Sunday, November 2, 2014

Corporate Blitz-Analysis: Key Propositions

Corporate blitz-analysis (CBA) methodology is based on the following propositions:

1.      The CBA objective is to analyze the key aspects of your corporate structure and performance and to develop recommendations for optimizing corporate structure and maximizing corporate performance
2.      For your company to have an optimal structure and operate at maximum performance, (a) all of its objects – documents, brands, products, etc. - must be both necessary and sufficient for your company operations; (b) each object must operate at the highest possible performance and (c) all objects must be in a perfect synergy with each other.

3.      The key tool for analyzing each corporate object is its Aggregate Performance Scorecard (APS). APS contains questionnaire for the corporate object in question; object performance scores – for each question and aggregate; analysis, conclusions, recommendations and comments write-ups; financial and operational plans for optimizing object structure and maximizing its performance and links to object-related corporate documents.

4.      To operate at maximum performance, your company must develop a list of all relevant key external factors (economic, political, legal, technology, etc.) and to make sure that these factors are well-integrated into corporate decision-making process

5.      Your business entity must develop and implement a comprehensive and challenging vision of itself that matches the corporate key external factors (KEF)

6.      Your company must develop and implement a comprehensive set of corporate strategies (general, marketing, financial, etc.) for implementing the corporate vision. These strategies must have a perfect synergy between themselves and perfectly match the corporate KEF

7.      Your business entity must develop a comprehensive set of strategic corporate objectives – both financial (revenues, profits, free cash flow, financial value) and non-financial (market share, customer satisfaction). These strategies must have an optimal “stretch”; a perfect synergy between themselves and a perfect match with the corporate KEF, vision and corporate strategies

8.      To achieve its strategic objectives, your company must develop and implement strategic corporate plans – financial and operational – with detailed comments and explanations (typically referred to as a business plan). These plans also must have an optimal “stretch”; a perfect synergy between themselves and a perfect match with your corporate KEF, corporate vision and corporate strategies

9.      To maximize its performance, your business entity must develop an optimal portfolio of its target markets and to maximize free cash flow from these markets. Which requires developing and maintaining – at all times – a comprehensive knowledge base on your target markets. Your target markets must exhibit a perfect synergy between themselves and a perfect match with your corporate KEF, corporate vision, corporate strategies, strategic objectives and strategic plans

10.  To maximize its performance and cash flows from its target markets, your company must be better than your competitors – both direct and indirect. Which requires (a) developing and maintaining – at all times – a comprehensive knowledge base on your competitors and (b) making sure that your company is better than each of your competitors in the eyes of your clients/customers/consumers in each target market

11.  ‘To be better than your competitors’ means to offer each of your corporate stakeholders (clients, suppliers, partners, etc.) a unique value proposition (UVP) which is more valuable than those of your competition. More valuable in terms of aggregate value – financial, functional and emotional. To be superior to your competition, your UVP must satisfy the aggregate needs of your stakeholders – financial, functional and emotional – to the fullest possible extent. Or at least better than your competition. Naturally, your UVP must match corporate KEF, corporate vision, corporate strategies, strategic objectives and strategic plans.

12.  To satisfy the aggregate needs of your stakeholders, your company must possess, develop or acquire a comprehensive set of key competencies. These competencies must exhibit the highest possible synergy between themselves and a perfect match to key success factors in your target markets, your corporate KEF, your corporate vision, corporate strategies, strategic objectives, strategic plans and your UVP.

13.  To be better than your competitors, your company must possess, develop or acquire a comprehensive set of competitive advantages. These competencies must exhibit the highest possible synergy between themselves and a perfect match to key success factors in your target markets, your corporate KEF, your corporate vision, corporate strategies, strategic objectives, strategic plans, your key competencies and your UVP.

14.  Revenues, profits, free cash flows and stakeholders’ value in your company are all ultimately created by clients purchasing your products and services. Therefore, to maximize the performance and stakeholders’ value of your company, you must maximize financial value of each of your corporate brands and of your whole brand portfolio. Naturally, your brands must exhibit the highest possible synergy between themselves and a perfect match to key success factors in your target markets, your corporate KEF, your corporate vision, corporate strategies, strategic objectives, strategic plans, your key competencies, competitive advantages, your UVP and your corporate brands.

15.  In our highly imperfect world where ‘image is everything’, more and more revenues, profits, free cash flows and stakeholders’ value in a business entity are generated by corporate brands. In some cases, more than 90% of financial value of a company is represented by aggregate financial value of its brand portfolio. Therefore, to maximize the performance and stakeholders’ value of your company, you must maximize financial value of each of your corporate brands and of your whole brand portfolio. Naturally, your brands must exhibit the highest possible synergy between themselves and a perfect match to key success factors in your target markets, your corporate KEF, your corporate vision, corporate strategies, strategic objectives, strategic plans, your key competencies, competitive advantages and your UVP.


16.  To maximize its performance, your company needs to satisfy the aggregate needs – financial, functional and emotional – of its stakeholders. To the fullest possible extent – or at least better than any of its competitors. In other words, to create the maximum amount of aggregate value - financial, functional and emotional – for your stakeholders. However, this aggregate value thing goes both ways. Because you would want all of your stakeholders to create the maximum amount of aggregate value for your company as well. This is called the external corporate harmony principle. Therefore, your company must (a) assemble the optimal portfolio of corporate stakeholders; (b) get to know needs and desires of these stakeholders; (c) satisfy the aggregate needs of your stakeholders to the highest possible extent – and definitely better than your competition and (d) make sure that your stakeholders satisfy your aggregate needs

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