Christophe Lejeune, previously General Manager of Parex Davco and the new General Manager of Sika Philippines, reveals how customers are excited about the extended product range.
What are the biggest integration milestones that Sika Philippines has achieved so far?
A top priority during the integration process was how to manage the integration of the people within both organizations in the best way possible. The companies had good teams and one of the challenges was to define the best structure in which both of them would complement each other and build on each other’s strengths to better serve the market and our customers. A positive point was that the cultures were similar, and this helped during the integration process.
When looking at our respective customers, we could see that two business models were being used: a distribution model and a direct sales model. We are now developing each of the models based on the market behavior, concentrating on the one that allows us to continue serving existing customers while developing new ones.
With regards to our product range offering, both companies were serving different segments with only a few competing products, and every brand had a good position in each Target Market. A branding exercise was conducted under the lead of Corporate and with the support of the regional team, and we were able to come up with a solid mapping of each Target Market in order to develop the best positioning for each brand. This allowed us to offer a broader range of products across the segments and we achieved a wider position in comparison to the competition.
In terms of operations, we are now operating two different sites in different locations and they are now fully integrated to serve the customers more efficiently, with each site focusing on an identified product range.
Where do you see the most significant benefits of the integration for Davco employees?
Firstly, I must say that the integration was conducted very professionally and Davco employees were impressed with the quality of work and the spirit of collaboration they experienced during the process.
We can see an organization with an improved structure and well-defined roles. Policies are better defined, which provides improved guidelines and clarity to everybody’s activities.
Sika has developed a number of great tools such as SikaWorld, which gives access to global technical expertise and to a wealth of information. The best practice of each Target Market and technologies are shared across all functions. Training modules are available to cater to the needs of each employee.
Both companies have a solid reputation in the Philippines. How did the market react to the acquisition?
So far, the market is responding very well as the product lines are complementary and we are now able to provide our customers with a full range of products that cater to all their needs and requirements, from the beginning of a project to completion.
Customers are excited to have access to a wider range of construction solutions through a one-stop shop. We can see customers placing orders across the combined product lines. In fact, they also see it as an opportunity to expand their business activities.