Strategic Thinking Through Pictures
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Transcript of Strategic Thinking Through Pictures
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Strategic Planning Through Pictures
Often the best way to communicate strategic choices is through simple pictures.
Let’s review some options.
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Collis’s Strategic Sweet Spot
Competitor Offerings (for target market)
Customer Needs (for target market)
Your Capabilities
Sweet spotYou win
OpportunityJump ball
You lose
You battle
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Whole Product Thinking
Source: Levitt
AugmentedProduct
ExpectedProduct
PotentialProduct
GenericProduct
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4
Hi-Tech “Whole Product” Planning
TheProduct
Hardware
Software
Legacyinterfaces
Networks& peripherals
Pre-salesservices
Post-salesservice
& support
Templates
Consulting
Where you can showyou understand yourcustomer’s businessproblem and itssolution
Where you can show you have committed
to solve the problem and havea pre-engineered solution
What your in-categorycompetitors have in
common with you
Source: The Chasm Group
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BCG Growth-Share Matrix
Market Growth
High
RelativeMarket
Share
Low
Weak Strong
Star
Dog
Cash Cow
Question Mark
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SWOT Structure
STW
O
Helpful Harmful
Inte
rnal
Ext
ern
al
Phase 1Complete this matrix for a specific competitor.
Phase 2Analysis it. What, if anything, are you going to with your conclusions?
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Phase 1: Completing the Matrix
•What do you do well?•What are your unique selling points?•What are your structural advantages?•What relevant resources you have access to?
• What are you doing badly?• What should you improve?• What should you avoid?
Analyze external attractive factors facing you like positive market trends and try to uncover greater potential.
What external obstacles in your are largely beyond your control?
Example: Unfavourable trends like downsizing, obsolescence, price wars, competitors with superior skills/products, shifts in consumer tastes and changing technology.
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Channel Distribution Structures
Wholesalers / Distributors
Manufacturers / Producers
“Customers”
Enterprises Professionals Consumers
Systems Integrators
Value-Added Resellers
Retailers
Agents / BrokersDirect
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Potential / Development Plot
Technology Stage-Gate: A Structured Process for Managing High-Risk New Technology Projects
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R&D Posture Overlay
OffensiveLong-Range R&DNext Generation & Selective Break-Through
OffensiveShort Term R&DIncremental
DefensiveMaintenance R&DNext Generation
OffensiveMaverick R&DBreak-Through
Withhold R&DCustomer Technical Support
© 2010 by Intellectual Assets, Inc.
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Use Map Overlay
Build Patent Fences License-Out
MaintainPortfolio
Abandon Patents
© 2010 by Intellectual Assets, Inc.
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Value Map Overlay
Neutra
l (Bra
nd D
epen
dant
)
SupportProject
AbandonProject
© 2010 by Intellectual Assets, Inc.
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Platform
Support Derivative
Breakthrough
= size of investment
Marketchange/External view
Technicalchange/Internal view
Project Classification Matrix
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Best option
Support Cancel
Limit exposure
= size of investment
Risk
Return
Risk/Return Matrix
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280 Group Four Quadrant Feature Grouping
Skip Everything
HereStudy More
Study Less Focus Here
Cos
t / R
isk
to D
evel
op
Value to Customers
Low
Hig
h
Low High
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Life “Firsts”
Purch
ase
Request
Assiste
d P
urch
ase
4
Savin
gs A
ccount
72
Ind
ependent In
com
e
Job
Housin
g (A
partm
ent)
Sub
scriptio
n (Pa
ger)
Loan (C
ar, P
C)
Cre
dit C
ard
Mortg
ag
e
Pro
m
Investm
ent (4
01
K)
..
.12 15-18 20s18-22
Ind
ependent P
urch
ase
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Market Rhythms
Jan
AprSep
Aug
Jul Jun
May
Mar
Feb
Oct
Nov
Dec