Husky Injection Molding Systems
1. What is Husky’s Strategy? Why has the company been so successful in the period prior to the recent problems? Has it been to the attractiveness of the industry or the particular advantages of Husky?
Husky’s strategy, since the very first moment was to invest in innovation and R&D, being able then to offer a distinguished and quality product versus its competence. This strategy was first reflected in the first injection molding machines. Their success was basically due to its quality ad speed. Another creation was the fully integrated system to mold different from the two-step systems constituted by the machine and the mold separately. But the main innovation came after a crisis in the 1970s the company was facing, which made them avoiding bankruptcy: PET.
Some other important points of its strategy was to produce not only integrated systems to the Processors, but also sell parts to other equipment manufacturers, such as hot runners and robotic devices. As far as the relationship with its costumers, Husky had the strategy of being something else rather a simple vendor of equipment; Husky managers considered the company as a supplier of complete factory solutions, i.e. they not only provided the product but also services, as for example, training, integrate production systems and produce turnkey factories. That was possible because people with a complete knowledge of the product and highly trained were responsible of sales.
Before the recent problems, Husky has been a very successful company. The main reason was to be focused on a certain product: injection machinery. The premium quality of this product made costumers has enough guarantees to expect fewer defects and consequently a long-term savings compared to producing in a competitors machine.
Another reason for Husky’s success has been the capacity to adapt to new demand and to be informed of what competitors are improving; the company used to take into...