How to restore margin for a belgian coffin company

1. Funico International
Mind mapping *
Kristoff De Laeter for Bart Decuypere
Sept. 2015
* Preliminary work, under construction, not to be used
for business decisions!!!

2. Questions
 Organigram?
 Hoe is de functie vrijgekomen?
 Belangrijkste actuele problemen?
 Belangrijkste uitdagingen 5 j?
 Visie
 Missie
 Verbeterpunten voorganger?
 Sterk geapprecieerde punten voorganger?
 Innovatie en strategische groeiplannen?

3. Situation analyses
 Up to 220 different coffins
 Up to 800 references
 Sales: 65.000 BE or 65% of market
 Sales: +- 20.000 export
 4 acquisitions (Vdb-Polidys-CdN-?)
 Intention to growth in FR-NL-?ENG
 Fragmented markets
 Biggest players each 150.000 or 5% of market

4. Situation analyses
 Margin erosion due to:
 Mdf and/other raw materials
 Pricing VL vs WAL (800 vs 1100)
 Increasing number of crematoriums
 Decreasing sales of accessories
 NL margins lower than BE
 Consumer trends, priorities and budget
 Globalizations
 Digitization

5. Main drivers for margin generation
 Innovation
 Economies of scale
 Productivity
 Fiscal optimisation

6. Authorisation for disruption
 Service omdat de verschillende ondernemingen de klant snel en
persoonlijk kunnen bedienen. Kwaliteit omdat dit een aspect is dat door
prijsdruk in de sector nogal eens uit het oog wordt verloren. De
uitvaartsector in het algemeen is voortdurend in beweging.
 Funico International heeft de ambitie om
daarin een vooraanstaande rol te spelen
 Check off: yes – no (not yet)

7. Innovate the complete product: disrupt
Innovation
core
relationship
product
service
quality
accessories
easy to do business with education
online orderonline SAV
strengthen relationship
in store activities
personalization fits new trends
coffin configurator

8. What business are we in?
Today
We help a mortician to buryWe help a mortician to bury
someone!someone!
Tomorrow
We soften the grief of ourWe soften the grief of our
fellowman?fellowman?

9. Focus on segmentation and
management of the customer life cycle
Volumes
segmentation
Retention
Acquisition
Hainaut
Loyalty
geographical/crematoriums/20-80 rule/partnerships
key churn drivers education
NL + FR + ENG + GERWallonia
easy to do business with
databaseWin back
customers vs prospects
consistent offer
take over
customer base segmentation offer & service levels
remuneration in out

10. Limited market potential?
Load upfront and close backdoorLoad upfront and close backdoor
Restore Belgium position andRestore Belgium position and
expandexpand

11. Review concepts-processes-people
Productivity
logistics (f.e. Ikea)
product mix
raw materials
automation
product concept
offshore
high performing teams
accessories
sales channelsstocks

12. An end to automation?
Expand the automation to the completeExpand the automation to the complete
supply chainsupply chain
Manage all productivity driversManage all productivity drivers

13. Use legal framework to support growth
Fiscal optimization nearshore
HQ
offshore

14. Complex?
In the land of the blind captain oneIn the land of the blind captain one
eye is kingeye is king

15. Wrap up
 Feedback:Feedback:
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 Questions:Questions:
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 Validation areas:Validation areas:
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 Next steps:Next steps:
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 Next meetingdate:Next meetingdate:
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21. The new normal!?
The network always wins.The network always wins.
You need a network to fight theYou need a network to fight the
network.network.
Peter HinssenPeter Hinssen