Thomas Ritter (SMG, CBS) While most firms are knowledgeable about their customers and their capabiities, the real challenge is to align the different parts of the business – and to keep a holistic picture on competition. The new book is inspired by hundreds of discussions with executives on their challenges to accelerate their firm’s competitiveness. In the session, Thomas will present the main management tools from the book and discuss the managerial dilemmas of today’s executives. The CBS Competitiveness Day 2014 @ Copenhagen Business School

1. Thomas Ritter
Professor of Market Strategy and Business Development
Department of Strategic Management and Globalization
Academic Director
CBS Competitiveness Platform
Kilevej 14A, DK-2000 Frederiksberg
+45 3815 2121 – ritter@cbs.dk
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Alignment Squared – Book Launch
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Alignment Squared – Book Launch
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Square 1:
Business Objectives Square
Sustainable
businesses
2 1
4 3
Business Profit
Unsustainable
businesses
Business Purpose
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Alignment Squared – Book Launch
© Ritter 2014
Square 2:
Business Model Square
What?
(value propositions)
How?
(value demonstrations)
Who?
(customers)
Which?
(capabilities)
Novo Nordisk is a
global healthcare
company with 90
years of innovation
and leadership in
diabetes care. The
company also has
leading positions
within haemophilia
care, growth
hormone therapy and
hormone
replacement therapy.
Danfoss is a global leader
focused on energy-efficient
solutions that save energy and
costs, and reduce CO2
emissions. The company’s wide
range of products and services
are used in areas such as
cooling food, air conditioning,
heating buildings, controlling
electric motors and powering
mobile machinery. The
company is also active in the
field of solar and wind power as
well as district heating and
cooling infrastructure that
targets entire cities and urban
communities.
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Alignment Squared – Book Launch
© Ritter 2014
A business model describes the way
a firm earns its profits
What?
(proposition)
(customer)
Which?
(capability)
How?
Who?
(demonstration)
Purchasing
Producing
Commercial.
Solution
Service
Goods
Customer A
Segment I
Distribution
KAM
Call center
e-business
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Alignment Squared – Book Launch
© Ritter 2014
A FMCG firm
Production
Development
Market Research
Vending machine
Replenishment
Coolers
Product A
Off trade
On trade
Segment 1
(customer)
Which?
(capability)
KAM
Who?
Consultents
Mass comm
Events
Segment 2
Segment 3
Product B
Product C
x
B2B
B2C
x
x
x
x
x
x
x
x
x
x
x x
x x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
What?
(proposition)
How?
(demonstration)

6. 6
New value proposition X X X
X
X
X
Alignment Squared – Book Launch
© Ritter 2014
Growth options
Value proposition 2
What?
(value propositions)
Who?
(customers)
Customer 1 at t1
Value proposition 3
Value proposition 1
X
X
Customer 1 at t2
Value proposition 4
X
X
Cross selling
Up selling
Price selling
More selling
X
X
Customer 1 at t2
Competitive growth
Acquiring customers from
competitors
(customer take-overs)
Substantial growth
Converting
non-customers
(customer onboarding)
New customer segment

7. 7
Rethinking existing value propositions
Rethinking existing customers
Rethinking existing capabilities
Rethinking existing value communications
Rethinking existing links
Alignment Squared – Book Launch
© Ritter 2014
Developing business models
Shaping new value propositions
Shaping new customers
Shaping new capabilities
Shaping new value communications
X
X
A
X
B
X X
C
D
X
E
5
4
3
2
1
a
X
Who?
(customer)
Which?
(capability)
X X X X
b
c
I
II
III
X
X X X X
X X
X
X
X
X
X
X
X
X
What?
(proposition)
How?
(demonstration)
Rethinking non-existing links

8. NEVER STOP COMPETING!
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Alignment Squared – Book Launch
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