---
title: "Traditional Management That Small and Medium Distributors Must Break Through!"
description: "In the FMCG industry, numerous small and medium enterprises struggle with unclear strategies and over-reliance on learning from industry giants, leading to failures in market development and expansion. To break the deadlock, companies must combine management models with software processes, rather than depending solely on people."
author: "New Distribution"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
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published: "2014-06-26"
language: "en"
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# Traditional Management That Small and Medium Distributors Must Break Through!

> In the FMCG industry, numerous small and medium enterprises struggle with unclear strategies and over-reliance on learning from industry giants, leading to failures in market development and expansion. To break the deadlock, companies must combine management models with software processes, rather than depending solely on people.

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In the traditional FMCG industry, there are countless enterprises engaged in product channel operations. Overall, small and medium enterprises hold a numerical advantage but are at a disadvantage in market share. Each year, the fittest survive, with some switching industries and others merging, in a cyclical pattern. Some say international trends have affected the domestic economy, but do the struggling small and medium enterprises themselves also have various problems? How many small and medium enterprises have truly created success rather than a flash in the pan? How many have rapidly grown instead of barely holding on? Some enterprises plant the seeds of failure at the initial stage of operation; before seeing market retail terminals, the project has already failed. Some enterprises succeed in attracting distributors but fail in the market. Others successfully develop the market but fail during expansion...
In the process of connecting with the market, small and medium enterprises in the FMCG industry often lack confidence because they do not clearly know the future development path or have unclear strategic planning. They blindly learn from well-known enterprises in the industry, sign up for various lecturer management courses, attend distributor conferences, see others' successes but forget their own strengths and weaknesses. How many enterprises truly absorb the essence? There is another type of enterprise that is the opposite: they do not look at industry characteristics, only at the path under their feet. Such managers believe that detail management determines success, forgetting that the premise of detail management is to first find the fastest route. As a result, the more they manage, the harder the road becomes; the more they control, the fewer people (customers and employees) remain, leading to a vicious cycle...
The three soft elements of enterprise operation: enterprise + talent + market, all three are indispensable. When enterprises seek partners, they fail to position themselves correctly; suitable partners cannot cooperate due to various issues, and the partners they do find cannot form mutual benefit, leading to widespread cooperation problems that seriously affect the development speed of the enterprise. When selecting talent, they also do not know which talents are suitable for the enterprise. Often, suitable candidates do not cooperate due to various issues, while the talents they do cooperate with are single-cultivation talents that cannot form combat effectiveness in the short term.
Of course, many enterprise managers like to listen to grassroots opinions and regulate the pace and direction of the enterprise based on them. This is not necessarily bad; it is acceptable to discuss strategies with generals, but what about discussing strategies with soldiers? Moreover, the industry rules involved in the FMCG industry are different from others. Many terminal sales models adopt the previous model of the boss delivering goods and the boss's wife collecting payments, gradually expanding. Many deep-rooted things cannot be changed overnight, and they are not easily receptive to such "advice," which can disrupt the company's strategic deployment and easily cause instability in the basic structure and policies.
Marketing tactics are certainly a determining factor, but they also need the support of other factors. Just like red flowers and green leaves, without leaves, the red flowers will soon wither. Tactics without a foundation will lose sustainable space and become guerrilla tactics that cannot withstand scrutiny. Guerrilla tactics require high-profit products and base areas to support, and also need strong corporate concepts to guide, which is quite difficult. Tactics without a soul are worthless.
There are also many enterprises that operate emotionally. They do not respect the rules of the game, whether in terms of policy, industry, or operational control. They do whatever they want. Today they draw a dragon and manage like a dragon; tomorrow they draw a tiger and manage like a tiger. There are many problems, and every day they solve old problems while facing new ones, wasting the vitality of the enterprise in the process.
Of course, besides the above factors, there are other hardware constraints, such as office environment, policy orientation, and other factors. Some say details determine success, some say management determines success, and some say teamwork determines success. In the current business situation, enterprises need to adopt a combination of management model and software to break this deadlock! We need to rely on people, but we cannot rely entirely on people. If the framework of the enterprise's management model (management model) and the track (software process) are well built, then the enterprise will surely move towards a brilliant tomorrow!
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