Allentown

Materials
corporation
Presented by
Absin
Diya
Ramesh
Nirmal
Shailendar
 swot analysis

STRENGTH
Market leader
High innovations
Good technical skills
Strong R&D and manufacturing
10% growth per year
 SWOT analysis

WEAKNESS
Lack of co-ordination
Wrong person for the wrong job
Lack off understand the customer needs
Poor marketing and sales
 SWOT analysis

OPPORTUNITY
Commercial market increasing
Use innovations ideas to produce at low
cost
 SWOT analysis

Threats
Increase in competition
Consumers are more price sensitive
 Negative key factor

Lack of coordination
Objectives and goals are not clear
Product growth decline
Innovations are not unique
Cost was reduced still gross margin is decline
Informal system for comparing plant
performance
They found lack of forecasting marketing trend
Roger doesnt want to take risk
 Key success factor

For competitors substantial capital

investment, patents, technological
need huge investments this make
allentown to shine.
Allentown was strong in financial and
profit positions
Allen town is market leader in glasses
and ceramic
 Manufacturing
High volume in 3 plants
Were held responsible for gross margin and were
profit centers
Informal system for comparing plant performance
Last 2 years volume shrunk for price cuts
Even cost reduce gross margin still declined
Need direction and low cost resistors
No operational objectives
Sales focused on volume no concern about margin
 Sales will sell for anything and plant
wont buy for untill 40%
Marketing failed to provide direction for
profitable growth
Product development also not given
them would run well on their production
line
And no low cost product
 Product development

Need more marketing and sales people

involvement
Problem with technical department
Meeting happen once in 28 days to develop
new product
Since 1992 don rogers conducting meeting
things are changing with his involvement
They took 7 years to develop a glass K
product actually of 3 years
 marketing

Marketing felt lack of cooperation from

manufacturing
Manufacturing is unwilling to take risk
Marketing feel distracted to spend
inordinate time in plant
Other department informally convey that
marketing is doing lousy job.
Proprietary advantage to our business
which we cannot do
 Sales

They have good relationship with customers

No co-ordination between sales and marketing
Marketing said sales competence is not high
and sales said we do not believes in marketing
information
No fixed process for forecasting the sales
Sales had requested quick deliver to
customer needs but plant rejected the short
notice without upsetting operations.
 Looking forward
Appointing right persons for right job with right skills eg. marketing
Separate manager for each department (more focus)
To Set Clear objectives and goals
Sales must done based on incentives
Innovate effective and low cost products
Formal system for comparing plant performance
Need coordination among departments so system must change
All department meeting must held every month
R&D innovation must be based on customer needs
R&D and technology is good hence they can diversify into other
segments.
Industry mature so they can acquired