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101206 strategic planning
1.
STRATEGIC PLANNING LOOKING OVER
THE HORIZON MARTIJNMOERBEEK
2.
DISCONTINUOUS CHANGE FAILING TO
ADAPT TO CHANGE... INERTIA Barriers against cannabilisation (Chandy & Tellis, 1998) Complex external structures (Gunasakaran, 2008) IGNORANCE Complex internal structures Filtering by middle management (Godet et al, 2004) (Lucas & Goh, 2009) Short-term orientation (Ansoff, 1980) Information overload (Lesca & Caron, 1995) HIGH CLOCK SPEED Internal focus Faster diffusion of innovation (Day & Schoemaker, 2004) (Leet et al, 2003) Shorter product-life cycles (Kessler & Charkabarti, 1996) Higher innovation speed (Chen et al, 2010) High rate of change (Sood & tellis, 2005) 2 / Strategic Planning / © Martijn Moerbeek (2010)
3.
STRATEGIC PLANNING FAILING TO
PLAN AHEAD... rate of flux in the strategy PHASE 1: ENQUIRE PHASE 2: IMAGINE PHASE 3: INNOVATE PHASE 4: INSPIRE Lack of information; Lack of clear purpose; Lack of goals; Lack of leadership; Too much navel gazing; Lack of aspirations; Stuck in the past; Lack of engagement; Weakness focused; Lack of values; Lack of ambition; Not energy creating; Top-down approach. Not possibility focused. No strategy into action; No results driven approach. 3 / Strategic Planning / © Martijn Moerbeek (2010)
4.
LEVERAGING THE POSITIVE THE
“SOAR” FRAMEWORK... Results, Outcomes & Benchmarks Strategic Initiatives / Strategy Co-create Values, Vision and Mission Internal Analysis: Strengths Implementation & Continuous Improvement Tactical / Functional Plans and Integrated Programs Innovations & Desired Outcomes External Analysis: Opportunities 4 / Strategic Planning / © Martijn Moerbeek (2010) (based on Stavros, 2009)
5.
INQUIRE INTO STRENGTHS STRATEGIC
FORESIGHT... Create and maintain a high quality, coherent and functional forward view STRATEGIC CORPORATE GUIDE POLICY AND MANAGEMENT DEVELOPMENT EXPLORE AND ENTER SHAPE STRATEGY NEW MARKETS STRATEGIC DETECT FORESIGHT EXPLORE NEW ADVERSE CONDITIONS PRODUCTS & SERVICES STRATEGIC INNOVATION CONTROLLING MANAGEMENT Leverage the internal corporate strengths 5 / Strategic Planning / © Martijn Moerbeek (2010) (based on Rohrbeck, 2010)
6.
INQUIRE INTO STRENGTHS INTERNAL
STRENGTHS... 6 / Strategic Planning / © Martijn Moerbeek (2010) (based on Johnson & Scholes, 1984)
7.
INQUIRE INTO STRENGTHS ENVIRONMENTAL
SCANNING... POLITICAL TECHNOLOGICAL FORESIGHT INTELLIGENCE CURRENT FACTORS INFLUENCING BUSINESS THE CORE BUSINESS SPACE FACTORS FROM NEIGHBOURING INDUSTRIES AREAS WITH AS OF YET NO CONNECTION TO THE BUSINESS CONSUMER COMPETITOR FORESIGHT INTELLIGENCE 7 / Strategic Planning / © Martijn Moerbeek (2010)
8.
INQUIRE INTO STRENGTHS EXTERNAL
OPPORTUNITIES... service 1 service 2 product 1 service 3 product 2 technology 1 competitor 4 service 4 technology 2 product 3 competitor 3 technology 3 competitor 2 competitor 1 HORIZON horizon 3 horizon 2 horizon 1 SCANNING CORPORATE RELEVANCE high medium low 8 / Strategic Planning / © Martijn Moerbeek (2010)
9.
IMAGINE THE OPPORTUNITIES CO-CREATE
THE VALUES, VISION AND MISSION... input from across the organisation VISION Defines the desired or intended future state of an organisation in terms of its strategic direction. MISSION Defines the fundamental purpose of an organization or an enterprise and how it aims to achieve its vision. VALUES Beliefs that are shared among the stakeholders of the organisation, driving its culture, priorities and decision making. STRATEGIC INTENT 9 / Strategic Planning / © Martijn Moerbeek (2010)
10.
IMAGINE THE OPPORTUNITIES BUSINESS
MODEL... KEY ACTITIVIES VALUE PROPOSITIONS CUSTOMER SEGMENTS What key resources do our value What value do we deliver? For whom are we creating value? propositions require? Which client issues do we resolve? Who are our most important Our distribution channels? What bundles of products and customers? Our customer relationships? services are we offering? Our revenue streams? Which customer needs are we satisfying? KEY PARTNERS Who are our key partners? CUSTOMER RELATIONS Who are our key suppliers? Which relationships have we Which key resources do we established? acquire from partners? How costly are they? Which key activities do What do customers expect? partners perform? KEY ACTIVITIES CHANNELS What key resources do our How do customers wish to value propositions require? be reached? Our distribution channels? How do we reach them currently? Our customer relationships? How are our channels Our revenue streams? integrated? COST STRUCTURE REVENUE STREAMS Which are the most important costs For what value are our customers really willing to pay? inherent in our business model? For what do they currently pay? Which key resources are most expensive? How are they currently paying? Which key activities are most expensive? How would they prefer to pay? How much does each revenue stream contribute to overall revenues? 10 / Strategic Planning / © Martijn Moerbeek (2010) (Osterwalder & Pigneur, 2009)
11.
IMAGINE THE OPPORTUNITIES SCENARIO
PLANNING... HORIZON 3 Scenario A continues its strong growth, whilst HORIZON 2 scenario B recovers and A disturbance occurs which returns to positive creates an alternative growth but with a larger HORIZON 1 scenario and potentially degree of uncertainty. Positive growth is projected a decision needs to be BEST CASE with some degree of made to continue should certainty. scenario B occur. X X X X X LEGEND disturbance decision point WORST CASE 11 / Strategic Planning / © Martijn Moerbeek (2010)
12.
INNOVATE TO MEET
ASPIRATIONS THE STRATEGY MAP... SUSTAINED SHAREHOLDER VALUE PRODUCTIVITY STRATEGY REVENUE GROWTH STRATEGY FINANCIAL Expand Revenue PERSPECTIVE Improve Cost Structure Increase Asset Utilisation Enhance Customer Value Opportunities CUSTOMER VALUE PROPOSITION CUSTOMER PERSPECTIVE Price Quality Availability Selection Functionality Service Partnership Brand Product / Service Attributes Relationship Image Operations Management Customer Management Innovation Regulatory & Social PROCESS Produce and deliver Enhance customer value Create new products Improve communities and PERSPECTIVE products and services and services the environment Strategic Job Families Strategic IT Portfolio Organisation Change Agenda Human Capital Information Capital Organisation Capital LEARNING & Skills Systems Culture GROWTH Training Database Leadership PERSPECTIVE Knowledge Networks Alignment Teamwork 12 / Strategic Planning / © Martijn Moerbeek (2010) (Kaplan & Norton, 2004)
13.
INNOVATE TO MEET
ASPIRATIONS HUMAN CAPITAL READINESS... REGULATORY OPERATIONS MANAGEMENT CUSTOMER MANAGEMENT OPERATIONS MANAGEMENT & SOCIAL Strategic Minimise Provide rapid Cross-sell the Shift to Understand Develop new Diversify problems response product line appropriate customer products workforce Processes channel segments Strategic Quality Manager Call centre Certified Telemarketer Consumer Joint venture Community representative financial planner marketer manager recruiter Job Families Competency Six Sigma Customer Solutions Phone selling Market Relationship Community program interaction selling Product-line research management roots Profile centre Problem Relationship knowledge Market Negotiation Public management Problem management Order communi- E-commerce relations system management Product-line management cation know-how Legal centre knowledge system Cross frameworks Team Professional business building certification processes OVERALL Number HUMAN required 30 20 100 20 10 30 10 CAPITAL READINESS Strategic job readiness 100% 90% 40% 50% 20% 70% 80% 65% 13 / Strategic Planning / © Martijn Moerbeek (2010) (Kaplan & Norton, 2004)
14.
INNOVATE TO MEET
ASPIRATIONS INFORMATION CAPITAL READINESS... OPERATIONS MANAGEMENT CUSTOMER MANAGEMENT OPERATIONS MANAGEMENT Strategic Minimise Provide rapid Cross-sell the Shift to Understand Develop new problems response product line appropriate customer products Processes channel segments Strategic Quality Call centre Certified Telemarketer Consumer Joint venture Manager representative financial marketer manager Job Families planner Transform Customer Portfolio self- applications self-help management Analytical Service quality Community Customer Community Customer Community applications analysis management profitability management profitability management Transaction Incident Workforce Integrated CRM software Customer Project application tracking scheduling customer file package Feedback Management OVERALL Technology Web enabled Telephone Web enabled CRM software CRM software INFORMATION integrated package package CAPITAL Infrastructure READINESS Strategic job readiness 70% 60% 40% 30% 40% 90% 50% 14 / Strategic Planning / © Martijn Moerbeek (2010) (Kaplan & Norton, 2004)
15.
INNOVATE TO MEET
ASPIRATIONS ORGANISATION CAPITAL READINESS... STRATEGIC OBJECTIVE STRATEGIC MEASURE TARGET ACTUAL Culture Foster awareness and Customer-focussed (customer survey, internalisation of the percentage who understand the mission) 80% 68% mission, vision and core values needed to execute Other core values (employee change the strategy readiness survey) 80% 52% Leadership Develop strategic leaders at Leadership gap (percentage of key all level of the organisation competency attributes above threshold) 90% 92% Alignment Strategic awareness (% of staff who can Align goals and incentives identify strategic priorities) 80% 75% with the strategy at all levels of the organisation Strategic alignment (% of staff whose objectives are linked to the score card) 100% 60% ORGANISATION Teamwork Sharing best practices (number of CAPITAL Ensure that knowledge and knowledge management hits / employee) 5.0 6.1 READINESS staff assets that have strategic potential are Treating the customer well (customer shared widely 95% 90% 75% satisfaction surveys) 15 / Strategic Planning / © Martijn Moerbeek (2010) (Kaplan & Norton, 2004)
16.
INSPIRE TO ACHIEVE
RESULTS CHANGE MANAGEMENT... CHANGE PROGRAMME ACTIVITIES Carry out those activities to plan, analyse, design and implement the change. ORGANISATIONAL EMPATHY INDIVIDUAL EMPATHY Understand and adapt the Understand and help individuals to change programme to the deal with the emotional, rational cultural environment. and political aspects of change. 16 / Strategic Planning / © Martijn Moerbeek (2010)
17.
INSPIRE TO ACHIEVE
RESULTS ORGANISATIONAL EMPATHY... LEADERSHIP VISION & COMMITMENT Leaders are clear about the future state and actively drive the changes required to get there CHANGE ACCEPTANCE & ADOPTION 4 STAFF EFFECTIVENESS Impacted groups and Staff required for implementation other stakeholders and ongoing service delivery understand and operate have the necessary skills, according to the new model. 1 knowledge and capacity. GOVERNANCE READINESS 3 ORGANISATIONAL ALIGNMENT The governance model is in Policies, programs and other place with a shared operating model components understanding of how are aligned to support and services are managed. 2 enable the change 17 / Strategic Planning / © Martijn Moerbeek (2010)
18.
INSPIRE TO ACHIEVE
RESULTS INDIVIDUAL EMPATHY... WHAT HAS WHAT COULD WHAT WE WHAT WILL BEEN DONE? WE DO? CAN DO! WE DO! Made the right decision We have some news positive We have a plan to success We have the answer EMOTIONAL STATE MOBILISE OBSERVE SHARPEN BUILD DELIVER It’s difficult There is a solution It’s not the best news We have some options negative Now I understand, but Not sure how to solve it 18 / Strategic Planning / © Martijn Moerbeek (2010)
19.
Contact Martijn Moerbeek 10 Hartington
Road Buxton Derbyshire SK17 6JW United Kingdom t: +44 (0)1298 747 22 e: martijn.moerbeek@gmail.com
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