Marketing strategies are proposed that allow the redesign of business management processes in the organization and allow greater capacity for adaptation and response to change, seeking, through innovative practices, the transformation of the organizational, commercial, financial, institutional and technological aspects., taking into account globalization, technological advances and the desire of customers to obtain personalized products.
Introduction
The 20th century was characterized by mass production, but the third millennium is characterized by an intensity in new ways of competing due to a global, technological, turbulent environment, generating great uncertainty and causing constant changes, which requires of companies an ability to adapt and respond to change.
This new world generates a large number of opportunities and threats, structured by a new era of digitization, robotization, telecommunication, artificial intelligence, virtual reality and other technological advances, this means that disruptive technologies have proliferated, destroying skills and threatening survival. from countless companies, even those established for decades in the market.
Faced with this unavoidable reality, business innovation is necessary, through the introduction of novel practices in the market, that is, the carrying out of innovations of an organizational, commercial, financial, institutional or technological nature.
This environment causes today's manager to face difficult decisions regarding quality, product characteristics, services to be offered, price, distribution channels and the allocation of resources for both production and marketing.
The increasing complexity derived from the globalization of the markets requires the creation of new organizational capacities: redesigned processes, new skills and different values. This entails a reinvention of the organization that impacts all areas of the organization, skills, problem solving, learning and communication.
Overall objective
Propose a set of marketing strategies that allow the redesign of business management processes to achieve a transformation in the organization and allow greater capacity for adaptation and response to change.
Development
Business innovation is one of the processes that leads to business excellence and is a factor that can affect the company's activity leading to success or failure. In the current competitive and variable environment, the attitude, procedures and capacities necessary to promote changes within the organization are required.
A possible definition of business innovation can be considered as the process of introducing new techniques, procedures and means to create new capacity, with the aim of improving the business result, and it is at the same time a business attitude.
Innovation can hardly be tackled if the current technological and competitive context is not known, for which it is necessary to constantly update the information on the sector and the technological market, through reports from the organization itself, economic reports, specialized magazines and fairs technological.
Participation and involvement in innovation is an important element, since the innovative nature must come from each and every member of the organization, but must be inspired and encouraged by managers.
Another necessary element to be able to develop business innovation is the availability of both economic and material resources, which will allow the development of the activity and consolidate the innovative attitude, since they respond to the motivational and feedback needs of innovative action.
Finally, for the success of the business innovation process, the knowledge that is achieved with the training of human resources through plans, measures and actions adopted by the organization in order to have personnel with a suitable qualification is necessary. to the needs of the company. It also takes into account continuous professional recycling, to avoid the obsolescence of human resources and improve their adaptation to new technologies.
Thus, the variables considered to determine how the business innovation process is developing in the shipping company are the following: Information, Resources, Attitude and Training.
Company analysis
Information:
Poseidón Shipping and Trading Corporation is a Cuban company that is dedicated to shipping.
This company belongs to the Maritime Port Union (UMP), which is in charge of payments for the leasing of ships, also covers the so-called liquidation group, which is responsible for the payment of debts.
Poseidon operates its ships in two different modalities at the moment: regular lines and free navigation (tramp). Regular lines have their itinerary fixed and publicly announced, with frequent and regular departures. Any shipper can dispose of their warehouses without limitation of load regarding minimum quantities. These ships carry goods belonging to various shippers. In this regular line service from Poseidon, general, unitized and bulk cargo is transported from one area to another, although also containerized, touching in each area a number of ports that oscillates between three and four.
The charter in which Poseidon is used at the moment is bareboat (Bareboat charter); It consists of the rental of the ship without crew and in this case the company is the owner and operator because it assumes a large part of the expenses of the owner and operator for the duration of the contract.
This shipping company provides services to national companies, accredited firms in the country, as well as to private international companies, for which the services of its Cardinal line and the Cardinal Freight Forwarder are offered. The latter is a subsidiary of Poseidon.
The main activity is to provide service in the field of maritime transport, transporting and controlling the loads made available to them from the origin to their shipment and delivery to the destination referred by the client.
The Cardianal line has two main lines: a north service, with stops between the following ports: St. Petersburg, Bilbao, Veracruz (eventually Cartagena de Indias and Puerto Cabello) and Havana, and a Mediterranean service with stops between the following ports: Constanza, Genoa, Tarragona, Veracruz and Havana.
The Cardinal Line Freight Forwarding, makes cargo from Europe to any Caribbean port, with transshipment in Havana, Cuba (including customs, transport and delivery services where the client wishes), as well as, from Caribbean ports to Europe, door services- door.
Composition of the workforce:
The workforce is made up mostly of middle technicians from different specialties, including mechanics, electronics, etc., they also have personnel with ninth grade. In the case of the officers, they are graduates of the naval academy. All staff receive training courses on operations at sea, these are run by the Caribbean Maritime Agency (Agemac). 25 crew members are employed per ship, with the exception of the Taino ship that employs 38 crew members.
Technological level:
The Corporation maintains a technology corresponding to the requirements of the International Maritime Organization (IMO); Among the most used ships are the SD-15 types, of these, seven are English ships and one Danish. They are classified as standard ships.
Its main characteristics are the following:
They have a total length (length) of 444.00 meters. With a beam (width) of 30,422 meters, built since 1994, that is, they are ships with more than 20 years, the total load capacity is 65,175 tons, with a draft of 8,867 meters. in summer, this refers to the submerged part of the ship above the water, a gross tonnage of 32,996 tons., as well as, a net tonnage of 24,238 tons., they also have five warehouses, five mac gregors hatches, packages, grains, the total container capacity is 426 TEU; with a speed of 15 knots and a Sulzer 5-RLB machine of Swiss nationality. This type of motor has the following characteristics:
- Automatic warning system, warning lights and alarms Turbocharger added to a studied combustion system, which minimizes fuel consumption, and its exhaust gases are cleaner and there is a reduced level of noise Parallel operation, which is a primary need when it comes to combining powers to meet the most arduous demands.
They also have highly automated naval electronics with:
- Radiotelephone and Radio Telegraph Stations Portable Radiotelephones Automatic Alarm Generators Radio-supported Antennas Directional Receivers Radar Equipment Echosounders Phony
Analysis of the organization's environment
Brief analysis of the macroenvironment:
1. Difficult economic and social situation
The environment is characterized by cyclical economic crises that are reflected in all monetary aspects, employment problems, weak economic growth in a large number of nations, subsidies for mismanagement worldwide and where these aspects and others impact our sector. state that also has some problems generated by the scarcity of resources; all this motivated by harmful situations such as the increase in the cost of raw materials, the absence of state-of-the-art technology, little financing and others; which have generated as a consequence the lack of solvency.
Of course, the imperative today is to increase investment and decrease the deficit where the intuitive power of our socialist entrepreneurs is prevailing where hope is not diminishing and where positive evolution is already being seen in some sectors thanks to the process of corporate restructuring. Therefore, Cuba has no where to defray this deficit due to not having access to external financing sources and absorbs the net profit generated from other sectors in such a way that it seeks to cover the amount of unproductive expenses. For example, in the 1990s financing began to other sectors and 45 MM of dollars generated by the shipping groups were destined to be distributed in medicine and other means of transportation, which were in great need of this investment.
However, these highly human and necessary actions come at a cost because they undermine investment in this sector, which is as needed as others, which is so important and could generate much more than it generates.
2. Difficulties in the port maritime sector.
There are problems generated by the lack of payment from the rest of the companies, which motivates the mistrust of creditors regarding debts. This mistrust is also determined by the debt of the national patrimony; whose countries opt for the legal measure of non-departure of Cuban ships from their ports, this leads to a legal act where a trial is held to release the ship in all this process stay is paid and it is time and money to be misses.
Brief analysis of the microenvironment:
Potential competitors:
The entry of a new company into a Cuban port is determined by the Cuban Ministry of Transportation, this is the only body with sufficient authorization power.
In the international market there may be the appearance of many companies, but in fact there is a potential competitor which are the so-called outside, these are ships that are dedicated to making tramp traffic and on their return to their place of origin they touch any port taking everything type of loads at a price well below the freight market.
Current competitors:
Currently, in the regular lines market there is a strong concurrence in which two aspects are perceived within the lines: the regular lines of shipowners and there are also the regular lines monopolized by shipowners, the latter belongs to highly developed countries, freight rates are set by freight conferences; therefore they move with very flexible and very expensive freight rates.
These conferences are usually very closed not easily admitting new members, which have existed since 1860 and we could define it as associations of groups of various shipping companies that provide a regular line service in a given traffic and whose objectives are: to stabilize freights, limit the concurrence of third parties and avoid the commercial fight between its members, establishing a series of agreements, among which appears the establishment of common freight rates for all of them.
Most of its clients are contracted companies or monopolies with which an agreement already exists in advance, they are very strong with highly valued goods, which are able to pay these high levels of freight for safety, punctuality and regularity of service.
These regular line monopolies move with high technology that is considered first class, brands such as: Foruno who is from communication equipment, Silor, Semco, Robertson Tritech, Sorent Lyngson, from navigation equipment and Marel, which They provide these shipowners with an agile and efficient technical assistance service to demanding clients who, in such a competitive market, only respond and trust those who move with first-class brands, which guarantees peace of mind and reliability.
Competition towards the northern lines of Europe is much stronger, there are huge monopolized companies, and regular line companies, such as: ACL of Australia, American President Line, Atlantic Gulf Service, of the United States, OOCL of Norway, Maersk of Denmark, among others, which often use lower levels of freight than Latin American lines, thus making the market cheaper, since their ships are newly built and their operating costs are lower. Towards the south of Europe there is less competition, this is determined by the low supply of ships compared to the high levels of production and trade in these countries.
There is also a ruthless competition towards Southeast Asia where there is a mega-exploitation carried out by the Pacific tigers, at the head of all these shipping companies is the Evergreen of Taiwan, which operates more than eight regular lines, thus becoming the largest shipping company. The world's powerful, among the factors that drove these New industrialized countries (Nics) carriers, to the development of very modern fleets capable of operating at costs much lower than those of the market, are the massive development of exports from Southeast Asian countries, the large imports made by countries of the Persian Gulf, the availability of very efficient and very cheap eastern crews, the offer of shipyards in the Far East with low construction prices and financial facilities, among others.
Among the operational strategies they currently employ are: the use of larger container ships, estimates of up to 11,000 TEUs (containers), the use of economies of scale obtained by the exploitation of farms and also the manipulation of a favorable tax regime.
As for internal competitors, they are classified: first-line, second-line and other competitors.
- First line: the shipping companies that provide the same service appear, in this case, there is the shipping company Frimar that is mainly used in the transportation of refrigerated cargoes, but also transports general cargo. This shipping company offers its regular services to Asia, mainly assisting the ports of China, Vietnam, Japan and others. Second line: there are the shipping companies that transport other types of cargo, for example, Petrocos for the transportation of tanker ships and the Melfi MarineCorp, which moves with container ships; These ships are very satisfactory in the goods market, since they decrease losses and damage to goods, generate high productivity in loading-unloading operations and replace the use of several general cargo ships by a single container ship.
Tanker ships are dedicated to the transportation of liquid cargo, their freight rates are made by specialized entities such as Worldscale. The tanker market offer is characterized by 40% of these vessels belonging to oil companies, the other 50% belong to shipowners who have leased their tankers to oil companies for the long term and only 10% belong to shipowners who operate freely. in the freight market. For this reason, we could define it as a business highly controlled by the colossal oil consortiums.
Substitute products:
Transportation is influenced by two fundamental factors: transportation costs and the alternatives offered by each medium to the interests of each client.
Among the different modes of transport, the most widely used worldwide are: automotive, shipping, rail and air. Its fundamental qualities are in cost, speed, capacity and frequency.
In the air speed or speed is imposed, but it is much more expensive and has less capacity. The automotive is the most widely used worldwide, has low costs and is used in short and medium distance transportation, and offers a door-to-door service.
Shipping is preferred by many businessmen due to the large volume it transports, its low costs and the long distances it travels. Three quarters of world trade is transported by sea.
Means:
Of the income they receive, 72% belongs to them and the other 28% is for the State »with this 72%, a series of expenses are paid for the ship. There are also the UMP (Unión Marítima Portuaria) »this company is in charge of making payments for capital repairs, parts replacement and ship leasing, but many times it is not in a position to assume this responsibility, which forces Poseidon to self-finance.
This leads them to consider the opinions of their managers, officials and workers in search of moving towards a single direction, therefore they consider the task of adapting their human resources, services and financial structures to another that responds to the reality of the market. competition and profitability.
Attitude:
Motivation and encouragement system for workers:
In Poseidon, the working conditions are good, the apartments are well painted, there is good lighting for departments, they have numerous computers, there are several bathrooms, a kitchen and they have coffee and tea all day, there is air conditioning; and they have a minibus that picks up and takes workers home. Food is adequate.
Regarding job satisfaction factors, these can be acknowledgments to workers, both material, moral and spiritual, achievements of the company where workers feel identified with the final result. And also the needs of self-realization that these can be observed through overcoming the workers.
It can be expressed that in the work group there is an identification, integration, motivation and cohesion of the workforce with the generic framework of the business culture, both for the administration workers and for the crew of the ships. The administration establishes adequate communication and internal explanation in order to make the process known without exclusion, its necessity and inevitability, in such a way that they feel involved and protagonists.
There are established motivations that imply obligations, that is, absolute and globalizing motivations, such as wages and incentives; which are an effective instrument for dedication and the feeling of self-fulfillment when appropriate.
The average salary for navigation workers is 1358.37 pesos, they receive fifteen dollars a day for supplies, food and cleaning; They also have 15 usd a day for up to 90 days, 14.20 usd a day for 91 to 180 days, and 14.40 usd a day for 181 days until they return home. They also receive aid in basic necessities corresponding to a currency value. According to Juan Carlzon in his book "The Moment of Truth", an organization that compensates its employees with genuine job satisfaction and a genuine sense of self-esteem is more honest with itself and with its staff.
At the same time, they bear in mind the use of the indispensable and selective disciplinary mechanisms, always in accordance and respect for the current legislation applicable individually.
In the service areas, a feasibility plan has been established as soon as more economic conditions are available, aimed at intensifying and improving aspects of prevention and occupational health.
Training:
The training of workers is the responsibility of the Caribbean Maritime Agency (Agemac), it is the Company in charge of training personnel for all shipping companies. This company has a crew training school where subjects and training courses are taught.
At this time Agemac adapts to the demands of the International Maritime Organization (IMO). IMO was established in 1958, originally as the Intergovernmental Maritime Consultative Organization (OCMI) and adopted its current name in 1982, it is a specialized agency of the United Nations related to technical issues affecting the maritime world. With more than 130 member states.
It develops a comprehensive structure of international code conventions and recommendations that can be implemented by all member states. Regarding training, the following agreement has been established:
International Convention on Standards of Training, Certification and Watchkeeping for Seafarers, 1978.
This agreement establishes the minimum standards for training, certification of on-board personnel and the minimum requirements for the guard. We are working on its modification due to the negative effect that the human factor and its preparation have had on the maritime industry. Cuba works on the implementation of these amendments to improve the competitiveness and professionalism of seafarers.
The company has also developed, in collaboration with the International Labor Organization (ILO), an international guide document for maritime training in subjects that must be found in the training and certification programs for all officers and subordinates and provide them with the most high level of professionalism. In this sense, important codes and technical manuals have been derived aimed at training technical assistance, as well as the creation of the World Maritime University (UMM).
Agemac is not opposed to this policy and works in the search for greater professionalism of the crew and the Onboard Technicians in order to make way for galloping technological levels and modernization of the ships. The opinion that exists in this regard is that seafarers do not have the adequate level to absolve these modern technologies, therefore a greater effort is required.
It is also worth mentioning the efforts made by Poseidon to develop its managers with specialized courses taught at the Mitrans School of Managers, lasting six months for general managers and four months for economic, commercial and human resources managers in subjects, such as: negotiation, marketing, management, quality and others.
The opinion is that there is clarity about the need and the objectives of the training, which are closely related to the objectives of the individual with those of the department and to the mission of the company. In tune with the structural and functional changes of Cuban companies seeking to re-enter the national and international market with new concepts.
Functional structure
Marketing objectives and strategies
Strategic Objectives of the Director General
1. Improve the information of the steering group for decision making.
Strategies:
- Update and keep updated the information of the corporation Design a financial information system Redesign and implement the operational information system
2. Consolidate and secure the current market
Strategies:
- Increase the efficiency in the use of the fleet Design and implement a monitoring and attention program for clients and intermediaries (brokers) Fully implement the regular service of lines which includes customs brokerage and multimodal
3. Increase market share
Strategies:
- Design and implement a promotion and advertising plan Design and implement a follow-up and customer service program Create new line services Make purchase of new ships
4. Perfect the Human Resources Management system
Strategies:
- Improve occupational health and safety area Improve staff training Improve medical services
5. Increase financial income by 30%
Strategies:
- Decrease operator and operator costs Increase regular line services
Objectives and strategies of the Commercial Director
1. Increase customers in regular north line service.
Strategies:
- Compute service productivity indices, in order to evaluate quality standards. Design new technology-based services Design and implement service information plans and programs Increase the percentage of commissions to brokers in relation to the result
2. Increase customers in the Mediterranean regular line service
Strategies:
- Prepare visits and folding program for intermediaries Redesign and maintain the operational information system Increase the percentage of commissions to brokers in relation to the result
3. Create new regular line services
Strategies:
- Carry out market analysis Select target segments Promote people from the commercial area to attend these new regular line services Prepare the necessary infrastructure for new regular line services (Caribbean and Canada services)
4. Design and implement a follow-up and customer service program
Strategies:
- Update and keep customer information updated Develop information plans geared towards business marketing and Services
5. Reorganize the sales area according to the general Organization plan.
Strategies:
- Establish communication channels and procedures Maintain updated client information Maintain operational information system Design and implement service information plans and programs
Objectives and strategies of the Head of Market Research
1. Design a customer-oriented information management system.
Strategies:
- Create a marketing information system Implement a customer service reporting system
2. Carry out market research activities
Strategies:
- Carry out market price studies Carry out services studies Investigate forms of competition such as the presence of outsiders
3. Improve cooperation with universities and Innovation centers
Strategy
- Establish coordination with the Higher Education and Innovation Centers
Objectives and strategies of the Head of Service Promotion
1. Make better use of communication channels
Strategies:
- Expand the use of the internet as a means of communication. Make communication through the mass media (radio, television, newspapers, magazines, posters). Participate in the Havana International Fair; as well as in other countries fair. Identify companies with influence and dedicate time and effort to them
2. Create a brand image
Strategies:
- Modify the attitudes of workers and brokers towards clients Improve the quality of service Implement the hallmark of the corporation Make publications
Objectives and strategies of the Head of Public Relations
1. Develop an awareness of the organization's mission both within the organization and abroad.
Strategies:
- Give conferences on the theme of strategic direction for all the staff of the organization. Hold talks on issues associated with the maritime sector. Continue with the policy of creating values and beliefs for both ship staff and administrative staff.
2. Develop credibility towards the services of the corporation.
Strategies:
- Establish a program of visits to brokers abroad Establish a program of visits to national clients
3. Establish a reward plan according to the result, both for workers in the commercial area and for intermediaries.
Strategies
- Apply a stimulation plan to the personnel of the commercial and ship area based on the result. Increase the commercial margin for Cuban intermediaries (Agemax) who are abroad according to the result.
Conclusions
Poseidon is in the growth phase in the market and, since its appearance in 1994 to date, has achieved high levels of benefits compared to the rest of the Cuban shipping companies.
At the moment there is the interest raised by higher organizations to lead the shipping activity to be highly profitable, knowing that they must take into account three fundamental aspects: the business structure, the aptitude of ships to the market and the market situation.
The problems of the environment and others that are not within the scope of their possibilities are those that affect them the most, there is evidence of a lack of operational and financial autonomy and this is related to the reinvestment and expansion facilities of this company. We must bear in mind that subsidies distort competition.
In this 21st century, technological advances and globalization lead us to think differently. Customers want personalized products. This leads us to a rethinking of the integration structure of the company's processes, where technology, logistics, information and connectivity play a fundamental role.
Therefore, the research shows that any business innovation process must be shaped by studies of the environment, since if you only look inward, you run the risk of losing competitive advantages.
Another necessary element in innovation is the existence of cooperation networks such as brokers, innovation centers and universities for this company to solve technical problems of the innovative process and ensure access to highly qualified personnel.
A vital source of innovation is found in human resources, since an adequate training and incentive policy must be applied, which stimulates creativity and creates an innovative atmosphere.
Finally, in such a competitive market, resources are necessary, due to the importance of reinvestment in processes and in research and development.
Bibliography
- Carlzon, J. Moments of Truth, Ballinger, Cambridge, Mass., 1987. Drucker, FP «The five most important questions you should ask yourself about your non-profit organization. Participant's Manual », Editora Granica SA, Argentina (1995).Faria de, Mello, FA,“ Organizational Development. Integral approach ”, Editorial Limusa México (1996).Pavón Julían (1996)“ The environment of the company ”Conference, Polytechnic University of Madrid.P. Kotler and PN Bloom, Marketing Professional Services, Prentice Hall, Englewood Cliffs, 1984.P. Kotler and KFA Fox, Strategic Marketing for Educational Institutions, Prentice Hall, Englewood Cliffs, 1985.P. Kotler,, «Marketing Management», Editora Diana, México (1975). Schein, EH (1985), «Entrepreneurial Culture and Leadership», Book reproduced by MES.Steiner, GA(1996) “Strategic planning. What every manager should know ”Editorial CECSA, México.
Summary
In this 21st century, technological advances and globalization lead us to think differently. Customers want personalized products. This leads us to a rethinking of the company's processes, where the organizational, commercial, financial, institutional and technological aspects must be transformed through innovative practices. The objective of the work is the approach of a set of marketing strategies that allow the redesign of the commercial management processes to achieve a transformation in the organization and allow greater adaptability and response to change.
KEY WORDS: Business innovation, strategies, marketing, shipping companies
