Summary of Competitive Intelligence
Competitive Intelligence is the system that helps managers collect, analyze, and distribute accurate, relevant, and timely information regarding the business environment competitors as well as their own company (Miller 13). Few of the Competitive Intelligence goals are:
-
to detect competitive threats
-
decrease surprises in order to know what is going to happen before it does
-
find new opportunities
-
decrease response time in order to enhance our competitive advantage (Combs 5)
In order to complete the Competitive Intelligence goals, it must go through a four-phased intelligence cycle. The four-phases include:
-
Identification of key decision makers and their intelligence needs
-
Collection of information
-
Analysis of information and upgrading it to intelligence
-
Dissemination of intelligence to decision makers (Miller 14)
Where do we get this information?
A Competitive Intelligence analyzer can use the Internet and its databases in order to answer their questions. Some of the questions identified by Lamb are:
-
What articles were written about this market?
-
What patents have been filed for this technology?
-
How many companies are in the same industry as the target industry?
-
How can I compile a list of the leading experts in the industry and the key institution they are associated with? (245)
We can also obtain information from other sources. Such as:
-
Company's salespeople, who can directly observe and ask questions about the competition.
-
CI Consultants, who can use their knowledge and experience to gather needed information quickly and efficiently.
-
Periodicals, a good source for timely articles on successes, failures, opportunities, and threats.
-
Yellow Pages, which often provide data on number of competitors, trading areas, and special offerings.
-
Trade shows, official gathering where competitors display their latest offerings.
(Lamb 245)
Understanding Our Customers
The primary focus of understanding our customers is to determine their buying behavior. In order to this, the company must first develop a team of employees that will bring in customers to their organization. Visitation to the manufacture will provide a better understanding of the products in how they are developed. There is also another way in satisfying our customers, we can satisfy them by conducting research in the following areas:
-
Satisfy our customers in the financing and accounting office in regards to credit policies
-
Satisfy customers in the human resource department in regard to complaint handling
-
Satisfy customers in the research and development in regard to quality of the product
-
Satisfying customers in manufacturing in regard to speed of delivery (Lamb 107)
How do we find out more about our Competitors?
We can find out more about competitors by being more streamlined with the economy as in quality control or new ideas. Another possibility is to compare with other companies in their hiring practices, purchase processing, inventory control, and product development cycles. The company can also find out more about their competitors strengths and weaknesses.
Works Cited
Combs, Richard E. and John D. Moorhead. The Competitive Intelligence Handbook. New Jersey: Scarecrow, 1992.
Lamb, Charles W. Jr., et. al. Essentials of Marketing, 3rd ed. United States: South-Western, 2003.
Miller, Jerry P. Millennium Intelligence: Understanding and Conducting Competitive Intelligence in the Digital Age. New Jersey: CyberAge, 2000.