Saturday, 29 December 2012

Business Planning & Execution for a Building Materials Firm

Product : uPVC Windows (Building Materials)

Challenge : A small Indian company was struggling with this business and was not clear on the path forward direction and actions. They hired us to frame a business plan and assist them in executing to turnaround the business.

?Action Plan : An initial assessment on Market ( size & trend), Channel (distribution & end customers), Competition ( price, product, presence), Suppliers ( materials, machines, labor), Government ( regulations) was done in association with the client. Based on the outcome from this research and analysis, the business proposal was done- which included giving them :

?a projection over next 5 years for uPVC market in the relevant geography,

  • this showed some healthy trends due to high rate of construction and
  • penetration of uPVC in traditional windows market replacing other traditional products like Al, Wood
  • coming up of major builders in the region meant higher usage of these windows and a more discerning customer, moving up from price consideration alone
  • the market survey revealed that while the market was competitive there was a space for one local brand to emerge as the leader provided they could differentiate themselves analysis on market attractiveness and competitiveness was done to figure out the right sales & marketing strategy.
  • Organization SWOT revealed certain internal processes and systems to be realigned as per market needs.

Results

The discussions brought a lot of insight for the client in many ways as they had a better grip of market size and directions (as a result of quantification of opportunity) . This helped them align to making changes in line with market needs. Based on these inputs a business plan was prepared for next 5 years, which clearly identified the revenue, profitability and cash flows potential from the business. The market opportunity plan have been drawn up and getting aligned with all stakeholders. This will be followed with the 3 year business plan and execution.

Source: http://www.expandinindia.net/blog/business-planning-execution-for-building-materials-firm/

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