Beruflich Dokumente
Kultur Dokumente
Resource Audit Analysis of cost and profit) Benchmarking, Value Chain Analysis, (Supply Chain Analysis)
Multiple Businesses
Resource Audit
Resources Physical Human Financial Other Quality and Quantity Unique resources A good initial analysis
Current sources of profits and trends Recast standard reporting to give new insights Pragmatic approach to get value from time and effort spent A good initial analysis
Benchmarking
Objective comparison with best in class Benchmarking clubs common Simple in theory - Hard in practice Observed differences in performance may be due to differences in parameters Qualitative observations may be more valuable than quantitative
Basic Value chain in Elegant in theory Time-consuming in practice Revised value chain to reflect power of people and knowledge
activities that differentiate the product activities that lower its cost activities that meet the customers need quickly.
sequential process of value-creating activities, and attempts to understand how a business creates customer value by examining the contributions of different activities within the business to that value.
(c) Macmillan & Tampoe 2001 7
General administration Human resource management Research, technology, and systems development Procurement Inbound Operations logistics Outbound Marketing logistics and sales Service
Primary Activities
Step 1. Divide the firms operations into specific activities or business processes, usually grouping them according to primary and support activities. Within each category, a firm typically performs a number of discrete activities that may represent key strengths or weaknesses. Step 2. Next, attach costs to each discrete activity. Step 3. Recognize the difficulty in activity-based accounting. Step 4. Identify the activities that differentiate the firm from their competitors.
Step 5. After documenting the value chain, managers need to identify the activities that are critical to buyer satisfaction and market success. These are the activities that deserve major scrutiny in an internal analysis. The mission should influence managers choice of the activities they examine in detail. The nature of value chains and the relative importance of the activities within them vary by industry. The relative importance of value activities can vary by a companys position in a broader value system that includes the value chains of its upstream suppliers and downstream customers or partners involved in providing products or services. Step 6. Compare to competitors.
10
SUPPORT Technology trapping and commercialisation ACTIVITIES Strategic Management INFORMATION SYSTEMS & KNOWLEDGE MANAGEMENT technical, price, basic skills, customer PRIMARY core management, place, know-how, ACTIVITIES technologiescompetence marketing, promotion satisfaction, loyalty sales, product strategic assets production service revenue, profit, market share,
Source: adapted from Porter, M (1985), Martin (1995) to reflect recent developments
(c) Macmillan & Tampoe 2001 11
80s: restructure, declutter, delayer the corporation 90s: identify, cultivate and exploit the core competencies that make growth possible Why? Market boundaries changer quickly, targets are elusive and value capture is at the best temporary Need: Invent new markets, enter emerging markets, shift customer choice in established markets All these, require radical change in the management of major companies: focus on a portfolio of competencies (instead of a portfolio of business)
12
Adapted from Hamel, G & Prahalad, C.K. (1994) Competing for the Future
13
Beyond price/performance
Japanese firms provided a good example they have been able to generate a blizzard of features and functional enhancements that bring technological sophistication to everyday products The return of long run In the short run, a companys competitiveness derives from the price/performance attributes of current projects In the long run, competitiveness derives from an ability to build, at lower cost and quickly, the core competencies that spawn unanticipated products
(c) Macmillan & Tampoe 2001 14
10
Business 1
Business 2
Business 3
Business 4
Core product 1
Core product 2
Core Competence 1
Core competencies are the collective learning in the organization, especially how to coordinate diverse production skills and integrate multiple streams of technologies
Sony capacity to Philips expertise in
Competence is about
Harmonizing streams Organization of work Delivery of value
of technology
16
Successful companies seem to preside over portfolios of unrelated business in terms of customers, distribution channels, and merchandising strategy because they are able to integrate skills In that context, core competencies provide strategic flexibility (possibility to enter more markets) and of course, is difficult to be imitated How many: not more than five, six
17
The tangible link between core competencies and end products is what we call the core products The physical embodiments of one or more core competencies Core products are the components or subassemblies that actually contribute that contribute to the value of the end products Attention to the difference between core competence core product end product
18
Layers of competition
At the level of core competence, the goal should be to build leadership in in the design and the development of a particular class of product functionality To sustain leadership in their core competence areas, companies seek to maximize their share in core products They also need to define a strategic architecture A tree of the corporation organized around core products and core competencies
19
Competition to develop and acquire constituent skills and technologies Competition to synthesize core competencies Competition to maximize core product share Competition to maximize end product share
20
Processes Integration Learning Reconfiguration and transformation Positions Technological assets Complementary assets Financial assets Paths Path-dependencies Technological opportunities
(c) Macmillan & Tampoe 2001
21
Essential to corporate survival in short and long term Invisible to competitors Difficult to imitate Unique to the enterprise Result from a mix of skills, resources and processes A capability which the organization can sustain over time Greater than the competence of an individual Essential to the development of core products Essential to the implementation of strategic intent Essential to the strategic choices of the enterprise Marketable and commercially viable Few in number
(c) Macmillan & Tampoe 2001 22
CORE COMPETENCE
Basic technologies, bodies of knowledge, corporate or individual learning, relationship culture, strategic assets, parts, processes, raw materials, supply chain management
(c) Macmillan & Tampoe 2001 23
Mindset
Personality
Interpersonal Skills
Staff Skills
Task Skills
Professional knowledge
(c) Macmillan & Tampoe 2001 24
Discount Rate
Debt
Cost of Capital
Management Decisions
Operating
Investment
Financing
25
Stand-alone influence Linkage influence Central functions and service Corporate development
26
Portfolio Analysis
Market Share
High Low
High
27
Start with simple techniques Consider all tools and identify those likely to be useful Define the competitive capabilities the enterprise needs Identify the subsystems which support these capabilities Identify core competence relative to competitive capabilities Determine changes to enhance/improve core competence Take a systemic view Adjust the methods of analysis in the light of what is found
28