How can you tell if your company is fit for growth? Here is a simple, three-question diagnostic:
- Do you have clear priorities, focused on strategic growth, that drive your investments?
- Do your costs line up with those priorities? In other words, do you deploy your resources toward them efficiently and effectively?
- Is your organization set up to enable you to achieve those priorities?
Source: Is Your Company Fit … [ Read more ]
Ultimately, strategy is a way of thinking, not a procedural exercise or a set of frameworks. To stimulate that thinking and the dialogue that goes along with it, we developed a set of tests aimed at helping executives assess the strength of their strategies. We focused on testing the strategy itself (in other words, the output of the strategy-development process), rather than the frameworks, tools, … [ Read more ]
BMI begins by assessing the company’s current context, the needs of its customers, and the models of its competitors. These steps should be completed with sufficient clarity and honesty to reveal what is currently working, what is not, and what might constitute a better value proposition. To that end, we offer the following questions for executives and managers seeking to create a shared awareness of … [ Read more ]
- Do we know what forces are shaping our current and emerging business environment?
- Do we know what new driving forces might emerge?
- Do we know which forces might not change much over the scenario period?
- Do we know which of these forces have more uncertainty associated with them?
- Do we know how these forces might interact to give rise to one future rather than another?
Source: How corporations … [ Read more ]
- What does success look like in this scenario?
- In what markets will you play and which customers will you serve?
- How will you serve those customers?
- What capabilities will you need to have in place?
- How would you know if this scenario were going to come true?
The first four questions get executives to clearly articulate the growth opportunity. The last one gets them thinking about when it … [ Read more ]
- Where should I choose to compete?
- Who should my core customers be?
- How should I differentiate myself competitively?
- How should I discourage competitive investment?
Achieving Full Potential through Strategies that Work
by Chris Zook
Bain & Company, 1/1/1996
As you consider building your own Value Growth Agenda, ask yourself the following questions:
- Is our market value growing as fast as it could?
- Do investors value our company fairly?
- Are we as profitable as our toughest competitors?
- Are we meeting our revenue and earnings growth targets?
- Have we created barriers to entry for new entrants in our industry?
- Can we pinpoint why customers choose us over our competitors?
Patterns and … [ Read more ]