Netafim: Migrating from Products to Solutions

Netafim: Migrating from Products to Solutions

By
Hau Lee, Guy Michlin
2006|Case No.GS46

In 2005, Erez Meltzer, the president and CEO of Netafim (the world leading manufacturer of drip irrigation equipment), was wondering whether Netafim’s supply chain was strong enough to support the change in strategy he was planning for the company: migrating from selling products to selling solutions. When Meltzer stepped into office three years earlier, the company was struggling with flat sales, an out-of-date supply chain, and no global synergies. In just three years, Meltzer turned around the company, restructured its supply chain, and reinvigorated its growth. The question was whether the newly restructured supply chain would support the new strategy„ -a strategy that would require new supply chain-related competencies from the organization.

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