R|H Strategy Consulting Approach:
Analysis, Formulation, Successful Implementation.

In this first phase we will clarify what challenges you are facing, how your initial situation presents itself, what your concrete goals are, what the time frame for the project is and who the participants are. Therefore, we will possibly have personal one-to-one conversations, telephone interviews or video conferences. All these measures aim to determine and to reconcile the scope and range of our consulting work and to plan the workshops. With this approach we want to create transparency while including our clients in the planning procedure as an active ‘part’ of the process. For the strategic analysis phase, this means that R|H explains and justifies which methods and tools are appropriate and will be used. For example, the following tools and model can possibly be used for the internal and external analysis: Stakeholder analysis, STEEPLE analysis, Five-Forces Model and competitor analysis. This detailed analysis will lead to your company’s SWOT. In order to optimally conduct the workshops, it might be necessary for you or your team to do some ‘homework’ as preparation.

The next task, after clarifying the goals and agreeing on the plan for the strategic analysis, is to bring all workshop participants up to speed. This includes defining the context for the strategy development and all framing conditions and to clearly formulate and share the company’s goals regarding its strategic management process. This should establish a common ground for the upcoming tasks and challenges for all participants and clarify how to work goal- and solution-focused together.

Subsequently, the company’s current internal and external strategic situation will be analysed. This analysis can have many forms, for example group work, ‘homework’ results presentation or group discussion. R|H’s role in all phases is process owner, sounding board and positive sparring partner to ask precisely those questions which you would never ask yourself, and to question and challenge assumptions and ‘facts’. In the end, it all comes down to making all the company’s connections transparent to gain new insights to deepen and increase the knowledge and understanding. The results from all used models and tools will culminate in the company’s SWOT, which has to be well-balanced (e.g. the same number of strengths, weaknesses, opportunities and threats) and meaningful.

The function of the strategic analysis was to gain a profound comprehension of the company’s current position with all its strengths, weaknesses and core competences as well as threats and opportunities from the external environment. The next task is now to find out if the company’s strategic position can be retained or if it has to be changed. R|H will, in close cooperation with you, develop a plan for the strategy formulation based on the findings and results from the strategic analysis. This could probably include the following content: clarification of the company’s guidepost, identification of strategic options, definition of the company’s generic strategy and review of the company’s business model as well as the systematic examination of strategic options and selection of the best-suited option for the company.

One of the most important tasks of this step is to review the company’s strategic guideposts. In order to do so, the following topics will be evaluated and possibly redefined: What do we want to achieve in the future (vision)? What is the object of the company, the raison d'être (mission)? What is the code of conduct for collaboration (values)?

Subsequently, all strategic options, which are adequate and appropriate for the company’s situation based on the internal and external analysis, will be reviewed. Those strategic option might include: (1) Growth strategy; (2) market penetration; (3) product development; (4) development of the market; (5) ‘Do nothing’; (6) withdrawal; (7) consolidation; or (8) diversification, etc.

Consecutively, the company’s generic strategy will be reviewed and, if necessary, adapted to the new situation, for example: (1) Best product strategy; (2) lock-in strategy; (3) complete customer solution strategy; or (4) ‘break out strategies’ including cooperation strategy or blue ocean strategy.

The next task in strategy formulation, after gathering all available information, is to verify the developed strategic options and the company’s generic strategy. There are several tools and methods available for this task, including SFA, plausibility analysis, consistency analysis, risk analysis, stakeholder analysis, etc.

The last and most important task for this phase is to use the gained understanding and insights to select the best strategic option and generic strategy to lead your company to a successful future.

The aim of this is to develop and formulate strategic goals which are operationalisable in the day-to-day business based on the company’s strategic position. This means that a plan will be developed of how to translate the company’s newly formulated strategy into business goals, including all necessary steps. At this point it might be necessary to clarify how the company’s strategic management process will be documented, e.g. as a business plan, individual strategic plans (marketing, finance, …) or business model document. We are happy to support you in creating professional documents.

Strategy implementation begins with defining strategic goals which will then be clustered into subject areas prioritised by short-, mid- and long-term goals. Action plans will be developed by all responsible persons themselves, including, amongst other things, a detailed description of the goal with the current- and targeted-state, a deadline by which the target must be attained, the goal’s business context, who is responsible for what, who will implement the measure, possible subtask, etc.

All these actions aim to successfully implement the company’s strategy. However, it is vital to include all stakeholders in this undertaking – in particular the employees. Employees are almost always the group which is most impacted by the company’s strategy. Since they ask for meaning and search for motivation in their work, it is important to formulate and communicate strategic goals in a way that helps employees to understand why they have to perform certain tasks and why this is important for them personally.