Posts Tagged "business model"

Are CEOs really overpaid and mostly not worth it? Part 3

Posted by on Jan 23, 2012

Recap In Parts 1 and 2 of this topic, we reviewed studies and opinions on executive pay. We found that the research shows: CEO pay has grown faster than the capitalization or profits of the companies they head, and this is most likely the result of measurement difficulties and remuneration policies that may be skewed by self-interest. This week we’ll conclude by answering the key strategic question “what should companies do about it”.  Our answer may surprise you. What the data does – and doesn’t – tell us As with nearly all population statistics, the pay received by...

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If you can’t answer this question, you may be a sitting duck!

Posted by on Jul 25, 2011

What is your business model? Lately we’ve taken to asking every prospective new client the same question in our exploratory discussion: “What is your business model?” A bit of history will help to explain why we think this question is important. When I began consulting on strategic management, I thought it strange that in the five days it typically took to create a strategic plan, very little time was spent actually discussing strategy. We devoted many hours to SWOT lists, mission statements, climate goals, objectives and action plans. Strategy was implicit in many of these discussions, but...

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The Weak Linkage Between Employee Engagement and Productivity

Posted by on Jul 11, 2011

Look Before You Leap Managers often leap from the notion that “employee engagement is low” to “engaging employees will increase productivity and our strategic success”. While there may be a strong link between these ideas in some cases, it is far from universally true. Some will undoubtedly wonder how we strayed from strategic management to productivity. After all, isn’t productivity primarily about operations management? The answer is an emphatic no! Productivity is defined as “the value of outputs divided by the inputs required to produce them”. By that definition, an effective...

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20 Tips for Successful Strategy Implementation: Part IV – Evaluation and Adjustment

Posted by on Jun 27, 2011

Phase IV Evaluation and Adjustment Ongoing strategic success requires vigilant management—continually tweaking the strategy, implementing changes quickly and effectively, and keeping the strategy fresh and alive. A fast, flawless implementation may yield better results than a “brilliant” strategy poorly implemented. Following are five tips to help you manage the execution and evolution of your strategy effectively. 16. Focus on progress against milestones . . . and on results As implementation proceeds, it becomes both possible and vital to see whether planned actions are producing results....

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Are you wasting time and money tracking the wrong performance in the wrong ways?

Posted by on May 29, 2011

Measurement matters. It can help managers to allocate resources, identify emerging problems, make decisions, and focus effort on the right problems and opportunities. But accurate and reliable measures of performance are few and far between. It seems we always have metrics – just not the right ones. Albert Einstein summed it up neatly when he said: “Everything that can be counted does not necessarily count; everything that counts cannot necessarily be counted”. Measurement usually focuses on traditional “countable” value – revenue, profit, ROI, etc. These are both vitally...

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