Depending on your needs, you can implement the balanced scorecard as simply or complexly as you like. Diversification Another category of growth strategies that was popular in the s and s and is used far less often today is something called diversification where you grow your company by buying another company that is completely unrelated to your business.
If your vision statement is more about solidarity and robustness — then something like the Balanced Scorecard might be more appropriate. If you have a choice, you would ideally like to sell your new products to existing customers. Often, the grants and funding upon which they rely are directly tied to them being able to demonstrate benefit to stakeholders in the real world, so this model comes in handy when applying for this kind of financial support.
Sometimes, market conditions dictate that you must create new products for new customers, as Polaristhe recreational vehicle manufacturer in Minneapolis found out. Especially big enterprises nearing peak performance in a niche market or geography and are ready to take the next step.
At the very least those who have identified this as a particular focus area. The statistics are grim. The balanced scorecard is built on the premise that your businesses strategy should be equally divided into the 4 quadrants below: Fortunately, it developed a wildly-successful series of four-wheel all-terrain vehicles, opening up an entirely new market.
The is one of the best strategy frameworks for organizations who want to build a strategy around growth specifically. One additional thing to consider is what your long-term vision for your organization really is.
So I studied the companies who had done it to learn their lessons. Acquisitions can also be focused on buying component companies that are part of your distribution chain. For example, you may be more aggressive with your marketing but in the same target groups, or you may offer incentives for people to buy more of your product in exchange for a discount.
Its popularity means that there are tons of help resources out there, as well as highly trained consultants that can help you implement it within your own organization.
For example, makers of sports shoes have aggressively developed products such as sports clothing to sell to the same group of people who were originally just buying shoes. The opinions expressed here by Inc.
Sometimes, you have no choice but to take more risk, says McFarland. Which are the best strategy frameworks for your organization? This growth strategy would involve buying a competing business or businesses. What made the iPod such a breakthrough product was that it could be sold alone, independent of an Apple computer, but, at the same time, it also helped expose more new customers to the computers Apple offered.
How about if your vision statement is more focused on a particular aspect or niche?
Similarly, Apple pulled off this strategy when it introduced the iPod. Society You could look at group 5 as an extension of group 3 community. Shareholders Whilst this model is popular among not-for-profits, many profit-making organizations also adopt the stakeholder model.
The rub is that sometimes, the market forces you to take action as a means of self-preservation, as it did with Polaris.
Developing a Growth Strategy:In organizations where employees understand the mission and goals, the business experiences a 29% greater return. Here's how to develop a strategic plan. Responsive Real-Time Strategy Development. Framework guides translation of the strategy to each departments’ business plan.
Framework Partners. Strategic Business and Operations Framework Checklist (Strategic Plan – Goal 5). The framework is comprised of three leadership development, career planning.
The least risky growth strategy for any business is to simply sell more of its current product to its current customers Product Development. A classic strategy. Developing a Strategic Plan plan.
2. Strategic Planning Framework on Developing a Strategic Business Plan and Devising Business Plan Strategies. The Business Development Strategy is used to underpin your main Business Plan and essentially it sets out a standard approach for developing new opportunities, either from within existing accounts.Download