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  Case Study - Strategy Change Process Instruments Manufacturer
Starting Point
A mid-size company active in the process automation business has been acquired after some financial problems by a big foreign industrial group. A turnaround and re-capitalization of the company was done successfully however despite of good general conditions the business cannot be developed further. Top line growth and profitability are not satisfactory - the company is stagnating.
After a thorough analysis of the company, customer and market, the root cause is identified as (1) wrong strategy set-up, (2) missing (technical) marketing competences and (3) an inadequate product portfolio. A new strategy is developed: "Centre of Competence instead of Manufacturing Unit".
The implementation stretches over several years and includes the following key points:
  • Introduction of a "customer focus and innovation driven" culture and behaviour
  • Build-up of marketing competences (resources, concepts, tools)
  • Completion and re-design of the product portfolio by increasing development activities and cooperation. Products and services are strictly focused on customer and market requirements
  • Penetration into new markets (USA, Russia, China, India ...)
  • Re-organization of the production. Implementation of „lean production“ with much shorter delivery times. In-sourcing of key technologies
Already in the first year the stagnating trend can be stopped with the result of a small growth. In the following years the top line growth is between 20-30%. The EBIT can be increased from 0% to over 10%.    


bloechlinger engineering AG
Laurenzenvorstadt 103
CH-5000 Aarau

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