Essay Geoscopic Protective Prototype Equipment Pty Ltd Case Study – Business Assignment Help

Assignment Task :

CASE STUDY – GPPE
PART 1
GPPE (Geoscopic Protective Prototype Equipment) Pty Ltd opened in 2005 in NSW under the leadership of the Managing Director, Leigh Baker. Leigh was one of just two Directors for GPPE, owning a controlling 51% share. GPPE’s Mission Statement was to ‘To maintain safety of all deep-water infrastructure through leadership in exploration and research, industry accreditation, and infrastructure maintenance.’
 

GPPE provides high-grade underwater Geoscoping inspection and reports through remotely operated robots (ROVs) or unmanned underwater vehicles (UUVs). The robots and vehicles are specifically designed to operate underwater at depths of up to 150 meters, withstanding water pressure and temperatures. The robots, essentially underwater drones, are designed to navigate infrastructure (pipes, concrete, cables, joints, tunnels etc.) to record images of the infrastructure and transmit those images back to the company along with the exact location through satellite mapping. GPPE provide equipment for hire to governments, armed forces and other enterprises involved in the maintenance of underwater infrastructure.
 

Most of the specialised equipment is constructed within GPPE but it sources 80% of the parts from overseas manufacturers. In total, 60% of the parts are sourced from the German company, IPS (International Protection Supplies) and 20% from other suppliers across the globe, and from one company in India, IAL (Infrastructure Association Limited). GPPE has plans to add their own manufacturing arm to their business, to enable them to build those parts they currently purchase overseas.
However, a favourable compliance requirement is that only GPPE’s own qualified technicians can operate their equipment, and although there are other businesses with comparable products, GPPE owns and manages the only industry recognised and accredited qualification program with which it offers nationally
through several partner organisations. Only GPPE can issue the qualification which is recognised across Australia and it is gaining recognition from the UK and some European countries. Every year, GPPE contribute to the World Conference on ROVs and through that involvement they are receiving many more companies asking for their skilled training. From the accreditation and training program, GPPE make well over $100,000 per year in course fees (inclusive of a percentage paid to each partner organisation) and have very little outlays for that profit.
 

Early 2007, the company experienced exceptional growth through many municipal councils utilising their systems and GPPE also secured a five-year multimillion-dollar NSW State Government tender to provide ongoing inspections of all underwater infrastructure including bridge footings, drilling rigs, pipelines, marine infrastructure, underwater tunnels and more.

ASSIGNMENT QUESTIONS  
1. At what point do you think that GPPE made an error of strategy?

•  Explain in terms of what happened
•  Describe what you would have done?

2. Can GPPE recover from the downturn and newly competitive environment?

•  If yes, how? What would you do?

3. If you were a business consultant – what would you advise the Directors of GPPE to do now?