Introduction to Competitive SME Irrefusable Offer

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Slide share from August 2012 Competitive SME event in Edinburgh. Jim Henderson looks at the state of the economy and how we should now be planning for the future, David Hood and Brian Canavan give an intro to the Irrefusable Offer process,and Jim Mather explores collaboration as a means to competitive success.

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Introduction to Competitive SME Irrefusable Offer

  1. 1. : Agenda1. Welcome and Introduction (David Hood, Competitive SME)2. Opportunity or Armageddon? Ready for the Economic Upswing? (Jim Henderson, Shirlaws)3. An insight into Competitiveness for SMEs (Brian Canavan & David Hood, Competitive SME )4. Collaboration for SMEs (Jim Mather, former Minister for Enterprise, Scottish Government)5. Panel Session6. Then stick around for networking afterwards, or dinner downstairs in the Cargo Restaurant (discount on meals using your new Cargo Business Lounge card you receive upon arrival).
  2. 2. Jim Henderson Shirlaws
  3. 3. “Opportunity or Armageddon”Competitive SME Event - 30th August 2012
  4. 4. Black MondayMonday October 19, 1987
  5. 5. The “W”
  6. 6. The “W”
  7. 7. “W” Shaped RecessionsThere only have been 4 times when the markets dropped 60 %• 1930 - 32• 1937 - 38• 1973 - 75……and now 2007 - 09
  8. 8. 11
  9. 9. The “W”
  10. 10. Prepare for the Third WaveThe business owner who’s educated, confident and secure about theeconomic cycle will be preparing their business for the next boom.It’s this preparation over the next 12-18 months that’s business critical inmaximising the benefits from the next boom.• Get your numbers right – prepare and plan• Get your timing right – match your business stages to economic phases – investment returns take time• Get your culture right and reconnect back to your vision• Packaging and IP development• Distribute into distinctly defined niche markets
  11. 11. http://www.shirlawscoaching.co.uk/stages
  12. 12. V=PxM
  13. 13. Time To Get PositiveThe business owner who’s educated, confident and secure about theeconomic cycle will be preparing their business for the next boom.It’s this preparation over the next 12-18 months that’s business critical inmaximising the benefits from the next boom.• Get your numbers right – prepare and plan• Get your timing right – match your business stages to economic phases• Get your culture right and reconnect back to your vision• Packaging and IP development• Distribute into distinctly defined niche markets
  14. 14. Jim Henderson, Partnerjhenderson@shirlawscoaching.com07817 745958Blog: www.JimatShirlaws.com
  15. 15. David Hood Brian CanavanCompetitive SME
  16. 16. © Copyright David Hood / Competitive SME
  17. 17. © Copyright David Hood / Competitive SME
  18. 18. : De/Re-CONSTRUCT© Copyright David Hood / Competitive SME
  19. 19. : De/Re-CONSTRUCT• Reactive • Proactive• Resource focus • Opportunity focus• Legacy processes • Adaptability / Resilience• Defined by industry • Defined by market• Make as much as we can • Offer as much value• Make to and for margin • Make to need, order and demand © Copyright David Hood / Competitive SME
  20. 20. : P.A.T.PropositionAcceleratorTool:... the simple andultimate test! © Copyright Brian Canavan / Competitive SME
  21. 21. Changing the CurrencyWhat to Change What to Change to How to Change (Currency)Rolls-Royce: Keep the engines upEngine downtime costs a in the air; (‘performance ‘Power by the hour’lot of money to the client based logistics’)First Class Physiotherapy: Stop people getting hurtThe point of interaction rather than waiting for ‘Reduce absence’and reference for the them to get hurt; caring!problem of staff absenceLaboratory Services: Do not charge the way theWe charge more than the ‘Helping shift product for industry does, always has,competition and are not the client’ and always willseen as worth the money © Copyright Competitive SME
  22. 22. : P.A.T.Ask yourself......... “SO WHAT?” © Copyright Brian Canavan / Competitive SME
  23. 23. Jim MatherChairmanGael Ltd.
  24. 24. Jim MatherCollaboration for SMEs
  25. 25. My Messages• Collaboration is a great survival strategy• Competition is overstated and has been perverted• Time for a new Beginning that resuscitates Trust © Copyright Jim Mather - Gael Ltd
  26. 26. Two Problems with Collaboration• Historical Connotations• The Victory of “Competition is best” lobby – Competition - definition: The activity or condition of competing – Competitive - definition: Having or displaying a strong desire to be more successful than others – Arguments: • Competition has been overstated as a force for good, perverted & hijacked in some cases against the real economy and the consumer • “Competition” often means “Lowest Price”
  27. 27. W. Edwards Deming  The Book  The 14 Points  Point 1:  Create constancy of purpose toward improvement of product and service, with the aim to become competitive and to stay in business, and to provide jobs.  The Case for Collaboration  It’s synonymous with Optimisation  An attribute of the “competitive” © Copyright Jim Mather - Gael Ltd
  28. 28. Moving Target Worthy Altruistic Unifying Goal Involvement of Active Constant Referral to external people and Maintenance of Community Interest organisations that could Relationships and “Contribute or BenefitFrom” the success of the Community Involvement “System” Determination to constantly optimise the whole system Charles Ehin © Copyright Jim Mather - Gael Ltd
  29. 29. Professor Ken Cloke’sLadder of Unity Collaboration Experience Relationship Fair & Open Processes Unifying Worth Goal Opposition © Copyright Jim Mather - Gael Ltd
  30. 30. CollaborationBlending the Three Mind-sets H1 – Status Quo – Business as Usual H2 – Gradual Evolution of Existing Business H3 – Radical Departure from Existing Business Model © Copyright Jim Mather - Gael Ltd
  31. 31. WHAT THE HOPPER BROTHERSOBSERVEDThe Puritan Gift
  32. 32. Likely reasons why change & innovation & change programmes failFuture SME 2011 © Copyright Jim Mather - Gael Ltd
  33. 33. Likely Drivers of InnovationSteve Johnson – Where Good Ideas come from © Copyright Jim Mather - Gael Ltd
  34. 34. The Stated Benefits of companies setting out to be competitiveConsumer / Economy Competitive Firm• Choice • Resilience –• Lower Consumer Prices – Ability to Endure & Grow• Economic Growth – Attract & Retain Talent • Generate intrinsic motivation• Spin-outs – Continuous improvement &• Reinvestment innovation• Role Models – Ability to challenge Orthodoxies • Minimise waste © Copyright Jim Mather - Gael Ltd
  35. 35. Current Issues with Competition• For Real Economy Businesses - Waste, Duplication – Margins decimated – High Attrition Rate• Nations – People, Communities & Countries left in lurch• Consolidation and creation of Monopolies – David Korten – Nightmare Scenario• Small number of Beneficiaries:- – Financial Markets – Professions – Legal, Accountancy, Purchasing• Countries rejecting the Washington Consensus – Getting better results than compliant nations © Copyright Jim Mather - Gael Ltd
  36. 36. The Case for a Two-Legged Walk - The Genius of Dee Hock © Copyright Jim Mather - Gael Ltd
  37. 37. The Case for a Two-Legged Walk - The Genius of Dee Hock © Copyright Jim Mather - Gael Ltd
  38. 38. The Case for a Two-Legged Walk - The Genius of Dee Hock © Copyright Jim Mather - Gael Ltd
  39. 39. The Case for a Two-Legged Walk - The Genius of Dee Hock © Copyright Jim Mather - Gael Ltd
  40. 40. Collaborate with whom?
  41. 41. How do we do it?• Take Margaret Wheatley’s advice• Blend Competitive & Collaborative Strategies – Reject the Race to the bottom – Take pride in offerings and prices• Read:- – The Shell Scenario Planners • Ari de Geus and Adam Kahane – The man that studied how Toyota did it • Mike Rother – The Hopper Brothers’ Hero • William B. Given• Resurrect Deming• Put the systems in place to move beyond good intentions – Commitment to Quality, Continuous Improvement and Challenging Orthodoxies – Quality Management Systems – Collaboration Tools © Copyright Jim Mather - Gael Ltd
  42. 42. Other Questions• Can we create such a blend:- – Locally? – Nationally?• Will Horizon 2020 Drive behaviour?• Can we educate:- – Purchasing Managers? – The Accountancy Profession?• And avoid The City and Wall Street creaming off the profits? © Copyright Jim Mather - Gael Ltd
  43. 43. Want to join in?davidh@mymarketinglife.combrian.canavan@aperturemarketing.co.uk @competitivesme

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