2. Vision Statement
We will build a world-class, results-oriented, diverse culture based on
our six key values, through which we will grow more rapidly than our
competitors by providing our customers and consumers with
solutions to capture, store, process, output, recognize and celebrate
achievement and communicate their images to people and machines
anywhere, anyplace, and anytime.
We will derive our competitive advantage by offering our customers
and consumers differentiated, cost-effective solutions they want,
when they want, and with flawless quality in our consumables,
hardware, systems, and services.
In this way, we will achieve our fundamental objective of Total
Customer Satisfaction and our consequent goals of Increased Global
Market
3. SWOT Analysis
• Strengths
– Entry Level Models and P/Q Rating
• Weakness
– Warranty Periods
• Opportunities
– Adding Additional Markets
– Enhance Multi-Feature Models
• Threats
– Labor Markets
– Number of Competitors
4. CALYPSO CAM
Entry Level Strategy
Entry level sales focused on mid range PQR with minimal price
increases year after year.
Every 2 years we rotated a cycle between upgrading a component
or feature.
Tech support budgets would increase as components were
upgraded, usually by 5 percent.
6. CALYPSO CAM
Multi Level Strategy
Multi featured cameras focused on maintain a good PQR with a low
cost of production.
Component upgrades, R/D, and tech support were maintained only
enough to keep a 3.5 or higher PQR.
8. CALYPSO CAM
Production Strategy
Production strategy was simply to make full use of all retailers,
and match orders to assembly.
Units were always produced in house first, then with overtime,
then outsourced.
Only third quarter demand ever saw the need for outsourcing.
No new workstations were considered because of minimal need
outside quarter 3 production.
Benefits were increased one “step” in each area as long as
profits were over 20% from previous year.
9. CALYPSO CAM
Production Strategy
Per camera bonuses typically saw the most increases.
Training was improved around year 9, but not altered much
after.
Credit rating was always important, and loans were always paid
off yearly as money was available.
Community image was also very important, and we achieved 3
Gold Star awards for our efforts there.
10. Performance Targets
Next Two Years
• Earnings Per Share (EPS)
– Increase of 25% per year
• Return on Equity (ROE)
– Increase of 5% per year
• Credit Rating
– Maintain A+ credit rating
• Image Rating
– Maintain Image Rating of 98 or higher
17. Lessons Learned
Our Company took some early hits because oversights
of the team. So, that cause us to lose ground the first
year without realizing this impact.
We found that every change must be analyzed across all areas to
ensure consistency throughout.
It was evident that keen review was vital, i.e. If a change in area A is
made, check B and C to ensure the intended effect is realized or
otherwise controlled.
Staying consistent is very important. Don’t sacrifice EPS for net profit
either.
Shares will become abandoned if you don’t show at least a small
return year after year.
Notas del editor
Man4900 Capstone Supervision and ManagementCalypso Cams GLO-BUS presentation by Aaron Rouse, Mike Natale, Jan Levius and Katherine Cosby
Additional Strengths:Online RetailersStrong sales in online retailers decrease carrying cost of chain store retail distribution channelsLocal Camera ShopsCustomers are receiving better and more personalized service than large chain retailersAdvertising BudgetEnables us to focus on more targeted marketing to build brand loyalty and brand awarenessAdditional WeaknessMulti-Feature ModelsOpportunitiesWe are currently looking at expanding to additional marketing areas based on industry research. Our goal is to enter markets with less competition and large labor markets, which will enable us to proactively manage our current threats.
Entry level sales focused on mid range PQR with minimal price increases year after year. Every 2 years we rotated a cycle between upgrading a component or feature. I ensured no upgrade could allow us to net profit lower than the year before. On alternate years, wetried to increase R/D to ensure PQR ratings stayed at least 3 stars. Tech support budgets would increase as components were upgraded, usually by 5 percent. Marketing budgets decreased in regions where a normal 20% increase would begin to show a result lower on the return curve, typically when over 1,400,000 in any region. Entry level cameras were relied on to be the money maker, while trying to maintain a neutral market (not expensive, not fancy, but not cheap or low quality either).
This was a universal strategy on all regions. Marketing for entry level cameras was simply a significant Push strategy that focused most yearly expenditures on a 25-30% increase in marketing budgets year after year for all regions. Expected results would be at least a 10% increase in the number of retail shops available, while increasing demand by a minimum of 15%.
Multi featured cameras focused on maintain a good PQR with a cost of production low enough so that minor increases in retail sales would net very positive results in our final statements. Component upgrades, R/D, and tech support were maintained only enough to keep a 3.5 or higher PQR.
Marketing budgets were padded heavily to push in markets where market share was weak.
Production strategy was simply to make full use of all retailers, and match orders to assembly. Units were always produced in house first, then with overtime, then outsourced. Only third quarter demand ever saw the need for outsourcing. No new workstations were considered because of minimal need outside quarter 3 production. Benefits were increased one “step” in each area as long as profits were over 20% from previous year.
Per camera bonuses typically saw the most increases. Training was improved around year 9, but not altered much after. Credit rating was always important, and loans were always paid off yearly as money was available. Community image was also very important, and we achieved 3 Gold Star awards for our efforts there.
EPS:We believe that a 25% increase in EPS per year is realistic given current market conditions, future market outlooks, and our company’s current financial strength. This increase will continue to meet and exceed investors expectations while still allowing profitable growth for Calypso Cameras. ROE:Increasing ROE by 5% per year will enable Calypso Cameras to generate the revenue needed to invest in R&D and provide the products demanded by our customers. This increase will also allow for growth into new market areas. Credit Rating:Due to our strong financial standing, we are able to obtain and maintain an A+ credit rating. We do not foresee any major undertaking in the next two years that would potentially impact our ability to maintain our current credit rating. Image Rating:It is our intent to maintain an image rating of 98 or higher in the next three years. While our goal is to maintain our current 100 rating, we understand that new product development may impact our image rating slightly.
Calypso Cam company took a hit early on because of a couple of mistakes in realizing that certain changes would increase the number of retailers available. It didn’t take long to lose ground the first few years without realizing this impact.Every change must be analyzed across all areas to ensure consistency throughout. If a change in area A is made, check B and C to ensure the intended effect is realized or otherwise. Staying consistent is very important. Don’t sacrifice EPS for net profit either. Shares will become abandoned if you don’t show at least a small return year after year.
