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CD-adapco strategy and analysis from the STAR Global Conference

In this article for GraphicSpeak, I touch on the keynotes and the announcements and then spend time analysing the factors which drive the success and provide the competitive edge at CD-adapco.

The message from MacDonald included the major company announcement that STAR-CCM+ will include both finite flow and finite volume features in a single code base. The company is already focused on multi-disciplinary simulation in a single platform, so this move is a natural strategic direction. Keeping with his frank and honest approach, MacDonald said, “it’s going to be hard to support, but we think that we can do it.”

CD-adapco business, strategy and competition

I had the opportunity to discuss CD-adapco’s business with Executive Vice President Bill Clark. He conveyed the core focus of the company throughout a discussion of topics including business, growth, product development, and competition.

 

Executive Vice-President, Bill Clark, covers many topics related to CD-adapco's business, strategy and keys to success

 

Regarding the company’s keys to success, CD-adapco is invested in the success of their customers. The company strives to ensure that their customers are supported and successful with the use of STAR-CCM+.  An illustration of this? The company seems to have added its own control mechanism to ensure that they live up to this standard. CD-adapco only sells annual licenses and refuses to sell perpetual licenses of its simulation tools.  Since the company has maintained a growth rate in the double-digits over many years, this would indicate the strategy has worked well for both customers and the company.

 

Why is the company so successful?

Conventional wisdom would dictate that a privately held company, lacking access to the powerful finance tools which well-funded publicly held competitors can utilize, has a competitive disadvantage.  CD-adapco has found ways to turn this idea on it's head. It would appear that the company profits from the advantages which privately-held companies have over publicly traded firms.  And oddly enough, the this allows the company to dedicate itself completely to the best interests of customers and the company - a big factor in success and 15% annual growth rates.