Polymer Systems International Limited (PSI) Analysis

Polymer Systems International Limited (PSI) is the manufacturer and developer of DairyFlo innovative dairy systems. PSI have been designing and moulding plastic parts for over 22 years and involved with soft plastics including the manufacturing of soft plastic calf since 1995.

Innovation of the Company

INTRODUCTION:

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Describe the industry in which your case study organization belongs.

The manufacturing industry process goods from ram materials like (plastic, rubber and iron etc…).And it supplies to the local and international markets, and some specialist niche markets. Manufacturing statistics include production statistics about a range of manufactured goods. Also available are details about economic indicators about manufacturing, including income, expenditure, and balance sheets.

You must evaluate the external environment of the case study organisation and analyse its impact on the organisation using basic analysis frameworks

• POLITICAL:   

New Zealand has ranked fifth place in the world for political stability in the word competitiveness in the. Political risk analysis of New Zealand general New Zealand open economy is known for being one of the world most free market capitalist economies. The country has a relatively high standard pf living with GDP per capita of US$30,234 in 2008, comparable to southern Europe, e.g. Spain US$33,385 .

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• ECONOMIC:

New Zealand’s positive growth story continues – GDP figures this week show the economy growing solidly. Even more positive is the role that manufacturing is playing in our good news story.The latest economic survey of manufacturing shows very strong growth. Manufacturing for the construction sector grew 9.5 per cent and meat and dairy product manufacturing grew by 8.6 per cent over the latest quarter. These are outstanding results, and are obviously part of the driver for current GDP growth. Manufacturing is having a huge impact on how well the New Zealand economy fares.

Yet manufacturing is an unsung hero, its importance is not widely recognised. This is despite the fact that it employs quarter of a million New Zealanders, contributes $12 billion in wages, and earns billions in export revenue every year.

I believe there are a lot of misconceptions about manufacturing, and four myths in particular that mean manufacturing doesn’t earn the credit it deserves ( Manufacturing and production, n.d.).

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• SOCIAL

One of the external factors that affect the manufacturing in New Zealand is social. This can cover the social cost and benefits, the lifestyle of the farmers. In other words, this factor is more on the weakness of your own farmers. Make sure that if you plan to open and manufacture products that should be according to the demands of your farmer’s needs. This way, you can get a more chance to earn even higher income than what you expect. You can conduct a survey regarding the possible needs of your customers in relation to social factors. This helps a lot in overcoming the effects of this factor (treasury nz, n.d.).

• TECHNOLOGICAL:

In terms of technology mostly people are using the online purchase, selling and online payments and Technology plays a vital role in the decisions and options of customers. This is especially applicable for businesses manufacturing devices and other technological products. Once there are new products produced in the market, people will go crazy to purchase these products. So if you are in manufacturing business, make sure to continuously innovate or enhance your own products to live up to the expectations to the farmers.

• ENVIRONMENTAL:

 New Zealand holds an enviable position worldwide similar to a ‘perfect, green’ nation. This position is utilized to its full extent by many businesses and the government to promote New Zealand products and services. While New Zealand depends intensely on its environmental position, earlier reviews demonstrate that the environmental execution of New Zealand organizations is, in the most part, inadequate. Moreover, there is little data on the environmental conduct of New Zealand Small and Medium-Sized Enterprises (SMEs) or the assembling area. The assembling division is of extensive enthusiasm for deciding the ecological practices of SMEs because of its nearby association with vitality utilize and contamination. The exploration accumulated an assortment of subjective and quantitative information by method for an email study sent to New Zealand manufacturers.

• LEGAL:

Last year, its revenue was up 11 percent to $199.7 million from 2014 ($180.1 million). EBITA was up four percent on 2014 to $13.4 milllion. In 2013, its revenue was $164.1 million.

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Net profit after tax was up 0.1 percent on 2014 to $80.2 million (with underlying NPAT up three percent to $81.8m).

“We’ve been improving our products, making investments and strengthening our teams. Our efforts are starting to deliver returns, and we’re confident about the opportunities in front of us,” he said.

The request has revealed the IRD is using its old powers in new ways. It has previously collected information about taxpayers, but now seeks vast troves of data held by commercial organisations to search for those who haven’t paid their taxes.

Based on this analyses you must identify opportunities for innovation in the organisation

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STRENGTHS

• skilled workforce
• monetary assistance provided
• high growth rate
• existing distribution and sales networks
• barriers of market entry

WEAKNESSES:

• less products
• there only focusing on milkers

OPPORTUNITIES:

• venture capital
• income level is at a constant increase
• growing demand

THREATS:

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• government regulations
• tax changes
• increase in labour costs
• growing competition and lower profitability
• technological problems
• cash flow
• increasing costs
• exchange rates

Choosing one innovation, you must justify its value to the organisation and recommend strategies that will be needed to implement the innovation

CHOOSE ONE INNOVATION AND JUSTIFY ITS VALUE TO THE ORGANIZATION

RECOMMENDATION:

In the market still using may other plastic materials, the company should have to focus and have make some changes by using rubber.

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CONCLUSION AND RECOMMENDATION:

The main thing is to be courageous. When a movement of advertising server considered discard widely of everything that you currently have the implementation of the new system and to reshape. Things are changing too fast for you using the same approach to stay and you cannot go forward quickly based on an existing system. This was one of our programming. SAS has not been the same way that our previous supplier intended to work if we realized that we could not try to operate in this way. It should open the way SAS will be implemented designed and that we know that learning achieved and made the settings, the comments of the sales team is very positive.

Strategic Analysis provides a comprehensive insight into the company’s history, corporate strategy, business and financial structure, management and operations. The report contains a detailed SWOT analysis, information on the company’s products and services, key competitors, as well as detailed financial information.

A financial and strategic SWOT (strengths, weaknesses, opportunities and threats) Analysis provides a comprehensive insight into the company’s history, corporate strategy, financial data, business structure, business divisions and key operations. Each report contains a detailed SWOT analysis with additional information on the key competitors, market structure, major products, brands and services, as well as detailed financial data for the last 5 years.

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REFERENCES      

Manufacturing and production. (n.d.). Retrieved from Statistics NZ: http://www.stats.govt.nz/browse_for_stats/industry_sectors/manufacturing_and_production.aspx

treasury nz. (n.d.). Retrieved from extrenal factors : http://www.treasury.govt.nz/government/longterm/externalpanel/pdfs/ltfep-s1-05.pd

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