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Improve your organizational
competitiveness
At Blacktown Business Networking Group
2nd March 2011

Sukesh Ned
Turnaround Services Global
PO Box 566, Sydney, NSW 1235.
Uncertainties & Complexities
Around the Globe
Inevitable Business Change


                       PROCESSES
 DEMOGRAPHICS
                                      SUPPLYCHAIN




                          ?
WORLD TRADE



                          BANK
CHANGE FOR THE BETTER



RUN FASTER

STAY ALERT

LEAP AHEAD
DIAGNOSTICS – AN AID TO CHANGE

                     ANALYSIS




INSIGHTS

                 CREATIVE
                 OPPORTUNITIES
CREATE A DISCONTINUITY




                              VISION
BUSINESS




             DISCONTINUITY
GROWTH




                TIMELINE
FRAMEWORK FOR CHANGE
(TYPICAL)
FRAMEWORK FOR CHANGE (NEW)

                              • Articulate existing or desired
                                strengths
                                                                 • Your guiding values
                              • Identify areas in which these      and principles
                                strengths should be applied
                              • Specifies the nature of
                                participation in each area

                                                                     • Broad
                         • Specific themes/                            boundary
                           targets you want                            conditions
                           to achieve                                  within which
                                                                       your team          • Specific strategic
                                                                       works                & financial targets
                                                                                            of the group



                  • Specific targets of
                    each individual                                                      • Actions to secure
                    business or divisions                                                  competitive
                                                                                           advantage


      • Resource allocation
        plans to implement
        specific tasks


• Monitoring mechanism to track
  implementation of plans
  (quarterly)
DEFINE BOUNDARIES


                                      COMPETITIVE   TO BE
                       AS IS          CHASM
                                                            CUSTOMER
TRANSACTION-ORIENTED                                        -ORIENTED

 PRODUCTIVITY FOCUS                  PROGRAM                FLEXIBILITY
                                     FOCUS                  GLOBAL PLAYER
       LOCAL PLAYER
                                                            PROPRIETARY
          JOB WORK                                          PRODUCTS

                                                            MULTI- LOCATION
     SINGLE LOCATION
                                                            PORTFOLIO
     THEME COMPANY                                          COMPANY

     STEADY GROWTH                                          QUANTUM JUMP
OPERATING SPACE &
                          GROUND REALITIES

GOVERNMENT POLICIES       INDUSTRY ANALYSIS              TRENDS

Regulations and           Size and growth          Income distribution and
Licensing                 Capital employed and     spending habits
Tax structure             returns                  Demand supply gaps
Investment restrictions   Productivity levels of   Growth in demand
Import Export             labour /capital          Overseas players’ interests
regulations               Customer/Competitor/P    and strategies
Foreign exchange          roduct analysis          Responses of Australian
rules                     Cost / Quality           companies
Time for clearance of     advantage                Investment growth
M&A, JV
DEEPEN CUSTOMER INSIGHTS


 UNDERSTAND                OBSERVE               EXCITE




Listening to what     Observing how customer   Enhance Value
your customer         uses products
says.                  - Pre-use               Thinking from
                       - During use            customers and
Make your              - Post use              their customers
customer talk.        Identifying how value    viewpoints to
                      could be added through   enhance value
                       - Physical
                       - Emotional means
DIFFERENTIATE AND RULE
                 Leisure                                               Leisure
                 equipment                                              stores


                          Sustainability                   Innovation
                                                           (Change rules)
           New



Product
Concepts




                          More & Better                  Change Management
       Generic

                  Bike
                  Australian & overseas competition             DIY-Mail order


                     Current rules                               New rules
                                           Competition
LEVERAGE QUALITY



    100%                          UNANTICIPATED

                                     EXPECTED
                                         DESIRED
             NEUTRAL                       BASIC
LOYALTY
SCALE




        0%
BENCHMARK COSTS

                              COMPETITION
  COSTS           Your
                  company   Australia   China   US   Japan


  Material




   Labour



Depreciation
(replacement
    basis)


Overheads-
Production



Overheads-
Marketing &
 Admin
CONCEPT OF CORE COSTS

 COST BAND
                        LAYERS OF
                        INEFFICIENCY
  CORE COSTS
                        Costs of
                        • Low productivity
                        • Change over
                        • Rejection
                        • Rework
                        • Under utilization
                        • Excess design
TAKE HOME MESSAGES


 Prepare
 Define
 Analyse
 Initiate
 Change
NEED A REALITY CHECK ?

Competitiveness is The Heartbeat Of Your Business


Turnaround Services Global

Contact: Sukesh Ned
0424 750 763 / 02 8061 6991


•   PO Box 566, Sydney, NSW 1235.

•   City Office
    Level 1, #64, Alexander Street, Crows Nest

•   Western Sydney Office
    Level 2, Suite 8, 1, James Street, Baulkham
    Hills

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Organisational Competitiveness - Presentation

  • 1. Improve your organizational competitiveness At Blacktown Business Networking Group 2nd March 2011 Sukesh Ned Turnaround Services Global PO Box 566, Sydney, NSW 1235.
  • 3. Inevitable Business Change PROCESSES DEMOGRAPHICS SUPPLYCHAIN ? WORLD TRADE BANK
  • 4. CHANGE FOR THE BETTER RUN FASTER STAY ALERT LEAP AHEAD
  • 5. DIAGNOSTICS – AN AID TO CHANGE ANALYSIS INSIGHTS CREATIVE OPPORTUNITIES
  • 6. CREATE A DISCONTINUITY VISION BUSINESS DISCONTINUITY GROWTH TIMELINE
  • 8. FRAMEWORK FOR CHANGE (NEW) • Articulate existing or desired strengths • Your guiding values • Identify areas in which these and principles strengths should be applied • Specifies the nature of participation in each area • Broad • Specific themes/ boundary targets you want conditions to achieve within which your team • Specific strategic works & financial targets of the group • Specific targets of each individual • Actions to secure business or divisions competitive advantage • Resource allocation plans to implement specific tasks • Monitoring mechanism to track implementation of plans (quarterly)
  • 9. DEFINE BOUNDARIES COMPETITIVE TO BE AS IS CHASM CUSTOMER TRANSACTION-ORIENTED -ORIENTED PRODUCTIVITY FOCUS PROGRAM FLEXIBILITY FOCUS GLOBAL PLAYER LOCAL PLAYER PROPRIETARY JOB WORK PRODUCTS MULTI- LOCATION SINGLE LOCATION PORTFOLIO THEME COMPANY COMPANY STEADY GROWTH QUANTUM JUMP
  • 10. OPERATING SPACE & GROUND REALITIES GOVERNMENT POLICIES INDUSTRY ANALYSIS TRENDS Regulations and Size and growth Income distribution and Licensing Capital employed and spending habits Tax structure returns Demand supply gaps Investment restrictions Productivity levels of Growth in demand Import Export labour /capital Overseas players’ interests regulations Customer/Competitor/P and strategies Foreign exchange roduct analysis Responses of Australian rules Cost / Quality companies Time for clearance of advantage Investment growth M&A, JV
  • 11. DEEPEN CUSTOMER INSIGHTS UNDERSTAND OBSERVE EXCITE Listening to what Observing how customer Enhance Value your customer uses products says. - Pre-use Thinking from - During use customers and Make your - Post use their customers customer talk. Identifying how value viewpoints to could be added through enhance value - Physical - Emotional means
  • 12. DIFFERENTIATE AND RULE Leisure Leisure equipment stores Sustainability Innovation (Change rules) New Product Concepts More & Better Change Management Generic Bike Australian & overseas competition DIY-Mail order Current rules New rules Competition
  • 13. LEVERAGE QUALITY 100% UNANTICIPATED EXPECTED DESIRED NEUTRAL BASIC LOYALTY SCALE 0%
  • 14. BENCHMARK COSTS COMPETITION COSTS Your company Australia China US Japan Material Labour Depreciation (replacement basis) Overheads- Production Overheads- Marketing & Admin
  • 15. CONCEPT OF CORE COSTS COST BAND LAYERS OF INEFFICIENCY CORE COSTS Costs of • Low productivity • Change over • Rejection • Rework • Under utilization • Excess design
  • 16. TAKE HOME MESSAGES  Prepare  Define  Analyse  Initiate  Change
  • 17. NEED A REALITY CHECK ? Competitiveness is The Heartbeat Of Your Business Turnaround Services Global Contact: Sukesh Ned 0424 750 763 / 02 8061 6991 • PO Box 566, Sydney, NSW 1235. • City Office Level 1, #64, Alexander Street, Crows Nest • Western Sydney Office Level 2, Suite 8, 1, James Street, Baulkham Hills