Strategic Business Success

Sustainable Growth

    Vadim Kotelnikov advice quotes

Vadim Kotelnikov, founder of 1000ventures - personal logo   Business e-Coach   Innompic Games icon

Vadim Kotelnikov

 

 

To decide which business innovation concept is appropriate to your company, the first thing to do is to ask whether the company is generally doing the right things (effectiveness), but just needs to do them better (efficiency), or whether it needs to do new things.

It is important to consider whether fast results are needed as well as the scale of change to be implemented. Ask first whether your company is faced with an evolutionary or radical change in its industrial sector, and how you are going to manage this change.

 

 

 

  Smart Business Architect Download PowerPoint presentation, pdf e-book

 

Case A: Neither Effective, Nor Efficient

It does not make much sense to pursue costly new opportunities if a company is neither effective nor efficient. Cost-cutting and restructuring measures should come first as a starting point of long-term fundamental transformation – “creative destruction” – that involves downsizing and simplifying, followed by regeneration of the organization and strategy.

Creative Dissatisfaction Download PowerPoint presentation, pdf e-book

 

Case B: Effective, But Not Efficient

If a company is effective, but not efficient, the management focus should be on implementation of continuous efficiency improvement measures and, ultimately, establishment of an enterprise-wide business process management (EBPM) system and a lean enterprise.

Radical Improvement: KoRe 10 Tips

A continuous effort to improve organizational climate as well as the productivity of the core business in response to continuous changes in the marketplace should be emphasized in the company’s growth strategy.

Kaizen Mindset  Download PowerPoint presentation, pdf e-book

Case C: Not Effective, But Efficient

If a company achieved high operational efficiency but lacks effectiveness, it should work more on – not in – its business and strategic planning.

Unless managers regularly schedule time (one-day out-of-the-office meeting a month at least) to work on their business and answer critical questions about their strategic alignment and corporate internal resources and capabilities, they'll never achieve their stretch goals.

 

Case D: Effective and Efficient

The opportunity-driven business development approach aims at increasing the effectiveness of a company through the pursuit of new business.

How To Discover Opportunities

The opportunity approach is an alternative to the traditional process of renewing business strategy. This approach is also valid even for healthy  and  very successful companies that are already both very efficient and very effective. It is easier to obtain resource support for new opportunities when a company is doing well. External change is a constant factor. New promising opportunities to be pursued emerge frequently.

 

 

2 Basic Business Growth Strategies Download PowerPoint presentation, pdf e-book

References:

1. Lateral Thinking Skills, Paul Sloane

2. "Changing Strategic Direction", Peter Skat-Rørdam