Greetings fellow MIA members, I hope things are going well for you as we approach mid-year. I have been visiting with quite a few industry people over the last couple of months in the United States and at trade shows in Brazil and China. There remains an optimistic feeling about the balance of this year; however the pace of improvement has been disappointing for some. There is mixed data, but what I see at this time, shows the domestic housing market has slowed over the last few months. However, reports still expect a 7-10% increase for the year over 2014 activity. Many sources are reporting total construction for the U.S. should finish 2015 at 8-9% over 2014. There are caveats to the data; a harsh winter in some parts of the country has delayed project starts and the plunge in oil prices may temper growth projections in the energy regions across the nation. It’s hard to imagine these influencers would not impact the year end actual results. This makes 2015 a little more unpredictable, however, the U.S. market is still the focus of the Brazilians and the Chinese as they see their domestic economies struggling for growth.
I talked about scanning your business environment and performing a SWOT analysis in the March/April newsletter. Did this process uncover changes in the positions of your competitors, buyers and suppliers? How about the products and services you provide? Depending on how long it has been since your company has completed a check/adjust on your strategy, the changes could be drastic. Big shifts in a SWOT analysis or strength positions in the environment indicate it is time to revisit the strategic inputs that drive your business. Take the necessary time to ensure your model addresses any changes and continues to provide value to your customers.
This deep analysis will reveal the important differences between your business and that of your rivals. This is the essence of a successful business strategy; understanding which attributes make your value proposition unique. A great strategy is one that sets you apart from others. Without unique products and services, your only differentiator is the price lever. It is so important to understand what these unique attributes are and how you support and promote these competitive advantages.
I would also like to call your attention to two special articles in this issue of the MIA newsletter regarding the importance of silica safety. The first is a report from the Construction Industry Safety Coalition (CISC) for which twenty-five trade associations in the construction industry are supporting (including the MIA, Building Stone Institute, and Natural Stone Council). The CISC report unveils a new study that finds that OSHA officials underestimated the cost of the silica rule for construction by $4.5 billion a year. The second article (also related to silica) is entitled "Legislative Call to Action" and asks that all U.S. based members send a letter to their U.S. House of Representatives member and two U.S. Senators. The MIA has provided a template for a suggested letter and attachments to include with the letter. It is important that the stone industry rally together to inform our legislative leaders about the impact the proposed silica rule change will have on the industry. For all of MIA members outside of the U.S., I also encourage you to review the information online at www.marble-institute.com/silica to stay informed about this important issue.
The safety of the stone industry's most essential asset -- our employees -- is vitally important. Remember – there is no cure for silicosis. But with the proper equipment, training, vigilance and continual monitoring, you and your shop can be free of the dangers of the most occupational lung disease in the world. If you are looking for employee training resources there are many available on the MIA's website.
Be safe, be prosperous and engage in your association. Enjoy the summer!
Dan
