Company Strategy Exposures: Making The Right Decision

No company wants to venture beyond competition-based markets only to find itself in a puddle. The question is, How do you maximize the size of the new opportunity you are creating? By aggregating the greatest demand for a new offering, this approach attenuates the scale risk associated with creating a new market.
Much of the task of scaling up capabilities depends on transcending the limits of functions. For distinctive capabilities are inherently cross-functional. The most important capabilities systems do not fall neatly into groupings designed many decades ago. Indeed, much of the distinction in a powerful capabilities system stems from the sparks created when people with different backgrounds, skills, technologies, and perspectives build practices and processes together.
There are some threats we can minimize and there are others we can’t. We need to do all we can to control the threats we can predict—and prepare for the ones we can’t. What outside our control could threaten our existence? How might new technology hurt us? What in the political environment (government) might threaten us? Will ups or downs in the economy hurt us? What in our physical environment might threaten us?
It’s helpful to create a value proposition for each stakeholder group you are targeting and detail how you will create value for that group. Typically there are three dimensions of value—financial (price, volume, margin, ROI, etc.), functional (increasing stakeholder’s productivity, providing choice or flexibility, being easy and convenient to do business with, and delivering speedy service), and emotional (providing security to generate trust and stimulating a feel-good factor). All of these can be offered in some form to each group.

Control Expenses

Focus and concentration on your greatest opportunities and areas of highest profit potential have always been the keys to financial success in business.
A company needs a vision statement that everyone from the CEO to the receptionist can understand. It formulates what an organization wants to be and stimulates specific goals that can be passed down to every department in the organization. It needs to be something useful and applicable to daily operations. You—and, more importantly, your coworkers—should feel comfortable using your vision statement in everyday conversation.
The problems you encounter in running your company are tough enough to solve. Don’t let confusion muddy the waters. This means keeping your analyses as objective as possible and admitting what you see to those around you. Don’t try to persuade yourself or others to see what isn’t there. You may be the only person, for example, who can tell whether a two-month downturn in revenues reflects your ordinary business cycle or the beginning of a more drastic trend. Therefore, you must gauge the truth and act accordingly.
Business relies on hard management factors such as ﬁnance,technology and processes, yet also on soft factors such as leadership,communication and creativity. Every where we look, paradox seems to be the companion of economic progress.

Strengthening Isolating Mechanisms

Traditional leadership values are important, and the solution is often to work through a consistent set of principles that enables you to capture and ﬁlter relevant knowledge, and then transform this into effective action.
Great CEOs must constantly develop new products to build and retain a customer base. Foresight is also the ability to hire and retain the right people, looking ahead toward the growth of the company. Finally, over time, each company must develop a steady source of business during both good economic times and bad, because there are sure to be bad economic times during the life of a business.
In the last decade, there has been a fundamental shift in the cost and ease of becoming a global player from virtually any corner of the globe. This is a trend no organization can afford to downplay. With the ease and low cost of setting up a website, any business can have a global storefront.
A business strategy is a deliberate plan that helps a business to achieve a long-term vision and mission by drafting a business model to execute that business strategy. A business strategy, in most cases, doesn’t follow a linear path, and execution will help shape it along the way.

Translate The Strategic Into The Everyday

At its core, strategy is about finding ways to create and claim value through differentiation. That’s a complicated, difficult job. To be sure, it requires tools that can help identify surprising, creative breaks from conventional thinking. But it also requires tools for analyzing the competitive landscape, the dynamics threatening that landscape, and a company’s resources and competencies.
A great CEO isn’t afraid to look at the downside and answer the hard questions he or she hopes will never become a reality. The CEO needs a backup plan—one that is designed by looking at the company’s worst-case scenarios. This plan addresses questions such as: What if your industry experiences a slump? What if new governmental regulations affect your business? What if you lose the client that accounts for 50 percent of your sales?
Ensure that the products/services you plan to build are unique, with clear differentiation and that they are aligned with your business. Think back to when Apple launched the iPod, a truly innovative product. The company has since been well-known for its brand and quality. Along with its computers, people buy Apple's other products too, like the iPhone, iPad, etc., even though they might be more expensive than the alternatives.
One of the most important characteristics of a superior workforce is that all employees remain employable. This means that you employ only those people whom your competitors would want to hire if they could. It should be a goal of your human resource planning to seek state-of-theart employees. Employees should know that you expect excellence from them and that they probably will need to invest in themselves through outside training to keep their end of this bargain.

Creating Your Vision

Accelerated technological advances have substantially improved industrial productivity and have allowed suppliers to produce an unprecedented array of products and services. The result is that in increasing numbers of industries, supply exceeds demand. The trend toward globalization compounds the situation.
Decisions often involve compromise, and as long as the essential goals will still be achieved there is nothing wrong with this. Sometimes the ideal solution is unattainable, but it is better to have 50% of something than 100% of nothing.
Determining proper compensation is one of the most complex aspects of running a business. It’s wise to seek outside assistance when designing a compensation program to ensure that it is fair and appropriate. A compensation professional will evaluate and compare the jobs in your organization to one another, as well as to similar positions on the open market, to determine a fair and competitive package. The compensation professional can also assist in devising the correct formula for incentive compensation, that is, bonuses for doing an outstanding job.
Does your business plan spend more time describing what will happen in the first one to two years than it spends on years five to 10? Then what you have is really just a budget expressed in prose, not a strategy. Pick five years as the focus of your strategy. Where does the company want to play — and how does it want to win — five years from now? After you’ve determined that, make the next four years the steps you need to take to achieve your five-year target.

Choose Your Competition

A business strategy must take into account a number of factors including the market, competitors, and the business environment, as well as the company's structure, strengths and weaknesses. It should also be flexible enough to handle change.
What about your financial results? What are your sales and profit margins? What are your prices and costs? Look at your sales figures and break them down by product, product line, service, market, and distribution channel. What are your financial strengths and weaknesses? What are the resources that you have available?
By far the easiest thing to do is to see the future as so unpredictable and uncertain that you should keep all your options open and avoid choice-making entirely. The irony, of course, is that not choosing is every bit as much a choice, and every bit as impactful, as choosing to choose.
Market-based benchmarks — those pegged to the performance of your competitors — serve as minimum standards, not as the beall and end-all. They work for starters, and only if you can’t come up with better standards to measure your own performance. You do better to identify best-case performance standards and aim for those, irrespective of what your competition does.

Consider The Possibilities

It’s critical to understand what your organization is and does, as well as what it isn’t and doesn’t do. The all-things-to-all-people trap can be a barrier to understanding and clearly defining an organization’s offerings. Fearful of losing a sale, small-business leaders can be unwilling to put a stake in the ground and say, “We sell product or service X to this market.” That bold declaration doesn’t just define what you sell and to whom; just as important, it defines what you do not sell and to whom you do not sell.
In predictable classical environments, strategy formulation can be separated from execution. But in adaptive environments, it cannot, since strategy continually emergences from amplifying the results of success experiments, i.e., execution.
Building competitive advantage is not only about doing your best to attract and satisfy customers; it is also about attracting and satisfying them more than the competition does. This invariably requires decisions to be innovative, that is, cleverer than those of the competition.
Understanding what is taking place within the external environment is important to preparing a strategy that will ensure long-term profit and growth. Understanding changes that are taking place in your industry, or with your market place is important. Because if you don’t adapt you die. Even successful businesses need to realize that what made them successful today is not what will make them successful tomorrow.

Missing The Forest For The Trees

Learn as much as you can so you’re informed, not just reacting to rumor and innuendo. Use your internal network and ask others in the organization for insight, context, and clarity. When you’ve done the hard work of sense-making, you’ll be able to anticipate the questions your team will ask and prepare the most effective answers you can.
To arrive at a business strategy that everyone in the business supports you will need to have a lot of discussion and debate within your business and amongst your senior team about where the business is now, where you want it to go and how you are going to get there. By getting to an agreed strategy as a team this will align everyone on the same track and wavelength giving you more chance of success.
Some CEOs come from sales backgrounds and love the showmanship and one-to-one contact. Other CEOs find sales a challenge and take every rejection personally. Whether you have a sales or other background, your company must constantly and aggressively sell its product. It must follow every lead to new prospects and new customers and meet new needs for existing customers. The CEO is the company’s number one salesperson, and, as with everything else, what the CEO focuses on gets done. Sales must always be a primary focus.
In our uncertain world, fundamentals are changing so we need to think about them and whether they are valid in the short or long term. Think how you can deploy the capabilities you have and build new ones you need to defend your competitive position. Add them in layers to create barriers.

Avoiding Pitfalls

You need someone who can come in and be a facilitator of the strategic planning process. This person will take the time to fully understand your company, your people, your markets, your competition, and the situation you are facing in your business today.
Staying true to your identity doesn’t mean becoming complacent or losing your ability to change. It means using your strengths as a guide as you move through a rapidly changing world. With the entire company aligned around your specific way of creating value, you are not easily distracted.
To boost performance, well integrated companies don’t have to change their culture; they have to recognize its value and use it to reinforce the way they coalesce across their strategy and execution. These cultures make it easier, not harder, for people to work together across internal boundaries (like those of functions and business units). They have a climate of grand aspiration, drawing people to contribute and excel, and to bring more of themselves to work. The interplay between capabilities and culture becomes a defining feature of the enterprise.
Because they so readily support each other and are completely dedicated and loyal to the company, employees in a united company form a “fighting force” that gives them a tremendous advantage over competitors in their markets. Along with high levels of teamwork, they are fully engaged in their work. As a result, they are more creative and innovative. They have higher morale and they get along better with each other. They have a greater esprit de corps.

Concentrate On What You Do Well

Questioning is a useful starting point for creative problem solving. Challenging the way that things are can lead to alternatives being generated. Although questioning alone may not provide breakthrough thinking, it is often an essential first step in breaking traditional thinking. In particular, it can help to question established logic, asking “Why?” as well as “Why not?”. Questioning the limits of existing processes, systems or technology can also stimulate creativity. Identifying false assumptions is another valuable step.
Every leader wants to avoid major strategic mistakes, but, in a complex world, it’s hard to anticipate all the forces that might impact your goal. It’s vital to find weaknesses in your strategies before you implement them — and to develop a rigorous process to do so.
Without proper controls, financial management and in particular the management of risk remain uncertain, flawed activities. Control is necessary not only to avoid cheating or fraud, but also to test that the best decisions are made and that the most effective tactics are employed.
When you don’t commit to an identity, you risk becoming scattered among a variety of objectives. It is all too easy to continually shift your focus—to deal with exigencies and never quite build the capabilities you need. You gain a right to play in many markets, but a right to win in none.

Comments

Bu tür bir memnuniyet, takdirlerinin ancak yıllarca pratik ve tekrardan elde edilebildiği biz yaşlı insanlara mahsustur.

Bence tam zamanlı kariyerinizin blog yazmak olduğunu söyleyebilmek başlı başına inanılmaz bir başarı. Aferin!

Non vedo l'ora di leggere molti tuoi articoli.

De essentie van al het mooie schrijven, al het geweldige schrijven, is dankbaarheid. Dank je.

Det här innehållet är hett!

朋友对我很重要，我一直有很多朋友。这可能有很多原因，但在我看来，有两个比其他任何一个都更有效。我是一个天生友好的人，我讨厌独处。

Meer, meer, meer van deze inhoud.

Jeg har også skrevet om dette emne, men du har gjort et bedre stykke arbejde end mig!

Je crois vraiment que nous avons tous beaucoup de ténèbres dans nos âmes. Colère, rage, peur, tristesse. Je ne pense pas que ce soit uniquement réservé aux personnes qui ont reçu une éducation horrible.

사람들의 노력과 공헌이 인정받은 이 나라 전역에서 놀라운 이야기가 있습니다. 그것의 일부는 절대적으로 환상적인 느낌입니다.

Indiferent de atitudinea cuiva față de acest subiect, mi s-a părut înălțător felul în care l-ai tratat.

Szybkość zmian sprawia, że zastanawiasz się, co stanie się ze światem.

Escribir es fácil cuando no sabes cómo, pero muy difícil cuando lo sabes.

Đọc rất nhiều trong chủ đề này.

Groß. Sie sind erfolgreich, weil Sie all Ihr Wissen mit anderen teilen.

Jokainen, joka lopettaa oppimisen, on vanha, olipa sitten 20- tai 80-vuotias. Jokainen, joka jatkaa oppimista, pysyy nuorena. Parasta elämässä on pitää mielesi nuorena.

언젠가가 도래했다는 소식을 전할 수 있어서 좋습니다.

Gracias por compartir tan buena información. Es realmente útil para mí. Siempre busco leer contenido de calidad.

Po prostu nie mogłem przestać czytać tej treści.

Saya salah satu dari orang-orang yang menganggap Internet luar biasa, dan saya tidak percaya itu ada.

Gracias por compartir buenos conocimientos e información.

Każdy kawałek mnie jest oddany tej tematyce. Dzięki za zwrócenie na to uwagi świata.

Napínavé čtení tohoto článku.

Onze wereld is zo overladen met nutteloze informatie, beelden, nutteloze beelden, geluiden, al dit soort dingen. Het is een kakofonie, het is als een waanzin die volgens mij de afgelopen vijfentwintig jaar heeft plaatsgevonden. En ik denk dat alles wat iemand kan helpen om alleen in een kamer te zitten en zich er geen zorgen over te maken, goed is.

Er du en drømmer, der accepterer at drømme om den faktiske verden?

我确实考虑了您在帖子中讨论的所有想法。他们真的很有说服力，而且绝对可以工作。

Trebao bih cijeniti razjašnjenje vaših osjećaja i razmišljanja.

Stel je duizend meer van dergelijke dagelijkse inbreuken in je leven voor, zoals deze blogpost.

史上最高のテーマ！

Tekstisi oli mielenkiintoista luettavaa. Kiitos.

Опитвах се да се науча как да не съм толкова противоречив относно неща като тази тема. Опитвам се да бъда по-верен на себе си и това ми помага да се отпусна малко.

Hierdie is 'n baie nuttige blog.

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Sentir a presença do Senhor é uma coisa incrível.

I have been searching for such an informative post for many days and it seems my search just ended here. Good work. Keep posting.

Oh, du hättest diesen Artikel nicht schreiben sollen, aber ich bin froh, dass du es getan hast!

Il est sans aucun doute vrai que les gens sont généralement plus à l'aise avec les autres de leur groupe d'âge sur ce sujet.

感谢一百万，请继续进行有效的工作。

친구는 나에게 매우 중요하며, 나는 항상 그들 중 많은 사람들을 가지고 있습니다. 그렇게 된 데는 여러 가지 이유가 있을 것입니다. 하지만 두 가지가 다른 어떤 것보다 더 타당해 보입니다. 저는 타고난 친화력이 있고 혼자 있는 것을 싫어합니다.

Artikelen komen voort uit onzichtbare en over het algemeen onbeduidende oorzaken, waarbij de eerste uitbarsting vaak slechts een explosie van woede is.

Můj proces učení probíhá pouhým okem – není to vůbec vědecké.

Nessun grande scrittore vede mai le cose come sono realmente. Se lo facesse, cesserebbe di essere uno scrittore.

Beim Lesen dieses Weblogs dachte ich, dass die meisten Besucher andere Blogger sind. Denken Sie diese eine Sekunde nach und natürlich ist es nicht wahr. Ich kann mir nicht vorstellen, woher ich diese dumme Idee habe.

Bitte mehr von diesem Artikel!

Denne bloggen er aldri forut for hans tid, men de fleste er langt bak sin tid.

Māksla rakstīt par šādām tēmām ir cilvēku atturēšana no klepus.

मुझे इस विषय का विचार पसंद है, जो स्वयं भी निम्न-मध्यम वर्ग की पृष्ठभूमि से आता है।

Ovi blog postovi su bili zapanjujući.

Märkan uut lähenemist teie blogis kirjutamisele ja see toimib.

Лучший блог, который я когда-либо видел.

感谢您为此付出的辛勤工作。你已经很好地研究了这个主题。

Atitudinea pur agitativă nu este suficient de bună pentru o analiză detaliată a acestui subiect.

โพสต์บล็อกเหล่านี้น่าทึ่ง

Yêu thích chủ đề trong bài viết này.

En période de grand stress ou d'adversité, il est toujours préférable de rester occupé, de consacrer votre colère et votre énergie à quelque chose de positif.

Το θέμα είναι να έχει κανείς τα μάτια και τα αυτιά του ανοιχτά και να παρακολουθεί πώς παίζουν οι άλλοι το παιχνίδι.

Sulit untuk menemukan kata-kata untuk mengungkapkan rasa terima kasih saya untuk artikel ini.

Je blog heeft de neiging om al het andere te consumeren, het is mijn hele leven geworden.

Ще разкажа на всички за тази статия.

Такая радость — прерогатива нас, пожилых людей, которым можно оценить только годы практики и повторения.

Ceea ce mă frapează este faptul că ai rezolvat acest subiect atât de succint.

Moje představivost si nedokáže představit krásnější štěstí, než pokračovat v životě pro váš blog.

Je ne pense pas que j'étais prêt à le reconnaître. Ce qui est dommage, car la crainte que je ressens ces jours-ci, et je ne peux pas penser à un meilleur mot pour cela, est un ajout réel et remarquable à toute l'expérience.

Jag älskade verkligen att läsa din blogg. Jag tyckte också dina inlägg var väldigt intressanta. Efter att ha läst var jag faktiskt tvungen att gå och visa den för min vän och han njöt av den också!

See on kasulik artikkel. Aitäh.

Isso é absolutamente vale a pena ler junto com todos os comentários abaixo da história original.

Du hast mir geholfen zu sehen, dass ich mehr sein kann. Danke dafür.

Friends are very important to me, and I have always had many of them. There are probably many reasons why this is so, but two seem to me more valid than any of the others I am a naturally friendly person, and I hate to be alone.

Ik probeer altijd een houding aan te nemen dat ik niet weet wat ik doe.

Se non ti piace leggere, non hai trovato l'articolo giusto.

Talvez o papel decrescente do meu ego esteja abrindo espaço para uma certa quantidade de sublime entrar.

このブログは、スペースを無駄にする方法の芸術です。

Não tenho nenhum passo específico a tomar porque não começo da mesma maneira todas as vezes. Mas há um saber quando é suficiente e você pode deixá-lo sozinho.

Διδάσκετε στον αναγνώστη να κατανοεί τον κόσμο ως ερώτηση. Υπάρχει σοφία και ανεκτικότητα σε αυτή τη στάση.

I don't need to be deeply interested in the topic of the Weblog or even agree with what the blogger writes (well, within some limits). What I want is to be engaged by what I read, and that is almost always closely related to the passion of the writer for his or her subject.

Kon het leven maar wat teder zijn en deze materie wat robuuster.

Mon cousin m'a recommandé ce site Web. Je ne suis pas certain que ce message soit écrit par lui ou non, car personne d'autre n'a réalisé un travail aussi détaillé.

Savos 20. gadu sākumā es biju tik nožēlojams ar celtniecību, es gribēju kaut ko tādu, kas maksā naudu. Man patika automašīnas un lietas, kas maksā naudu. Es gribēju nevicināt āmuru un pelnīt naudu... un nedarīt lietas, kas ir netīras.

Nagyon szerettem olvasni a blogodat. A hozzászólásaidat is nagyon érdekesnek találtam. Sőt, miután elolvastam, meg kellett mutatnom a barátomnak, és ő is örült neki!