Winnebago Industries

Winnebago Industries

Case Analysis

CORPORATE BACKGROUND

COMPANY OVERVIEW

Winnebago Industries, Inc., based in Forest City, Iowa, is a United States manufacturer of recreation vehicles primarily used for the leisure travel and outdoor recreation activities. Their products lines include 78 products with most of their growth stemming from new innovations aimed to capture industry market share. The Company is currently the market leader in the $5.3 billion motor home market. Winnebago markets their recreation vehicles through wholesalers to diversified dealers located throughout the U.S. and Canada. Of the Company’s revenues, 90% are from motor home sales with the remainder generating from floor plan unit financing for WGO’s dealers and the manufacturing of component parts that Winnebago makes for other motor home manufacturers.

MISSION STATEMENT

Winnebago Industries, Inc. is a leading manufacturer of recreation vehicles (RV’s) and related products and services. Our mission is to continually improve our products and services to meet or exceed the expectations of our customers. We emphasize employee teamwork and involvement in identifying and implementing programs to save time and lower production costs while maintaining the highest quality values. These strategies allow us to prosper as a business with a high degree of integrity and to provide a reasonable return of our shareholders, the ultimate owners of our business.

VALUES

How we accomplish our mission is as important as the mission itself. Fundamental to success of the Company are these basic values we describe as four P’s:

People- Our employees are the source of out vast strength. They provide our corporate intelligence and determine our reputation and vitality. Involvement and teamwork are our core human values.

Products- Our products are the end result of our teams’ efforts, and they should be the best in meeting or exceeding our customers’ expectations worldwide. As our products are viewed, so are we viewed.

Plant- The Company believes its plant is the most technologically advanced in the RV industry. We continue to review facility improvements that will increase the utilization of our plant capacity and enable us to build the best quality product for the investment.

Profitability- Profitability is the ultimate measure of how efficiently we provide our customers with the best products for their needs. Profitability is required to survive and grow. As our respect and position within the marketplace grows, so will our profit.

GUIDING PRINCIPLES

Quality comes first- To achieve customer satisfaction, (we must make) the quality of our products and services . . . be our number one priority.

Customers are central of our existence- Our work must be done with our customers in mind, providing product and services that meet or exceed expectations of our customers. We must not only satisfy our customers, we must also surprise and delight them.

Continuous improvement is essential to our success- We must strive for excellence in everything we do; in our products, in their safety and value, as well as in our services, our human relations, our competitiveness, and our profitability.

Employee involvement is our way of life- We are team. We must treat each other with trust and respect.

Dealers and suppliers are our partners- The Company must maintain mutually beneficial relationships with dealers, suppliers, and our other business associates.

Integrity is never compromised- The Company must pursue conduct in a manner that is socially responsible and that commands respect for integrity and for its positive contributions to society. Our doors are open to all men and women alike without discrimination and without regard to ethnic origin or personal beliefs

LONG-TERM OBJECTIVES

Substantial long term growth for Winnebago in the future with higher revenue growth targets in the two to three year horizon. Increased expansion of product lines and motor home technology as Winnebago actively pushes to develop new product components and designs.

COMPETITIVE POSITION

ENVIRONMENTAL ANALYSIS