Monday, November 17, 2014

Your Key Aggregate Value Generators

If you want to maximize the aggregate performance of your company, you must make sure that every component of your business system (object, process, function, etc.) generates the maximum possible amount of aggregate value - financial, functional and emotional - for your stakeholders.

However, you have three key components that have the primary responsibility for generating this aggregate value - with financial value to your shareholders being ‘the first among the equals’):

·         Your corporate brands
·         Your corporate products
·         Your corporate services
Hence, in your comprehensive business analysis project you will need to pay a special attention to these three aggregate value generators. It is important to note that you will need to optimize not only your brands, products and explicit services that you offer for a fee or for free to your clients and some of your other stakeholders.

But also the implicit services that you offer to all of your stakeholders (specific for each category of stakeholders or even to a particular stakeholder). These implicit services always exist, because if an individual or an organization is a stakeholder in your company, then by definition your company provides certain valuable services (explicit or implicit). Services that create aggregate value for your stakeholder in question.

To maximize its aggregate performance, your company maximize the aggregate value that it creates for its stakeholders. Hence, you must maximize the aggregate value of your brands, products and both explicit and implicit services to your stakeholders.


The best way to do that is to make your implicit services explicit (by providing a formal and well-structured description for each implicit service) and to manage and optimize each explicit service in exactly the same way you manage and optimize your explicit services.

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