What gives your products a clear competitive advantage?
What products and services do we deliver? • Where and when do we deliver our products and services? • Which customer groups are our primary groups? • Where are our primary customers • What tangible value do our products and services deliver to customers? • What is our competitive advantage? • What additional community and environmental benefits do we generate? • Answers to the above questions provide a start-point for preparing a statement that clearly positions the company in the minds of key stakeholders and customers • Core Organizational Competencies: Which core organizational skills and competencies are vital to achieving our mission • Organizational Values: What core organisational values must be imbedded in our organisation to establish a culture capable of achieving our Mission? • Highest Priority Goals: List up to six of your highest priority goals in order of priority. These goals are formulated at Section 17. Section 17 shows how to use the SMAAART acronym to write clear, concise action-oriented goal statements. SMAAART Goals – are Specific, Measurable, Action-oriented, Achievable, Affordable, Time-bound. An example of a SMAAART Goal: By 30 June 2002 to construct and commission a world-standard production and delivery facility capable of producing two 20 metre road bridges per month for direct installation in to Australia’s public road system. In essence strategic goals progressively take the company to its next level of performance and keep it there. • Goal One • Goal Two • Goal Three • Goal Four • Goal Five • Goal Six • Performance Objectives: The performance objectives below, in combination, form a performance scorecard for easily tracking the performance improvements generated by this plan. Section 17 provides the inputs for this scorecard. The planning team determines the composition of the performance scorecard. Performance Area Performance Measures Target Time Frame Financial Performance Customer and Market Performance Internal Efficiency and Effectiveness Long Term Development and Innovation 10 2) The Business: Provide a concise overview of the business. Areas for consideration when preparing this section to include: • Owners/Directors/Shareholders/Shareholdings • A brief history of the business • Corporate and business cultures • Nature of the business and it main activities • Location • Current stage in its life cycle • Past performance and key achievements • Key business advisors – Solicitor, Banker, Accountant, and Consultants • Relationships with key stakeholders • Competitive strengths and weaknesses 3) Market Analysis Conduct a detailed analysis across each of the following areas to identify and quantify key market opportunities/gaps, barriers to market entry, threats, compliance requirements, risks, performance multipliers, critical success factors, etc. that must be considered when developing high priority product development, marketing and business strategies. All budgetary and financial constraints must be factored in to this planning. • Global/National Trends, Developments, Cycles and Changes of Relevance • Macro-environment (i.e. political, economic, legal, social/cultural, demographics, technology) • Industry • Markets, Customers and Suppliers • Competitors and their Products Questions typically asked during the analysis would include: • What are the industry’s economics, critical success factors, key risks, competitiveness, compliance and standards requirements, emerging trends and key technologies? • Who are the key customers and major competitors in each target markets? • What are the sizes of the target markets? Are they growing? If yes, at what rate? • What market share does each major competitor hold in your primary markets • What are the strengths and weaknesses of major competitors and their products? • What are the competitive price points for products in each market? • What competitive advantages must your products have to successfully enter and compete in target markets? • How will you differentiate your products and add more-customer-value than competitors? Key questions about your primary customers: • Specifically what need or problem does your product target? • Who will make the decision to purchase your products? 11 • What are their decision criteria? • Where are the products bought? • How are the products bought? • When are the products bought? • Why are the products bought? • How well do you know your primary customers and key competitors? • How strong are your relationships with key customers and key stakeholders? How do you involve them in product development? What factors will be critical to building strong and enduring brands with them? • What levels of demand for your products are realistic across your primary markets? • In order of priority what are your primary markets? Why? • How will your primary competitors react when you enter their markets, now and over the next two years? • What are you going to do about their responses? • What are the major barriers to market entry? • What are the critical success factors for each market? • What key product distribution, product support and customer service issues must be considered? • Which companies and products are likely to become competitors in the future? • What new or emerging technologies and substitute products are likely to become threats in the future? 4) Products Based on the findings of Section Three identify your product’s key strengths and weaknesses as they relate to key market opportunities and threats. Then develop strategies to address each issue (eg, build on strengths and correct weaknesses) for each product in your product portfolio. When preparing this section consider the following framework for clustering key issues and related strategies. All budgetary and financial constraints must be factored in to this planning. • Describe your current and near-future products? • What gives your products a clear competitive advantage? • What are the benefits and value provided to customer as opposed to ‘features’? • What are the environmental and social impacts and implications? • What regulations, standards and codes must be complied with?