Compete Smarter, Not Harder: A Process for Developing the Right Priorities Through Strategic Thinking (William Putsis, 2013)

-

  • 5-step process of strategic development
    1. External business environment, market assessment, growth and opportunities.
      1. Understand and evaluate the external market environment.
      2. Conduct a detailed market assessment.
      3. Thoroughly evaluate core versus adjacent markets.
    2. Value change and strategic control points.
      1. Map out the relevant value chains.
      2. Assess strategic control points within the value chain.
      3. Understand customer needs and competency gaps and advantages through the value chain.
    3. Segment based on customer needs
      1. Strategically prioritise segments.
      2. Create value propositions.
    4. Align incentives
      1. Align across all internal and external constituents.
      2. Use the concept of “asset specificity”.
      3. Utilise concept of “virtual vertical integration” where possible.
    5. Set 5 points of tactics.
      1. Points of positioning on the unique value propositions.
      2. Points of value on offering and entry timing.
      3. Points of value on principles in extracting value.
      4. Points of access on customer access.
      5. Points of touch on the embodiment of your strategy to your customers.
  • Traps that lead businesses to fail.
    1. Cost-driven decisions.
    2. Lack of attention to history.
    3. Arrogance.
    4. Hope.
    5. The “all in” decision.
  • Jeppsen for businesses wanting to grow and expand into adjacent markets.
    • Grow from your core.
    • How far is your core to growth opportunity rest.
    • Grow sequentially if you have the time.
    • Be honest about your competencies versus those of your potential competitions for the correct assessment.
    • Don’t be paralysed by moves that are too far away.
    • Be able to lose your investment, diversify and be cautious.
  • Implication of segmentation.
    • Choice of segment.
    • Operational implications of segment choice.
  • 10 Segmentation Rizzotoisms
    1. Segmenting based on product (inside out).
    2. Not “segmenting down” into marketing.
    3. Not exploring multiple bases.
    4. Using segments that are not practically useful.
    5. Segmentation that is unduly complicated.
    6. Shelving good analysis.
    7. Not tying value propositions to segments.
    8. Not integrating back to front in organisation.
    9. Failing to appropriately prioritise.
    10. Overspending on consultants.
  • Management decisions on customer strategy.
    • Framing: $1.75 vs $1.25 during a hot day vs. cold day.
    • Settling list price: without knowing competitors’ price.
    • Avoiding a price war: preventing your customers to sway.
    • Global pricing decisions: country-by-country basis.
    • Sales force discretionary pricing: maximising value extracting on the sales.
    • Your brand: that will determine the premium.
    • Reacting to competition: how to stay ahead?
    • New product development and launch: R&D to customer-value attributes.
  • CAGR: compound annual growth rate
  • Virtual vertical integration: partnership that incentivise without asset transfer or acquisition.
  • Winner’s curse: the winner did not receive the value of the item he bought for

Comments

Post a Comment

Popular posts from this blog

Kokology Questions & Answers

-
[These are extracts only, to see the full details kindly purchase the original book] Kokology is the study of kokoro (Japanese: 心) which in the aforementioned language means "mind" or "spirit". ... The books were published in 1998 in Japan and became a Japanese bestselling phenomenon. The books were translated and became available in the United States in 2000. Below are some questions and answers for sharing: A Desert Journey Boring class settings, you drifted away and enter the eternal desert... 1. You are riding a camel and you are near exhaustion, what will you say to the camel? 2. Before you die of thirst, a traveler point to you a oasis, who is this person you know? 3. You finally come to your destination which is a town, what is your feeling? 4. After you dismount, another person took over, who is this guy? - 1. What happened when love is lost? 2. Who always help or comforted you? 3. What is your feeling after getting past lost love?...
Read more

Neuro-Linguistic Programming Models Summary (02 of 14)

-
GeneraliSation The The Meta Model generaliSations make explicit the way we summarise and categorise our experiences. Generalisations are basically the rules we use to manage life. There are usually exceptions or counter examples to rules. These rules and categories create self-imposed or company wide limitations. Examining these limitations is a powerful problem solving strategy. By generalising one or a few experiences, we can figure out what to do in a different experience. We learn to drive a particular car, and then use that experience to drive a new one. If we weren’t able to generalise, we would have to learn how to drive all over again. Problem Solving Examining categories and generalisations is an excellent creative problem solving strategy. What are the experiences that come to mind when you think of money for instance? We typically use an emotionally charged experience to stand in for all our experiences in a category. We generalise and categorise all kinds ...
Read more

Neuro-Linguistic Programming Models Summary (11 of 14)

-
The Inner Hero Pattern Beat the drum and let the poets speak. This is the day of purification for those who Are already mature and initiated into what love is. No need to wait until we die! There’s more to want here than money And being famous and bites of roasted meat. --Rumi Life can be lived in many ways. You can make it about making money or winning at all costs, or pleasing other people, or perhaps never standing out. Or you can live your life as a great journey of consciousness, one filled with many challenges and surprises, one that makes a positive contribution to the world. I want to talk here a bit about these different paths, emphasising that the Self-Relations approaches of Generative Self and Generative Trance are especially tools for supporting the latter path. Life as a journey has been described by many people, most notably the mythologist Joseph Campbell.  Campbell (1949; Gilligan and Dilts, 2009) studied the stories of many different cultur...
Read more