Johnson Matthey Colour Technologies - a business within the Precious Metal Products division of Johnson Matthey Plc - was facing tough market conditions in some segments because of the pace of change, increased globalisation, customer demand for technological innovation and increased commoditisation in its mature markets.
The company has already taken steps to eliminate unnecessary cost, resulting in significant downsizing in the UK. As it set out to respond to market challenges, focusing on brand gave the business a new sense of purpose, helping it establish a new culture as well as a stronger profile in Johnson Matthey’s multinational structure.
Johnson Matthey Colour Technologies is part of the Precious Metal Products Division of Johnson Matthey Plc. Colour Technologies is a market leader in the supply of high-performance materials to the electronic, automotive glass, tableware, advanced ceramics, glass and aerospace markets.
Although the company sets industry standards in its markets, it recognises that a sustainable competitive advantage is built on the ability to adapt to changing market conditions.
The UK ceramics industry has faced tremendous competition from cheaper emerging markets. China is a paradox - it threatens mature and commoditised markets but has huge potential for niche performance products.
Despite difficult market conditions, the company’s Technology Manager, Howard Winbow, says: ‘We still compete strongly in the high value, quality driven areas. In an industry driven by technology and innovation we guarantee standards. We try to launch for the world market and the product has to have robustness in all uses.’
The company was founded over 100 years ago in both England and the Netherlands. Under the name Blythe Colours, it quickly grew to become a successful international business, joining the Johnson Matthey group during the 1950s.
The company’s reputation for quality and technological innovation grew from supplying colour to ceramic and glass markets. In April 2006, the glass and ceramic businesses were brought together and renamed Colour Technologies to consolidate on a previous restructure.
‘The renaming of the business has at least put the spotlight on our expertise,’ says Winbow: ‘Calling us Colour Technologies focused attention on what we could do, whereas “tableware” and “glass” were market-focused names. It was a breath of fresh air for me. Being called Colour Technologies enables you to apply your core competencies to new potential markets.’
Johnson Matthey Colour Technologies had two key weapons in its fightback against international competition and rapidly changing market conditions - its expertise and experience.
But the company still had to communicate that to existing and potential customers, so it joined a pilot of Design Council’s Designing Demand programme, run in partnership with the Ceramics Industry Forum.
Johnson Matthey Colour Technologies’ involvement in the programme began with an Immersion Day to explore all aspects of the business with a team of designers and business experts. Ideas and recommendations produced on the Immersion Day were then followed up by the company’s management team with help from a Design Associate, a highly experienced design manager, Evan Kitsell, whose role was to highlight potential design opportunities and advise on how to implement them over 12 to 18 months.
‘The market simply didn’t realise how good Johnson Matthey Colour Technologies was. Its laboratory is second to none and its technology is impressive,’ says Kitsell. It needed to get that message across not just to customers but also internally.
