Company X

Who thought strategic planning was fun?

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Strategic Context

Vision: Outlines what the organization wants to be, or how it wants the world in which it operates to be (an "idealised" view of the world). It is long-term view and concentrates on the future.

Mission: Defines the fundamental purpose of an organization, why it exists and what it does to achieve its vision.

Values: Beliefs that are shared among the stakeholders, drive an organization's culture & priorities, and provides a framework in which decisions are made.

Strategic Thrusts: broad statements of intended actions that provide a theme that knits together independent activities focusing energies on things that matter in the market. source: www.marketingpower.com

1. [category: revenue & EBITDA growth] Drive …2. [efficiency & effectiveness] Optimize …3. [customer experience] Enhance …4. [power our people] Engage …5. [channel & coverage] Develop…

source: http://en.wikipedia.org/wiki/Vision_statement#Mission_statements_and_vision_statements

Strategy Thrust #3

Strategic Thrust #1

Strategy Thrust #2

Strategic Thrust x

Future state: xxxxxx

Current state: xxxxx

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Defining the Future - Ishikawa

source: Kaoru Ishikawa

Product LeadershipStrong innovation/brand marketing

Operational ExcellenceSuperb operations and execution

Customer IntimacyExcels in customer attention & service

Source: Treacy & Wiersema

All companies must choose one of the value disciplines and consistently and vigorously act upon it

Value Disciplines

Market Scan/Dynamics

Regulatory Competitive Customer Technology Core Skills

Xxx Xxx Xxx

Xxx Xxx Xxx

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Xxx Xxx Xxx

Xxx Xxx Xxx

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Can

ada

US

RoW

Financial Performance

Perform current financial analysis (numerous boutique accounting firms can do this)

Income Statement 20xx 20xx 20xx CAGR

Revenue xxx xxx xxx  

Cost of Good Sold (CoGs)  

Gross Margin 0.0%

Gross Margin %  

Operating Expenses

EBITDA

Product Performance

Line of Business(Product, Business

Unit)Business focus

% Tot Rev

5yr Grwth $

GM%EBITDA

%

Growth Strategy “Ansoff”

MarketPen’tn

ProductDev’lpmt

Market Dev’lpmt

Diversif’tn

1. Xxx x

2. Xxxx

3. Xxxx X

4. xxxx

5. xxxx

6. xxxxx X

7. xxxx

8. xxxx

9. xxxxx

13. xxxxx

Critical to examining product and/or business unit performance(consider mapping products to BCG matrix or product lifecycle)

investment strategy

xxxxxx xxxxxx Xxxxxx Xxxxxx

Revenue

Margin

8

Product Lifecycle Map

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introductory growth mature decline

Pipeline funnel growth exceeds decline revenue product loss

Growth TrajectoriesStrategic Scenarios*

$1M

$3M

$2.7M

$1.8B

20xx 20xx 20xx CAGR

Revenue xxx xxx xxx

Cost of Good Sold (CoGs)

Gross Margin 0.0%

Gross Margin %

Operating Expenses

EBITDA

Scenario #1

20xx 20xx 20xx CAGR

Revenue xxx xxx xxx

Cost of Good Sold (CoGs)

Gross Margin 0.0%

Gross Margin %

Operating Expenses

EBITDA

20xx 20xx 20xx CAGR

Revenue xxx xxx xxx

Cost of Good Sold (CoGs)

Gross Margin 0.0%

Gross Margin %

Operating Expenses

EBITDA

Scenario #2

Scenario #3Which scenario complements the

vision, mission, values, and strategic thrusts?

* Perform full financial statement analysis including cash flow to determine suitability

Prioritizing the Key Growth Opportunities

Divest Harvest Status Quo AccelerateQuantum

Leap

Prioritize Return on Investment for key initiatives

Geographic Segmentation [our target markets]

Market Penetration Product Development

Market Development Diversification

Globe image source: http://cybernations.wikia.com/wiki/File:Blue-globe.jpg

20xx 20xx 20xx 20xx

Market Size

Addressable Market

Market Share

Share of Wallet

Market Sizing

Exi

stin

gN

ew

Existing New

Products

Cu

sto

mer

s

Business Model Impacts

VALUEPROPOSITION

COSTSTRUCTURE

CUSTOMERRELATIONSHIP

TARGETCUSTOMER

DISTRIBUTIONCHANNEL

VALUECONFIGURATION

CORECAPABILITIES

PARTNERNETWORK

REVENUESTREAMS

gives an overall view of a company's bundle of products and services

“competitive advantage”

portrays the network of cooperative

agreements with other companies

describes the channels to communicate and

get in touch with customers

describes the arrangement of

activities and resources

explains the relationships a

company establishes with its customers

sums up the monetary consequences to run a

business model

describes the revenue streams through which

money is earned

describes the customers a company wants to offer value to

outlines the capabilities required to run a

company's business model

“core competencies”

INFRASTRUCTURE CUSTOMEROFFER

FINANCE

Itemize specific areas in the operating structure that will need to change to accomplish the strategic and financial goals

Source: www.designforinnovation.com

Value Chain Focus Areas

Company & Market Strategy

Product Strategy

Product Development

Product/ Solution

Sales

Product/ Solution Fulfill &

Install

Post Sales Service

Service PlanOrder Received

Service Remote Technical Support

Service Test

Service Quality

Sales Strategy & Planning

Billing

Opportunity & Funnel Management

Sales Analysis & Reporting

Order Processed

Order Fulfillment

Product Strategy Portfolio Plan

Business Case Development

R&D & Product Dev. Strategy & Plan

Product & Service Prioritization &

Gating

Strategy & Planning

Market Strategy & Segmentation

Channel Development

Channel Management

Product & Sol Development

Product & Sol Testing

Product Specs Definition

Product Dev. Mngmt

Product Technical Trial

Product Market Trial

Product & Service Launch

Installation

Billing & Collections Distributor/ Reseller

Billing & Collections End-Customer

Supply Chain Management

Product Analysis & Reporting

Channel & Customer Support

Customer Remote Support

End-Customer Training

End-Customer Communications

Marketing Campaigns

Channel Training

Channel Programs

Business Intelligence

Branding

Manufacturing

Inventory Mngmt & Logistics

Customer Solution Integration

ecommerce

Operations Mngmt Systems

CRM System

Segment Mngmt, Analysis & Reporting

Product IT Systems

Service Support Systems

Channel Training

Company KPI Dashboards

Order Process Management &

Reporting

Customer Raodshows

Highlight key areas in the value chain that will

need focus to successfully implement

strategic thrusts

Operational Plan DevelopmentStrategic Thrust Initiative Target Status Q1 Q2 Q3 Q4 Prime

Improve Share of Wallet by xx%

Introduce X John Q.

Execute x Jane M.