Most corporations have a vision. They may or may not have well-defined strategies.
The vision details “where” the organization would like to be. A strategy details “how” the organization proposes to transition from its current state to a desired new state, with a timeline for the transition.
Building on our “3D Printing Corporation” example in “Working with KPIs I – Taking Stock”, one possible strategy for 3D Printing might be to “become a dominant international player in medical devices within four (4) years by increasing market share from a current 12% to beyond 40% by forming alliances with major hospitals systems in the USA, UK and Singapore”.
It’s important in statements such as these to include sufficient quantification to guide operational planners in their initiatives.
Given an inventory of assets within a Kbase, 3D Printing could add a Kbase node called “Augment Healthcare Market Share” with three child nodes (one per country) and proceed to add nodes for candidate hospitals under each target country for the purpose of tracking progress of negotiations with individual hospitals. Clearly the forms needed to collect data relating to ongoing negotiations with prospective partners will be different from those used to inventory assets.
If the organization has other existing or potential initiatives, additional Kbase nodes can be added.
A possible second strategy for 3D Printing might be to increase plant capacity or add new plant capacity to meet the growing demands of existing manufacturing industry customers. In respect of the latter, it could be helpful to import or link US Department of State Country Profiles to the Kbase to assist in the selection of possible offshore sites.
Note that a Kbase user has the option of expanding/extending what is a multi-tree hierarchical data structure at the Kbase or streaming primary record holders at different Entities (i.e. candidate hospitals) onto BPM process templates set up to guide the processing. Data collected at steps along process template instances can auto expand the Kbase.
In the next post in this series “Working with KPIs III – Setting Goals/Objectives” we will see what is involved in allocating corporate assets to one or more strategies.
As explained, this will involve cross-linking corporate assets to strategies. Under many of the possible scenarios, assets will not have the capacity to be used for several strategies. Committing a corporate asset to one strategy may constrain the implementation of other strategies.
Asset allocation to different corporate strategies is greatly facilitated when corporate assets and strategies are in the same Kbase.
Working with KPIs I – Taking Stock
Working with KPIs II – Formulating strategy
Working with KPIs III – Setting Goals/Objectives
Working with KPIs IV – Defining KPIs
Working with KPIs V – Measuring Performance