How can I survive FMCG companies in crisis

How can I survive FMCG companies in crisis

   How can I survive FMCG companies in criza
 Companies producing consumer goods face in the current economic environment with radical changes and even reversals of business context, which entails huge opportunities, but also risks as apparent from the Ernst & Young study, "disruptive or Disrupted be. "
Their adaptation to the new environment dominated by uncertainty involves the development of a new type of thinking, an openness to change and give up some established ways of creating value, says the study.
Further, the study identifies steps that these companies need to integrate their strategy to survive in the new economic context.
Rethinking strategic options
The decision on how and where to compete and where to focus your efforts to create more value becomes increasingly more difficult to make. Respondents in the study said that new products and innovations have the greatest potential to create added value. But they also mentioned that investments in emerging markets and developing new channels are among their main priorities.
Establishing business areas where it is needed and where centralized location has become a crucial choice for business leaders in the industry. But for many companies in the sector, this remains a great challenge further. Only 16% of respondents said their organizations are able to maintain an optimal balance between global control and local entrepreneurship, while a quarter admitted they are very bad in this area.
Realignment of the value chain
Companies should focus on a better definition of how their brand positions, but will have to open and the Integration reactions coming from the consumer. Social media channels have a growing consumer goods industry. Only half of the respondents supported the idea that this change traditional relationship between producer and consumer goods.
Value chain must be sufficiently rigid to withstand shocks, but also flexible enough to respond to sudden changes or unexpected. With margins under pressure, companies will also need to be sure that the value added chain generating function effectively.
Those interviewed in the study admitted that they need to improve their value creation chain management added. Nearly two-thirds of them admitted that marketing routes have become more complex, but only 26% said they were very good at creating an efficient and agile supply chain.
Rising cost and scarcity of resources further complicate things.
Efficient execution to capture maximum value
Improving margins is a priority for management. Almost three quarters of those surveyed admitted that major changes are needed to maintain margins at current levels. Ask what they consider activities or investments would lead to improved margins in their businesses, respondents mentioned first programs to increase efficiency and productivity.
Of all the barriers that can prevent a good performance, the employee is considered by far the most critical. Without the right people who can implement strategic programs that opted objectives of the company will be impossible to meet. Only 20% of respondents said they are very good at attracting talented employees and optimize the use of human resources.
In the study polled 285 executives were of the largest consumer goods companies in the world.