Growth Strategy for a Pipeline Engineering Firm specializing in inspection, repair and maintenance of non-standard pipelines

Anonym A fragte am 26. Mai 2018 - 2 Antworten

I am intrigued as to how you would structure this interview question. You are not expected to elicit questions to gather data, but rather to think / brainstorm on spot about the growth strategy. The only information that we know is that the firm is small (valuation ~$3M) and is currently operating globally (in both developed and developing countries).

Hint: think about productisation, geographic expansion and M&A.

Thank you guys and I really appreciate your input!

(editiert)

2 Antworten

  • Upvotes
  • Datum aufsteigend
  • Datum absteigend
Beste Antwort
Anonym B antwortete am 26. Mai 2018

I would structure this in the following way .

1. Current revenue stream :

a. Get longer term contracts from the current suppliers . ( build relationships with current customers )

b. Marketing about the service and quality in industrial journals / directly going to maufacturing comapnies and offering discounts on first service.

New Revenue Stream :

a. Explore New markets

b. Explore new suppliers in the same markets

c. Go into online video tutorial for self maintenance of pipelines ( users will have to subsribe for the videos )

d. ) Enter into manufacturing pipes as well ( with all the experience gained over the years of maintaining the pipes )

I would prioritize both a and b in current revenue streams and b and c in new revenue streams looking at the feasibility of these ideas .

And these are just organic ways . Adding to this would be the inorganic ways of partnering with or acquiring some other firms in the geographies that have the maximum businesses of servicing of pipelines . — Anonym am 26. Mai 2018

An (Jack)
Experte
antwortete am 2. Jun 2018
Google Strategy Manager | Ex- BCG Consultant | References Available
Coaching mit An (Jack) vereinbaren

100% Empfehlungsrate

26 Meetings

100 Q&A Upvotes

219 USD / Coaching

Hey there - adding another approach here for comparison

Going to assume growth strategy means growing topline revenue here, and not profitability (in which case cost cutting could also be a viable "growth" strategy).

The framework I would use is:

Growing revenue = Setting right goals + Executing appropriately

Goal 1: Sell more existing services

  • Selling more services to existing clients: e.g., capture more wallet share, through bundled services, upselling complementary services (inspection + repairs
  • Acquire more clients + position firm in high growth areas: find which areas of market is growing fastest, invest in marketing and sales to capture more clients. M&A could be an option here - find complementary companies with complementary clients
  • Lift prices to clients: understand what is the value you are providing to clients and try to capture more of the value

Goal 2: Develop new services (would deprioritize given how small the company is, should not spread itself too thin)

  • Develop complementary services: e.g., which other services are needed by existing clients, which we can develop? e.g, what about inspection, repair and maintenance of standard pipes? Again, M&A is an option here

Lastly, productisation is an interesting concept. In tech, usually it means packaging a product so it is much more scalable and requires less human input. This could be a viable strategy to increase self-service from clients, and decrease cost to sell, and increase velocity of selling. If there is a way to do this for the services above, then it is also viable.

Verwandte BootCamp-Artikel

Getting Up to Speed

In order to repeatedly demonstrate prerequisite skills under the pressure of a real case interview, you need to learn the basics and practice cases.

Growth Strategy

Growth questions are among the most common questions in consulting case interviews: gather the necessary Information about volume and price to find the best growth lever

CAGR - Compound Annual Growth Rate

Learn everything you need to know about CAGR (Compound Annual Growth Rate) for your case interview ✔ Definition ✔ Formula ✔ Examples ✔ Applications

Verwandte Cases

Deine Klientin ist die Besitzerin der Eisdiele TOTO in einer deutschen Großstadt. Das Geschäft läuft so gut, dass die Besitzerin eine weitere Filiale eröffnen will. Sie ist hellauf begeistert und möchte auf Nummer sichergehen. Sie fragt Dich daher: Ist das eine gute Idee? Ganzen Case öffnen

Wohin mit den Schränken?

3,6 Tsd. mal gelöst
4.5 5 199
| Bewertung: (4.5 / 5.0)

Der Klient, OSEKA, ist ein profitabler Möbelhersteller aus Spanien. Bisher liefert er seine - in Spanien hergestellten - Möbel auch nur nach Spanien. Kürzlich melden aber einige Möbelhäuser aus Deutschland Interesse an, die Möbel auch verkaufen zu wollen. Der CEO des Unternehmens fragt dich, ob es g ... Ganzen Case öffnen