Post on 04-Feb-2023
Strategy DevelopmentDiscussion Deck Template
This is a discussion deck template for a corporate strategy development session. In this discussion, we go through a 2-prong approach to growth and evaluate the merits of various growth drivers. From the 2-prong approach, various scenarios can be generated in the discussions and dashboards are used to evaluate each scenario.
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Contents
•Introduction to Prong 1 and Prong 2 Concept
•Prong 1 Overview
•Prong 1 Scenarios
•Prong 2 Overview
•Prong 2 Scenario
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Introduction to Prong 1 and Prong 2 (1 of 3)
TODAY TOMORROW DAY AFTER
OPTION A
Boost performance of existing business model
(STAY WITH THE CORE)
OPTION BFirst, boost
performance of existing business model
(STAY WITH THE CORE)
Next, transform the business into aTechnology Manufacturing Company
(GO FOR MORE)
OPTION C
Immediately transform the business into a Technology Manufacturing Company
(GO FOR MORE)
• COMPANY can either work on boosting the performance of its core business and let the business continue as is
• This is LOW RISK
• COMPANY can further the first option by transforming the business into a Technology Manufacturing Company for sustainable growth
• This is MEDIUM RISK• The final option is for COMPANY to immediately begin its transformation into a Technology Manufacturing Company
• This is HIGH RISK
Highurgency
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Introduction to Prong 1 and Prong 2 (2 of 3)
Our options essentially boil down into 2 sets of scenarios:Stay with the Core (AKA Prong 1)
Go for More (AKA Prong 2)
PRONG 1
Stay with the Core•Continue to develop COMPANY’s core business of ible circuits
•Any potential M&A will be a tuck-in•The primary objective is to boost the performance of COMPANY’s existing business model, which is an immediate need
PRONG 2
Go for More•Extend beyond the core business of ible circuits
•Any M&A will operate outside the current organization
•The primary objective is to grow COMPANY’s portfolio of offerings and transform it from a ible circuits manufacturer to a Technology Manufacturing Company
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Introduction to Prong 1 and Prong 2 (3 of 3)
Manufacturing& Operations
Process & ProductEngineering Customers
Our business has 3 primary drivers of value—these drivers provide a framework to evaluating growth and transformation
scenarios
• We are nearing its manufacturing capacity, so there is an impending need to expand capacity—either through building a new plant or acquiring one
• We currently have process and engineering IP associated with ible circuit products
• To transform into a competitive Technology Manufacturing Company, we should increase our process and product engineering IP
• We have great customers, including the 2 largest customers
• However, on of our biggest risks is also customer concentration, with 1 contributing 80% of our gross margin
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Contents
•Introduction to Prong 1 and Prong 2 Concept
•Prong 1 Overview
•Prong 1 Scenarios
•Prong 2 Overview
•Prong 2 Scenario
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Prong 1 – Stay with the Core
PRONG 1
Stay with the Core
How should we grow?
Grow organically
Grow inorganically
What do we acquire?
Manufacturing& Operations
Process & Product
EngineeringManufacturing& Operations
EXAMPLE 1Stick to your knitting, grow organically
EXAMPLE 2Stick to your
knitting, acquire facility
EXAMPLE 3Stick to your
knitting, acquire like company
Acquire facility
Acquire like company
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ScenariosExample 1: Stick to your knitting, grow organically
PRONG 1
Stay with the Core
PRONG 2
Go for More
STAY THE COURSE
Manufacturing& Operations
Process & ProductEngineering Customers
EXISTING EXISTING EXISTING
Reaches capacity limits due to organic growth—build new plantrication facility
Organic growth of customers if incremental (and not proportional to the increase in capacity)
Benefi
t
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ScenariosExample 2: Stick to your knitting, acquire facility
PRONG 1
Stay with the Core
PRONG 2
Go for More
XXXX MODEL
Manufacturing& Operations
Process & ProductEngineering Customers
EXISTING EXISTING EXISTING
Acquire new circuit plant to meet growing capacity demands for COMPANY’s existing products
Acquired plant also brings new customers
Benefi
t
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ScenariosExample 3: Stick to your knitting, acquire like company
PRONG 1
Stay with the Core
PRONG 2
Go for More
XXXX MODEL
Manufacturing& Operations
Process & ProductEngineering Customers
EXISTING EXISTING EXISTING
Acquire a new plant that can produce COMPANY’s current circuit products, as well as new related products
Acquired plant also brings new customers
New plant brings engineering capabilities beyond circuits
Benefi
t
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Contents
•Introduction to Prong 1 and Prong 2 Concept
•Prong 1 Overview
•Prong 1 Scenarios
•Prong 2 Overview
•Prong 2 Scenario
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Scenarios<SCENARIO X> Dashboard
PRONG 1
Stay with the Core
PRONG 2
Go for More
IMPACT ON CORE DRIVERS OF VALUE
Manufacturing& Operations
Process & ProductEngineering Customers
OVERVIEW
FINANCIAL ANALYSIS
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
CORE OBJECTIVES Revenue growth 1 3 4 5 (Highest)
Margin growth 1 2 3 5 (Full satisfaction)
CORPORATE RISKS Direct labor unrest 1 2 3 4 5 (Full
satisfaction) Customer concentration 1 2 3 4 5 (Full
satisfaction) Pricing and margin pressures 1 2 3 4 5 (Full
satisfaction) Technology innovation 1 3 4 5 (Full
satisfaction) Talent management, BCP 1 2 3 4 5 (Full
satisfaction) TECH MFG COMPANY 1 2 3 4 5 (Full
satisfaction)
EVALUATION CRITERIA
DASHBOARDTEMPLATE FOR
PRONG 1 SCENARIOS
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Scenarios<SCENARIO X> Dashboard
PRONG 1
Stay with the Core
PRONG 2
Go for More
IMPACT ON CORE DRIVERS OF VALUE
Manufacturing& Operations
Process & ProductEngineering Customers
OVERVIEW
FINANCIAL ANALYSIS
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
CORE OBJECTIVES Revenue growth 1 3 4 5 (Highest)
Margin growth 1 2 3 5 (Full satisfaction)
CORPORATE RISKS Direct labor unrest 1 2 3 4 5 (Full
satisfaction) Customer concentration 1 2 3 4 5 (Full
satisfaction) Pricing and margin pressures 1 2 3 4 5 (Full
satisfaction) Technology innovation 1 3 4 5 (Full
satisfaction) Talent management, BCP 1 2 3 4 5 (Full
satisfaction) TECH MFG COMPANY 1 2 3 4 5 (Full
satisfaction)
EVALUATION CRITERIA
DASHBOARDTEMPLATE FOR
PRONG 1 SCENARIOS
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Scenarios<SCENARIO X> Dashboard
PRONG 1
Stay with the Core
PRONG 2
Go for More
IMPACT ON CORE DRIVERS OF VALUE
Manufacturing& Operations
Process & ProductEngineering Customers
OVERVIEW
FINANCIAL ANALYSIS
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
CORE OBJECTIVES Revenue growth 1 3 4 5 (Highest)
Margin growth 1 2 3 5 (Full satisfaction)
CORPORATE RISKS Direct labor unrest 1 2 3 4 5 (Full
satisfaction) Customer concentration 1 2 3 4 5 (Full
satisfaction) Pricing and margin pressures 1 2 3 4 5 (Full
satisfaction) Technology innovation 1 3 4 5 (Full
satisfaction) Talent management, BCP 1 2 3 4 5 (Full
satisfaction) TECH MFG COMPANY 1 2 3 4 5 (Full
satisfaction)
EVALUATION CRITERIA
DASHBOARDTEMPLATE FOR
PRONG 1 SCENARIOS
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Contents
•Introduction to Prong 1 and Prong 2 Concept
•Prong 1 Overview
•Prong 1 Scenarios
•Prong 2 Overview
•Prong 2 Scenario
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Prong 2 – Go for More
Grow inorganically
Process & Product
Engineering
EXAMPLE 4Transform the business, extending
your value chain
Extend Manufacturing Capabilities Financial
buy
PRONG 2
Go for More
What is our strategic
goal?
Manufacturing& Operations
Extend Design/Engineering
Capabilities ?
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ScenariosExample 4: Transform the business, extending our value chain
PRONG 1
Stay with the Core
PRONG 2
Go for More
CISCO MODEL
Manufacturing& Operations
Process & ProductEngineering Customers
EXISTING EXISTING EXISTING
Acquire new company with existing manufacturing facilities and capabilities; and management team and capabilities
Acquired company brings IP and engineering capabilities
Acquired company has existing established customer base
NEW NEW NEW
Manufacturingsynergies
Engineering & IP synergies
Customer base synergies
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Contents
•Introduction to Prong 1 and Prong 2 Concept
•Prong 1 Overview
•Prong 1 Scenarios
•Prong 2 Overview
•Prong 2 Scenario
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Scenarios<SCENARIO X> Dashboard
PRONG 1
Stay with the Core
PRONG 2
Go for More
IMPACT ON CORE DRIVERS OF VALUE
CORE OBJECTIVES Revenue growth 1 3 4 5 (Full
satisfaction) Margin growth 1 2 3 5 (Full
satisfaction) CORPORATE RISKS Direct labor unrest 1 2 3 4 5 (Full
satisfaction) Customer concentration 1 2 3 4 5 (Full
satisfaction) Pricing and margin pressures 1 2 3 4 5 (Full
satisfaction) Technology innovation 1 3 4 5 (Full
satisfaction) Talent management, BCP 1 2 3 4 5 (Full
satisfaction) TECH MFG COMPANY 1 2 3 4 5 (Full
satisfaction)
EVALUATION CRITERIA
Manufacturing& Operations
Process & ProductEngineering Customers
OVERVIEW
FINANCIAL ANALYSIS
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
DASHBOARDTEMPLATE FOR
PRONG 2 SCENARIOS
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Scenarios<SCENARIO X> Dashboard
PRONG 1
Stay with the Core
PRONG 2
Go for More
IMPACT ON CORE DRIVERS OF VALUE
CORE OBJECTIVES Revenue growth 1 3 4 5 (Full
satisfaction) Margin growth 1 2 3 5 (Full
satisfaction) CORPORATE RISKS Direct labor unrest 1 2 3 4 5 (Full
satisfaction) Customer concentration 1 2 3 4 5 (Full
satisfaction) Pricing and margin pressures 1 2 3 4 5 (Full
satisfaction) Technology innovation 1 3 4 5 (Full
satisfaction) Talent management, BCP 1 2 3 4 5 (Full
satisfaction) TECH MFG COMPANY 1 2 3 4 5 (Full
satisfaction)
EVALUATION CRITERIA
Manufacturing& Operations
Process & ProductEngineering Customers
OVERVIEW
FINANCIAL ANALYSIS
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
DASHBOARDTEMPLATE FOR
PRONG 2 SCENARIOS
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Scenarios<SCENARIO X> Dashboard
PRONG 1
Stay with the Core
PRONG 2
Go for More
IMPACT ON CORE DRIVERS OF VALUE
CORE OBJECTIVES Revenue growth 1 3 4 5 (Full
satisfaction) Margin growth 1 2 3 5 (Full
satisfaction) CORPORATE RISKS Direct labor unrest 1 2 3 4 5 (Full
satisfaction) Customer concentration 1 2 3 4 5 (Full
satisfaction) Pricing and margin pressures 1 2 3 4 5 (Full
satisfaction) Technology innovation 1 3 4 5 (Full
satisfaction) Talent management, BCP 1 2 3 4 5 (Full
satisfaction) TECH MFG COMPANY 1 2 3 4 5 (Full
satisfaction)
EVALUATION CRITERIA
Manufacturing& Operations
Process & ProductEngineering Customers
OVERVIEW
FINANCIAL ANALYSIS
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
• Filler text• Filler text• Filler text
DASHBOARDTEMPLATE FOR
PRONG 2 SCENARIOS
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Flevy (www.flevy.com) is a marketplace for business documents—specifically, documents used by folks who work in a business function (e.g.Marketing, Corporate Finance, IT, etc.). These documents can range from Excel Financial Models to customizable PowerPoint Templates to "How-To" Business Frameworks.
Flevy was founded under the principle that companies waste a lot of time and money recreating the same foundational business documents. Our vision is for Flevy to become a comprehensive knowledge base of business documents. All organizations, from startups to large enterprises, can use Flevy— whether it's to jumpstart projects, to find reference or comparison materials, or just to learn.
Contact UsPlease contact us with any questions you may have about our company.
•General Inquiries support@flevy.com
•Media/PR press@flevy.com
•Billingbilling@flevy.com
Write to UsFlevy.com 315 W. 33rd St., Ste. 35C New York, NY 10001