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Models for Change Part One

Printers are faced with unprecedented change in the industry. Each company is examining their own strategy for meeting these challenges. Industry suppliers are facing the same issues. This article looks at how an industry supplier is changing to meet the challenge. These strategies can provide models for change in your company.

Monday, August 01, 2011

Changes in our industry, our markets and our customers are moving quickly. We are all looking at how to adapt to these changes. How do our business models and services need to change to keep pace? Beyond changes in technology, how do our people adapt? How do you teach an old dog new tricks?  Our industry has been faced with change before, but not at this pace or scope.

The marketing services model is being touted as the way to go. But does one size fit all? Is this the right solutions for all companies? How is it implemented? We are already seeing variety and innovation from printing companies.

Changes in our industry, our markets and our customers are moving quickly. We are all looking at how to adapt to these changes.

Our industry suppliers are not spared from this issue either. While we focus on what we need to do, looking at the transformation going on with some of our suppliers can lead to ideas on what must be done in our own companies.

The Eastman Kodak Company certainly fits the bill of a company that has had to change. At one point the bulk of their revenues were based on film. Currently, only twenty-five percent of Kodak's revenue is based on film, photofinishing and entertainment. Some of this is digital, such as their Cinesite entertainment imaging company. However, film has paid the bills over the years and the cash that has been generated has help fund the growth of the other 75% of their current revenues. Kodak's expertise in materials sciences has also been used to generate cash for new businesses. Such areas as traditional photofinishing, one time use cameras, industrial materials and entertainment imaging are all being used for this purpose. Look to your legacy operations to provide the base for new ventures.

You can use this analogy with offset. Ten to twenty years from now what percentage of your sales will come from offset printing? What other revenue sources will take its place? What changes need to happen to your organization structurally? What skills will your people need?


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About John G. Braceland

John G. Braceland is Managing Director for Graphic Arts Alliance a member run purchasing cooperative. He is also President of JB Solutions, a company that creates and manages purchasing cooperatives in various industries. Previously, he was President and owner of Braceland Brothers, a multi-plant printing company headquartered in Philadelphia, PA.

Please offer your feedback to John. He can be reached at [email protected].

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