Be prepared for the future in the changing industrial goods market

New requirements for companies in the industrial goods sector are a result of the rapidly changing changing environment in which it does business.

In particular, the main change drivers are the following:

• Disalignement of regional sales und supply markets
• A growing and partially aggressive international competitive environment
• Increasing cost pressure and price wars
• Technological advancement and shortening of the product lifecycle
• Advancing industry concentration
• Changes in the amount of value added and value added content

The individual industrial goods industries face their own specific challenges:

• Automotive: Profitability with high price and cost pressures
  Despite the industry´s substanial innovation potential and mass expansion throughout, many automotive suppliers face challenges, tension between cost increase and price pressure by way of resulting cost variability as well as a professional market and value oriented product development to ensure sustainable profits.
  
  
• Engineering: Cutting edge technology pays off
  Low cost Asian competitors with relatively simplier products have a clear position in the market next to German engineers. Additionally, a systematic cost managementis required in order to have satisfactory latitude for investments in product development and market development.
  
  
• Mechatronics and Sensor Technology: Leading German SMEs International führende deutsche Mittelständler in selective segments
  Technological innovations and an ongoing increase in the user penetration were up until now growth drivers in mechatronics, sensor technology, optics and electronics. Given weak domestic demand, the growth of the international market is increasing in importance.
  
  
• Medical Technology: Innovation and Growth requires good corporate results
  Increased stress for technology-driven product innovation as well as intensifying pressure to open up foreign markets, given increased prices and crowding out compeition, calls for cost management as well as innovation with regard to strategy and innovation.
  
  
• Materials, surface engineering: Achieving growth and adequate results in mature industries
  Steel and metal manufacturing as well as surface treatments grow through market segmentation and development of foreign markets: innovation and cost management are opposed to price pressure on distributors and consumers.
  
  

Selected Project Examples (best practice):

1. Successful Restructuring a leading producer of engineering components through new positioning of value added framework and processes, systematic distribution management as well as reduction of working capital with a clearly improved financial strength
2. Eliminating Growth Barriers for a well-known manufacturer of electromechanical products by adjusting process and structure organization in business areas as well as developing distribution
3. Sustaining and Improving Results for a metal manufacturer by using a new location framework, new configuration of process and structure organization, decreasing oberhead costs and production costs as well as intesifying distribution.