In
today’s business environment, one of the major obstacles to long-term success
is the belief that a business can generalise – and be all things to all people.
Given the disruptive nature and complexity of this marketplace, the generalist
approach can be fatal. The business ecosystem is large and constantly evolving.
As a result, it is those companies that instead choose to specialise and
provide a niche product or services that are best positioned to succeed.
Such
a focused approach forms the core of what we have termed ‘Smart Strategy’. Many businesses are scrambling to deal with a
host of tough external factors – political uncertainty, rising operating costs,
currency fluctuations, etc – while still trying to manage a company with too
many moving parts. The key, however, and the core of Smart Strategy, is the
ability to identify where the major gaps or needs in the market lie – and then
provide an outstanding service in the niche one has indentified. Then it
becomes a case of controlling and creating one’s own future by being aware of
the controllable – and uncontrollable – factors, and identifying where the
opportunities lie.
Often,
this requires a degree of creativity and the ability to view the market from a
holistic point of view. So, how can I create barriers for entry for my
competitors by providing a highly specialised service or product? This forms
the backbone of Smart Strategy, and can provide the foundation for a
sustainable growth path – even amidst tough market conditions.
A
Solutions-Based Approach
Essentially,
adopting Smart Strategy means becoming a solutions-based business, no matter
which sector or industry you belong to. Today, there is an expectation from the
client or buyer’s side that the service/product will be provided seamlessly and
at a reasonable price point. As a provider then, the question becomes: how can
I provide true value over and above this baseline expectation? Invariably, if
one has chosen to specialise, the value add is very clearly defined and tangible.
Today,
technology has become a key differentiator – and can form the operational
backbone for Smart Strategy. For example, can I use technology to provide a
customised and data-driven solution for my customers? In the logistics
industry, the early tech adopters are already reaping the first mover rewards
in this regard. More specifically, being able to take the reams of data now
available – and then turning this into actionable intelligence – is fast
becoming a strategic imperative.
In
the 13th annual supplychainforesight programme, in which Barloworld Logistics
reviewed the journey of change and adaptation South African businesses have
undertaken over the past year, the shift towards specialisation was evident.
The category of respondents termed ‘Other’ included a host of new job titles
and roles – which is indicative of the changes taking place in roles,
responsibilities and job structures…undoubtedly driven by the imperative to
specialise.
“The
profile of respondent industry sectors is beginning to reflect new areas of
economic activity in line with the changing face of the business world, and the
needs of the market for products, services, technologies and facilities,” the
report noted. “With entrepreneurial developments and niche start-up businesses,
this profile of large and small industry sectors will reflect a broader base of
business activities. It will also begin to reflect the growing influence of
service-related ventures.”
Indeed,
as the market continues to evolve – with technology as its core driver – those
companies that fail to specialise, become solutions-based, and identify
opportunities to offer real value will undoubtedly be left behind.
The
full 13th annual supplychainforesight
report
can be downloaded from http://www.barloworld-logistics.com/navigating-smart/
