ACT Pipe & Supply
In the recent past, competition between businesses operating in same fields has drastically surged. This is attributable to increased levels of technological knowhow, which has helped to bring down barriers of entries, improved customer levels of customer experience among many firms across the world among other notable factors. Consequently, firms have been forced to adopt modern ways of operation, especially those activities entailed in the market mix. Some of the modern ways being employed by business is through strategic implementation, an aspect which has helped small companies to compete at the same platform withy well established firms. The paper will candidly show how ACT Pipe & Supply, a company based in Texas have become successful through strategic implementation.
Background at ACT Pipe & Supply
Established in 1978, ACT Pipe & Supply is the biggest fire and waterworks protection distributor that is independently-owned. The waterworks industry was developed in 1993 and has since become one of the most prosperous lines of its activities. In 2003, the plumbing division was added and this has brought discriminating tastes to most baths and kitchens not only in Texas where the firm is based but also across various parts of the globe. The current owners include Andy Zizinia and Harry Kirk, who bought the firm in 1993 with the aim of expanding the company into untapped markets and regions and the mission statement of the firm is “Responsive. Customer-focused. Knowledgeable.” (ACT Pipe & Supply, 2013). Generally, ACT professionals are highly committed to ensure that, they work closely with their customers, thus being able to offer them with first rate services as well as reliable services. Consequently, customer loyalty has drastically surged, thus a strong balance sheet ($75 million in assets and $25 million in liabilities (ACT Pipe & Supply, 2013).
Strategy Implementation Employed by ACT Pipe & Supply
Put in simple terms, strategic implementation can be regarded as a method which puts strategies and plans into actions in order to attain specific goals. Lorette and Media (2012) indicate that, strategic implementation is highly critical to the success of an organization as it addressing who, when, where as well as how the business will attain its objectives and goals. It focus on the whole organization and implementation take place after carrying out SWOT analysis, environmental scans as well as indentifying strategic goals and issues. Thereafter, individuals are assigned to specific timelines and tasks, thus helping the organization attain its goals. For Act Pipe & Supply, the firm employs focused differentiation strategy, which has significantly helped the firm to compete accordingly with other established firms such as HD Supply and Ferguson Enterprises.
Lorette and Media (2012) defined focused differentiation strategy as a strategy whereby, a firm aims at differentiating its self within just one or more number of targeted markets. In this case, the special needs of the customer offer opportunities to offer products or services, which are significantly different from the competitors, majority of whom may be targeting a wider market niche. For those companies employing this method, they are known to have a high corporate reputation for innovation and quality, thus high sales volumes. One of the areas where Act Pipe & Supply have significantly differentiated itself is in the field value chain. Value chain can be regarded as those activities carried out by a firm in order to deliver valuable services or products for the market. There are various aspects which create value for this firm include firm infrastructure, the human resources, marketing and sales and high quality customer among other factors. For instance, ACT fabricates pipes to meet customer`s specifications and ship to any parts of the world, thus being able to take quality to new levels. Further, due to the fact that ACT has its own trucks, logistics around Texas and vicinity has been improved thus improved customer experience.
One of the areas where the company is doing well is a strong balance sheet. For instance, as at FY 2012 the firm had a $75 million in asset and $25 million in liabilities. This indicates that, the company can be able to acquire assets in short term as well as cater for short term liabilities such as paying its suppliers. This is as seen in 2008 where ACT was able to pay its suppliers in full amounts, thus maintain trust as well as allowing them to extend terms. One of the areas which have hindered the growth of the firm is lack of suppliers. As a result, it has been hard for the firm to enter new markets due to “Country Club” Suppliers. By establishing new suppliers as well as strengthening the existing ones both in Texas and other states, ACT will be able to compete with HD Supply and Ferguson Enterprises who enjoys technological advancements and economies of scale respectively (ACT Pipe & Supply, 2013).
Primary and Support Activities
There are various primary and supportive activities carried out by ACT. Primary activities include large inventories where it maintains high quantities of the materials needed by customers and the employees are willing to work overtime and on weekends, thus being able to meet customer demands. One of the supportive activities is the fact that, the employees have high levels of knowledge and many years of experience in the pipe and supply industry as well as reliable products and professionals (ACT Pipe & Supply, 2013).
It is now clear that, ACT Pipe & Supply is one of the most successful independently-owned companies in Texas. Through focused differentiation strategy, the firm has been able to offer high quality services to its customers, thus high profitability. In future, ACT should expand into new markets and industries, implement new technologies to improve efficiency and invest in information technology to increase sales.
ACT Pipe & Supply (2013). Website. Accessed on 24 April 2013 from,
Lorette,K. and Media, D. (2012). What Is Strategic Implementation? Accessed on 24 April 2013 from,
ACT Pipe & Supply Student`s Name