Today I'm in the nation's capital at the Yokogawa North America User Conference. Thanks to wireless Ethernet access to the Internet, I'm blogging live from the opening keynotes at the Capital Hilton.
Dave Johnson, North American president and chief operating officer, kicked off the sessions by reinforcing CEO Uchida-san's commitment that Yokogawa will be the leading process automation and control supplier within 5 years. Johnson reported that sales are growing--a good thing given the growth objective. He cited the April 2005 launch of Yokogawa Electric International, a Singapore-based company dedicated to international growth. This company circumvents any inertia or drawbacks of corporate thinking in Japan.
Johnson says the gist of the objective is that North American sales must double in five years. "Failure is not an option in Mr. Uchida's eyes." The company will do that by focusing on key verticals--oil & gas, chemicals, liquified natural gas.
My take on this latter thought is that it fits with current trends among process automation suppliers--that is, they seem to have carved up the general market with each focusing on specific areas in which they are strong. Then, each touts increased sales and market share (usually not noting that these statistics are based on their penetration of the specific target markets). So, can a company become the industry's largest by emphasizing just some of the verticals encompassed in process automation? I suppose if those verticals are the largest, then it may be possible. Stay tuned to Yokogawa and see.
8:22:06 AM
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