9
[ Business Strategy ] [ learnppt.com ]
Introduction
• Whether you're managing your own business or working for a Fortune 500 company, Business Strategy is integral to your company's success. In today's global and virtual business environment, strategy in business has become increasingly complex and requires knowledge and expertise across a broad range of domains. Many companies rely on top-name, expensive consulting firms, like McKinsey, to help them develop business strategies. Below, we have assembled robust toolkits used by these top management strategy consulting firms.
Business Strategy Toolkits • Our experienced team recommends the 6 toolkits below. Topics range is
very encompassing--from lessons of military strategists, e.g. Sun Tzu's Art of War, to traditional strategy frameworks, e.g. Michael Porter, to new age marketing strategy, e.g. Blue Ocean Strategy.
• Growth Strategy Toolkit • This toolkit was developed by strategy consultants from a leading firm. It
frames the various horizons of the "growth challenge," and dives into various strategy frameworks for growth--from Porter's Five Forces to Blue Ocean. This detailed document also includes case examples, a full growth strategy initiative breakdown, and tabulation of key growth strategy work products.
Pricing Strategy Toolkit • This document provides an in-depth discussion on Pricing Strategy,
including Skimming vs. Penetration, Pricing Tactics & Terminology, Product Adoption Lifecycle, Price Curve Analysis, and Price Sensitivity Analysis. Also, it includes a Price Sensitivity Financial Model (Excel document).
Business Case Development • Any project requiring a non-trivial investment must be supported by a
robust business case to justify the economics of this pursuit. This toolkit outlines the objectives, components, and processes involved with developing a strong bcase. Furthermore, it includes a capital budgeting business case model (Excel financial model).
Consolidation (Endgame) Curve • Every major strategic and operational move should be evaluated with
regard to the industry’s stage in the Consolidation Curve (or Endgame Curve). This a framework based on the study of 25,000 firms globally (representing 98% of the global market cap), showing that all industries consolidate and follow a similar course through the 4 stages of: Opening, Scale, Focus, and Balance & Alliance.
Cost Reduction Toolkit • Explore cost reduction opportunities across the Value Chain. In this toolkit,
cost reduction initiatives are categorized in the areas of Enterprise-wide Opportunities, Asset Management Opportunities, and Function-specific Opportunities. Over 45 cost reduction initiatives identified--for each initiative, specific examples are provided, along with projected potential savings.
