Paper Example on Three Alternatives for the Compass Minerals International Company

Introduction

Compass Minerals International is a public company in the United States. The company deals with salt which is the most used mineral in the world. The company is the leading in the production of salts, minerals, chloride, magnesium, nutrition products in plants and sulfate potash. The technology that manufactures salts advanced with years. The technological advancement facilitated salt purity and production techniques. The company uses three production techniques, which includes, underground salt mining, mechanical evaporation, and solar evaporation. The company has three alternatives production processes that are mostly used to manufacture salts.

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The first alternative of the company is to deliver the good performance that would be needed by the company as it transitioned into a public business company. The company figures out ways of advancing technology to facilitate production techniques and salt purity. The cost of exploring new mines, the capital investment made by the firm improves technology and increase small increments capacity (Henderson, John Sterman, and Ramana Nanda, 1-7). Compass Mineral International has a choice for investors in a formidable economic of the company moat and product demand. Shares bring higher yield because of product demand. High-performance delivery provides the government to purchase thus helping the company in pricing ability since its products have small effects on the budget and capital. The production costs depended on salt mine and salt thickness deposit.

The second alternative is to ensure that the company lives to the expectation for its investors. Compass Mineral aims into consistent with what the company has been experiencing. The company provides untreated and bulk treated deicing salt to investors and nutrition plant products to agriculturalist in the whole world. Compass Minerals also produce water products conditioning, commercial salts, and consumer mineral-based products in industrial; applications and agricultural sectors. The Compass Minerals also provides better management records applications services to the business investors. Salts remains to be the largest and its important market with few substitutes: its chemical property of preserving and the sealing ability introduced new salts users, nuclear waste disposal and from storage document to the disposition of nuclear waste. Michael Ducey ensured that investors hold salt company portfolio (Henderson, John Sterman, and Ramana Nanda, 1-7). The company should deliver consistent results to the road-salt operations and fertilizer business though it has experienced production issues, warm winter problems in market conditions, especially in the agricultural sector.

The third alternative is the attention focus of the company. The investors try to figure out technical indicators and chart patterns to use. They figure out which strategies that work for each person. The indicator that is back testing can be important to evaluate or assess a particular method. Investors opt to follow some trading strategies and techniques of professionals. Evaluating what does not work and what works helps investors to make decisions for the future. Many investors may neglect the grain and begin to develop a contrarian approach. Many individuals may opt to adhere to the old saying of nothing gained and nothing ventured. This varies from one investor to another depending on capital available. The change for the market and preparation for the worse helps in easing the burden when the tide turns without expectations. Focus alternatives help the company to collaborate with other investors to develop a good plan that creates new habitat in the salt lake.

The Proposed Solution for the Attention Focus of the Compass International Company

The one alternative I have selected in this case is the attention focus of the company. Compass Minerals is the most provider of important minerals and other agricultural, consumer and industrial uses and also nutrition in plant minerals that that improves yields and quality of the crops. However, the attention focus of the company is one of the alternatives that can be addressed to ensure the best progress and efficiency production of the company. Investors should ensure good pricing for the products in both plant segment nutrition and salt and improve sales volume of plan nutrition premium into a meaningful improvement. The supply-demand shift dynamic should favor salt producers and lifts the price average in a deicing contract. Depleted inventories provide average prices for selling for industrial products and consumer products. The increase in salts prices will better the rates of production hence boosting the earning.

The products sales volume should be increased and also an improvement in pricing to demonstrate the demand for products plant nutrition. Though the fertilizer market is stagnant because of poor product economics for commodities, prices should be improved.

The technology acquisition should be advanced to enhance or expand the portfolio of plant nutrition premium, and salts minerals, research, and development (Akiwumi, Fenda, and Lorenzo D'Angelo, 36-43) Technology are essential in micronutrients in a form that adheres with crop inputs. These products add value to the glowers, blenders, and dealers who distribute products and fertilizers. The new products should be launched through innovation such as phosphate and micronutrients products. The company should brand its name and create differences in the marketplace to provide a good platform for product development. It should also bring new products into the business or the market to enhance propriety blends.

The compass international company should have a vision of growth. The growth and development are expected to be linked with the effort that strengthens the foundation and improves performance operations to grow or expand existing mineral markets or businesses. It should ensure the well-being of the workers, their growth initiative and safety improvement. The world practices improved to eliminate accident should be implemented.

This development portrays how compass minerals will create growth opportunities still being deep-rooted in essential mineral foundation. The attention focus of the company should proceed to drive enough profitability. The cash generated should afford to balance sheet and the ability to invest should increase the dividends. Therefore, focus attention crucial for the company to ensure hard work of employees in meeting the needs of the customers and strategy execution.

Recommendation

The compass international company is recommended to improve the economies of scale to the competitors. The economies of scale would allow the company to execute a competitive strategy that protects the share in the market into greater efficiencies. The company should ensure their products are cost-effective so that they can be affordable to the customers. The geological constraints most cost-effective help in transportation purposes and barriers that are high in Compass Minerals in the regional markets. In the agricultural market, high value provides the growth of product so that to make business less volatile and profitable.

The company should invest more to improve the effectiveness and efficiency of businesses and production capability which increases the exposure in the business sector. Compass Minerals should have flexibility in production levels to address the demands of the market. The company should commission expanded and new production equipment. It should also enhance proper management to ensure that growth investment and productivity deliver the expected returns. The management should improve the business and the employee's productivity.

Works Cited

Akiwumi, Fenda A., and Lorenzo D'Angelo. "The Sierra Leone rare earth minerals landscape: An old or new frontier?." The Extractive Industries and Society 5.1 (2018): 36-43.

Henderson, R., John Sterman, and Ramana Nanda. "Ventures in Salt: Compass Minerals International." (2009): 1-7