BY MARY ELLEN POWELL DBJ Contributing Writer
Delta and Pine Land has been in the Delta for seventy-seven years, but their business interests are as far flung as China and Turkey. Eighteen years ago when Murray Robinson came to the company as executive vice-president in 1988, he saw the need for the company to begin participating in the global market. Thirteen years later, Robinson, now CEO, can see how such a forward-thinking philosophy has paid off earning the company the title of being number 42 on the Hot Growth list named by Business Week magazine.
The global mindset begun by Robinson has expanded to the point where Delta and Pine Land now sells its herbicide-tolerant, insect-resistant genetically modified cottonseed as well as conventional seed, to approximately 15 to 20 countries worldwide. According to Business Week, overseas sales account for 10 percent of revenues and are growing 35 percent annually.
In China, the worlds third largest cotton producer, over one million farmers are already using Delta and Pine Lands seeds. That may sound like an impressive number on its own; it is especially significant, however, considering that these seeds are sold in only two of the countrys 23 provinces.
Domestic sales are going well, also. In the U.S. market, Delta and Pine Land has an 85 percent share of sales of genetically altered cottonseed.
Moving into the international market is not something that can be done overnight. With the increase in international sales, the company has started building a special management group with experience in foreign cultures. According to Steve Hawkins, President and COO of Delta and Pine Land, entering the global business arena takes time and patience.
Patience is important in developing international markets, he says. You have to know the markets and understand the application of your companys core competencies in those markets. You also must spend time making sure that the products that you are selling are needed in that market.
Every market is different. An understanding of cultural differences is important, as is the ability to find people with whom you can work. There is something to learn in every market and what is learned is applicable to other markets throughout the world as the business expands.
The core competencies to which Hawkins refers are the basic tenets that guide the company. These competencies include the development of new genetics and varieties of products; the ability to incorporate others technologies into the services the company provides, namely genetics; the ability to generate information to enable consumers to capitalize on the products available; the placement of high quality products in the marketplace; and the recruitment of quality personnel.
Hawkins sees the applicability of these competencies in markets throughout the world.
There are 85 million acres of cotton in the world, he says. The core competencies are in demand in all 85 million of these acres. Our ability to take these core competencies to and apply them in other markets has made us successful.
It is the overall character of the business that attracts people like Hawkins to join the Delta and Pine Land team. Hawkins has approximately 30 years in the seed business and was drawn to the company five years ago because of its many good qualities.
I came here because Delta and Pine Land is a market leader, he explainss. It is a class business in the way it develops its products, treats its employees and delivers value to its consumers.
Hawkins sees that in the future the company will continue to be successful as they focus on the things that have gotten them to where they are today, such as the development of new genetics and incorporating technology that reduces expenses and adds value to farmers products.
We understand our core competencies and will continue to carry those out. The Delta is our home and we want to make it a good place to work and live, Hawkins says. DBJ