Where do we go further?

We were approached by the owners of a production and distribution company with a request to find out the directions for the development of their business. The company is in the top 20 in its segment amongst domestic and foreign market leaders in Russia. It has three famous federal brands and its own production. The company has been on the market for more than 20 years.

Before that, the owners had been developing a strategy and optimizing processes by themselves. But it was not enough, especially during the COVID-19 pandemic. They needed fresh insights from outside experts.

The unusual thing about this case was that all the work was done remotely. There were no face-to-face meetings. However, the business owners completely relied on the consultants.  They provided all the necessary documentation for the audit of the company and helped in every possible way.

The purpose of the consultants' work was to conduct an audit of internal capabilities and potential areas of business development. To achieve this goal, the consultants conducted 11 interviews with the owners and top managers. They conversed with market experts in the researched area. They analyzed the market situation and opportunities based on interviews and open market data. They reviewed 53 internal documents of the company.

At the end of this work a report was prepared. Options for strategic alternatives were described in all the details. The goals, interests and vision of their business owners were described. Market opportunities, both realistic and ambitious, were identified. An audit of the human, organizational and financial resources which were required for change, was conducted. 6 variants of the company development were offered. Pros and cons in relation to each option were stated. Two main ways were chosen out of the proposed options. Below was a list of further steps that need to be taken to move from strategic alternatives to the strategy itself, as well as an action plan. In addition, based on the strengths of one of the managing partners, the option of a third line of business was offered to him.

The owners have clarified the state of their company in the market and have seen the possible options for business development. Now they must decide which path to take next.

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