A more market oriented approach in the forest industry is the way to get out of the present crisis.
This was the message of Mr Mikael Selling, partner and one of the
founders of the company Opticom International Research, when he gave a
speech in PricewaterhouseCoopers forest industry seminar in Vancouver
in May.
— The forest industry in the Scandinavian countries and in North
America is now considered to be a crisis branch with structural
problems. It is too focused on cutting costs and the companies do not
pay enough attention to their customers.
There is extremely hard competition in the forestry industry and
profitability is far from satisfactory. — Now is the time to focus on
the market and to listen very carefully to customers, to learn to
understand their situation and their needs. It is extremely necessary
now when the branch is confronted with more and more serious
challenges.
— The companies should carefully examine their own business from their
customers' point of view. A continuous dialogue with customers is the
way to make better and more attractive offers, as well as to create a
distinct profile in relation to competitors. This is the way to improve
the company's position as supplier, to increase competitiveness and to
achieve better profit margins.
Selling says that such an approach offers extraordinary and so far
unexploited opportunities for forest industry companies. As an example
to be followed he pointed out how the consumer product industry
operates.
Even though most forest industry companies do not yet apply this
approach, there are some examples of far-sighted and future oriented
companies. Södra Cell International, one of the leading producers of
pulp on global level, is a good example of a company with such a new
market oriented strategy. |