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Plot 38B Windsor Crescent, Kololo.
P.O.Box 2841, Kampala, Uganda

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Regional Hardware Distributor

For more than a decade, one of the smaller hardware distributors in the country has seen remarkable growth to become a leading regional distributor. In an attempt to reach a broader customer base and improve operations, the distributor intended to increase product offering,  improve on service delivery and seek funding from external parties. 

The client intended to increase product offering.

Objectives

 In order to facilitate the client’s plans, the main objectives of this project were:

  1. To develop a solid business and financing plan. 
  2. To conduct financial mediation between the client and potential financiers. 

Approach

  1. At Asigma, we believe in formulating data driven strategies. As such, the first step was to conduct a market study in order to understand the workings of the entire hardware distribution industry, and identify emerging trends and direction of the industry. This involved talking to industry experts, conducting external research and visiting several hardware points in the region.
  2. Our approach to strategy formulation involved using tools such as Michael Porter’s Five Forces Analysis, PESTLE Analysis, among others. We mostly use these tools because of the belief that good strategy is informed by thorough understanding of forces in the industry and broader external environment.

Outcomes

  1. We helped our client come up with creative ways to solve some of their biggest internal issues such as pilferage, lack of sufficient controls and poor motivation amongst some of the employees in the distribution chain.
  2. Post project review revealed that implementing the recommended motivation and reward structure led to a more efficient and motivated workforce, improved internal operations, and reduced bottlenecks in the distribution process. 
  3. Additionally, the client is in the final negotiation stages for obtaining finances. 

Coming up with a good strategy is the key to getting it right in business.