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Hidden Reefs in Creating Business Value

  • December 06, 2018 6:56 AM
    Message # 6948094

    The financial dimensions of business value have not changed. Growth in sales, profitability and cash flow are still the fundamental areas of how we look at business value.  Each of these dimensions has additional metrics that may vary by industry, size, and other factors. 

    What changed are the drivers of these financial indicators and the complexity and interrelatedness of these drivers including a myriad of ripple effects throughout the value stream. 

    In pursuit of growing business value, we: 

    • develop new products and services
    • create strategies for growth
    • enhance customer experience
    • form partnerships
    • change technologies and systems
    • merge and acquire other companies, divest parts of ours
    • introduce corporate initiatives to improve branding
    • optimize operations to achieve efficiencies and save costs
    • automate
    • modify supply chain
    • adjust to new supplier systems
    • respond to changes in regulations and new external challenges and constraints  

    Most of these directions and actions are initiated by the leadership/management teams and taken down to the managers and then to the individual contributors.

    At the same time we are looking for more initiative, more collaboration, more creative problem solving from the employees and are wondering why people are complaining and not cooperating.

    One of the biggest challenges in pursuit of business value in the current environment is that the multitude of changes undertaken to implement the above directions and actions, initiatives and efforts, outpaces human capacity to adjust. 

    It is just too much.


    To read the full article, please follow the link below or download the attached file.

    Last modified: December 06, 2018 9:59 PM | Anna Samorukova
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