01. Strategic capability

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Strategic Capability
Uncertainty /
Basic
Score
Growth
Aspirations
Do we know where we
want to be in 3 to 5
years?
Value Streams
Do we understand how
we create value?
Value
Propositions
Do we understand how
we add value / enrich
our customers’
business/lives?
0
1
 No or limited growth
aspirations.
 Aspirations not
communicated.
 People generally do not
understand what they are
or what they mean.
 Value streams not
recognised.
 No value propositions
defined for the
organisation or its value
streams.
Awakening /
Repeatable
2
3
Enlightenment /
Defined
4
5
Wisdom /
Managed
6
7
Certainty /
Optimised
8
9
10
Score
 Growth aspirations exceed
 Growth aspirations equivalent
market average.
to or modestly exceed market
 Modest growth aspirations
 Aspirations communicated
average.
equivalent to market
consistently throughout the
 Shared and understood by all
average.
organisation.
management but not so well
 Not widely shared or
 Most people understand
communicated and owned
understood.
and share in the
beyond the senior
organisation’s growth
management team.
aspirations.
 Growth aspirations well
above market average.
 Aspirations continuously and
consistently communicated
through visual means.
 Everyone understands and
shares in the company’s
growth aspirations.
/10
 Existence of different
value streams recognised.
 Competitive priories
partially understood.
 Value streams defined with
 Value streams defined with
their constituent product and
their constituent product
customer groups.
and customer groups.
 Current competitive criteria
 Current and future
understood but some
competitive criteria clearly
uncertainties remain over
understood.
future priorities.
 Continuously communicated
 Communicated through visual
through visual means.
means.
 Value streams clearly
defined with their
constituent product and
customer groups.
 Current and future
competitive criteria clearly
understood.
 Continuously communicated
through visual means.
 Everyone understands value
streams and the associated
competitive priorities.
/10
 Value propositions
emerging
 Awareness of the value
propositions limited to the
senior management team.
 Clear value propositions for
each value stream.
 Value propositions
communicated throughout
the organisation.
 An awareness of the value
propositions and their
significance emerging.
 Clear customer centric value
propositions for each value
stream.
 Value propositions clearly
communicated through
visual means.
 Everyone understands the
value propositions and their
contribution.
/10
 Clear and concise value
propositions for each value
stream.
 Value propositions clearly
communicated throughout.
 General awareness of the
value propositions across
the organisation.
Core
Competencies
Do we understand what
makes us distinctive
and unique?
 An understanding of core
competencies emerging.
 Largely expressed in terms
of processes that underpin
the value proposition.
 Core competencies of the
organisation understood.
 Largely described in terms of
things the company is good
at.
 Not yet explicit as a VRIN
framework.
 Core competencies of the
organisation explicit.
 Described and measurable
in terms of Value, Rarity,
Inimitability and Nonsubstitutability (VRIN).
/10
 Key resources recognised.
 Plans emerging for their
development.
 Key resources (including
external partners and
 Key internal resources that
suppliers) that underpin the
underpin the value
value propositions well
propositions well understood
understood by everyone
 Plans in place for developing
across the organisation.
and upgrading these
 Plans in place for developing
resources.
and upgrading these
resources.
 Key resources (including
external partners and
suppliers) that underpin the
value propositions well
understood by everyone
across the business.
 Continuously developed and
upgraded.
 Consequently, well ahead of
competitors.
/10
 Profit formula not
understood and defined.
 At best it is implicit.
 Profit formula understood
but limited to senior and
financial management.
 Profit formula for each value
 Profit formula for each value
stream clearly defined and
stream clearly defined.
communicated across the
 Communicated and
business.
understood by most people
 Awareness of its significance
across the business.
across the business emerging.
 Profit formula for each value
stream clearly defined.
 Consistently communicated
and understood by everyone
across the business
 Reinforced through visual
communications.
/10
 No clear rational for
organisation of internal
and external resources in
relation to the value
proposition and profit
formula.
 Awareness of the need for
better organisation of
resources in relation to
value propositions and
profit formula.
 Awareness limited to the
senior management team.
 Emerging rational for
organisation of the key
resources in relation to the
value propositions and profit
formula.
 Understanding of the
rationale limited to senior
management team and few
others.
 Clear rational to the
organisation of the
resources in relation to the
value propositions and profit
formula.
 Organisation of key
resources clearly
understood by everyone
across the organisation.
/10
 Core competencies not
known.
Key Resources
Do we know what key
physical and intangible
resources (including,
knowledge, suppliers,
partners, etc.) our value
propositions require?
Profit Formula
Do we understand how
we make money?
Operating
Model
How good are we in
organising our
resources?
 Key resources and their
significance not
understood.
 Core competencies of the
organisation explicit.
 Described in terms of Value,
Rarity, Inimitability and Nonsubstitutability (VRIN).
 Clear rational to the
organisation of the
resources in relation to the
value propositions and profit
formula.
 Organisation of key
resources clearly
understood by most people
across the organisation.
Strategy
Making
How good are we in
formulating and
implementing winning
strategies?
Strategic
Priorities
How good are we at
focusing the
organisation towards
our strategic priorities?
 Little or no evidence of
strategy making or
strategic planning.
 No clear deployment path
and process for strategic
priorities.
 Link between
improvement initiatives
and organisational
priorities tenuous.
 Strategy developed on an
ad-hoc basis.
 No underlying process for
strategy making.


Strategic initiatives
exist and implicitly
linked to overall
performance.
Links understood
mostly by the senior
management team.
 Strategy regularly reviewed
and updated
 Strategy developed as a result  Clear process considering
of a rudimentary strategy
most relevant inputs
making process.
underpinning strategy
 Process largely understood by making.
the senior management team.  Process understood by most
people across the
organisation.
 Clear and concise strategy
continuously reviewed and
updated.
 Clear and transparent
process considering all
relevant inputs
underpinning strategy
making.
 Process visual and
understood by everyone
across the organisation.
/10
 Strategic priorities deployed  Internally and customer
to strategic initiatives with
focused strategic priorities
tenuous links to underlying
deployed to key business
business processes.
processes and strategic
initiatives.
 Strategic initiatives implicitly
linked to overall performance.  Strategic initiatives linked to
overall performance.
 Linkages between strategic
priorities, strategic initiatives  Linkages between strategic
and performance understood
priorities, strategic
mostly by the senior
initiatives and performance
management team.
understood at most levels.
 Internally and customer
focused strategic priorities
clearly deployed to key
business processes and
strategic initiatives.
 Strategic initiatives clearly
and explicitly linked to
customer and overall
organisational performance.
 Linkages between strategic
priorities, strategic
initiatives and short and
long term performance
clearly shared and
understood at all levels.
/10
Total Score
/90
Total Score %
Please divide your total score above by 90 and multiply by 100
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