Coatings World - May 2015

by Phil Phillips, PhD Contributing Editor phillips@chemarkconsulting.net

Going forward, we will witness everyincreasingnumbersoftech- niques, methods and definitive terms attached to measuring business opportunities. Our MBA institutions are replete with new terms to describe old situations. For example the one that seems to be gaining traction is “customer stickiness.” This term simply means the degree to which a customer is loyal to a supplier. I like it!

Please understand, I really like new anything that brings home a point in a meaningful manner.

Therefore, liking this “name game” so much, I have coined a new term for a new business model . . . . it’s VOC Cubed™ .

VOC Cubed™ objective is to provide
momentous improvement (most accu-
rate) set of strategic and tactical intel-
ligence inputs TO MANAGEMENT
in supply chain assessments to date.
Properly designed it can become a man-
agement tool in:
• Strategic and tactical planning
• Gaining insight into possible M&A
elements... JV, Arms-length JV,
Merger or acquisition
•Strategic and/or investment
players...“roll-up” acquisition sup-
port... expand or enter new or adja-
cent markets

So why and what is VOC
Cubed™?

Why the VOC Cubed™ model? It is
grounded on several factors but the
most important fact is in the paints,
coatings, adhesives, sealants and spe-
cialty chemicals industries, research
(ours and others) have determined that
a maximum intelligence input accuracy
of only 45 percent prevails. That is, in-
telligence gathered through the value
chains of activity from the end-users
back thought to the suppliers is inaccu-
rate 55 percent of the time. Therefore,
there is major costly and tempo slip-
page in developing a precise product/
service in the current process.
What is VOC Cubed™ model? It is
coordination of three “voices.” The Voice
of Customer; Voice of Competitors; and
Voice of Company bundled into one com-
plementary discipline.

The VOC Cubed™ game plan has six components: Design; Search; Recommend; VOCustomer; VOCompetitor; VOCompany; Strategic Advice.

• Design specific approach for the cli-
ent’s approval
•Search & identify companies/op-
portunities that would fit the design
criteria
• Recommend optional tactics for ap-
proaching companies/opportunities
•VOCustomer™: Full analysis of
selected customers in the segment fo-
cusing on unmet needs and how the
“roll-up” plan could meet those and
future market requirements.

•VOCompetitors™: Status of each competitor as it relates to customer needs; current, unmet and future.

•VOCompany™: After acquisition:
Identification of the new acquisi-
tions strengths, weaknesses and ad-
equacies as revealed by the acquired
company’s leadership, management,
and employees. In-depth analysis of
leadership capabilities
• Strategic M&A Advice & Counsel:
The overarching, obvious benefit
is the depth of understanding prior
to making any long-term commitment
and the ability to implement an acqui-
sition, merger, Joint Venture or part-
nership quickly. CW