For your company to recover and expand its market position, it is crucial to develop a robust strategic plan. This plan must include a thorough analysis of market trends, customer needs, and Competitive Landscape.

You should focus on leveraging your existing knowledge in the mattress sector while exploring opportunities in other textile sectors where your technology can be adapted and be competitive. The Strategic Planning process should define clear objectives, measurable goals, and actionable initiatives. This will involve identifying areas for innovation in your product offerings, updating your technology to reclaim your competitive edge, and finding cost-effective solutions to compete with East Asian machinery prices. Building strategic partnerships or considering mergers and acquisitions could also provide technology and market access. The intent is to create a multi-year roadmap that takes into account cyclical market demands and sets a direction that aligns with your operational capabilities and financial resources.

Transformation of your business model and operations is essential to address the current challenges. This could involve modernizing machinery to improve efficiency and reduce costs, investing in research and development to innovate, and adopting new business models such as service-based offerings, where you not only sell machinery but also provide ongoing maintenance and optimization services.

Additionally, exploring digitalization such as IoT for predictive maintenance can offer a unique selling proposition. Realigning your Organizational Structure to be more Agile and responsive to market changes, and fostering a culture of Continuous Improvement will be key. Transformation efforts should focus on both internal processes and customer-facing activities to ensure your company remains competitive and can quickly adapt to industry shifts.

An effective S&OP process is vital to balance supply and demand while achieving your business objectives. Through integrated planning, you can align your sales forecasts with your production capabilities, ensuring that you are able to meet customer demands efficiently.

This would involve cross-functional collaboration between sales, operations, and finance to create a holistic view of your business and enable better decision-making. By improving forecasting accuracy and Inventory Management, you can reduce costs and improve service levels. Implementing an S&OP process would also help in managing the cyclical nature of the mattress sector, allowing for better resource allocation and contingency planning during off-peak periods.

Conducting a detailed Competitive Analysis will provide insights into your competitors’ strengths and weaknesses and help identify market opportunities. You should compare your product offerings, pricing, technology, and market presence with those of your European and East Asian competitors.

Understanding where you stand in the market will guide strategic decisions such as whether to compete on innovation and quality or to find ways to reduce costs and improve efficiency. The findings should inform your product development strategy, marketing efforts, and sales approach and could identify potential gaps in the market that your company could fill.

Embracing Digital Transformation is no longer optional but a necessity to stay competitive in the global market. Investing in new technologies can lead to improved productivity, efficiency, and customer engagement.

For example, incorporating advanced analytics can optimize machine performance and Quality Control. Digital marketing and CRM systems can revitalize your commercial department's approach to sales, moving beyond traditional methods to data-driven strategies. Consider adopting Industry 4.0 technologies, such as IoT and AI, to create smart machines that offer advanced features like real-time monitoring and self-correction, which your competitors may already be offering. This shift will require a change in mindset across the organization and potentially new skill sets, which could be developed through a targeted Employee Training program.

Your company's ability to innovate is crucial to regain its market share. This involves creating a structured process to turn ideas into valuable products or services.

Encourage your technical team to focus on R&D and explore new technological advancements that can be integrated into your machines. Additionally, consider Open Innovation by collaborating with external partners, such as universities or startups, to gain access to new ideas and technologies. By fostering a culture that rewards creativity and experimentation, you can accelerate the development of innovative solutions that meet emerging market needs and set you apart from competitors.

Building resilience in your Supply Chain is critical to withstand market volatility and competitive pressures. This involves diversifying your supplier base to avoid over-reliance on single sources and adopting a Risk Management approach to anticipate and mitigate potential disruptions.

Consider strategic stockpiling of critical components, especially those with long lead times or limited suppliers. Additionally, investing in technology for supply chain visibility can help track material flows and manage inventory more effectively. This resilience is particularly important in the cyclical mattress industry, where you need the agility to ramp up or scale down production in response to market demands.

As your company seeks to regain market share, consider a strategic Market Entry approach to access new regions or sectors. Conduct thorough Market Research to identify potential markets where your updated machinery and technology could meet unfulfilled customer needs or where there is less competition.

Developing a go-to-market strategy that includes localization, regulatory compliance, and understanding cultural nuances will be important for successful entry. Consider partnerships or Joint Ventures in these new markets to leverage local knowledge and networks. Entering new markets can diversify your revenue streams and reduce dependence on the cyclical mattress sector.

Revamping your Sales Strategy is imperative to address stagnant growth. This means moving beyond traditional sales methods to embrace modern sales techniques and channels.

Training your sales team in consultative selling, where they act as problem solvers for customer needs, can differentiate your offerings. Additionally, adopting digital sales tools and CRM systems can enhance customer targeting and follow-up. Given the complexity of selling machinery, a key Account Management approach may be valuable, focusing on building long-term relationships with major customers. Also, re-evaluating your Pricing Strategy to add flexibility and competitiveness can help in winning back market share.

Exploring Business Model Innovation could be a game-changer for your company. This means rethinking how you create value for your customers and how you monetize that value.

For example, moving from selling machines to selling 'machinery-as-a-service' could provide a steady revenue stream and lock in long-term Customer Loyalty. Consider offering value-added services such as real-time Data Analytics for improved machine performance, or flexible financing options to make your machinery more accessible to smaller manufacturers. This shift not only differentiates you from competitors but also aligns with the growing trend towards service-oriented business models in the manufacturing sector.