[ Strategic Planning ]
[ Scenario Planning ]
[ Portfolio Analysis ]
[ Benchmarking ] |
Competitive Strategy
Strategy is the science and art used by leaders to acquire resources and apply them to solving a problem. In business, strategy is often misdefined as part of the array of specific tactical decisions made by a firm, such as setting prices or choosing suppliers. In fact, strategy is the comprehensive, corporate vision defining the means by which a firm will deliver value to its customers and shareholders. This vision then drives the operating approach implemented at all levels of the firm, influencing the day-to-day decision-making processes.
Our Experience in Strategy
Our experience involves the development of solutions for the most difficult, fundamental problems facing top-level executives of our clients. Strategy engagements may involve assessment of a company's position relative to the full profit potential of individual business units, or comparison of the value of the firm based on bottom-up analysis to that assigned by the market. Determination of the best places to allocate resources and the potential for value creation through ownership decisions are often discernible from this type of analysis. Identifying strategic shifts and positioning a firm in anticipation of several possible eventualities, or scenario planning, is also a core part of strategy development.
Tools For Competitive Strategy
Strategic Planning
Strategic planning takes a holistic view of a company to outline and define future corporate goals and objectives and map a process by which these will be achieved.
Our Experience in Strategic Planning
Strategic planning is an integral part of our approach to strategy consulting. We realize that without a well-planned and implementable strategy, a company cannot achieve its goals. Developing a corporate strategic plan requires matching its unique capabilities with its insights into the key value drivers of all its businesses. This process necessitates a detailed analysis of a company's current business situation and future forecasts. We gather this information through quantitative analysis and discussions with people at all levels of a corporation and industry. Throughout the strategic planning process, we works with a company to review its current strategy and identify and quantify all value creating opportunities, leading ultimately to an understanding of full corporate potential.
Scenario Planning
Scenario planning is a valuable tool in predicting the long-term ramifications of a business' overall strategy as well as discrete factors that can play out in myriad ways. Quality scenario planning considers a multitude of factors, both qualitative and quantitative, from the economic to the social and political. These varied assumptions are played out in 'best' and 'worst' case scenarios to contrast the potential risks and gains of a proposed business strategy.
Our Experience in Scenario Planning
We have frequently used scenario planning to facilitate a client's maximum efficiency and value. By considering multiple scenarios, we help companies more confidently anticipate the results of current decisions in the face of an often turbulent future. Scenario planning is always viewed in the context of other analysis to assess tradeoffs and implications in a multi-faceted manner. For example, a value chain analysis may reveal significant cost savings. However, scenario planning may uncover that for the client to become a successful player in the industry, a strong position in all market segments is a dominant strategic requirement, making the cost reduction opportunity moot. In this example, we would focus the company's efforts on the strategic threat first, and then secondarily focus on the operational improvement potential.
Portfolio Analysis – Business, Product Line and Services
Portfolio Analysis entails reviewing a company's portfolio of businesses, products and or services in order to ascertain where firm resources are best deployed. An integrated strategy delivers superior shareholder returns by dominating a few attractive markets with resources accurately allocated across businesses. Business portfolio analysis is based on a robust, fact-driven understanding of each market and business unit and requires an integrated view of the portfolio, an analysis of the relative attractiveness of markets and an understanding of how the company adds value. All of this must be considered within the scope of corporate financial resources and constraints.
Our Experience in Business Portfolio Analysis
We have wide experience with portfolio strategies. We help a company build a fact-base about the various companies in its portfolio, and understand where true strengths and weaknesses may lie. We then conduct more in-depth research of an industry or product line to understand the key success factors for those businesses. By identifying the full profit potential of a business, our clients can focus on areas where additional returns can be earned.
Benchmarking and Competitive Intelligence
Benchmarking and competitive intelligence is the process through which a firm measures its relative competitiveness by identifying the most important metrics of success in its business then comparing its performance with that of its competition along those metrics. Often firms benchmark their performance against that of world-class standards within specific functions or profitability measures.
Our Experience in Benchmarking and Competitive Intelligence
We use benchmarking and competitive intelligence to help analyze a client's particular weaknesses and then maximize its value. Our use of benchmarking goes beyond analyzing the competition. We discern top performance at a given activity, from service levels to productivity and manufacturing processes, and often go outside a company's competitive circle to do so. After selecting key performance measures and collecting data from units, we identify the best performance for each measure, quantify its value and then help implement the changes.
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