The document outlines a three-step process for companies to identify and prioritize new market opportunities adjacent to their core business in order to accelerate growth. Step 1 involves gaining alignment on objectives, unique capabilities, and criteria. Step 2 uses secondary research to develop fact bases to screen and rank adjacencies. Step 3 performs in-depth assessments to determine the best adjacency to pursue. The process is designed to efficiently identify opportunities and allocate resources to the most promising ones.
The document discusses core competency and competitive advantage. It defines core competency as critical skills and expertise that allow an organization to create new products for customer needs. Developing a strategic architecture and identifying core competencies can help consolidate skills and bind existing and new businesses. For sustained competitive advantage, an organization's core competencies should be valuable, rare, difficult to imitate, and leveraged through complementary organizational resources.
This document discusses distribution strategies, including channel structure, distribution scope, multiple channels, and channel control. It defines key terms like direct and indirect distribution channels. For channel structure, it describes direct distribution with no intermediaries and indirect distribution passing through agents. Distribution scope strategies include exclusive, selective, and intensive distribution which target different customer groups. Multiple channels can be complementary, targeting different segments, or competitive, selling the same products. The document outlines vertical marketing systems as a channel control strategy.
Corporate strategy is a process by which an organization envisions its long-term goals. It should include establishing a plan, position, and shared vision to motivate employees. Benefits include a framework for action, evaluating competitors, and annual evaluations. Critical factors are responding to strengths/weaknesses and opportunities/threats, developing differentiated roles, and identifying economic factors for stakeholders. Successful implementation requires senior management commitment to strategic and strategically driven decisions guiding the organization.
This document summarizes Porter's generic competitive strategies framework, which identifies three strategies for achieving competitive advantage: cost leadership, differentiation, and focus (specialization). Cost leadership involves having the lowest costs, differentiation involves being unique in the industry, and focus involves targeting a narrow market segment. Examples of companies using each strategy are provided, along with criticisms of Porter's framework noting that companies can use hybrid strategies. The document concludes by introducing the blue ocean strategy as an alternative to Porter's framework.
Even the best strategy is worthless without successful strategy implementation. However, most strategy implementations fail. This presentation helps organizations plan and implement and manage their strategy but also monitor, learn and adapt their strategy implementation to achieve sustainable organizational success. This way, organizations can achieve succesful strategy implementation.
This document discusses assessing the financial viability of a business model early in the process. It provides tools and frameworks for evaluating three key components: market scale, breakeven analysis, and return on investment. Breakeven analysis involves estimating costs, volume needs, and pricing to cover costs. Return on investment considers the financial returns needed to compensate for the risks to the entrepreneur. The document also discusses differences in assessing financial viability for a product market versus a technology market focused on licensing or acquisition.
An international strategy involves selling goods or services outside a company's domestic market to access new opportunities. A global strategy unifies a company's approach worldwide with limited variations. While global strategies offer benefits like economies of scale, they also involve substantial costs to implement worldwide brands, production, and management coordination. Whether and how to pursue a global strategy depends on balancing these benefits and costs for a company's specific products and industries.
The document discusses core competency and competitive advantage. It defines core competency as critical skills and expertise that allow an organization to create new products for customer needs. Developing a strategic architecture and identifying core competencies can help consolidate skills and bind existing and new businesses. For sustained competitive advantage, an organization's core competencies should be valuable, rare, difficult to imitate, and leveraged through complementary organizational resources.
This document discusses distribution strategies, including channel structure, distribution scope, multiple channels, and channel control. It defines key terms like direct and indirect distribution channels. For channel structure, it describes direct distribution with no intermediaries and indirect distribution passing through agents. Distribution scope strategies include exclusive, selective, and intensive distribution which target different customer groups. Multiple channels can be complementary, targeting different segments, or competitive, selling the same products. The document outlines vertical marketing systems as a channel control strategy.
Corporate strategy is a process by which an organization envisions its long-term goals. It should include establishing a plan, position, and shared vision to motivate employees. Benefits include a framework for action, evaluating competitors, and annual evaluations. Critical factors are responding to strengths/weaknesses and opportunities/threats, developing differentiated roles, and identifying economic factors for stakeholders. Successful implementation requires senior management commitment to strategic and strategically driven decisions guiding the organization.
This document summarizes Porter's generic competitive strategies framework, which identifies three strategies for achieving competitive advantage: cost leadership, differentiation, and focus (specialization). Cost leadership involves having the lowest costs, differentiation involves being unique in the industry, and focus involves targeting a narrow market segment. Examples of companies using each strategy are provided, along with criticisms of Porter's framework noting that companies can use hybrid strategies. The document concludes by introducing the blue ocean strategy as an alternative to Porter's framework.
Even the best strategy is worthless without successful strategy implementation. However, most strategy implementations fail. This presentation helps organizations plan and implement and manage their strategy but also monitor, learn and adapt their strategy implementation to achieve sustainable organizational success. This way, organizations can achieve succesful strategy implementation.
This document discusses assessing the financial viability of a business model early in the process. It provides tools and frameworks for evaluating three key components: market scale, breakeven analysis, and return on investment. Breakeven analysis involves estimating costs, volume needs, and pricing to cover costs. Return on investment considers the financial returns needed to compensate for the risks to the entrepreneur. The document also discusses differences in assessing financial viability for a product market versus a technology market focused on licensing or acquisition.
An international strategy involves selling goods or services outside a company's domestic market to access new opportunities. A global strategy unifies a company's approach worldwide with limited variations. While global strategies offer benefits like economies of scale, they also involve substantial costs to implement worldwide brands, production, and management coordination. Whether and how to pursue a global strategy depends on balancing these benefits and costs for a company's specific products and industries.
This document discusses different business-level strategies that a firm can pursue to gain a competitive advantage, including cost leadership, differentiation, and focus strategies. It defines each strategy and describes the core competencies, customer needs, and actions required to successfully implement each one. The risks and benefits of each individual strategy as well as integrated strategies are also examined. Overall, the document provides an overview of the key considerations and tradeoffs involved in different business-level strategic approaches.
Short review of HBR's "How Strategy Shapes Structure" will introduce you to two main business strategies and help you choosing the right strategy for your business.
What is a Strategy? Michael Porter - Harvard Business ReviewDonny Sitompul
This document discusses the concept of strategy. It defines strategy as creating a unique and valuable market position through choosing different activities than competitors. This requires trade-offs to not do everything. Strategy relies on unique activities and fit among activities to create sustainability. Operational effectiveness alone is not a strategy. Leaders must define the strategy, make trade-offs, and forge fit among activities.
The document summarizes the Boston Consulting Group (BCG) matrix, a portfolio management tool developed in the 1970s. The BCG matrix evaluates products based on their market share and market growth. It categorizes products as Stars, Cash Cows, Question Marks or Dogs. Stars are high growth, high share products that require investment. Cash Cows are low growth, high share products that generate cash. Question Marks have high growth but low share, requiring investment. Dogs have low growth and share and should be avoided or harvested. The matrix helps companies allocate resources but has limitations like neglecting synergies between units.
The document provides an overview of mergers and acquisitions through a presentation covering various topics:
1. It defines a merger as a combination of two companies where one is absorbed by the other, while an acquisition means one larger company takes over the shares and assets of a smaller company.
2. The merger and acquisition process involves preliminary assessment, a proposal, exit planning, structured marketing, and integration of the companies.
3. Different types of mergers and acquisitions are described such as horizontal, vertical, co-generic, and conglomerate mergers as well as friendly, reverse, hostile, and back-flip acquisitions.
4. Benefits, problems, impacts on stakeholders, and
Interco case by deepak gupta & gruop.deepak gupta
The document provides an analysis of Interco's financial performance in 1987-1988 and reasons for a hostile takeover attempt. Key points include:
- Interco had strong current and quick ratios, indicating good short-term financial health.
- Returns on equity were around 10-11%, showing decent returns for shareholders.
- Two of Interco's business divisions were unprofitable, weighing down overall performance.
- The hostile takeover by City Capital aims to divest these weak units and make Interco profitable again.
This document discusses competitor analysis and provides guidance on analyzing competitors. It outlines four key stages: collecting information on competitors, converting information to intelligence, analyzing and interpreting the intelligence, and countering competitor actions. Various marketing strategies are discussed that can be used to minimize losses to competitors and gain market share, drawing parallels between business competition and military warfare strategies. The importance of ongoing competitor monitoring is emphasized to stay aware of their strengths, weaknesses, and potential moves.
This document discusses stability strategies as part of corporate strategy. It defines stability strategies as continuing current activities without significant changes in direction, and notes they are most common for small businesses or mature firms. The document outlines three types of stability strategies: no-change strategies for stable environments; profit strategies to maintain profits artificially in the short-term; and pause/proceed with caution strategies to test changes before fully implementing them. Advantages include reduced risk and maintaining routine work, while disadvantages include limiting growth and innovation long-term.
Corporate restructuring is about creating value for a company by closing large 'value gaps' that can arise for reasons like poor management or increased competition. The size of these value gaps can be billions of dollars for large companies. The objectives of restructuring are to evaluate current performance, identify new opportunities, and secure a competitive edge. Restructuring strategies include expansion strategies, reorganization strategies like sell-offs, and financial engineering strategies such as equity carve-outs, leveraged recapitalizations, and share repurchases.
The document discusses the strategy hierarchy in organizations. At the highest level is the corporate strategy, which sets the overall goals and plans for the entire company. Individual business units like marketing then develop their own strategies to support the corporate strategy. The marketing strategy addresses questions like which markets and products to target. The direct marketing strategy would then outline objectives, media choices, and processes for direct marketing campaigns to support the overall marketing strategy.
The document discusses the five generic competitive strategies: low-cost provider strategy, broad differentiation strategy, focused low-cost strategy, focused differentiation strategy, and best-cost provider strategy. It provides details on each strategy, including effective approaches, competitive advantages and risks, and potential pitfalls. For example, it explains that a low-cost provider strategy aims to gain market share through lower prices, but risks price wars, while differentiation strategies charge premium prices but must offer truly unique attributes. A best-cost provider hybridizes the two by meeting customer expectations at a lower price than competitors.
This document discusses strategic alliances, which are agreements between two or more independent firms to cooperate and achieve common goals. It defines strategic alliances and their role in international markets. The document outlines the need for strategic alliances to add value, improve market access, and enhance strategic growth. It describes different types of alliances and models, and lists the stages in forming an alliance from conceptualization to implementation. The document discusses advantages like improved efficiency and access to new markets/technologies. Finally, it provides examples of strategic alliances between companies like Cisco/Polycom and Nokia/Microsoft.
This document discusses international strategy frameworks and options for companies. It begins by outlining drivers that pressure companies to go international, such as similar customer needs across borders, scale economies, and competitive pressures from globalized competitors. Next, it describes frameworks for analyzing country differences and competitiveness, including Porter's Diamond and the CAGE framework. Finally, it outlines strategic options for entering international markets, such as exporting, strategic alliances, foreign direct investment, and more. It notes that while plans may look good on paper, there are also hurdles like underestimating competitors, changes in policy, and cultural differences with partners.
Family Business Management : THE SIX MAIN EXIT STYLES Snqobile Ndebele
Discuss the Monarch, General & Ambassador CEO exit styles characteristics, roles, advantages & disadvantages of having such a leader.
Monarch, General, Ambassador, Governor, Inventor and the Transition Czar.
The document discusses various corporate level strategies including stability, growth, retrenchment, and combination strategies. It describes stability strategies as maintaining the present course when there is no threat. Growth strategies include expanding market share through internal routes like diversification or external routes like mergers. Retrenchment strategies involve downsizing through divestment, liquidation or turnaround. A combination strategy example provided integrates stability, expansion and retrenchment elements. The document also discusses Porter's generic strategies of cost leadership, differentiation and focus as well as Miles and Snow's prospector, defender and analyzer adaptation models and the product life cycle model.
The document discusses sources of value creation through mergers and acquisitions. It defines value and value creation, and outlines four models for creating value through M&A: Ansoff's product market matrix model, BCG matrix model, grand matrix model, and industry/product life cycle. The models identify strategies like market penetration, product development, backward integration, and diversification that can be applied at different stages to generate synergies, economies of scale, access to new markets and technology, and limit competition. A case study is presented of two companies merging to access new regions, diversify products, and realize cost savings, ultimately increasing shareholder wealth.
This document outlines various analytical frameworks that can be used to formulate strategies, including the SWOT matrix, SPACE matrix, BCG matrix, IE matrix, Grand Strategy matrix, and QSPM. It describes how to develop each tool and provides examples. The key stages in strategic formulation are the input stage to analyze external/internal factors, the matching stage to develop alternative strategies by matching factors, and the selection stage to quantitatively evaluate alternatives using tools like the QSPM. Overall, the document presents a three-stage process and multiple analytical techniques for strategy generation and selection.
Profitable growth via adjacency - Guest lecture on Zook by Peter SpungPeter Spung
This document discusses strategies for profitable growth through market expansion known as adjacencies. It summarizes Chris Zook's core and adjacency framework which argues that the most successful companies derive a large portion of their growth from moving into adjacent product categories or customer segments that are closely related to their core business. The framework identifies six vectors for adjacency moves ranging from selling new products to existing customers to entering new industries, and argues that moves focused on existing customers or modifying existing business models have the highest likelihood of success. The document also examines frameworks for assessing companies' core strengths and opportunities for adjacency expansion, and provides examples of companies like Nike and Olam that have successfully applied adjacency strategies.
Scott Kveton Scalable and Repeatable Business ModelsDealmaker Media
This document discusses three tales and lessons from launching businesses. The first tale describes how the author jokingly decided to sell bacon online, then actually launched the business in 30 days using various technologies. The key lesson was to ship products fast to validate market interest. The second tale launched an "airship" company at a developer conference by targeting developers in line. The lesson was that pricing and packaging require significant effort. The third tale identified digital wallets as the next investment wave by turning location into loyalty. The overall lesson is to launch early, consider pricing carefully, and listen to customers.
This document discusses different business-level strategies that a firm can pursue to gain a competitive advantage, including cost leadership, differentiation, and focus strategies. It defines each strategy and describes the core competencies, customer needs, and actions required to successfully implement each one. The risks and benefits of each individual strategy as well as integrated strategies are also examined. Overall, the document provides an overview of the key considerations and tradeoffs involved in different business-level strategic approaches.
Short review of HBR's "How Strategy Shapes Structure" will introduce you to two main business strategies and help you choosing the right strategy for your business.
What is a Strategy? Michael Porter - Harvard Business ReviewDonny Sitompul
This document discusses the concept of strategy. It defines strategy as creating a unique and valuable market position through choosing different activities than competitors. This requires trade-offs to not do everything. Strategy relies on unique activities and fit among activities to create sustainability. Operational effectiveness alone is not a strategy. Leaders must define the strategy, make trade-offs, and forge fit among activities.
The document summarizes the Boston Consulting Group (BCG) matrix, a portfolio management tool developed in the 1970s. The BCG matrix evaluates products based on their market share and market growth. It categorizes products as Stars, Cash Cows, Question Marks or Dogs. Stars are high growth, high share products that require investment. Cash Cows are low growth, high share products that generate cash. Question Marks have high growth but low share, requiring investment. Dogs have low growth and share and should be avoided or harvested. The matrix helps companies allocate resources but has limitations like neglecting synergies between units.
The document provides an overview of mergers and acquisitions through a presentation covering various topics:
1. It defines a merger as a combination of two companies where one is absorbed by the other, while an acquisition means one larger company takes over the shares and assets of a smaller company.
2. The merger and acquisition process involves preliminary assessment, a proposal, exit planning, structured marketing, and integration of the companies.
3. Different types of mergers and acquisitions are described such as horizontal, vertical, co-generic, and conglomerate mergers as well as friendly, reverse, hostile, and back-flip acquisitions.
4. Benefits, problems, impacts on stakeholders, and
Interco case by deepak gupta & gruop.deepak gupta
The document provides an analysis of Interco's financial performance in 1987-1988 and reasons for a hostile takeover attempt. Key points include:
- Interco had strong current and quick ratios, indicating good short-term financial health.
- Returns on equity were around 10-11%, showing decent returns for shareholders.
- Two of Interco's business divisions were unprofitable, weighing down overall performance.
- The hostile takeover by City Capital aims to divest these weak units and make Interco profitable again.
This document discusses competitor analysis and provides guidance on analyzing competitors. It outlines four key stages: collecting information on competitors, converting information to intelligence, analyzing and interpreting the intelligence, and countering competitor actions. Various marketing strategies are discussed that can be used to minimize losses to competitors and gain market share, drawing parallels between business competition and military warfare strategies. The importance of ongoing competitor monitoring is emphasized to stay aware of their strengths, weaknesses, and potential moves.
This document discusses stability strategies as part of corporate strategy. It defines stability strategies as continuing current activities without significant changes in direction, and notes they are most common for small businesses or mature firms. The document outlines three types of stability strategies: no-change strategies for stable environments; profit strategies to maintain profits artificially in the short-term; and pause/proceed with caution strategies to test changes before fully implementing them. Advantages include reduced risk and maintaining routine work, while disadvantages include limiting growth and innovation long-term.
Corporate restructuring is about creating value for a company by closing large 'value gaps' that can arise for reasons like poor management or increased competition. The size of these value gaps can be billions of dollars for large companies. The objectives of restructuring are to evaluate current performance, identify new opportunities, and secure a competitive edge. Restructuring strategies include expansion strategies, reorganization strategies like sell-offs, and financial engineering strategies such as equity carve-outs, leveraged recapitalizations, and share repurchases.
The document discusses the strategy hierarchy in organizations. At the highest level is the corporate strategy, which sets the overall goals and plans for the entire company. Individual business units like marketing then develop their own strategies to support the corporate strategy. The marketing strategy addresses questions like which markets and products to target. The direct marketing strategy would then outline objectives, media choices, and processes for direct marketing campaigns to support the overall marketing strategy.
The document discusses the five generic competitive strategies: low-cost provider strategy, broad differentiation strategy, focused low-cost strategy, focused differentiation strategy, and best-cost provider strategy. It provides details on each strategy, including effective approaches, competitive advantages and risks, and potential pitfalls. For example, it explains that a low-cost provider strategy aims to gain market share through lower prices, but risks price wars, while differentiation strategies charge premium prices but must offer truly unique attributes. A best-cost provider hybridizes the two by meeting customer expectations at a lower price than competitors.
This document discusses strategic alliances, which are agreements between two or more independent firms to cooperate and achieve common goals. It defines strategic alliances and their role in international markets. The document outlines the need for strategic alliances to add value, improve market access, and enhance strategic growth. It describes different types of alliances and models, and lists the stages in forming an alliance from conceptualization to implementation. The document discusses advantages like improved efficiency and access to new markets/technologies. Finally, it provides examples of strategic alliances between companies like Cisco/Polycom and Nokia/Microsoft.
This document discusses international strategy frameworks and options for companies. It begins by outlining drivers that pressure companies to go international, such as similar customer needs across borders, scale economies, and competitive pressures from globalized competitors. Next, it describes frameworks for analyzing country differences and competitiveness, including Porter's Diamond and the CAGE framework. Finally, it outlines strategic options for entering international markets, such as exporting, strategic alliances, foreign direct investment, and more. It notes that while plans may look good on paper, there are also hurdles like underestimating competitors, changes in policy, and cultural differences with partners.
Family Business Management : THE SIX MAIN EXIT STYLES Snqobile Ndebele
Discuss the Monarch, General & Ambassador CEO exit styles characteristics, roles, advantages & disadvantages of having such a leader.
Monarch, General, Ambassador, Governor, Inventor and the Transition Czar.
The document discusses various corporate level strategies including stability, growth, retrenchment, and combination strategies. It describes stability strategies as maintaining the present course when there is no threat. Growth strategies include expanding market share through internal routes like diversification or external routes like mergers. Retrenchment strategies involve downsizing through divestment, liquidation or turnaround. A combination strategy example provided integrates stability, expansion and retrenchment elements. The document also discusses Porter's generic strategies of cost leadership, differentiation and focus as well as Miles and Snow's prospector, defender and analyzer adaptation models and the product life cycle model.
The document discusses sources of value creation through mergers and acquisitions. It defines value and value creation, and outlines four models for creating value through M&A: Ansoff's product market matrix model, BCG matrix model, grand matrix model, and industry/product life cycle. The models identify strategies like market penetration, product development, backward integration, and diversification that can be applied at different stages to generate synergies, economies of scale, access to new markets and technology, and limit competition. A case study is presented of two companies merging to access new regions, diversify products, and realize cost savings, ultimately increasing shareholder wealth.
This document outlines various analytical frameworks that can be used to formulate strategies, including the SWOT matrix, SPACE matrix, BCG matrix, IE matrix, Grand Strategy matrix, and QSPM. It describes how to develop each tool and provides examples. The key stages in strategic formulation are the input stage to analyze external/internal factors, the matching stage to develop alternative strategies by matching factors, and the selection stage to quantitatively evaluate alternatives using tools like the QSPM. Overall, the document presents a three-stage process and multiple analytical techniques for strategy generation and selection.
Profitable growth via adjacency - Guest lecture on Zook by Peter SpungPeter Spung
This document discusses strategies for profitable growth through market expansion known as adjacencies. It summarizes Chris Zook's core and adjacency framework which argues that the most successful companies derive a large portion of their growth from moving into adjacent product categories or customer segments that are closely related to their core business. The framework identifies six vectors for adjacency moves ranging from selling new products to existing customers to entering new industries, and argues that moves focused on existing customers or modifying existing business models have the highest likelihood of success. The document also examines frameworks for assessing companies' core strengths and opportunities for adjacency expansion, and provides examples of companies like Nike and Olam that have successfully applied adjacency strategies.
Scott Kveton Scalable and Repeatable Business ModelsDealmaker Media
This document discusses three tales and lessons from launching businesses. The first tale describes how the author jokingly decided to sell bacon online, then actually launched the business in 30 days using various technologies. The key lesson was to ship products fast to validate market interest. The second tale launched an "airship" company at a developer conference by targeting developers in line. The lesson was that pricing and packaging require significant effort. The third tale identified digital wallets as the next investment wave by turning location into loyalty. The overall lesson is to launch early, consider pricing carefully, and listen to customers.
Grow From The Core - Adjacent Mark Moves David Sidhu
This document discusses strategies for companies to pursue adjacencies - new business opportunities related to their core business. It finds that success rates decline the further an opportunity moves from a company's core. Different types of adjacencies are described that could radiate from the core, such as new products, services or geographies. When evaluating adjacency moves, companies should consider if the opportunity builds on core strengths, drives profits, and allows for leadership. A company's ability to transform through adjacencies depends on having a strong core, pursuing related opportunities, and processes to manage complexity.
This document outlines seven steps for companies to evaluate their core business and potentially identify a new core business. It discusses reasons for changing a core business like inferior economics or an unsustainable growth formula. Companies are advised to assess aspects of their core business like customers, differentiation, industry profit pools, and capabilities. The document also notes that in many cases, a "hidden asset" like an undervalued platform, untapped customer insights, or underexploited capabilities can form the basis for a new core strategy. A seven step process is provided to help define the current core, assess options, identify hidden assets, evaluate criteria to decide on assets, and set up an office to manage the transition.
This was a 45 minute webinar in which we broke down why only 25% of attempts to build new businesses out of your core business (adjacent businesses) succeed and how you can increase your chances of success to 80%. You must draw on core theories of growth and the resources based view (or RBV).
The document discusses marketing mix strategies and the 4Ps - product, price, place, and promotion. It focuses on the product element of the marketing mix. Key points include: 1) Firms must choose products that meet customers' needs and position them properly; 2) Products include physical goods as well as services and branding plays an important role in building loyalty; 3) Packaging, product quality, and customization are important product decisions.
The document discusses how revenue growth is the largest driver of shareholder return but many CEOs focus on cost cutting instead of growth initiatives. It outlines a 4-step process companies can follow to systematically accelerate revenue growth: 1) Define and focus resources on the core business, 2) Establish a common set of market facts and insights, 3) Select the most powerful growth initiatives to implement well, 4) Master the process of change management. The first step is using a "spider chart" to identify the core customers, products, channels and geographies that make up 80% of profits in order to focus on high-potential opportunities within the existing business.
1) Companies are looking beyond their core business to achieve growth through new areas that account for 42% of revenues by 2020.
2) Top innovators obtain a higher percentage of revenues from new products/services and break even faster than competitors. However, it is becoming increasingly difficult to stay ahead.
3) A framework called the Growth Accelerator Program helps companies create a shared vision for growth, find new growth opportunities, and deliver growth through roadmaps, pilots, and ensuring the right organization and culture.
Business Development Framework
To get from an idea down to volume production is a long way, don’t miss out important steps to have a successful launch.
The framework gives you a guideline to walk down the stony road into volume production.
The journey from random to strategic business development activities/strategies starts with the understanding of your peculiar Business Development Space and the possibilities therein. This presentation is the first in a series. It enables you evaluate your Business Development Space and what you can do with it.
Keith turner quick silver funding solutions the role of finance in the stra...keithturnerquicksilverfun
Keith Turner discusses the role of finance in strategic planning and decision making. He outlines the strategic planning process and emphasizes that financial goals and metrics are critical to translating vision into action. Specifically, he discusses 8 key financial metrics that should be established based on benchmarks and industry standards to monitor strategy implementation: free cash flow, economic value-added, asset management, financing decisions, profitability ratios, growth indices, risk assessment, and tax optimization. Establishing measurable financial goals in these areas helps firms execute strategies effectively and create long-term value for stakeholders.
Blue Ridge Partners is a management consulting firm that focuses on helping private equity firms and their portfolio companies accelerate profitable revenue growth. They have deep experience working with over 60 private equity firms and 300 portfolio companies. Their services include commercial due diligence, developing 100-day plans, growth strategies, improving commercial effectiveness, optimizing pricing, and exit planning. Their goal is to identify the greatest growth opportunities and strengthen execution to reliably grow revenues.
Business development involves activities across departments that are aimed at improving and growing a business. It includes initiatives like expanding into new markets, developing new products or services, pursuing strategic partnerships, and implementing cost-saving measures. The business development team assesses opportunities, considers the impact on different departments, and works to align activities like sales, marketing, and operations with overall business development goals. Business development is focused on high-level strategic decision making and coordination to improve a business's prospects and drive overall growth.
Get a jump on your competition by understanding the strategic marketing framework process and produce a Growth Playbook to keep your marketing effort on track. Download our whitepaper, Growing Strategically for all the details.
The document discusses mergers and acquisitions (M&A), and achieving "merger math", which is combining two companies to create a value greater than the sum of the individual parts. It outlines that while M&A is commonly used for growth, most deals do not achieve their intended strategic or financial goals. It then discusses key steps for successfully realizing merger math, including thoroughly evaluating build vs. buy options, establishing acquisition criteria, developing an integration plan, appointing an integration leader, and gaining senior management support. The document concludes with a seven step summary for enhancing the ability to achieve merger math through an M&A transaction.
Measure What Matters - New Perspectives on Portfolio SelectionUMT
The document discusses new frameworks for IT portfolio selection that consider both financial and strategic metrics. It summarizes that traditional portfolio selection focused solely on financial metrics, but recent research shows this led to underinvestment in strategic areas. The new framework evaluates investments from four perspectives: demand, supply, governance, and alternatives. This allows executives to consider financial returns, strategic alignment, risk exposure, architectural fit, options, costs, deadlines, and skills. Successful companies now use multiple financial and strategic metrics to optimize resource allocation and maximize investment value and benefits.
The document provides an overview of several strategic planning models and frameworks that can be used in strategic planning, including:
- Strategy map - A diagram that visually communicates an organization's strategy and how objectives align across different levels.
- Balanced scorecard - A framework that translates an organization's strategy into objectives and measures across financial, customer, internal process, and learning/growth perspectives.
- SWOT analysis - An analysis of an organization's strengths, weaknesses, opportunities, and threats to inform strategic planning.
The document discusses the key components and benefits of these models to effectively communicate and implement organizational strategies.
The balanced scorecard is a management tool used to measure performance across multiple business units. It considers non-financial metrics like customer satisfaction alongside traditional financial metrics. This provides a more comprehensive view of performance drivers and competitive strengths. Financial measures alone are too aggregated and backward-looking to help identify sources of advantage or assign responsibility within business units. The balanced scorecard helps companies align strategies, workflows, and resources to achieve goals and improve performance over time.
The document summarizes the findings of a study conducted by Booz & Company that analyzed 197 companies based on their "Fit for Growth Index" across three elements: strategic clarity and coherence, resource alignment, and supportive organization. The study found that less than one-fifth of companies scored highly across all three elements and were truly "Ready for Growth". Most companies fell into categories like "Distracted", lacking a clear strategy, or "Capability Constrained", having a strategy but not executing it well. Only companies with high, coherent scores across all elements consistently achieved strong financial performance.
Growth Stage Technology Business Evaluation and Strengthening - Nov 2010 - Da...Dave Litwiller
Performance indicators to monitor and operational disciplines to improve to achieve the highest growth rate, financial return and strategic impact in growth-stage technology-based businesses.
Creating Competitive Advantage with Strategic Execution Capability V1.0Jon Hughes
The document discusses the Strategic Execution Framework (SEF), which is a model that helps organizations align strategy creation with execution by assessing six key capabilities: Ideation, Nature, Vision, Engagement, Synthesis, and Transition (INVEST). Conducting a diagnostic using the SEF can identify strengths and weaknesses in these capabilities and their linkages. Addressing weaknesses through initiatives to develop capabilities can help organizations more effectively execute strategies and gain competitive advantage. Common weaknesses identified include a lack of understanding interrelationships between capabilities, poor synthesis of strategies into coordinated programs and projects, and an inability to transition projects to operations.
The document provides 6 ways for businesses to grow:
1. Enhance brand loyalty by providing superior products/services, exceeding expectations, creating customer delight, following up with customers, and looking for value additions.
2. Create customer delight by going beyond satisfaction to leave a positive experience, such as providing customer support, following up on issues, seeking feedback, flexible policies, and respecting customers.
3. Expand into new markets by researching opportunities, customizing offerings, and promoting through various channels.
4. Develop new products/services by researching customer needs, testing prototypes, and promoting innovations.
5. Improve operations through training, streamlining processes, upgrading technology, and benchmarking performance metrics.
This document discusses keys to unlocking breakthrough value through business transformation. It identifies six keys that leaders should consider when undertaking a transformation: 1) Begin with a clear business strategy to inform transformation goals. 2) Focus on critical capabilities that provide competitive advantage. 3) Articulate the value expected and track it. 4) Build sustainability into the transformation. 5) Engage the entire organization. 6) Iterate and adapt based on ongoing learning. The document argues that these keys can help organizations better align their transformation efforts and maximize the value achieved.
While many companies have growth as a goal, most lack an effective strategy to achieve it. A successful growth strategy requires a different paradigm that establishes concrete growth targets and actively manages a program to meet them. There are five key elements to an effective growth strategy: developing prioritized growth options, executing those options through M&A or building new capabilities, optimizing acquired or built capabilities, ensuring sufficient growth capacity, and maintaining political will over time. However, growth strategies also carry risks at the strategic, execution, implementation, capability, and political levels that must be anticipated, planned for, and mitigated against to increase the likelihood of success.
While many companies have shifted their focus to growth, most lack an effective growth strategy. To successfully grow, companies need a new paradigm of setting credible, quantifiable growth targets. A growth strategy requires actively managing a program to achieve desired growth. The document outlines a framework for growth with five key elements: strategy, execution, optimization, growth capacity, and managing political risk. It also discusses risks at each stage and how to mitigate risks to improve the chances of a successful growth program.
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