4. What is strategy and innovation?
STRATEGY IS NOT
CELEBRATING THE PAST
CELEBRATING THE PRESENT
STRATEGY IS
ADAPTING TO
CHANGE
STRATEGY IS
INNOVATION
Strategy is leadership
in the future
5. BOX ONE
- MANAGING THE PRESENT
- IMPROVINGTHE EFFICIENCYOFYOUR
CURRENT MODEL
- COMPETITION FORTHE PRESENT
- EFFICIENCY
- SCISSORS
- 4FT 2INC
- HURDLING MOTION
- DOMINANT LOGIC
- Self-Imposed boundaries
- USEFUL but need to be overcome
- EXECUTION
- CURRENT BUSINESS
BOXTWO
- SELECTIVELY
FORGETTINGTHE
PRESENT
- COMPETITION FORTHE FUTURE
- STRATEGY
- INNOVATION
- CHANGETHE BUSINESS MODEL
- WESTERN ROLL
- EASTERN ROLL (straddle)
BOXTHREE
- CREATETHE FUTURE
- COMPETITION FORTHE FUTURE
- STRATEGY
- INNOVATION
- FOSBURY FLOP
- COMMERCIALIZINGTHE IDEA
- 1% Inspiration and 99% perspiration
- 1% Ideas + 99% Execution
- FUNDAMENTAL
- NEWTEAM
- INNOVATION = Idea + leader + team + plan
- ITSAN EXPERIMENT
INNOVATION CHALLENGE – DOING IT RIGHT
6. INNOVATIONLEADER
- (IS NOT TO BREAK ALL
RULES AND BE A
SUBVERT)
- HUMBLE
- WORK WITH
BEREAUCRACY
- HARNESS THE GREAT
CAPABILITIES OF THE
PERFORMANCE ENGINE
INNOVATION
- INNOVATION IS ABOUT
FLEXIBILITY
- WHAT WOULD MAKE
INNOVATION FAIL?
- INNOVATION CANNOT
HAPPEN INSIDE THE
PERFORMANCE
ENGINE
- NOT CONSTITUTING
THE TEAM AND THE
PLAN CORRECTLY
CONSTITUTING
THE TEAM
- DISTINCT AND SEPARATE TEAM
- SEPARATE PLAN IS NEEDED
- RECRUIT RIGHT CAPABILITIES
- DIFFERENT PROCESSES
- DEIFFERENT METRICS
- DIFFERENT CULTURE
- SET UP A DEDICATED TEAM
- LINK IT TO THE PERFORMANCE
ENGINE (TO USE SOME OF THE
CONTENT)
- LINKING THO CREATE CONFLICT
- SHARED STAFF BECAUSE SOME
PARTS OF THE PERFORMANCE
ENGINE ASSETS ARE STILL USEFUL
FOR BOX THREE
7. THIS IS WHAT WE HAVE
BEEN DOING AT BADWI
GROUP
CONSTITUTING THE TEAM
8. ALL TEAM MEMBERS ARE BADWI
BADWI
GROUP
DIRECTOR, GM, OPS
MANAGER, LOGISTICS
MANAGER,
MESSENGER,
DISPATCHER, ETC
PURE
LOGISTICS
WORKSHOP
MANAGER, MECHANIC,
TYRE FITTER, DRIVER,
LORRYMATE,
CLEANER, SECURITY,
COOK, GREASER ETC
ACCOUNTANT, BUYER,
ASSISTANT
ACCOUNTANT, HR
MANAGER, FITTER,
SAFETY MANAGER
DRIVER, LORRYMATE,
CLEANER, SECURITY,
COOK,
SMART
SOLUTIONS
PRIM
E OIL
9. TEAM MEMBERS NEED LEADERS
BADWI
GROUP
DIRECTOR, GM, OPS
MANAGER, LOGISTICS
MANAGER,
MESSENGER,
DISPATCHER, ETC
PURE
LOGISTICS
WORKSHOP
MANAGER, MECHANIC,
TYRE FITTER, DRIVER,
LORRYMATE,
CLEANER, SECURITY,
COOK, GREASER ETC
ACCOUNTANT, BUYER,
ASSISTANT
ACCOUNTANT, HR
MANAGER, FITTER,
SAFETY MANAGER
DRIVER, LORRYMATE,
CLEANER, SECURITY,
COOK,
SMART
SOLUTIONS
PRIM
E OIL
10. THE LEADERSHIP REQUIRED MUST BE COURAGEOUS
MOST LEADERS “COLD FEET” TO LEAD DIFFICULT
SITUATIONS!
NELSON MANDELA – 27 YEARS IN PRISON FOR BEING
COURAGEOUS
CONSTITUTED THE TRUTH AND RECONCILIATION COMMISSION
THE MOST FAMOUS MANDELA QUOTE AT “FAMOUS RIVONIA
TRIAL”
“ENDING APARTHEID WAS THE CAUSE HE WAS FULLY
PREPARED TO FIGHT FOR EVERY REMAINING DAY OF HIS
LIFE AND IF NEED BE , HE SAID, IT’S A CAUSE AM FULLY
PREPARED TO DIE FOR “
VISION IS A PICTURE OF THE FUTURE THAT CREATES A
PASSION IN PEOPLE
11.
12. THE WAY TO GO IS
KPI’s
SMARTClearance SolutionsS
EnterprisesLimited
14. DEFINITION OF KPI’s
Quantitative and qualitative measures used to review an
organisation's progress against its goals.
These are broken down and set as targets for achievement by
departments and individuals.
The achievement of these targets is reviewed at regular intervals
We note that :
Definitions of KPIs have a consistent thread, generally centred on
quantifiable, measurable progress towards achieving
organizational goals and objectives.
16. PRINCIPLE OF KPI’s
“85% of organizational problems can be attributed to processes and
management, while workers are responsible for only 15%” Aurel Brudan, CEO of smartKPIs.com
KPIs - Most commonly used tools that companies employ to
help manage more effectively
guide their progress.
allows transparency to any “trouble-spots”
provides illumination to potential opportunities.
In brief, KPIs are the top level data companies use to
measure performance and plan for the future.
17. PRINCIPLE OF KPI’s
SMART
• Specific – clear and focused to avoid misinterpretation or ambiguity;
• Measurable – can be quantified/measured and may be either
quantitative or qualitative
• Attainable – requires targets to be set that are observable,
achievable, reasonable and credible under expected conditions as well
as independently validated;
• Realistic – fits into the company’s constraints and cost effective
• Timely – achievable within the given timeframe;
18. PRINCIPLE OF KPI’s
Representative – appropriate to the company together with its
operational performance;
Used to identify trends – changes are infrequent, may be compared to
other data over a reasonably long time and trends can be identified;
Understood – individuals and groups know how their behaviours and
activities contribute to overall company goals;
Agreed – all contributors agree and share responsibility within the
company;
Reported – regular reports are made available to all stakeholders and
contributors focused on company’s wide strategic value rather than non-
critical local business;
Outcomes – selection of the wrong KPI can result in counterproductive
behaviour and sub optimised outcomes
19. PRINCIPLE OF KPI’s
AND MUST BE :
Governed – accountability and responsibility is defined and understood;
Resourced – the program is cost effective and adequately resourced
throughout its lifetime; and
Assessed – regular assessment to ensure that they remain relevant.
20. GOOD MANAGERS NEED KPI’s
Managers need KPIs for a number of reasons:
1. To determine where you have been and what
performance looks like from the past
2. To track the progress of change
3. To plan and prepare where you are going,
4. What success looks like in the future and identify
how to achieve success
21. GOOD MANAGERS NEED KPI’s
Key Performance Indicators (KPIs) help managers :
understand how their organizations are performing
in relation to their strategic goals and objectives.
When set and used properly, KPIs provide:
an indicator to senior managers and stakeholders as
to how the organization is performing and whether
performance is on track with projections.
22. GOOD MANAGERS NEED KPI’s
And as stated:
KPIs assist the company to define and measure
progress towards its goals and objectives.
Once the company has analysed its mission and
defined its goals, it needs to measure progress
towards those goals.
KPIs provide and serve as a MeasurementTool
23. UNDERSTANDING KPI’s
Use KPIs in business as you would in your daily life.
If your objective is to lose 10 kilograms, then that becomes your
goal. To achieve this, you set KPIs (milestones along a timeline)
to illustrate your progress toward your goal.
For example, how many kilograms do you want to lose each
week; each month? Can you cut down on specific fatty foods
and how will you measure that? Do you need to increase the
amount of physical exercise? How do you plan to measure that?
Or if your goal is to run a marathon, your KPIs are how many
kilometres you can run in a day or in a week, etc.
24. UNDERSTANDING KPI’s
- IN REALITY:
- A simple example would be that your goal is to build your cash
reserve to K100,000.Your KPI to reach that goal would be to add
K10,000 per month to cash reserves.
- The metric would be how much cash you actually contribute
toward the total goal
- This means you have to raise cash, save, and find a way to
curtail on expenses
25. ESTABLISHING KPI’s
In launching KPI’s, it is important to:
a. Establish goals
b. Create metrics to achieve your goals
c. Execute according to your metrics
In short, establishing measurements initially may seem
overwhelming, and just another item to add to your plate of things to
do. However, they pay off immensely in the long run. Once
implemented, you won’t be able to make decisions until you see your
KPI report! This is the due diligence for small businesses – the more
you know, the better and more effective your decision making
process will be.
27. ESTABLISHING KPI’sKPI BENCHMARK POSSIBLE
MEASURES
POSSIBLE
TARGETS
METHOD RESPONSIBLE OWNER FREQUENCY UNDERTAKEN BY
Transport
Requests from
clients
Agreed response times
for different request
Time X% response
within x time
System
reports/logs
across depts.
Operations and
Marketing Manager
Monthly Operations Manager –
Open Bodies
Delivery to
clients
Agreed times for
delivery of
different service types
Time (EPA/ ETA) X% delivery
within x
time and/or
Maintain a
minimum
of X%
Survey
and/or
system
reports/logs
across clients
Operations and
Marketing Manager
Monthly Operations Manager –
open bodies and acid
tankers
29. Levels of KPI’s
It is also suggested that the company base KPIs on
two levels as follows:
• Strategic KPIs; and
• Operational KPIs.
It is important to note that some KPIs might be
relevant and appropriate to both strategic and
operational levels.
30. LEVELS OF KPI’S
Strategic KPIs
Strategic KPIs should address the measurements
required at a high level and take a top down
approach, as illustrated in Figure below.
For example, strategic KPIs should start at or
near the top of the pyramid and, in particular,
address transportation management governance
and accountability.
32. Levels of KPI’s
Operational KPIs
Conversely, operational KPIs should be
approached from the ground up.
At this level, KPIs measure functions and
activities of an operational nature, such as
the delivery of goods management services.
This is shown in Figure below:
34. KPI’s
IS THE WAY TO GO!
ESTABLISH AND ROLL OUT COMPANY
OBJECTIVES AND GOALS
LET US GIVE OURSELVES TIMEFRAMES TO
COME UP WITH DEPARTMENTAL KPI’S
INDIVIDUAL KPI’S
CONSOLIDATION OF KPI’S INTO MASTER FILE
35. LET US NOW ESTABLISH OUR dept. KPI’s
KPI BENCHMARK POSSIBLE
MEASURES
POSSIBLE
TARGETS
METHOD RESPONSIBLE
OWNER
FREQUENCY UNDERTAKEN BY TIME
LINES
Administration /
Overhead
Finance
Operations
Workshops
HR
