5. Before you realize the market re-organizes
itself
5
Need gap /
Idea gets
identified
Few players
build size
and teams
Others
participate in
consolidation
by selling out
or JV‟s /
Alliances
Large
organized
players
entering to
market
Entry of
global majors
If market is growing
and we don‟t then our
“Relative Market Share”
will come down
6. Why should we grow our Business?
6
1. Capitalize on Economies of scale, volume discounts
2. Beat inflation and industry growth averages
3. Utilize available spare capacity
4. Attract and retain Top Professional Talent
5. Increase Profit Volumes and Cash Chest for future Innovation
6. Build Competitive Advantages and Entry Barriers
7. Grab and Retain Market Share
8. Increase Market Cap and Enterprise Value to reward Investors
9. Build Fund raising capability and grow further ● ● ● ● ● ●
To be able to:
7. Where will growth come from???
7
Growth Strategy
Matrix
Products
Existing New
Market
Existing
•Current products to existing
customers
•Product innovation
•Market the new product to
existing customers
New
•Find more customers for
existing product
•Geographical expansion,
exports
•Market new product to new
customers
•Diversification into related or
unrelated business
8. „Chicken & Egg‟ Dilemma
8
Funding is required for
Executing the Business
Plan
&
Hiring better people for
building a big organization
However investor like to
fund to after generating
revenues
Large organization can
attract better “Talent”
In order to hire better people , motivate
them and give equity in the company
and its success
9. “Action is the foundational key to all success”
9
Planning
o Roadmap
o Milestones
o Realistic targets
Understand
o Market
o Customer needs
o Competitors
o Issues and Challenges
Team
o Hire the best and pay professionals
o Import expertise and domain experts
Monitor performances
Pablo Picasso
Build a culture of
execution capabilities
11. Transformation: Professionalism to Corporatization
11
Ownership
Independent Legal Entity
Perpetual Succession
Limited Liability
Easy Transferability of Shares
Separation of Ownership and Management
Operational
Accountability and Responsibility
Attract better people
Allow Business to grow beyond Capacities
Enabling the organization to smoothen the
operations
Separation of Board responsibilities from
individual responsibilities
Corporate Governance
Helps in building internal transparency
and communication
Democratic way of doing business
Security of Share-holder‟s money
Valuation
Better Valuation
Greater Multiplier as company grows
Easy access to Capital and Equity Market
Easy to raise the fund
12. Three Rings of Transformation
12
Vision Architecture
Leadership
Change
• Mission
• Fundamental Purpose
• Core Values and Belief
• Distinctive Capabilities
• Expectation about the
future
• Management Processes
• Management Information
Systems
• Performance Matrices
• Performance Tracking Systems
• Continuous Improvement
• Responsibilities and
Accountabilities
• Organization Structure
• Vision Creation
• Coherence/ Consistency
• Change in Attitude
• Motivation and Inspiration
13. What is keeping us from growing our business to the next level?
13
• Vision & Focus
• Strong Core Values
• Market Knowledge & Customer
Insights
• Differentiated Products
• Effective Growth Planning
• Customer Acquisition
• Brand Management
• Robust Processes
• Ability to Execute- Team
• Access to Funds
14. 14
Another Hindrance to Growth
Some Entrepreneurs are satisfied with their
lifestyle and there is little motivation for
growth.
The
Lifestyle
Businesses
Expensive
regular
vacations
Fine Dining
Club
Memberships
Magnanimous
Weddings
Expensive
Cars
2nd Home
Good Quality
Education
15. Speak to Growth Strategy Consultants
• We have extensive experience in building successful businesses in the areas of:
15
Consumption Story Vendor + 1 Building India
• Retail
• E –Commerce and Internet
• Hospitality
• Travel & Tourism
• Quick Service Restaurants
• Food & Food Processing
• Media & Entertainment
• Manufacturing
• Construction Equipment
• Capital Goods
• Power
• Machine Tool
• Automobile, auto
components
• Pharma, Wellness, Life
sciences
• Textile
• Infrastructure
• Construction
• Education
• Agriculture
• Healthcare