Michael Porter

Accenture Publication Business Strategy in an Unregulated Environment

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The website LearnPPT.com is an invaluable online resource for understanding and improving your business strategy knowledge. It contains a large library of PowerPoint documents outlining different types of business strategy frameworks and concepts. Their strategy and presentation materials have been used across the wordl in over 45 countries in global Fortune 100 corporations. There are many business documents covering secondary business units, such as governance, cost reduction, and IT. In its growing collection include corporate strategy presentations, business analysis documents, Excel-based financial analysis models, and business presentation templates (such as fishbone diagrams). LearnPPT asserts that all products were created by former strategy and management consultants from big name consultancies, like McKinsey and Bain.

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A common business problem many business frameworks aim to solve is the challenge of achieving sustainable growth. The fact is that most companies have difficulty achieving significant growth, year over year. Over the last 50 years, Fortune 500 companies experience a median growth rate of in less than 8% in real terms (and under 10% in nominal terms). Furthermore, real revenue growth fluctuates more than ROIC ranging from 1% to 11%. Companies achieving greater than 20% sales growth typically dwindle down to 5% within 10 years. Only about a third of the Fortune 500 companies are able to sustain sales growth above the national GDP and generate returns above the S&P500. Also, 90% of them are focused across the 4 sectors of Financial Services, Life Sciences, Technology, and Retail & Distribution. For those companies that do achieve high growth rates, these growth rates also decay quickly. In particular, enterprise companies struggle to grow.

Any great management consulting has a suite of classic and emerging business frameworks. Over the past 50 years, leading consultancies, such as McKinsey and Bain, have structured problems into frameworks that are widely used in the corporate world today. Many such frameworks and business notions hinge on the seminal thought leadership of Michael Porter, the father of modern day business strategy. Consulting firms and consultants practice these frameworks to look at, evaluate, and solve a number of different types of business problems, which occur in different business scenarios.

When a projecthas been backed by the business case (which is both financially and non-financially) and gets buy in from the management team, the business case ppt is then maintained on an ongoing basis and refined to track the business engagement?s progress against the initial financial projections and key financialassumptions. Developing a business case is a thorough process, requiring both data-driven and qualitative research and analysis. This powerpoint then becomes a working document used during the initiative tracking process.

Business strategy development is an expansive but important part of any organization, enterprise or small, and therefore, there are numerous business frameworks geared towards this functional area. To begin with strategy development, you should frame your strategic challenges by defining where you want your company to be, how you can get your business there, and what your current state situation is. The evolution from your current state to your desired end state is a matter of strategy development and execution of that strategy. Even though the end goal of any corporate strategy is winning, it involves a number of important pieces, including defining your company?s value proposition, competitive advantages, and organizational transformation.

Different size businesses naturally experience different challenges and thus, take on varying approaches to managing their business strategy. A global conglomerate will utilize a more structured strategic management model, due to its greater size and scope of both business. A SMB may be more entrepreneurial in its approach to business growth and its operations are often much more lean. Some companies may be in the early growth stages, while the established multi-nationals are in the sustain stage.

One of the often created financial spreadsheet models in any organization is one for a capital budgeting business case. The business case typically takes the form of an Excel spreadsheet or can be a business case powerpoint and quantifies the financial components of the project, projecting key metrics for making any important business decision: for example, NPV, Return on Investment , Payback Period, Cost of Investment. As a matter of fact, any business initiative requiring capex should be built upon and justified by a business case spreadsheet. This document will also be tracked on an ongoing basis to gauge the success of the undertaken initiative.
business strategy documents

McKinsey Quarterly Article Business Strategy Development without a Competitive Advantage

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Any successful consulting firm has a toolbox of classic and modern business strategy development frameworks. Consulting firms and consultants employ these business strategy development methodologies to address, synthesize, and solve various business problems, which occur in different business situations. Over the past 50 years, leading consultancies, such as McKinsey and Boston Consulting Group, have researched frameworks that are widely used in the corporate world today. Many such business strategy notions hinge on the original teachings of Michael Porter, the founder of modern day business strategy development.

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All companies typically develop pricing strategy initiatives, as they launch new products and services or tweak existing products. Price skimming involves bringing the new offering at a high price point relative to the rest of the market. The approach of financial modeling is sometimes linked to creating a pricing strategy business case for a new product or offering. Pricing strategy allows the company to optimize its profitability, in addition to position itself in an optimal place in the marketplace. The product?s pricing tells the customer a lot about the product, as people associate price to quality. Penetration pricing strategy involves bringing a product or service at a low initial entry price , often lower than competitive products in the market. Excel is the application of choice when conducting pricing analysis and pricing modeling, such as price sensitivity modeling, game theory evaluations, and price structure analysis. Many times, the required pricing data isn?t readily available, so we must use Excel to forecast values, such as sales volumes, using native LINEST Excel functions. On the contrary, building a pricing strategy business case focuses one primary question initially: whether to the market or penetrate the market.

Structured business communication is typically formed under a communication framework. The Pyramid Principle is intertwined into the presentation storyboarding process. popularized ones include Pinto?s Pyramid Principle, which is widely practiced by management consultants and business executives in developing ppt presentations. To develop a robust corporate strategy, organizations must follow a business strategy development process beginning with a clear set of beliefs around its current situation and existing strategic challenges. Crawl Walk Run is a popular way of thinking for representing the progression of organizational change, from an initial crawl stage eventually to walk activities and ultimately to the run phase of sustainable processes. Proper strategy development involves more than a focus on maximizing profitability. Business strategy is about value creation, strategy is about competitive selection, and strategy isabout business agility. To properly gauge and analyze your strategic challenges, you must begin with a complete, end-to-end understanding of your situation. The next steps include deciding what the future vision of the company is and then going into the details of planning how to get to that state.

an emerging business strategy development idea addressing the growth barrier is called Blue Ocean Strategy. With value identification, a company truly understands what the customer finds most important to his or her needs and prioritizes its resources and business initiatives accordingly. Blue Ocean Strategy thinking focuses on enabling innovation, value creation, and effective execution. Effective business execution relies on both concept execution and creating a sustainable growth structure. With value creation, a business selects and develops the optimal growth option by finding the best tradeoff between costs and value. Blue Ocean Strategy represents a shift in thinking to make competition irrelevant, thus creating a blue ocean; whereas, in the traditional competitive environment, business play in a crowded, red ocean business landscape.

There are a number of paths to growth, which can be bucketized the two buckets of expanding business scope and growing the value from the existing revenue streams. To maximize the value from the existing business, a company can better its value proposition, strengthen customer relationships, optimize pricing, enter new markets with their existing services, and improve its mix of offerings. To expand the business scope, an organization can branch off into emerging segments, expand into new product categories, create new services, create new brands, create new formats and distribution channels, and expand geographically.
business strategy development