Goss restructure to give customer focus and target 'new markets'

Goss International will simplify its organisational structure, reorganise its European operations and push into new markets, according to an internal memo from new chief executive Rick Nichols.

The memo, a copy of which has been obtained by PrintWeek, was sent to all employees on 28 March under the subject "Future Direction for Goss International".

While it is light on detail, it states that the company is "looking at options to reorganize our operations in Europe" in line with a simplified organisational structure based around customers' needs.

These needs are said to be shifting in line with the shift in "the markets to drive our future growth and profitability", in what is presumably an allusion to the high growth BRIC economies.

In the memo, Nichols said: "Customers today tell us they need a focus on simple, easy to use and cost effective technology supported by world class aftermarket services.

"Where their products are manufactured is now less important than how quickly they can access the service and engineering support for them once they are built.

"We are redesigning our business model so that we can better compete in the markets that can drive our growth and can serve customers in the way they need us to."

Goss declined to comment on the memo or its plans for its French manufacturing operation in Montataire, which, according to local media reports, could be headed for redressement judiciare (the French equivalent of administration) this morning (3 April).

Goss currently has manufacturing facilities in North America, China and Europe (France), with global output over the past five years split roughly evenly between the three regions.

If the latest restructure of its French operations results in manufacturing moving out of the region - as seems to be implied by the memo - this could be moved to either the US or China.

The third key element of Nichols' transformation plan for Goss is to "build on our technological expertise and push into new (neighbouring) markets where our engineering skill and printing knowledge gives us a clear advantage over competitors".

Nichols cited packaging as the first example of this, following the company's recent activity in this market.