3M Company Analysis
MGT 487-03, Spring 2011
Zach Devenport
devenport15@live.missouristate.edu
Joseph Heater
Heater.20@hotmail.com
Kelly Kindelspire
kindelspire423@live.missouristate.edu
Derek Phillips
phillips89@live.missouristate.edu
Tyson McAtee
tyso18_1@yahoo.com
Table of Contents
Section 1: Introduction ............................................................................................................... 1-4
A) Scope .................................................................................................................................... 1
B) Size .................................................................................................................................... 1-2
C) Trends ................................................................................................................................ 2-3
D) Non-Financial Performance .............................................................................................. 3-4
Section 2A: Strengths & Weaknesses ........................................................................................ 5-9
 Technological Development, Strength................................................................................ 5
 Firm Infrastructure, Strength .............................................................................................. 5
 Procurement/Inbound Logistics, Weakness ..................................................................... 5-6
 Operations, Strength ........................................................................................................... 6
 Outbound Logistics, Strength .......................................................................................... 6-7
 Marketing and Sales, Strength ............................................................................................ 7
 Customer Service, Weakness ........................................................................................... 7-8
 Human Resource Management, Strength............................................................................ 8
 Finance and Accounting, Weakness ................................................................................... 8
 Information Systems, Strength......................................................................................... 8-9
Section 2B: Company Stock Chart and Competitor Comparison........................................ 9-10
Section 3A: Opportunities & Threats In External Specific/Industry Environment ......... 11-13
 Rivalry, High Growth In Global Markets, Opportunity.................................................... 11
 Rivalry, Low Fixed Costs, Opportunity ............................................................................ 11
 Major Entry Barriers, High Capital Requirements, Opportunity: ..................................... 11
 Major Entry Barriers, Government Policy, Opportunity ............................................. 11-12
 Bargaining Power of the Buyer, Differentiated Products, Opportunity ............................ 12
 Bargaining Power of the Buyer, Buyer Purchases Large Volumes, Threat ...................... 12
 Bargaining Power of the Supplier, Industry Important Source of Revenue, Opportunity 12
 Bargaining Power of the Supplier, Supply is not an Important Input, Opportunity ......... 12
 Threat of Substitutes, Coated and Laminated Papers and Pressure Sensitive Labels .. 12-13
 Threat of Substitutes, Cost Leader
Section 3B Opportunities and Threats in External General Environment ...................... 13-15
 Economic, Optimistic Hopes for 2011 Economy, Opportunity ........................................ 13
 Economic, Low Interest Rates, Opportunity ..................................................................... 13
 Demographic, An Aging Society, Opportunity ................................................................ 13
 Demographic, Unemployment, Threat………………………………………….……13-14
 Socio-Cultural, Growing Concern for renewable Energy, Opportunity ........................... 14
 Socio-Cultural, Generation Z, Opportunity ...................................................................... 14
 Political-Legal, Environmental Regulations, Threat......................................................... 14
 Political-Legal, Multi-National Business, Threat ............................................................. 14
 Technological, Electronics Market Materials, Opportunity……………………….…14-15
 Technological, Research and Development, Opportunity ................................................ 15
Section 4A: Competitive Strategy .......................................................................................... 17-18
Section 4B: Implementing Competitive Advantage- Value Chain ..................................... 18-19
 Inbound Logistics ............................................................................................................. 18
 Outbound Logistics ........................................................................................................... 18
 Marketing and Sales.......................................................................................................... 18
 Customer Service .............................................................................................................. 18
 Procurement ................................................................................................................. 18-19
 Technological Development ............................................................................................. 19
 Human Resource Management ......................................................................................... 19
 Firm Infrastructure ............................................................................................................ 19
Section 5: Issues Your Company is Facing ........................................................................... 19-21
 A: Corporate Strategy, Growth, Concentration in Renewable Energy Market ................. 19
 A: Corporate Strategy, Horizontal Integration, Buying out Competitors ......................... 19
 B: Competitive Strategy, Differentiation, Loss of Creativity Due to Six Sigma ......... 19-20
 B: Competitive Strategy, Differentiation, Better Brand Image......................................... 20
 C: Functional Strategy, Procurement & Inbound Logistics .............................................. 20
 C: Functional, Finance & Accounting ......................................................................... 20-21
Section 6A: Recommended Actions ....................................................................................... 22-24
 A: Corporate Strategy, Growth, Concentration in Renewable Energy Market................. 22
 A: Corporate Strategy, Horizontal Integration, Buying out Competitors ......................... 22
 B: Competitive Strategy, Differentiation, Loss of Creativity Due to Six Sigma .............. 23
 B: Competitive Strategy, Differentiation, Loss of Brand Image ...................................... 23
 C: Functional Strategy, Procurement & Inbound Logistics ......................................... 23-24
 C: Functional Strategy, Finance & Accounting ................................................................ 24
Section 6B: Feasibility of Implementation ............................................................................ 25-26
 A: Corporate Strategy, Growth, Concentration in Renewable Energy Market ................. 25
 A: Corporate Strategy, Horizontal Integration, Buying out Competitors ......................... 25
 B: Competitive Strategy, Differentiation, Loss of Creativity Due to Six Sigma .............. 25
 B: Competitive Strategy, Differentiation, Loss of Brand Image ...................................... 25
 C: Functional Strategy, Procurement & Inbound Logistics ......................................... 25-26
 C: Functional Strategy, Finance & Accounting ................................................................ 26
References……………………………………………………………………………………27-29