Strategic Business Design
Strategic Business Design refers to all the thinking, feeling and conceptual considerations undertaken to formulate the corporate plan initiatives, tasks and standards.
Basic strategic planning covers the following:-
- Market determination (segmentation)
- Price of Product/Services considerations
- Competitor characteristics and responses
- Internal assessment – strengths and weaknesses
ICC’s Strategic Business Design process one step further to determine standards for performance, average vs superior.
When in business, some organisations have tended to regard people as a commodity – available all the time and cheap. These organisations have usually operated on “least cost strategy”, and they are less concerned about staff turnover, morale and career planning for retention.
Business that rely heavily on capability, which is becoming a source of competitive and strategic advantage have taken a different approach to Human Capital Management. They are more concerned about “Return on Cost” – higher human resource costs must be supported by better overall results. In this regard, they hire the best candidates. They are willing to structure a compensation package based on the 3rd Quartile of the market practice. They do set standards of performance significantly higher than the norm.