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Strategic Planning
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During fiscal
1999, we spent a great deal of time formulating
our strategic plan. It helped us to answer key
questions, such as (1) who are we now, (2) what
are our goals for the future, (3) how will we
achieve those goals? We contracted with an
outside marketing firm to gather in-depth market
information and interview our employees, our
existing customers and those that should be our
customers. We learned a great deal about our-selves;
some of it was nice to hear and some was
not so pleasant. But we learned from all of it and
came away from the process a much stronger and
more focused company. Based on this information,
we have shifted our emphasis to a market-driven
approach rather than a product-driven approach.
We also created six initiative teams to develop
goals and action items in the following areas:
customer and channel profitability, costing/cost
reduction, product development, information
technology, corporate communication and
corporate development.
These initiative teams have integrated more people
into the improvement and planning process,
tapping a wealth of ideas. We have already seen
benefits. For example, the Costing/Cost
Reduction team has identified and is implementing
initiatives which could potentially result in
$3 million of pre-tax savings.
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Conclusion
Although, in some aspects, this has been a year of unrealized expectations for Knape & Vogt, we've learned valuable lessons and made great strides toward improving the core elements of our business. One lesson that has served us well, and is at the foundation of all of our improvements, is placing a higher value on strong, honest communication. I'm talking about communication from shift to shift and between all employee levels. And, even more importantly, communication with our customers-more face-to- face meetings, listening and responding to their needs with prompt feedback, offering the products they want through improved product development and providing better order status information. I'm also talking about opening our minds and being willing to look at things in a different way, challenging ourselves to embrace new ideas and change. I'm looking forward to the coming year. Knape & Vogt is positioned to react quickly to facilitate change and to use this as a competitive advantage. My goal is to stay focused, to use communication as a competitive tool and to be responsive to an ever-changing marketplace.
Sincerely, |
Herbert F. Knape, President
of Knape Industries, Inc.,
retired in April 1999 from
the Knape & Vogt Board of
Directors after serving as a
Director for 30 years. Prior
to his service on the Board,
while still employed by the
Company, Herb obtained
three patents on products
which are still sold today.
Although we'll miss your
presence on the Board of
Directors, we appreciate
your wish to spend more
time with your wife of over
50 years, Glenna, and your
16 grandchildren. We thank
you for your years of
leadership and dedication.
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