Over the past year there have been several changes in the manner of how businesses operate in Mexico. For instance, we have noticed modifications in fiscal, labor and trade compliance; the question is, have you built your strategy yet? Definitely, 2020 is the perfect year for redifining your strategy.
Our experts Kurt Schmidt, Consulting Director and Jorge Ortega, Associate & Strategic Advisor have discussed some trending topics and shared their advice for this new year.
Some of the main topics mentioned were:
As we go into 2020, industry 4.0 continues to be a prevalent topic for businesses. This ‘New Industrial Revolution’ is not only about investment in technology, but also the development of new strategies to operate your business.
Industry 4.0 connects the physical world with the digital and helps owners and decision makers improve their understanding about their company´s operations. With this in mind, they can optimize their processes and boost their efficiency and productivity, taking advantage of developing technologies. One such area seeing large growth and continual change is manufacturing. Industry 4.0 is very important to consider for redifining a business strategy.
If you are wondering whether your company is ready to begin this journey, you can start by doing research on the new Industry 4.0 revolution, getting an expert’s assessment on your company and clarifying how you want your factory to move forward.
Future workforce will demand new skills and knowledge; starting to introduce and train your staff is a key and valuable activity.
“Scenario planning is identifying a specific set of uncertainties, different ‘realities’ of what might happen in the future of your business”.
It acts as a shield for your business against risks for each potential variable you plan for and helps guide you to rewarding opportunities
Here is the process to create your own scenarios:
Identify your driving forces
To begin with, identify and discuss the biggest shifts in society, economics, technology and politics now and in the future, and how your company will be affected. Be sure to consider both macro and microeconomic indicators.
Identify your critical uncertainties
Once you have identified your driving forces and turned it into a list, prioritize the two that have the most impact on your business, making sure to consider all types of impact: financial, risk, uncertainty, competitiveness, etc.
Develop a range of plausible scenarios
Develop a matrix with your two critical uncertainties as axis. This will allow you to draw four possible scenarios for the future. Discuss these scenarios with market experts with both local and regional experience to ensure you covered all of your bases.
Discuss the implications
During this final step, you should discuss the various implications and impacts of each scenario and start to reconsider your strategy: set your mission and your goals while considering every scenario.
As we hear more and more defining news regarding the state of the USMCA, we will begin to find clarity in the roll-out of strategies and decision-making for companies operating in North America. 2020 will continue to be a year in which the market seems uncertain but taking steps toward obtaining the best market intelligence and evaluating impacts from market changes will be the best way to start the year.
As in a previous interview with Prodensa executives (https://www.prodensa.com/2020/supply-chain-competitiveness-market-collaboration-sourcing-usmca/), the implications for suppliers in select industries across North America will demand a new, strategic thought process- one of collaboration instead of protectionism.
“We need to shift the focus to mutual growth and support the key suppliers to grow alongside clients, creating long-lasting relationships. Instead of worrying about protecting the relationship and maintaining an exclusive network, we need to work within or across industries to promote the increase in supplier capacity to be able to obtain a more premium cost.” – Alejandro Mendoza, President of Prodensa Consulting Services
Starting the new year with a new strategy linked to the sustainable development of supplier operations is imperative, especially as new information comes to light regarding implications from major trade deals. Prodensa has the experts that stay informed and empower the strategic decisions that get you out on the right foot.
Supply Chain & Sourcing
Prodensa, based on its experience of attracting foreign investment and generating new business units, has been discovering that one of the most frequent challenges our customers need our help with is extending its reach of suppliers to access quality products and/or services and above all, to be competitive according to the market.
The digital transformation model is Prodensa’s new methodology offered to its customers. This aims to ensure a smoother and clearer process of adapting our conceptions for improving our customers supply chain that we advise up to the implementation. Due to this, there is the development of the PRO SHOP platform to link customers-suppliers in a value chain and operational efficiency.
PRO SHOP, Certified Vendor Program Services
PRO SHOP is the technological support tool for our clients that aims to concentrate certified suppliers of products and services that offer quality, price and competitive delivery times. This is a very usefool tool that will help redifining your business strategy.
Some of the benefits that clients will experience are the following:
- Access to a technology platform for supplier search
- Easy and practical access
- Certified suppliers based on a Quality Model
- Suppliers in compliance with Mexican laws
- Access to the database at no cost
- Variety of product and service providers
- Quality, delivery times and competitive prices
- Re-certification of suppliers annually by Prodensa Quality
- Supplier update continuously by Prodensa Quality
Learn more about PRO SHOP and visit us:
Prodensa is an advisory and project management firm based in Mexico, providing manufacturing footprint analysis and strategy development to clients seeking increase their competitive advantage in the shifting global economy. https://www.prodensa.com/2020/contact/
Let us help you redifining your strategy for a successful operation.