Innovation in Gurit Case Study Example | Topics and Well Written Essays - 2750 words

Innovation in Gurit - Case Study Example Gurit, the company is one of the leading contenders in the composite materials and solutions industry. The customer base of the company is spread all over the world. The company has three decades history of providing innovative composite materials, engineering solutions and technical support to its customers all over the world. The potential target market of the company is in the sectors of Wind Energy, Transportation, Marine and selected other application areas. The company has cutting edge over other competitors of manufacturing tailored materials according to the unique requirements of customers. These composite materials are manufactured by pre-impregnating the composite materials also known as "prepregs". Important components of composite material solutions include structural foam products, formulated resins, adhesives and gel coats. The company has continued research in order to manufacture materials having unique characteristics of minimal weight, maximal stability and stiffness combining with unlimited suitable design properties catering the needs of today's modern construction and interior decoration. "The Company has production sites in Switzerland, Germany, Spain and the United Kingdom in Europe, large facilities in Canada and China as well as the support of engineering, sales and service subsidiaries in the United States of America, India, Australia and New Zealand, Gurit is excellently positioned to serve a truly global customer base" (Gurit, 2007). The Company is listed in SIX Swiss Stick exchange and have it s headquarter in Zrich/Switzerland. Market position of Gurit: Market share is a good indicator of economic growth as compare to the financial analysis and raw sales data. The business model adopted by Gurit helped the organisation in increasing the yields in 2008 by improving the cash flows and increasing the returns on capital. According to the figures presented by the Gurit management the following trends were observed: "Target market sales up 6.7% in reported CHF; up 17.8% at constant December 2008 currency translation rates; Group sales including divestment effects up 1.6% to CHF 456.2 million Operational EBIT up from CHF -4.1 million to CHF 23.9 million Net income up from CHF 1 million to CHF 17 million Net Cash flow from operations at CHF 31.1 million CHF 1.7 million net cash 2008 vs CHF 45.7 million net debt 2007 Net working capital ratio reduced from 19.6% to 14.1% Flexible staff adjustments to volatile markets in Q2, 2009" (Figures taken from http://www.gurit.com/news.aspitemid=1277&itemTitle=Financial+year+2008+earnings§ion=000100010029§ionTitle=Market+News+items+from+around+Gurit) Full year 2008 results: The company reported an increase in net sales by 1.6% or CHF 456.2 million for the year 2008. The growth of 6.7% was also reported in