We spoke with Pernille about strategy design and its place in the modern business world.
- You have been working with several clients in shaping their future strategy. What is the most fascinating part of the process? “Strategy design is an intense process where we conduct deep analysis and have several iterations with our client and experts before a final strategy is shaped. I always look forward to opening up a new client case, where we are to understand the market, the customers, the history and the people we are working with. It is fascinating to follow the building of a strategy being put together piece by piece, but if I were to highlight one thing, it is the moment where we know we have helped our clients think differently about their business and opened their eyes to new future opportunities.”
- What key challenges have your clients been struggling with in designing their strategy? “I would say that a repetitive challenge for many of the top executives that I have been working with is that they often fail to make clear critical choices. They want to do all at once or be best at everything. Often the companies have a great track record of growth where they have been expanding their business via new products, new clients and perhaps new markets. At some point, the payback has stagnated, which has led to big frustration. When analyzing their business, we often see that a core issue is simply lack of prioritization and staying true to the core. They have failed to make the clear-cut choices along the way, which allow them to focus on the right clients, offerings and markets.”
- So, you are saying that clients must make critical choices. How has Monitor Deloitte supported clients on this? “Recently, we worked with a textile company in designing their global growth strategy. Via market and financial analysis, we made it easy for them to make the ever-so critical ‘Where to Play’ and ‘How to Win’ choices. This is where we identify and quantify the growth opportunities in each market space, and prioritize where the company should place its future investments – and where it should stop. The latter is just as important as the first. Top management always finds this process very intense, because they know their decisions will change their tomorrow. By making this prioritization, we made sure the textile company now brings the best to the most important customers. Instead of a large number of half-hearted investments, they now have a few attractive must-win-battles, where they can place the best of their energy.”