Stategy Dynamics Briefing 26: Three ways to change resource quality

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The previous briefing looked at how adding larger customers and removing smaller ones can raise the average size of a firm’s customer base. To these mechanisms must be added a third element. What is it?

The third mechanisms that must be added is raising the size of customers that remain with the organization over time. This may arise if the customers themselves increase their purchase rate – perhaps consumers increase their demand for your product, or in the case of business-to-business ...

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Strategy Dynamics Briefing 25: Resource quality: understanding attributes

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It is not easy to understand and manage changes in attributes and the impact of those changes. Strategy must recognize and cope with change over time, so needs a method for quantifying both scale and speed of progress. Now we must not only work out how key resources are changing, but also the quality of those resources.
How is this done?

The table below looks at how the customer base and sales for the manufacturing firm from briefing 24 would evolve ...

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Strategy Dynamics Briefing 24: Resource quality: understanding attributes

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The briefings up to this point have put together the basic elements of the simple core system of how an organization functions and delivers performance that changes over time. This picture with numerical information on its performance is often enough to see big improvement opportunities. However, there is much more opportunity to use strategy dynamics to improve performance…

The basic elements of the simple core system of how an organization functions and delivers performance that changes over time are:

  • performance at all ...
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