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Common Strategy and ManagementConsulting Frameworks
Framework: SWOT                     STRENGTHS                     WEAKNESSES   Text                          Text         ...
Typically, these growth stages are catalyzed by major change initiatives,such as the development and execution of a new st...
Framework: The Hedgehog Concept continued              •   To go from good to great requires a deep understanding of three...
Framework: Customer Intimacy and Other Value Disciplines                                 Tenets                           ...
Framework: 7 S Model                                  Hard S’s                                                            ...
Both support and resistance can come from the same area - it is importantto recognize which                “..we don’t hav...
The six essential ingredients of change Communicate                                                 Implementation        ...
…which must be understood, so you can adapt your approach to satisfythe requirements                    Phase 1:          ...
I*CThe trust formula:          T=                                R                                                        ...
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Flevy.com - Common Strategy Consulting Frameworks

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This is a collection of common Strategy and Management Consulting Frameworks. It contains 2 sections.

Strategy Frameworks -- includes SWOT, Stages of Growth, Hedgehog Concept, BCG Matrix, Customer Intimacy - Cost Leadership - Product Innovation, 7-S Concept

Change / People Frameworks -- includes Emotional-Political-Rational, Team Building, Ingredients of Change, Emotional Cycle of Change, Level of Commitment, Trust Formula

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Flevy.com - Common Strategy Consulting Frameworks

  1. 1. Common Strategy and ManagementConsulting Frameworks
  2. 2. Framework: SWOT STRENGTHS WEAKNESSES Text Text • Text • Text • Text • Text • Text • Text OPPORTUNITIES THREATS Text Text • Text • Text • Text • Text • Text • Text 2
  3. 3. Typically, these growth stages are catalyzed by major change initiatives,such as the development and execution of a new strategy Organizational Practices in the Five Phases of Growth Phase 1 Phase 2 Phase 3 Phase 4 Phase 5  Make and sell  Efficiency of  Expansion of  Consolidation of  Problem solving Management Operations Market organization and innovation Focus  Informal  Centralized and  Decentralized and  Line staffs and  Matrix of Teams Organizational functional geographic product groups Structure  Individualistic and  Directive  Delegative  Watchdog  Participative Top-Management entrepreneurial Style  Market results  Standards and cost  Reports and profit  Plans and  Mutual goal selling centers centers investment centers Control System Management  Ownership  Salary and merit  Individual  Profit sharing and  Team bonus increases bonuses stock options Reward Emphasis 4
  4. 4. Framework: The Hedgehog Concept continued • To go from good to great requires a deep understanding of three intersecting circles translated into a simple, crystalline concept (the Hedgehog concept) What are you - WHAT ARE YOU DEEPLY PASSIONATE ABOUT? deeply passionate - WHAT DRIVES YOUR ECONOMIC ENGINE? about… - WHAT CAN YOU BE THE BEST IN THE WORLD AT? • The key is to understand what your organization can be the best in the world at, and equally important what it cannot be the best at – not what it “wants” to be the best at • The Hedgehog Concept is not a goal, strategy, or intention; it is an understanding • If you cannot be the best in the world at your core business, then your core business What can you What drives cannot form the basis of your Hedgehog Concept be the best in your economic the world at… • The “best in the world” understanding is a much more severe standard than a core engine… Key Points competence • You might have a competence but not necessarily have the capacity to be truly the best in the world at that competence • Conversely, there may be activities at which you could become the best in the world, but at which you have no current competence • To get insight into the drivers of your economic engine, search for the one denominator that has the single greatest impact • Good-to-great companies set their goals and strategies based on understanding; comparison companies set their goals and strategies based on bravado • Getting the Hedgehog Concept is an iterative process • The good-to-great companies are more like hedgehogs – simple, dowdy creatures that know “one big thing” and stick to it • The comparison companies are more like foxes – crafty, cunning creatures that Unexpected know many things yet lack consistency • It took 4 years on average for the good-to-great companies to get a Hedgehog Concept Results • You absolutely do not need to be in a great industry to produce sustained great results: no matter how bad the industry, every good-to-great company figured out how to produce truly superior economic returns 6
  5. 5. Framework: Customer Intimacy and Other Value Disciplines Tenets Value Disciplines • Gain and sustain success through Product Innovation (Offer products that push performance boundaries) focus • Assess competitive environment, organizational capabilities, and market demands when determining how to compete • Excel in one discipline while satisfying industry standards in the other two • Align entire business/ operating Cost Customer model to the strategy Leadership Intimacy (Provide low prices and hassle-free service) (Deliver what specific customers desire) This framework enables a company to understand on what dimension it should compete.Source: Treacy, M. and Wiersema, F., Customer Intimacy and Other Value Disciplines, Harvard Business Review 8
  6. 6. Framework: 7 S Model Hard S’s Structure • Strategy: where and how the company competes • Structure: organizational design of the company, including its functions/departments, reporting lines, areas of expertise, and responsibilities, along with how they interrelate Strategy Systems • Systems: formal and informal procedures that govern everyday activity, includes processes and systems Shared Values Soft S’s Skills Style • Skills: capabilities and competencies that exist within the company • Style: company’s organizational culture and management practices Staff • Staff: companys people resources and how they are developed, trained, and motivated • Shared values: guiding concepts, fundamental ideas around which a business is built The 7 S Model presents a framework to analyze and improve organizational effectiveness. 10
  7. 7. Both support and resistance can come from the same area - it is importantto recognize which “..we don’t have the resource to do this” “..the benefits are enormous”Some abovethe surface “..this could risk delivery” “..the increases agility will really thrill customers” “..quality will suffer” Rational “..satisfaction indices will soar” “..I’ve been waiting for this moment for years” ...and some below Emotional Political “..but that will affect my pay!” “..de-layering of the organization makes such good sense ” “..how will this affect our relationships with “..the benefits will be enormous” clients?” 12
  8. 8. The six essential ingredients of change Communicate Implementation Skills Incentives Resources Structure Change Vision Plan Implementation Skills Incentives Resources Structure Confusion Plan Communicate Implementation Incentives Resources Structure Stress Vision Plan Communicate Implementation Gradual Skills Resources Structure Vision Plan Change Communicate Implementation Skills Incentives Structure Frustration Vision Plan Communicate Implementation Skills Incentives Resources Conflict Vision Plan Communicate Skills Incentives Resources Structure Chaos Vision 14
  9. 9. …which must be understood, so you can adapt your approach to satisfythe requirements Phase 1: • Honeymoon period Uniformed optimism – • Ideas look great on paper Certainty • All major obstacles appear to have been anticipated Phase 2: • Problems surface, not all solutions are obvious Informed pessimism – • Morale drops (“Why did I ever get involved in the first Doubt place?”) Phase 3: • A turning point occurs, a sense of accomplishment replaces a sense of pushing against problems Hopeful realism – • Problems have not all disappeared, but people’s hopes Hope are based on realistic data Phase 4: • Optimism continues to develop Informed optimism – • A fresh burst of energy appears Confidence • Confidence soars Phase 5: • Successful change has been made Rewarding completion – • Official change effort is complete Satisfaction 16
  10. 10. I*CThe trust formula: T= R • Appearance • Rapport • Behaviors • Humor • Appropriate response to • Openness testing questions • Approachability • Understanding/Insight • Facilitating style • Thought provoking • Non-verbal cues questions • Active listening INTIMACY x CREDIBILITY TRUST = RISK • What’s at stake for the client • Centered/even-keeled • Perceived experience • Repeated successes • Prepared • Sensitive to situation 18

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