology A.  As a result, we worked with the company in developing a new vision and strategic plan that concentrated on:

Preparing a time-limited, "recovery" plan for Technology B, and restricting investment until success could be guaranteed.
Seeking diversification opportunities in new, profitable technologies related to Technology A (its strength).
Seeking strategic alliances with competitors, in respect of marketing and manufacturing.
Revising the organization structure to give more strength, in particular, to marketing activities.

 

 
 
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