At HCG we are passionate about giving the right advice to our clients.
To ensure this happens, our strategic planning process has three major elements, right understanding, right relationship and right action, all of which appear below. However, even when we give the right advice to a client, there is one more element that is crucial to success.
This fourth element is Right Leadership and this element is just as important as the first three elements of our process…
1. RIGHT UNDERSTANDING
At HCG we facilitate conversations that deliver a clear and dispassionate view of the emerging future and the evolving industry value chain. We revisit the founder’s vision and challenge the organisational DNA. We consider one to three year horizons with respect to demand, customers, competitors and suppliers, along with the prevailing industry forces. The result is a reliable canvas on which to develop strategy.
2. RIGHT RELATIONSHIP
At HCG we understand that strategic positioning is the very heart of the strategy process. We ask how the business is going to compete within the future industry value chain. We help clients make fundamental choices about which industries and markets to participate in, which products and services are to be offered, and to which customers. Delicate decisions are made about positioning within a chosen product-market and the likely relationships with other players. Our clients don’t have to be the best in their industry, but they do need to hold a unique and profitable value proposition that creates sustainable advantages.
3. RIGHT ACTION
At HCG we identify the capability platforms and activities our clients need to succeed. Success relies heavily on the competency, experience and commitment of people. Performance is strongly influenced by five elements: competencies | experience; culture, structure | systems; management and people. These form a client’s capability platform and this will largely determine its capacity to compete and out-perform its competitors… and finally…
4. RIGHT LEADERSHIP
An example of this fourth element is how executive compensation is viewed by the Board. The purpose of executive compensation is not about getting the right behaviours from the wrong leaders, but rather to attract and get the right leaders on board from the get go and keep them there.