The global market today seems to offer a lot of challenges with the world wide economic crisis we are in.
The Challenge…
In the Ideal World you would expect companies to invest today for future profitability and growth.
But today’s economic arena is not ideal… with the current global crisis you can see business slowdown – decrease in incoming orders and projects, decrease in credit and funding – Where to spend the next $ and companies are saving Money – Projects stopped? Layoffs?
When a company experiencing layoffs, it has critical impact on the company soundness. People layoffs cause losing of IP (Intellectual Property) and delivering less innovation. In time… this causes losing the company competitive edge.
So…
Is it all bad? All we can do is just wait?
At 2002 The The McKinsey Quarterly published a research called: Learning to love recessions written by Richard F. Dobbs, Tomas Karakolev and Francis Malige.
“To see how recessions can be used to advantage, we studied nearly 1,000 mainly industrial US companies over an 18-year period (1982–99) that included the US recession of 1990 to 1991.
1. We identified companies that either remained industry leaders … or became successful challengers…
2. We then investigated the attributes of successful companies, both during the recession and in healthier economic times.”
Look at what they have found out:
“Most companies battened down the hatches during the recession of the early ’90s. But the more successful competitors pressed their advantages.”
“…successful leaders, seeking to extend their position through innovation…”
The Opportunity… PLM
The recommended strategy for those days would be…
Invest today in whatever will bring you the biggest value to maintain your competitive edge and drive you to sustainable revenue growth once the uncertain times have past
Here is a news flash!!! – The crisis will end!!!
It will take 1-2-3 years but the crisis will end. The question that each company should ask itself should be: Where will I be when the crisis will be over?
Some companies will not be there when the crisis will be over. Some will still be there but will not be able to revive. and some… will be there… with a competitive edge that will make them rise over all the competitors. Those that will use the hard times to be prepared for the day it will end. Those will be the new leaders.
PLM gives you just that. in those tough times, PLM is the enabler for you to make it happened:
• Manage and capture IP !
• Streamline processes !
• Increase innovation while reducing costs !
… and… manage your risk during the crisis
