Working Together

Written by Nigel Adams

Created on Sunday, 22 May 2011 21:24

It is quite noticeable during my travels around the UK that machine control usage is on the increase. It is nowhere near the levels of adoption that we would like to see, but if you look carefully at construction sites (mostly road construction) you can see the tell tale signs of laser and GPS masts fitted to dozers and the occasional excavator. We are certainly working very hard in the UK to promote machine control across a wide range of applications, but do still come across the resistance to technology and delays in implementation that I am sure everyone involved in selling this stuff is all too familiar with. We all have our own ways of promoting our products and introducing them to customers through marketing campaigns, customer/site visits, demonstrations, exhibitions etc , but what else can be done ?

One way is to work closely with other companies either through distribution, alliances, strategic partnerships etc. It was the announcement of the Navcom Technology Inc. strategic partnership with Ocala Instruments & Research that got me taking such a line of thought for this article. I (and my business partner Gary Escott) are all too familiar with adopting this type of co-operation (having successfully arranged a number of strategic partnerships for our previous employer) and are great advocates in working strategically with other companies, even if they offer similar products to ours. Why would you want to do this ? why not keep all of the business to yourself (and make more profit) ?  This narrow minded response is quite familiar from those who do not have the ability to see the wider picture and are unable to put their egos to one side.  A common sense and objective approach to co-operation is all that is needed (or co-opetition as a certain MCO editor calls it !)

If you look at the Navcom / Ocala announcement then it makes obvious sense, one manufactures precision GPS, the other machine control and together they can provide a complete working product solution that will extend both their market areas that would not have been possible if they had kept to themselves. There is no conflict of product interest as they both offer very different product lines and this sort of partnership can offer a quick route to market for both parties and be very successful – just look at how well Carlson have handled their affairs in this business area.

It becomes more complicated if the company with whom you are partnering offers some product that may be competitively similar. However, this is where a grown up, eyes wide open approach is required. Each company’s similar product offering will have its strengths and weaknesses and it is possible to agree a formula that allows each company to offer the others product depending upon the customer requirement. You may end up having to sell something that isn’t “yours”, but you still have the business, the sale and more importantly a customer that you would not have had if the partnership did not exist.

 For those not working in the Uk then you may not be aware at just how much of a hammering the UK economy has taken over the past 2 years. Whilst this is now slowly improving the government has put in place a wide range of economic measures to help balance the books and these are going to hit some parts of the construction industry quite hard. The economic downturn has caused the cancellation of the major UK construction show this year - known as SED. Having attended this show since its inception many years ago I am sorry to see it go and as you can understand this has left a lot of people with product to show and nowhere to go. There is a replacement show on the horizon – PlantWorx – but this will not be until 2013. Having spoken to many people about the lack of any UK exhibition  it is clear that there is a desire to see the latest technologies on offer and disappointment that this is not possible this year.

To combat the dearth of opportunities to demonstrate latest technologies and products, what we at OnGrade have done is to form a strategic alliance with 3 other companies (getting back to the subject !). The companies within this alliance are :

·       GKD Technik       http://www.gkdtechnik.com/

·       MOBA UK               http://www.moba.de/en.html

·       Halomec               http://www.halomec.com/

·       OnGrade               http://www.ongrade.com/   and   http://www.proximitywarning.com/

and we are known collectively as CETA (Construction Equipment Technology Alliance)

Each of us has our own field of expertise and own product offerings. Whilst we are individually strong, having this alliance gives us many benefits :

·       Promotion of our technologies during two open days in June

·       The sharing of resources, marketing / promotional materials and expertise

·       Access to a wide database

·       Can offer each other’s products to customers  - increase potential customer base overnight !

·       Expertise in each of our fields

·       Platform to make new product announcements and introductions

Whilst there are other companies who may offer a similar product range to that of CETA, what we can do is offer the undiluted expertise and support that is not possible when you are spread too thinly. We think it is an excellent way to go and are looking forward to seeing how this grows over the coming years and to see how this model of cooperation is received. We are certainly far greater than the sum of the parts.

For more information (and to sign up for the CETA open days) have a look at :

http://www.cetauk.org/