Executive Summary
Clariant International Limited is a Swiss chemical company formed in 1995. Through the acquisition of other chemical companies such as Hoechst and Sud-Chemie, Clariant has established itself as “one of the world’s leading specialty chemical companies.” Clariant is involved in multiple markets, including, but not limited to, consumer care, biotechnology and industrial applications. Clariant is split into 6 separate global divisions, which contain, in total, 19 different businesses.
The purpose of this case study is to answer the questions; what the cost to implement each of the strategic options facing Clariant Corporation? What revenue growth is necessary to break even and to maintain or improve profitability? And what non-financial criteria might be used to evaluate strategic options
Clariant faces issues with its marketing departments structure. The current model is hampering Clariant. We have found that a change in structure is required to deal with the issue. The theory used to deal with the issue is the national accounts system and customer relationship management.
Findings
In September 2000, Vincent Thompson, vice president of operations said that Clariant had failed to develop its full potential
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A national accounts system is a direct step towards achieving this goal as this structure allows for a more knowledgeable sales force in charge of high-potential customers; those assigned an account team with members from multiple business units. Since the sales force would have knowledge of a much larger number of products in the vast Clariant product portfolio, this would allow them to identify opportunities for cross-divisional sales much easier. Currently it is estimated that the sales force spends very little time doing this (appendix
When a certain point is reached regarding a company’s success, a set of different opportunities arise and partnerships may unfold. However, with every possible strategy available, risks and benefits also come into play; without discarding any of them beforehand, every option is a strong candidate until a final decision is made. In this case study we will analyze the current business strategy pertaining
Martinrea International Inc. (TSX:MRE) is a Canadian manufacturing company servicing customers around the world, primarily in the automotive sector. Founded in 2001, Martinrea has grown rapidly through both acquisition and organic growth, and currently employs over 14,000 people in 44 plants across North America, South America, Europe and Asia. The Vaughan, Ontario-based company has four sectors in its corporate structure, which include aluminum, fluids, metallics and modules. Martinrea’s four core sectors service mainly the automotive industry, however, the company has also begun to seek a broader cross-section of clientele, investing in lower volume assembly line parts such as buses, recreational vehicles, air conditioning, military and farm appliances.
Primary assumptions to the theory include, high barriers to entry and exit, high sunk costs and imperfect knowledge of the market. In addition, this paper will analyze the company’s current standing in the market along with competitive strategies executed to grasp a greater portion of market share.
With the addition of added services to DCI’s portfolio, it is imperative to add a sales department to assist the service and support department to maximize profits. Training and development implementation for the new sales division for every employee, regardless of the employees department must take place (Mayhew, 2012). This will ensure that every employee can assist customers who wish to purchase DCI’s products. Furthermore, it is necessary for current employees to complete monthly online scenario training and comprehensive training classes. Additionally, each of the new sales department teams will have a sales mentor available to provide guidance and feedback on an ongoing basis.
|organisation |customers and will increase the profits. The difference from the other two sectors is that customers are |
This case analysis will discuss Crocs, Inc. core competencies and explain how Croc should exploit these competencies in the future. There will be an examination of options and an identified recommended choice (i.e. further vertical integration, growth by acquisition, or growth by product extension). In addition, there will be a review of the alternatives that fit and do not fit within the company’s core competencies. Finally, there will be a recommendation on how Crocs should plan production and inventory in the future; while also addressing how the corporation’s gross margins will affect this decision and what could go wrong in the decision-making process.
Chapter 6 – Strategy Formulation: Situation Analysis and Business StrategyChapter 7 – Strategy Formulation: Corporate StrategyChapter 8 – Strategy Formulation: Functional strategy and Strategic Choice
Customer Operations Group, C. Greystone expressed frustration with his divisions’ performance—he has also stated, “We’ve been forced”; VP Northeast Region, B. Walker stated, “some branch managers seem to spend most of their time worrying about the new performance measurement system—the skills and attitudes on many levels are mismatched with our current needs”; Branch Manager M. Pauley asks, “Exactly who handles all the pieces of a sale like this”, Sales Team Member 3 stated the situation is getting depressing. The organizational behavior put forth by the CEO and the Research and Advanced Development Group manufactured an internal discontent with divisions and individuals. As a result, the needs of the Manufacturing and Marketing were not considered and retain the support needed to function. The lower level individuals in the these divisions were unfairly treated and disengaged from the goal of the company which lead to ambiguity of company clear and direct goals (accountability and responsibility); flawed construction of Business Units and Sub Units; mass confusion of consolidating; geographic displacement; lack of division communication; lack of training; and most importantly the lack of sharing product
In today’s highly competitive market, the continuous changes that are occurring in the social, politic and economic environment create serious challenges in the corporate world. Corporations cannot afford to do business as usual if they want to remain in the game and be successful. In order to achieve their goals and objectives, they need to evolve, adapt, learn and apply different new strategies that will help them secure long-run success and performance. Among those strategies, we are going to discuss ten of them and their advantages in connection with corporation’s goals and objectives.
Consideration of domestic, foreign, and international environment and factors like government, culture, demographics, economy, competition, technology, etc. will be explained. The paper will discuss how these factors affect the Cato Corporation’s performance.
In response to a loss of clientele to competitor firms, Ken Winston (C&B’s Boston Sales Office Director) assembled the five most successful salespeople into a Key Accounts Team (KAT). Having previously enjoyed the autonomy of selling a diverse array of products to their own clients, these five ‘Generalists’ would now ‘Specialize’ only in one specific
A method to solve the problems about how to distribute the revenues and workload between WCS and local offices is to turn them into profit centers. The WCS will manage the direct account contacts and coordinate global brands and campaigns. The local offices are then subcontracted for local adaptation and implementation. This separation will also clarify the reporting relationships between the management-oriented WCS and the creativity-focused local offices. To remedy the communication problem, facilitate a thorough knowledge and information exchange and ensure consistency as necessary for global Brand Stewardship, the company's ERP system must be refocused on Customer Relationship Management aspects. The data extracted from Beers' client interviews will prove helpful in identifying these aspects. Company-wide accesses to this CRM system will empower front-line employees to fulfil the quality service promise given to the clients and will furthermore create a sense of network and community in the company. In addition, it will reduce transaction cost and boost efficiency, thus enabling O&M to maximize the profitability of voluminous
Assessing the pre-existing organization – Describe the strengths and weakness of the C&B Brokerage division prior to the two changes explained in the case. • The interactions of the New York Office with the regional sales teams • Whether there are misalignments in incentives between these functions. – Salespeople aim to maximize dollar value of sales (hence commission) while product managers aim to maximize profit of sales (overall firm objective as well). – How important is the regional sales manager to the success of the regional office?
The project sponsor (John Hart) had extensive industry experience and had identified the need for a corporate marketing database to target the corporate customers who brought in the majority of the revenue and profit for FNB. This new database was proposed in order to consolidate information from three different banking divisions –
To distinguish customers we divide the accounts to different categories. There are two important points of views which in