Business model innovation

transcript

Business Model Innovation

Faculty: Dr Steyn Heckroodt

Date: 2014

Inspiring thought leadership across Africa

OUTCOMES

Source: Amended from Heckroodt, S. Strategic Thinking – GAME OVER. Epubsa.co.za

Analyse the concept of strategy and the process of developing corporate

strategy

Analyse and evaluate the processes of planning and developing a

corporate strategy

Analyse the strategy of a business in relation to the macro-environment

Motivate the role of a strategic plan in the achievement of an

organisation's mandate

Formulate an integrated strategy for an organisation based on the

analysis of the most viable strategic initiative/s

FOCUS AND APPROACH

For your own interest – not to be

discussed during session

• Read the article and entertain the

thought on the relation between

understanding and knowing,

determining what possible value it

holds for your strategic thinking?

http://lectureonbusiness.com/blog/kno

wledge/

UNDERSTANDING

“The better we can understand the cause-and-effect associations

between the things shaping our business and its markets, the better

placed we are to make strategic decisions to ensure effective future

performance…”

Tovstiga and Aylward (2008)

THE SEQUENCE

environmental scanning

execute scenario planning

appropriate strategy selection

Business performance

INFORMATION

STRATEGIC SELECTION

ENVIRONMENT

Practical

• Critically analyse your organisation’s current scanning (information gathering) processes and methodologies.

• Identify possible problems in the current and entertain an open discussion on some possible alternatives or better ways of doing it.

PESTLE and Systems Thinking

For your own interest – not to be done during session

• Read the article and entertain the thought about moving beyond PESTLE, determining what value it holds for your strategic thinking?

http://lectureonbusiness.com/blog/should-management-move-beyond-pestle/

DYNAMISM

Strategic fitas a juncture

OpportunityThreat

OrganisationAbility

STRONG RELATIONSHIPSFLEXIBLE

STRATEGIC THINKING MODE

STRATEGY AND COMPETITIVENESS

NEW FRAMEWORK

Practical

• Critically analyse your organisation’s current competitive business model.

• Identify possible problems in the current and entertain an open discussion on some possible alternatives or better ways of structuring a competitive business model and maybe highlight some substantial organisational problems – maybe something that could be tackled through a BDAL project

THINKING MODES

DISORDERCHAOTICDomain of rapid response

ActSense

RespondSIMPLE

Domain of best practiceSense

CategoriseRespondPESTLE

segmentationand categorisation

COMPLICATEDDomain of experts

SenseAnalyseRespond

COMPLEXDomain of emergence

ProbeSense

RespondP-square

Source: Amended from Snowden and Boone, 2007. A Leader’s framework for decision making

Dominant attribute

QualityPrice

Variety and Range

ConvenienceDemand

STRATEGIC COMPETITIVENESS

Simulation example…

Service leader

Commodity leader

Cost leader

Cost and service leader

HighCost advantage

Source: Amended from Christopher, M. Third Edition. Logistics and Supply Chain Management. Pearson Education

STRATEGIC POSITIONING

Ideal Future

Current Future

Simulation example…

HighCost advantage

ePOINT IN TIME

Source: Amended from Christopher, M. Third Edition. Logistics and Supply Chain Management. Pearson Education

Strategic fitas a juncture

OrganisationAbility

Internal Information Live

External Information Live

Strategic planning = alive = moves beyond

annual event

OpportunityThreat

PROBABILITYIM

STRATEGIC APPROPRIATENESS

Practical

Analyse the concept of strategy and the process of developing corporate strategyPractice:Analyse in terms of appropriateness – not correctnessDo high-level contextual and transactional business environmental scanningUse either conventional or P-square frameworkDo internal environmental scanning, specifically looking at people, finance, infrastructure and informationProvide a qualitative opinion on whether the strategy is appropriate, based on the information to your disposal