Strategic Management Model Passion TalentOpportunity
Think Growth for growth’s sake leads to mediocre performance The research that went into my books showed that mediocre companies tend to focus on growth for growth's sake, whereas truly great companies focus on making creative, profitable contributions that are squarely focused on those three circles. Regardless of whether the market is up or down, great companies that adhere to those circles are, in the long run, likely to have more growth than they can handle— indigestion, not starvation. The same holds true for creative people who discover what they are passionate about, what they are genetically encoded for, and how they can build an economic engine based on their contributions. Those who operate at the intersection of all three circles are more likely to face the problem of too much opportunity in their lives, not too little. Source: Jim Collins
Creator Internally driven, externally aware Pursues creative strategy Discovers genetic talents and applies them Builds an economic engine to get things done Many once-in-a-lifetime opportunities Growth follows from creative contribution Ambitious first and foremost for the work Focuses on building relationships Values self-improvement for its own sake Sets 10-to-25-year audacious goals Core values inform all efforts Seeks self-actualization Reactor Externally driven, without intrinsic passion Pursues competitive strategy Agenda of competence set by the outside world Gets things done to make a lot of money Few once-in-a-lifetime opportunities Seeks growth for growth's sake Ambitious first and foremost for self Focuses on transactions Driven largely by comparison to others Five years is long-term Nothing is sacred; expedience rules Seeks success Think Let’s become creators NOT reactors Source: Jim Collins - The Secret Life
Think Focus on what we love and can be the best at Passions What important contributions are we deeply passionate about making? Talents What can we be the best at and make the most important contribution doing? Opportunities What economic opportunities at there where we can use our passions and talents to make a difference?
Think Three basic questions we need to ask Who are our customer? What products & services will we provide? How will weprovide these products and services?
Think Key principles we need to remember Customers buy products and services to help them get functional and emotional jobs done. When at home, a job may be to pay bills (for which you could use Quicken), stay in shape (possibly at Curves), or whiten your teeth (Crest Whitestripes) When executing a job, customers have a set of metrics embedded in their subconscious that define to them just what it means to get that job done efficiently and achieve the desired results. If a specific product satisfies all of these metrics, they will have the ability to get the job done perfectly. For example, a product designed to whiten teeth should minimize the length of the application, increase the degree of whiteness that is achieved, minimize the likelihood of tooth sensitivity and minimize the frequency with which the whitener must be applied Once these outcomes are known, companies are able to more effectively identify opportunities, segment markets, conduct competitive analysis and brainstorm and evaluate ideas for new products and services… By knowing how customers measure value we are able to create it with precisions Applying a systematic approach to deciphering the voice of the customer allows companies to consistently innovate to both the current and future customer needs. This approach also allows companies to consistently innovate to both the current and future customer needs. This approach also allows organizations to prioritize their initiatives in light of the customers’ top priorities and ensure the organization’s value proposition is aligned with these priorities Source: Tony Ulwick
Research Let’s conduct an external assessment Customers Who are our customers? What functional or emotional jobs are our customers focused on? What value can we provide to help our customers complete their “jobs” What value can we provide that will motivate our target customers to be strong advocates of our offerings?
Research Let’s conduct an external assessment Offerings (Products and/or Services) What are the strengths of our offerings? What are the best related offerings out there? What are their weaknesses? What other customers would be interested in our offerings? What decision-making and development processes do we have in place?
Research Let’s conduct an external assessment Competition What are our competitors? What are their strengths and weaknesses? Market What is our market? What are the market trends? What are the growth opportunities? How can we differentiate our offerings How can we improve our cost structure? What distribution channels can we use?
Research Let’s conduct an external assessment Economics What will the economy be like? Locally, nationally, internationally? What impact could this have on us? Technology What current and future technologies could influence or possibly redefine the market? Political What legal factors could impact us? Taxes, legal cases, trade restrictions, labor laws, environmental laws, political direction Social Factors What social factors could impact us? Population growth rate, age distributions, expectations Disasters What disasters could occur?
Plan Let’s define our direction What is our sweet spot? Do we know what our passions and talents are? Are we building upon our passions and talents? What is our vision? What are our values? What is our value proposition? What goals should we set? What customer goals will we focus on? What employee development goals will we set? What process improvement goals will we pursue? How will we evaluate our progress? What evaluation or measurement systems will we put in place? What projects will we launch to reach the goals? What projects will we stop? What processes will we improve? What budget will we set apart to achieve our goals?
Do Create a culture of positive accountability and results A system of positive accountability considers both the needs of the organization and of its employees. It ensures that win/win is a reality and not just a concept. Truly effective leaders understand their people. They understand the talents and passion of their employees. Most importantly, they align talents and passions with the required work to create success. Weekly reviews occur at all levels of the organization. Each person has just a few goals and metrics to track progress. Each goal is ranked relative to each other. Every person, every week, knows what they should be doing, and how their goals relate to the goals of the people around them.
Tracking Create a culture of positive accountability and results Investigate dynamic alignment tools to help you keep track of progress at every level Click image above or this link to learn more http://www.strategy-keys.com/strategy-software-2