Farmers Industries Ltd has redesigned its business in preparation for tackling a highly competitive international market.
Winning the 2008 Sustainable Business of the Year Award for the
Bay of Plenty region is public recognition of Farmers Industries
Ltd (FIL)'s huge two year journey to redesign itself.
As New Zealand's premier manufacturer and supplier of dairy
hygiene and animal health products, FIL has overhauled its
direction, focusing on sustainability and embracing design-led
thinking in preparation for tackling an increasingly competitive
international market.
Mt Maunganui-based FIL now has ambitious targets for growth,
aiming to take total sales to $30 million in five years. The
company is also aiming to grow international sales from the current
position of $1.5 million to one third of that overall total.
The journey began in earnest in 2006. The
company had already decided to put sustainable policies at the
centre of its business, and had begun involving staff in planning
an eco-designed head office and production plant. That year, the
company also decided to participate in 360 Design with audit team
members from Designworks and Price Waterhouse Coopers. FIL has been
in the agricultural chemical industry for more than 30 years so was
familiar with regular safety and manufacturing practice audits.
However this was the first time it had been scrutinized by business
design experts. The independent evaluation was welcome, says
marketing & communications manager, Kate Seaford.
The 360 Design Assessment produced an eight point action plan.
The first three key areas for improvement: the company lacked a
core, long-term vision; the brand identity was dated and
inconsistently represented on products; and special focus was
needed to actively grow FIL's international markets.
"The 360 Design assessment clarified and identified the areas we
need to improve before committing further resources to our export
business," says Seaford.
Long-term vision and brand strategy were solved first, with
assistance from Brian Richards' design company BRR Limited. FIL
worked closely with the designers and involved the whole management
team in the re-branding process.
"The management team was totally committed to the changes and
has thoroughly enjoyed watching their brand evolve," says
Seaford.
BRR produced an overall strategy and positioning for all
activity involving the brand. The project included a mammoth review
of FIL's vast array of packaging. The company markets over 40
products domestically in the categories of hygiene, animal health,
markers and nutrition.
"We have achieved much better stand-out for the brand and
consistency across the product range," says Seaford. "Previously
our packaging featured multiple colours and styles, including
sub-brands. There was no consistent look and feel to FIL. Now that
our proprietary packaging is updated, customers will know they are
buying FIL."
In November 2007 FIL opened its new head office, which is
considered the country's most eco-effective industrial building.
Its features include rainwater storage with water stored in two
30,000 litre tanks and treated for process use. Heat recovery
systems in the building include solar heating and process heat
recovery with further heat requirements met using a boiler burning
recovered waste car oil. Natural light is optimised throughout the
building with louver systems to maximise light and reduce heat over
summer. Overall, the building uses 80% less energy than traditional
buildings of its size.
With almost all of the basics in place - vision, brand strategy
and identity - the company has a robust foundation on which to face
the next challenge - international growth. In 2008 it has been
focusing on dedicated sales and marketing plans to grow its export
markets in Australia, US and Europe.
Seaford says that by completing the Design 360 process, "we were
able to lay the foundation stones to achieving our longer term
objectives for domestic and international growth."
"And that journey has only just begun under the direction of our
new general manager Warwick Dowse."
FIL's recent supreme regional award in the annual Sustainable
Business Network's awards has publicly recognized the company's
hard work and commitment so far to strengthening its future, says
company director Arthur Jordan.
He says judges were impressed not only by the head office's
eco-features, but FIL's ongoing commitment to R & D and
communication and education with its supply chain and
customers.
"It is difficult for a chemical company to win an award like
this. We have worked very hard to produce products that are
sustainable and environmentally compatible, using processes that
minimise energy and waste," he says.
"Attention to how we designed our new building has been central
to our sustainable goals, and the award confirms we are on the
right track."