Competitive Intelligence


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Acquiring capacity for understanding key business activities in the environments and developing appropriate action points for business and organisational excellence.

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  • It’s time for professionals to learn the art and science of competitive intelligence, which serves as a platform for development of execution profiling, the backbone of business insight and performance enhancing decisions.
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Competitive Intelligence

  1. 1. Competitive Intelligence Dr. Elijah Ezendu FIMC, FCCM, FIIAN, FBDI, FAAFM, FSSM, MIMIS, MIAP, MITD, ACIArb, ACIPM, PhD, DocM, MBA, CWM, CBDA, CMA, MPM, PME, CSOL, CCIP, CMC, CMgr
  2. 2. “The ability to focus attention on important things is a defining characteristic of intelligence” - Robert J. Shiller, Irrational Exuberance
  3. 3. What is Competitive Intelligence? “It’s the process of ethically collecting, analysing, and disseminating accurate, relevant, specific, timely, foresighted and actionable intelligence regarding the implications of business environment, competitors, and the organization itself” -Society of Competitive Intelligence Professionals
  4. 4. Why Intelligence? Intelligence is usually ahead of its time, and exploits analytics pertaining to past behaviour for provision of much required insight into course of events.
  5. 5. Competitive Intelligence as a Product Competitive Intelligence is ethical, timely and useful value-added information on customers, competitors, other stakeholders in the competitive environment and the within the firm.
  6. 6. Competitive Intelligence as a Process In this case, it involves establishing intelligence needs, generating information, analysing and disseminating actionable intelligence to key decision makers, for building competitive advantage and boosting profitability.
  7. 7. “If you are ignorant of both your enemy and yourself, then you are a fool and certain to be defeated in every battle.” - Sun Tzu
  8. 8. Function of Intelligence
  9. 9. 7Ps of CI  People  Porism  Plan  Processes  Prod  Pathfinder  Performance Source: Elijah Ezendu, Competitive Intelligence
  10. 10. Categories of Competitive Intelligence
  11. 11. Market Intelligence This highlights acquisition and analysis of information pertaining to trends, geopolitical issues and regulations in a firm’s market.
  12. 12. Competitor Intelligence This involves monitoring and analysis of key competitors, budding competitors, new competitors and probable competitors.
  13. 13. Reasons for Monitoring Competitors o Predict their next action o Exploit their weaknesses o Undermine their strength o Blow up threats against them o Undercut their opportunities
  14. 14. Partner Intelligence This involves keeping tabs on every individual and organization that has a form of value network with the value chain of a particular firm.
  15. 15. Customer/Prospect Intelligence This embraces continuous identification and analysis of demographic factors, budget cycles, key internal influences and key focus areas of customers/prospects.
  16. 16. Technical Intelligence It entails examining every accessible research and development report and allied technical application in order to keep track of competitive technical know-how, make out business alternatives, and generate appropriate and well-timed warning signal to decision makers.
  17. 17. Three Types of Intelligence Recurrent Intelligence: It’s done to be abreast with activities and is not connected to a specific strategic or tactical decision. Reference Intelligence: It’s used as groundwork for specific strategic or tactical decision and regularly demanded. Strategic Intelligence: This encompasses broad spectrum of issues and is classically structured to a specific strategic decision.
  18. 18. Counterintelligence It’s a process of securing business secrets, plans, techniques, programmes and projects in order to ward-off adversary.
  19. 19. How does CI improve Business Performance? i. Lessens costs ii. Boosts sales iii. Captures alliance opportunities iv. Discover gainful acquisition prospect v. Clamps down on competitors’ profits and sales vi. Enhances defensive strategies vii. Improves organizational agility viii. Achieve first-class status for higher prices ix. Provides leverage for outwitting performance barrier
  20. 20. Overview of CI Process Models Ashton and Stacey Business Intelligence Process Model 4Cs Process Model SCIP CI Process Model
  21. 21. Ashton and Stacey Business Intelligence Process Model 2. Collect Source Materials 3. Analyze Source Data 1. Plan Intelligence Activities Intelligence Information Systems 4. Deliver Information Products 6. Evaluate Programme Performance 5. Apply Intelligence Results Impacts Needs Data Needs Targets Sources Methods Information Feedback Intelligence Source: Arthur Weiss, A brief Guide to Competitive Intelligence
  22. 22. 4Cs Process Model Collection • Definition and planning based on user requirements •Raw information collection from primary and secondary sources as related to intelligence requirements Conversion • Collate and catalogue data • Integrate data with other related data elements • Analyze, interpret and process data CI/Intelligence Information System Countering Utilization of intelligence in the decision making process Communications • Disseminating data to relevant users •Establishing feedback mechanisms to ensure that information matches needs Intelligence User Source: Arthur Weiss, A brief Guide to Competitive Intelligence
  23. 23. CI Conversion Data Analyze Synthesize Information Insight Experience Intelligence Competitive Advantage
  24. 24. SCIP CI Process Model Collect Data Information Compile Compile Compile Compile Knowledge Communicate Intelligence Decision Results Decision Maker Adapted from William Wilson, NextStep and Timothy W. Powell
  25. 25. Generic CI Process
  26. 26. CI Analytical Scheme
  27. 27. CI Life Cycle The average life cycle of CI projects is very small.  Define Question (1 to 2 weeks)  Gather Data (2 weeks)  Organize Data (2 weeks)  Synthesize and Filter Data (2 weeks)  Analyze Proper Data (2 weeks)  Prepare Findings (1 week)  Identify Insights (1 week)  Outline Recommendations (1 week)  Draft CI Report (1 week)  Assess and Approve Report (1 to 2 weeks)
  28. 28. Competitive Intelligence: The Bridge Between Information and Action Competitive Intelligence Magazines Newswires SEC filings Web Sites Census Market Research Newspapers Business Intelligence Software News Portals Online Directories Vertical Portals News Portals Research Shops Competitor Profiling SWOT Analysis Trend Analysis Simulation Forecasting Monitoring Tailoring Archiving Communications Brand Marketing Position Human Resources Suppliers Mergers/Acquisition Financial Product Dev. Business Dev. Public Relations Marketing Information Source: ShiftCentral
  29. 29. Analysis Techniques Used in CI (1) Environmental Analysis  Scenario Analysis  Macroenvironmental (STEEP) Analysis  Issue Analysis  Stakeholder Analysis Strategic Analysis  GE Business Screen Matrix  SWOT Analysis  Industry Analysis  BCG Growth/Share Portfolio Matrix  Value Chain Analysis  Strategic Group Analysis
  30. 30. Analysis Techniques Used in CI (2) Competitor and Customer Analysis  Competitor Analysis  Customer Value Analysis  Functional Capability and Resource Analysis  Management Profiling  Blindspot Analysis  Customer Segmentation Analysis  War Gaming  Conjoint Analysis  Win/Loss Analysis Financial Analysis  Sustainable Growth Rate Analysis  Financial Ratio and Statement Analysis  Strategic Funds Programming
  31. 31. Analysis Techniques Used in CI (3) Evolutionary Analysis Patent Analysis Experience Curve Analysis Product Life Cycle Analysis Growth Vector Analysis S-Curve (Technology Life Cycle) Analysis
  32. 32. Primary Sources of Data I. Observations II. Marketplace Surveys III. Interview with Internal Experts IV. Journalists V. Discussion Forums VI. Internet Blog VII. Industry/Product/General Wiki VIII. Professional Institutes IX. Trade Unions & Associations X. Customers XI. Professionals within the industry XII. Suppliers to the industry XIII. Competitors XIV. Stockbrokers XV. Conferences
  33. 33. Secondary Sources of Data 1) Directories 2) Trade Publications 3) Newspapers 4) Federal Office of Statistics 5) Magazines 6) Journals 7) Newsletters 8) Industry Periodicals 9) Government Statements and Reports 10) Annual Reports 11) Online Databases 12) Vendor’s Promotional Material 13) Press Releases 14) Websites 15) Subscription News Feeds
  34. 34. CI Products and Deliverables i. Early Warning Alerts ii. Market Audits iii. Industry Audits iv. Customer Profiles v. Competitor Profiles vi. Technology Profiles vii.Supplier Profiles viii.Competitive Benchmarking
  35. 35. Uses of Competitive Intelligence  Acquisition and Prevention of Acquisition  Merger Process  Sales  Business Modeling  Strategic Alliances  Manpower Development  Organizational Development  Strategic Course-Plotting  Issues Monitoring  Due Diligence  Benchmarking  Technology Assessment  New Venture Development  Satisfaction Surveys  Environmental Scanning  Business Opportunities and Risks Ascertainment  Crafting Strategy  Generic Business Development Programmes
  36. 36. 12 Application Priorities of CI 1. Current Competitor Activities and Strategy Monitoring 2. Customers, Vendors and Other External Allied Monitoring 3. Operational Performance and Benchmarking 4. Product/Service Sales and Marketing Support 5. Strategic Probabilities and Possible Futures 6. Internal Knowledge Management 7. Intellectual Property Exploitation and Protection 8. Mergers, Acquisitions, Alliance and Investment Support 9. Long-Term Market Prospects & Spotting Weak Signal Blindspots 10. Counter-Intelligence & Information Security 11. Legislative and Regulatory Activity as well as Impact on Business Issues 12. Executive Decision-Support and Competitive Strategy Planning Source: Recon Competitive Intelligence Solutions
  37. 37. Friedman’s Information Layers
  38. 38. Requirements for Starting a CI Programme Well-trained and empowered staff Access to resources Properly structured unit or department
  39. 39. Roles in the Intelligence Process Core Roles i. Primary Researchers ii. Secondary Researchers iii. Integrators iv. Analysts Supporting Roles i. Protectors ii. Knowledge Builders iii. System Builders iv. Data Builders v. Decision Makers
  40. 40. Positioning an Intelligent Firm Source: Elijah Ezendu, Building Intelligent Firms
  41. 41. Competitive Intelligence Solution An apposite Competitive Intelligence Solution provides a tested platform for conducting data-banking, synthesis, analysis, structured evaluation and sophisticated report generation. Examples of CI Solution 1. Cipher Solution from Cipher Systems. 2. ACIS from Coemergence Inc. 3. Astragy from Astragy B.V. 4. Comintell KXC from Comintell. 5. Acuity from Acuity Software
  42. 42. Dr. Elijah Ezendu is Award-Winning Business Expert & Certified Management Consultant with expertise in HR, OD, Competitive Intelligence, Strategy, Restructuring, Business Development, Sales & Marketing, Interim Management, CSR, Leadership, Project & Programme Management, Cost Management, Outsourcing, Franchising, Intellectual Capital, eBusiness, Social Media, Software Architecture, Cloud Computing, eLearning & International Business. He holds proprietary rights of various systems. He is currently CEO, Rubiini (UAE); Hon. President, Worldwide Independent Inventors Association; Special Advisor, RTEAN; Director, MMNA Investments Limited. He had functioned as Chair, International Board of GCC Business Council (UAE); Senior Partner, Shevach Consulting; Chairman (Certification & Training), Coordinator (Board of Fellows), Lead Assessor & Governing Council Member, Institute of Management Consultants, Nigeria; Lead Resource, Centre for Competitive Intelligence Development; Turnaround Project Director, Consolidated Business Holdings Limited; Lead Consultant/ Partner, JK Michaels; Technical Director, Gestalt; Chief Operating Officer, Rohan Group; Executive Director (Various Roles), Fortuna, Gambia & Malta; Director, The Greens; Chief Advisor/Partner, D & E; Vice Chairman, Refined Shipping; Director of Programmes & Governing Council Member, Institute of Business Development, Nigeria; Member of TDD Committee, International Association of Software Architects, USA; Member of Strategic Planning and Implementation Committee, Chartered Institute of Personnel Management of Nigeria; Adjunct Faculty, Regent Business School, South Africa; Adjunct Faculty, Ladoke Akintola University of Technology, Nigeria; Editor-in-Chief & Chairman of Editorial Board, Cost Management Journal; National Executive Council Member, Institute of Internal Auditors of Nigeria; Member, Board of Directors (Several Organizations). He holds Doctoral Degree in Management, Master of Business Administration and Fellowship of Several Professional Institutes in North America, UK & Nigeria. He is an author & widely featured speaker in workshops, conferences & retreats. He was involved in developing Specialist Master’s Degree Course Content for Ladoke Akintola University of Technology (Nigeria) and Jones International University (USA). He holds Interim Management Assignments on Boards of Companies as Non-Executive Director.
  43. 43. Thank You