Withstanding the economic storm
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Navigating the economic storm: As the coatings industry prepares for a severe economic downturn, how will the market cope? By Sean Milmo, European Correspondent. Coatings companies and their raw material suppliers in Europe are taking precautions in anticipation of a sharp economic decline, with some already announcing cost-cutting measures, including job reductions. At the same time, they are seeking ways to take advantage of what could be a year-long recession in Europe’s key economic countries by continuing to invest in expanding into new markets and adopting new technologies. “The world economy has clearly entered a phase of slower growth, especially in the mature markets,” said Hans Wijers, CEO of AkzoNobel. “In such challenging conditions, only efficient companies can succeed. That’s why we have launched a thorough effort to further reduce our costs.” The company aims to cut at least 3,600 jobs following its acquisition of ICI last year, in addition to achieving further cost savings
How to understand lean companies?
Lean companies should refer to lean manufacturing (production) companies, that is, companies that employ lean manufacturing processes for high-quality production. Seiki production originated from Toyota in Japan; it involves changes in aspects such as the system structure, personnel organization, operating methods, and market supply and demand, so that the production system can quickly adapt to the constantly changing needs of customers. It also helps to eliminate everything unnecessary and redundant in the production process, ultimately achieving the best results in all aspects of production, including market supply and demand.
I saw that the context discussed layoffs, and my first reaction was that it referred to a \"slimmer\" company, that is, a company that has streamlined its structure; therefore, layoffs are necessary as a main means of reducing costs. I’ve also indeed seen some expressions that convey the meaning of \"frugality,\" so saying \"frugal companies\" seems reasonable as well: lol Niuky seems to have a deeper understanding of this concept. I came across an article discussing precision in production under the title \"Why Lean Companies Stay Fat.\" Those who are interested can take a look at it here: http://www.avanadeadvisor.com/campaign/ax/doc/Why%20Lean%20Companies%20Stay%20Fat.pdf