Revenue growth at a mid-market manufacturer of industrial products had stalled and they were looking for new opportunities. Another objective was improving their internal strategic planning process.
The firm hired Griffioen Consulting to conduct strategic planning to help management define a long-term direction for growth, identify new markets, and determine what to do about the large product portfolio.
The strategic planning started with in-depth interviews with management, a comprehensive competitive analysis, and a detailed customer survey. In addition, phone interviews were conducted with sales staff and distributors.
The classic strategic planning process included SWOT analysis, internal and external analysis, and in-depth reviews of the industry and market segments. Growth opportunities were identified in specific markets. The large product portfolio was analyzed for sales, profits, trends, and growth potential.
Over the course of the project, the young and energetic management team was actively engaged in gathering market intelligence, discussing strategic options, and carrying out assignments to better understand the market and identify and evaluate the opportunities available to the company.
The customer survey had shown the importance of quick delivery and rapid turnaround on orders. This was a key differentiator and a strategic advantage that needed to be leveraged.
In addition, the pros and cons of pursuing a branded product strategy were discussed as opposed to acting as a white label manufacturer.
The strategic planning was very successful. The firm opened a second distribution center to provide fast delivery for out-of-state customers. Also, the company decided to put more effort into branded products. The relationships with equipment manufacturers, important to get product approval, were going to get a higher priority.
A side-effect of the strategic planning effort was that the management team learned more about strategic planning and was able to improve their internal process and adopt new analysis methods and tools.Back to Case Studies