The rise of the industry agnostic enterprise

1,760 views

Published on

Measuring your risk and performance by the value you add to your customers.

0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
1,760
On SlideShare
0
From Embeds
0
Number of Embeds
103
Actions
Shares
0
Downloads
0
Comments
0
Likes
2
Embeds 0
No embeds

No notes for slide

The rise of the industry agnostic enterprise

  1. 1. SIMMETHOD™ Competing Outside your Fishbowl The Rise of the Industry-Agnostic Enterprise A New Industry-Agnostic Way to Measure and Predict Corporate Risk and Performance and Fend-Off Current and Future Competitors 11/30/2014 1 WWW.SIMMETHOD.BLOGSPOT.COM
  2. 2. SIMMETHOD™ Risk and Opportunity C-Suite Alerts 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 2
  3. 3. Competing Outside your Industry “My fundamental belief is that if a company wants to see the future, 80 percent of what is going to have to learn will be from outside its own industry”. Dr Gary Hamel 11/30/2014 3 WWW.SIMMETHOD.BLOGSPOT.COM
  4. 4. Competing Outside Your Industry Blue Ocean Strategy •“Blue ocean strategy is based on the view that market boundaries and industry structure are not given and can be reconstructed by the actions and beliefs of industry players”. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 4
  5. 5. Competing Outside Your Industry Blue Ocean Strategy •“Assuming that structure and market boundaries exist only in managers’ minds, practitioners who hold this view do not let existing market structures limit their thinking. •To them, extra demand is out there, largely untapped”. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 5
  6. 6. Competing Outside Your Industry Blue Ocean Strategy •“The crux of the problem is how to create it. This, in turn, requires a shift of attention from supply to demand, from a focus on competing to a focus on value innovation – that is, the creation of innovative value to unlock new demand”. Wikipedia 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 6
  7. 7. Competing Outside Your Industry requires industry-agnostic metrics •“Starbucks thinks it might make some of its future revenue as a software company”. Quartz 4/25/14 •“Google is waging a financial war of attrition to win the cloud”. Mims, Quartz 4/24/14 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 7
  8. 8. Competing outside your industry requires industry-agnostic metrics •“Apple earnings prove it: This is a phone company”. Christopher Mims, Quartz, 4/24/14 •“Apple appears to be quietly building out an infrastructure to expand this business further, and it could put Apple at the forefront of e-commerce and mobile payments”. Business Insider, 4/27/2014 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 8
  9. 9. The Way We Measure Corporate Performance is Broken •What happens when enterprises use metrics, leading indicators, analytics and risk alerts that are industry inward-looking rather than industry-agnostic market focused? 11/30/2014 9 WWW.SIMMETHOD.BLOGSPOT.COM
  10. 10. The Way We Measure Corporate Performance Is Broken Why do Businesses fail or fail to perform? Blockbuster Borders Circuit City Mervyns Wachovia Washington Mutual Linen n’ Things 11/30/2014 10 WWW.SIMMETHOD.BLOGSPOT.COM
  11. 11. Competing Outside your Industry SIMMETHOD Strategy & Execution Performance Predictive Index Your industry’s competitors Your industry’s Best-In-Class Market competitors from outside your industry Market’s Best- In-Class Why do you need industry agnostic metrics? The entire market is your new fishbowl 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 11
  12. 12. The Leading Indicators and Risk Alerts of the Market Best-In-Class Why do you need industry agnostic metrics, analytics, leading indicators and risk alerts? •In an interdependent market (like the planets in the solar system) your current and future risk and performance are impacted by an ecosystem of constantly changing competitors coming from inside and outside your Industry. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 12
  13. 13. Your C-Level Line of Vision Will determine Your Results Your data Your industry data, ratios & risk alerts SIMMETHOD™ industry agnostic strategy execution performance predictive indices SIMMETHOD industry agnostic Best-In-Class Profiles and Risk & Opportunity Alerts Your C-Level line of vision without SIMMETHOD’s industry agnostic metrics and risk alerts Traditional Business Intelligence and analytics with Your Company and industry data only 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 13
  14. 14. It is hard to prevent what you do not know •Risk: doing better than your industry’s peers but unable to identify and fend off future competitors from outside your industry. (See next charts) 11/30/2014 14 WWW.SIMMETHOD.BLOGSPOT.COM
  15. 15. How to Fend Off New Competitors Coming From Different Industries? 0 1 2 3 4 5 6 7 8 9 2012 2013 2014 SIMMETHOD's industry agnostic Best-in-Class Your industry's Best- In-Class YOU Industry-agnostic leading indicators and metrics of the SIMMETHOD Best-In- Class Risk and opportunity gap 11/30/2014 15 WWW.SIMMETHOD.BLOGSPOT.COM
  16. 16. How to Fend Off New Competitors Coming From Different Industries? 0 1 2 3 4 5 6 7 2012 2013 2014 SIMMETHOD's industry agnostic Best-in-Class Your competitors within your industry YOU 11/30/2014 16 WWW.SIMMETHOD.BLOGSPOT.COM Industry-agnostic leading indicators and metrics of the SIMMETHOD Best-In- Class Risk & opportunities gap
  17. 17. Are You Confusing Any Positive Growth For Real Competitive Advantage? •Risk: Although your Strategy & Execution Performance Predictive index is higher than your peers, it is lower than the Strategy & Execution Performance Predictive Index of the SIMMETHOD Best-In-Class 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 17
  18. 18. Are You Confusing Any Positive Growth For Real Competitive Advantage? 0 1 2 3 4 5 6 7 8 9 2012 2013 2014 Best-In-Class Strategy & Execution Performance Predictive Index Your competitors within your industry Your Strategy & Execution Performance Predictive Index 11/30/2014 18 WWW.SIMMETHOD.BLOGSPOT.COM Industry agnostic metrics and leading indicators of the SIMMETHOD Best-in-Class Risk and opportunities gap
  19. 19. Are Your Leading Indicators Sending You Broke? •Risk: Beating analysts’ expectations but unable to identify and fend off future competitors from outside your industry. (See next charts) 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 19
  20. 20. Competing Outside your Industry SIMMETHOD Strategy & Execution Performance Predictive Index Your industry’s competitors Your industry’s Best-In-Class Market competitors from outside your industry Market’s Best- In-Class Your industry The entire market is your new fishbowl Beats analyst expectations. Is this a failed metric and leading indicator? 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 20 Your products
  21. 21. How to Fend Off New Competitors Coming From Different Industries? 0 1 2 3 4 5 6 7 8 2012 2013 2014 SIMMETHOD's industry agnostic Best-in-Class Analysts expectations YOU beating analysts expectations Risk & opportunities gap 11/30/2014 21 WWW.SIMMETHOD.BLOGSPOT.COM Industry agnostic leading indicators of the SIMMETHOD Best-in- Class
  22. 22. Can industrial-era metrics and ratios mislead you into wrong decisions? •Industrial-era classifications were designed when industries had clearly defined barriers to entry and for a business world and business rules that do not exist anymore 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 22
  23. 23. Can industrial-era metrics and ratios mislead you into wrong decisions? •Now the main question is not in which industry you are in but rather what is your ecosystem, business model and from how many old- industries your competitors will come from? 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 23
  24. 24. Can industrial-era metrics and ratios mislead you into wrong decisions? •Are your metrics, analytics, business and marketing intelligence and leading indicators based on old industry or product classifications? 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 24
  25. 25. Can industrial-era metrics and ratios mislead you into wrong decisions? •In the following graph, although your sales data trend is positive and beating analysts’ expectations, your SIMMETHOD Sales Index shows a widening gap to the Best-In-Class, indicating a loss of competitive advantage against future competitors and the Best-In-Class. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 25
  26. 26. Can industrial-era metrics and ratios mislead you into wrong decisions? 0 1 2 3 4 5 6 2012 2013 2014 Your SIMMETHOD Sales Index Analysts expectations Your sales raw data beating analysts expectations SIMMETHOD Best-In- Class Sales index Widening Sales Index gap to the Best-In-Class 11/30/2014 26 WWW.SIMMETHOD.BLOGSPOT.COM When your performance is below B-I-C beating analysts’ expectations is a failed metric
  27. 27. Can industrial-era metrics and ratios mislead you into wrong decisions? •“Amazon First Quarter Sales Pop 23%, Beat Street Expectations”. Maggie McGrath, Forbes 4/24/2014. •“Amazon’s shrinking profit sets off a seismic shock to its shares”. James B. Stewart, The New York Times. •Suddenly, the stock market is worried about Amazon’s profit-free business model”. John McDuling, Quartz. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 27
  28. 28. Can industrial-era metrics and ratios mislead you into wrong decisions? •“Pandora’s Stock Is Getting Nuked Despite Beating Analysts’ Expectations”. •“Even though Pandora reported better than expected earnings on Thursday, its stock is trading down 12%”. Business insider, 4/12/2014 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 28
  29. 29. Competing Outside Your Industry Requires New Industry-Agnostic Metrics Key predictive question: •How do you measure and predict your risk and performance and identify new opportunities in an industry-agnostic market? 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 29
  30. 30. 30/11/2014 Strategy & Execution Performance Predictive Index www.simmethod.blogspot.com SIMMETHOD Strategy & Execution Performance Predictive Index, Competitive Intelligence Database & Risk Alerts SIMMETHOD: A new industry agnostic way to measure and predict your risk and performance in a “world without industries”, the Internet of Things and Connected Intelligent Products BEST IN CLASS LOW PERFORMANCE & MAXIMUM RISK Global, predictive strategy/execution score & risk alerts Risk & Performance aligned to the B-I-C Industry agnostic C- level risk alerts and leading indicators Context rather than absolute metrics & targets Crowd sourced competitive intelligence Unable to fend off future competitors from different industries Lack of holistic strategy & execution C- level metrics Lack of crowd sourced self correcting analytics Industry specific rather than market metrics and C-level risk alerts Absolute or relative metrics rather than B-I-C context metrics Metrics & targets are industry agnostic (market rather than industry specific) Risk & Performance driven by external circumstances beyond management control
  31. 31. SIMMETHOD Risk and Opportunities Alerts •The SIMMETHOD algorithms review business data and stockholders valuation-decisions across business sectors and build industry- agnostic indices in order to identify, measure, correlate and predict your strengths, weaknesses, risks and opportunities against your current and potential future competitors from inside or outside your industry. 11/30/2014 31 WWW.SIMMETHOD.BLOGSPOT.COM
  32. 32. SIMMETHOD’s Disclaimer •The purpose of the SIMMETHOD Strategy & Execution Performance Predictive Index and risk and opportunities alerts is not to make a business right or wrong but rather contribute towards the understanding of management actions in comparison to industry’s peers and the SIMMETHOD Best In Class. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 32
  33. 33. SIMMETHOD’s Disclaimer •SIMMETHOD’s Strategy & Execution Performance Predictive Index and risk and opportunities alerts do not seek to be exact but rather serve as a conduit to ask better questions and seek better answers in the performance improvement, risk minimization and value creation journey. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 33
  34. 34. SIMMETHOD’s Disclaimer •Sometimes, the value of a metric in itself does not provide the greatest of insights, but valuable actionable knowledge is gained from its ability to provide a trend or a common comparison yardstick with other businesses across a range of industries. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 34
  35. 35. SIMMETHOD’s Disclaimer •This Presentation is for informational purpose only and SIMMETHOD shall not be liable for the contents of the Presentation or for any damage incurred or alleged to be incurred to any of the businesses included in the Presentation as a result of its content. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 35
  36. 36. SIMMETHOD Risk and Opportunities Alerts SIMMETHOD is in the top 1% of most viewed on Slideshare and has been “Hot” on LinkedIn, Twitter and Facebook 50 times. 11/30/2014 WWW.SIMMETHOD.BLOGSPOT.COM 36
  37. 37. Jorge Oscar Tabacman jtabacman@gmail.com Twitter ID: SIMMETHOD SIMMETHOD A New Way to Measure and Predict the Risk and Performance of Your Business and Alert You of New Threats and Opportunities 11/30/2014 37 WWW.SIMMETHOD.BLOGSPOT.COM

×