SIMMETHOD™ creates a link between you and a moving Strategy/Execution “League Table” of Best-In-Class Enterprises thus extending your line of vision to where most value is being created at any given time

1. SIMMETHOD™
Predicts the Performance of Your
Business and Alerts You of new
Threats and Opportunities
How long would it take for you to realize
that your business strategy is not being
followed or that you have been outsmarted
by new competitors?
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2. Why do Businesses Fail or Fail to Perform?
From which Industry do your new competitors come from?
Mervyns
Circuit City Wachovia
Washington
Borders
Mutual
Are your leading
Blockbuster
performance and Linen n’
risk indicators Things
protecting you ?
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3. Why do you need new Industry-Agnostic Indices
and Risk/Performance Leading Indicators?
Today’s market is
interlinked and the
performance of one
Business Sector is
influenced by the
performance of other
Industry Sectors.
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4. Why do you need new Industry-Agnostic Indices
and Risk/Performance Leading Indicators?
To understand the external factors
impacting the performance of your
Business, it is necessary to look
beyond any given industry and
instead look at many Business
Sectors in order to reduce the risk
and better measure, manage and
predict your performance.
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5. Why do you need new Industry-Agnostic Indices
and Risk/Performance Leading Indicators?
As Business value gravitates towards Valuechains
and unlike single industry ratios, SIMMETHOD
Industry-Agnostic Indices and Risk/
Performance Leading indicators can be used to
measure the dynamic relationship between
Valuechains of manufacturers, distributors and
customers across a range of industries
and the entire Market.
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6. Why do you need new Industry-Agnostic Indices
and Risk/Performance Leading Indicators?
Industry-Agnostic Indices extend the
line of vision to the entire value-chain
and provide the opportunity to analyze
and correlate 1000’s of unrelated business
metrics across every Business Sector in order
to:
• Identify the Best-In-Class Enterprises and
teams in any industry in order to study, adapt
and incorporate their Best Practices.
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7. Why do you need new Industry-Agnostic Indices
and Risk/Performance Leading Indicators?
• Identify previously undetected strengths and
weaknesses in specific areas of your Business
in relation to current and future competitors
and threats and opportunities coming from
outside your industry.
• Enable you to collaborate with your value-
chain partners, reduce your risk and improve
your performance via shared performance
and risk indicators.
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8. The 4 Phases of the SIMMETHOD™ Continuous
Value Creation Process
• Analyze data from 1000’s • Find correlations between
of Enterprises, convert it indices, find the B-I-C
into industry agnostic Enterprises and
indices & setup targets . build a Best-In-Class
against B-I-C database Phase 1: Phase 2: . profile database
Algorithm Identify
based on the B-I-C and
7 Laws build D/base
Phase 4: Phase 3:
Performance
your gap to
& risk alerts.
Updates the B-I-C
• Risk & performance • Identify your
alerts against the B-I-C risk/performance gap to
profiles database & targets. the B-I-C & your targets
Update strategy/execution
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9. SIMMETHOD’s Phase 1
Performance Predictive Algorithm
SIMMETHOD’s Predictive Algorithm
converts a basket of unrelated data into
industry-agnostic performance predictive
indices enabling you to set up unique
leading indicators against SIMMETHOD’s
Global Success Metrics Database
covering Sales, Profits, Assets,
Overheads, Social Media, Business
Models, Business Growth and Resource
Management.
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10. SIMMETHOD™ Algorithm: From Data to Industry-
Agnostic Risk and Performance Indices and
Leading Indicators
Stockholder HR Overheads
rating
Assets Cash/Debt
Profit Social Media
SIMMETHOD
Performance
Sales CEO’s pay
Predictive Indices
and Risk Alerts
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11. The SIMMETHOD™ Algorithm calculates the following
Industry-Agnostic Risk and Performance Indices
• Strategy/Execution Performance Predictive index
• Management Controllable Index
• Minimum Company Business Model index
• Value Creation Index
• Business and Value-chain Alignment Index
• Social Media Index
• HR Index
• Asset Index
• Sales Index
• Overheads Index
• CEO-Pay Alignment Index
• Profit Index
• Valuation Index
• Cash/Debt Index
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12. SIMMETHOD™ Algorithm is Based on the 7 Laws
of Best Practices, Growth and Value Creation
Integration
Minimum /alignment
Benchmarking
company
inside/outside
/business
your industry
model
SIMMETHOD™
7 Laws Growth &
Averages &
positive value
trends creation
Predictive Resource
performance contribution
& risk to objectives
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13. SIMMETHOD’s Phase 1
Set Up Targets Against the B-I-C Database
Examples of targets set up against the
moving SIMMETHOD™ Global Success
Metrics Database and Alerts:
• Top 25% Strategy/Execution Performance
Predictive Index position in your Business Sector
and Top 50% position in a range of Industries.
• Top 25% HR, Cash and Social Media Index in
your Business Sector.
• Above Median Management Controllable Index.
• Value Creation Index growing faster than your
competitors.
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14. SIMMETHOD™ Phase 2
Identify Best-In-Class and Build Database
• Is your goal setting and strategy
formulation based on the full
picture?
• Why is important to study Best-
in-Class Enterprises in each
Business Sector?
• How good do you have to be to
become Best-In-Class across a
range of Industries to fend-off
potential new competitors?
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15. What is the role of the Best-in-Class
performers in your strategy formulation?
• How good do you have
to be in order to
outperform your current
and future competitors
and no to confuse any
positive trend by real
competitive advantage?
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16. What is the Role of the Best-in-Class
Performers in your Strategy Formulation?
In order to outperform your competitors,
it is essential to understand:
• Their ability to strategize and execute
against you and your peers,
• Their business models,
• Risk and performance profiles,
• Value-chain,
• Success metrics, leading indicators and
• Their competitive advantage.
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17. SIMMETHOD Strategy/Execution Performance
Predictive Index (Technology/HR) Top 25%
Strategy/ Execution Performance Predictive index Top 25%
60
50
40
30
20
Strategy/ Execution
10 Performance
Predictive index
0
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18. SIMMETHOD Strategy/Execution Performance
Predictive Index (Technology/HR) Top 50%
Strategy/ Execution Performance Predictive index Top 50%
60
50
40
30
Strategy/
20 Execution
10 Performance
0
Predictive
index
salesforce
citrix
wipro
intuit
Groupon
Cielo
Priceline
Teradata
Oracle
Tata
Apple
Infosys
Microsoft
Cognizant
Checkpoint
autodesk
Dassault
IBM
SAP
LinkedIn
Google
Amadeus
Vmware
Moodys
ebay
Aggreko
World fuel serv
BMC
Yahoo
amazon
Paychex
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19. Example of Link Between SIMMETHOD™
Industry Agnostic Indices and Risk/Performance
120
100
Strategy/Execution
Performance
80 Predictive index
60
Avg Enterprise Profit
40
($B)
20
Avg Enterprise Value
0
($B)
Top 25% Top 50% Bottom 50% Bottom 25%
-20
-40
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20. Example of Link Between SIMMETHOD™
Industry Agnostic Indices and Risk/Performance
350
300 Strategy/Execution
Performance
250
Predictive index
200
Profit/Employee
150
100
Cash/Employee
50
0
Top 25% Top 50% Bottom 50% Bottom 25%
-50
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21. SIMMETHOD™ Phase 3
Identify Your Gap to the Best-In-Class
• Is your dynamic gap
to the Best-In-Class
predictive of your
future risk and
performance?
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22. Example of your Risk and Performance Gap to
the SIMMETHOD™ Best-In-Class
180
160
140
120 Your Value above
100
Assets ($B)
80
60
Avg B-I-C Enterprise
40
Value Above Assets
20 ($B)
0
-20 Microsoft IBM Dell Randstad Adecco
-40
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23. Example of your Risk and Performance Gap to
the SIMMETHOD™ Best-In-Class
300
250
Profit/
200 Employee
150
100 Avg. B-I-C
Profit/
50 Employee
0
Microsoft IBM Dell Randstad Adecco
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24. Example of your Risk and Performance Gap to
the SIMMETHOD™ Best-In-Class
900
800
700
600 Sales/
Employee
500
400
300
Avg. B-I-C
200
Sales/
100 Employee
0
Microsoft IBM Dell Randstad Adecco
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25. SIMMETHOD™ Phase 4
Risk/Performance Alerts and Leading Indicators
• Are the Best-In-Class
improving faster than your
Business?
• Are your competitors
growing faster than you?
• Are your sales/profits
increasing at the same rate
as your Social Media Index?
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26. SIMMETHOD™ Phase 4
Risk/Performance Alerts and Leading Indicators
There are basically four types of Risk and
Performance Alerts set up against the
SIMMETHOD™ Database:
• Alerts against your targets set up in Phase 1
• Alerts against moving Best-In-Class values
• Alerts against your current competitor’s data
• Alerts against a range of Industries either to
fend off potential future competitors or to
monitor a potential new venture.
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27. Example of Risk Alerts where the SIMMETHOD™
B-I-C are Improving at a Faster Rate than You
200
Your Value above
Assets ($B)
150
Your value above
100 Assets ($B) period 2
50
Avg B-I-C Enterprise
Value Above Assets
($B)
0
Avg B-I-C Enterprise
Business Business Business Business Business Value Above Assets
1 2 3 4 5 ($B) period 2
-50
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28. Example of Risk Alerts Where your Competitors
are Improving at a Faster Rate than You
250
Your Value above
200
Assets ($B)
150 Your Value above
Assets ($B) period 2
100
Avg B-I-C Enterprise
50 Value Above Assets
($B)
0 Avg B-I-C Enterprise
Business Business Business Business Business Value Above Assets
-50 1 2 3 4 5 ($B) period 2
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29. SIMMETHOD™ Performance
Predictive Capabilities
SIMMETHOD’s Performance Predictive and Risk
Reduction capabilities are based on:
• The GPS concept: The targets and alerts
against the continuously updated Success
Metrics Database alert you of any deviation
against your objectives and enables you to
take corrective action to reach your
outcomes in the most cost-effective way
(thus adding certainty to your performance).
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30. SIMMETHOD™ Performance
Predictive Capabilities
• The calculation of Industry-Agnostic Indices
enables you to correlate 1000’s of unrelated
Business Metrics across different Business
Sectors and Value Chains in order to identify
previously undetected threats and
opportunities likely to impact your
decisions, strategy and objectives.
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31. SIMMETHOD™ Performance
Predictive Capabilities
• SIMMETHOD™ has found a strong
correlation between the Management
Controllable Index (the composite Index
that represents known variables under
Management’s control) and Enterprise value
creation. This link between Management-
Decisions, Resource Management and Value
Creation contributes towards SIMMETHOD’s
predictive and risk reduction capabilities.
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32. SIMMETHOD™ Performance
Predictive Capabilities
• To calculate the industry agnostic composite
indices, SIMMETHOD™ uses a “basket of
operational and financial indicators” across a
range of Businesses and Industries that have
proved across different cycles that are less
open to manipulation, are better able to
show the dynamic relationship between
businesses and any unexplained positive or
negative deviation.
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33. SIMMETHOD™ Performance
Predictive Capabilities
• SIMMETHOD™ creates a link between you
and a moving Strategy/Execution “League
Table” of Best-In-Class Enterprises thus
extending your line of vision to where most
value is being created at any given time.
WWW.SIMMETHOD.COM
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34. Jorge Oscar Tabacman
jtabacman@gmail.com
SIMMETHOD™
Predicts the Performance of Your
Business and Alerts You of New Risks
and Opportunities from Inside and
Outside your Business Sector
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