Why you need to align value, profit, and people propositions to create a sustainable blue ocean strategy. ⤵️ At the highest level, there are three propositions essential to the success of strategy: the value proposition, the profit proposition, and the people proposition. For any strategy to be successful and sustainable, an organization must develop an offering that attracts buyers; it must create a business model that enables the company to make money out of its offering; and it must motivate the people working for or with the company to execute the strategy. While good strategy content is based on a compelling value proposition for buyers with a robust profit proposition for the organization, sustainable strategy execution is based largely on a motivating people proposition. Motivating people requires more than overcoming organizational hurdles and winning people’s trust with fair process. It also rests on aligned and fair incentives. In this sense, the three strategy propositions provide an organizing framework to ensure an organization is taking a holistic approach to the formulation and execution of strategy. Under blue ocean strategy, an organization succeeds when all three strategy propositions pursue both differentiation and low cost. It is this alignment in support of differentiation and low cost that ensures and sustains a successful blue ocean strategy. Is your strategy aligned around the value, profit, and people propositions in pursuit of both differentiation and low cost? Make your blue ocean strategic move today -> https://lnkd.in/gPwkc29g 📥 Subscribe to our newsletter for more business insights! https://lnkd.in/gRKHmxre 🥋🔵 Master blue ocean strategy with the Blue Ocean Strategy Practitioner Program: https://lnkd.in/gwizbYbU #blueoceanstrategy #blueocean #strategy #valueinnovation
Blue Ocean Strategy’s Post
More Relevant Posts
-
Align Value, Profit, and People Propositions At the highest level, there are three propositions essential to the success of strategy: the value proposition, the profit proposition, and the people proposition. For any strategy to be successful and sustainable, an organization must develop an offering that attracts buyers; it must create a business model that enables the company to make money out of its offering; and it must motivate the people working for or with the company to execute the strategy. While good strategy content is based on a compelling value proposition for buyers with a robust profit proposition for the organization, sustainable strategy execution is based largely on a motivating people proposition. Motivating people requires more than overcoming organizational hurdles and winning people’s trust with fair process. It also rests on aligned and fair incentives. In this sense, the three strategy propositions provide an organizing framework to ensure an organization is taking a holistic approach to the formulation and execution of strategy. Under blue ocean strategy, an organization succeeds when all three strategy propositions pursue both differentiation and low cost. It is this alignment in support of differentiation and low cost that ensures and sustains a successful blue ocean strategy. Is your strategy aligned around the value, profit, and people propositions in pursuit of both differentiation and low cost? Make your blue ocean strategic move today -> https://lnkd.in/gwizbYbU #blueoceanstrategy #blueocean #strategy #valueinnovation
To view or add a comment, sign in
-
Are you doing enough to ensure strategic alignment in your organization? Here's why you need to align value, profit, and people propositions to create a sustainable blue ocean strategy: https://bit.ly/3rzrQGN #blueoceanstrategy #blueoceanshift #strategy #businessthinking
To view or add a comment, sign in
-
Are you doing enough to ensure strategic alignment in your organization? Here's why you need to align value, profit, and people propositions to create a sustainable blue ocean strategy: https://bit.ly/3rzrQGN #blueoceanstrategy #blueoceanshift #strategy #businessthinking
To view or add a comment, sign in
-
🚀 Discover Blue Ocean Strategy 2.0: Transform Your Business! 🌊 📈 Ready to create uncontested market space? #BusinessTheoryThursday Blue Ocean Strategy 2.0 emphasizes VALUE INNOVATION to make competition irrelevant. Here’s how... 1.) Value Innovation Achieve differentiation & low cost to attract new customers. 2.) Reconstruct Market Boundaries Challenge industry norms to uncover new opportunities. 3️.) Focus on the Big Picture Develop a strategic vision beyond traditional metrics. 4️.) Reach Beyond Existing Demand Target noncustomers to expand market reach. 5️.) Get the Strategic Sequence Right Ensure exceptional buyer utility & align pricing with customer value. 6️.) Overcome Organizational Hurdles Integrate execution into strategy & mobilize stakeholders. 7️.) Sustainability & Social Impact Incorporate ESG factors for long-term sustainability. Key Tools⚒️ Strategy Canvas Visual tool for mapping industry conditions & identifying innovation gaps. Four Actions Framework Eliminate, reduce, raise, and create factors to offer unique value. Buyer Utility Map Identify utility levers & address significant pain points. 💡 Benefits: - Market Creation - Differentiation & Cost Leadership - Sustainable Competitive Advantage = Long-Term Growth = Enhanced Customer Loyalty 🔧 Challenges: - Organizational Resistance - Risk of Imitation - Implementation Complexity - Market Validation 🌿 Embrace the future with Blue Ocean Strategy 2.0 by integrating modern business dynamics, technological advancements, and sustainability! 🔁 Repost this to spread the knowledge! ♻️ #Innovation #Strategy #Growth #Sustainability #BlueOcean #BusinessTheoryThursday #Leadership #ESG #MarketCreation
To view or add a comment, sign in
-
🌊 Navigating the Seas of Business Strategy: Red Ocean vs. Blue Ocean In the world of business, companies often find themselves navigating either Red Oceans or Blue Oceans. Understanding these two strategic approaches can significantly impact long-term success and growth. Here’s a quick dive into what they mean and why a Blue Ocean Strategy can be a game-changer. 🔴 Red Ocean Strategy Red Oceans represent industries saturated with competition. Think of it as a crowded marketplace where everyone fights over the same pool of customers. Companies in a Red Ocean compete for existing demand, often through price wars and incremental improvements. While it can yield short-term gains, the risk is high, and margins are often thin. 🔵 Blue Ocean Strategy Blue Oceans, on the other hand, are untapped markets with little or no competition. Here, companies seek to create new demand by offering unique value propositions that differentiate them from the existing market. A Blue Ocean Strategy focuses on innovation and finding creative ways to unlock non-customers and expand boundaries. 💡 Advantages of a Blue Ocean Strategy: 1. Less Competition: By venturing into uncharted waters, companies avoid the fierce competition of established markets. 2. Higher Profit Potential: Blue Oceans allow businesses to capture new demand and, as a result, achieve greater profitability without getting caught in price wars. 3. Differentiation as Key: Instead of competing on cost, Blue Ocean companies focus on differentiation, building products and services that resonate uniquely with customers. 4. Sustainable Growth: Blue Oceans encourage long-term growth by focusing on new areas, not just incremental improvement over competitors. Embracing a Blue Ocean Strategy requires creativity, customer insight, and a willingness to take risks—but the rewards are well worth the effort. It’s about creating rather than competing. So, the next time you find your company at a crossroads, ask yourself: are we staying in Red Oceans, or are we ready to sail into Blue Oceans? #BlueOceanStrategy #Innovation #BusinessGrowth #Strategy #MarketDifferentiation
To view or add a comment, sign in
-
Building Sustainable Organizations 🏢 🌍 Imagine a world where your organization thrives sustainably, balancing profit and purpose seamlessly. 🌍 🌟 Visualize your team, united by a common vision, driving growth and innovation every day. 🌟 🔧 Discover the secret to creating systems that ensure long-term success, even in unpredictable markets. 🔧 ⚙️ Picture your business as a well-oiled machine, where every part works harmoniously towards a greater goal. ⚙️ 🌱 Learn the art of sustainability, ensuring your business not only survives but flourishes for generations. 🌱 💪 Feel the pride of leading an organization that's both ethically sound and financially robust. 💪 🚀 Embrace strategies that foster a culture of continuous improvement and resilience. 🚀 🌏 Unlock the potential of your business to make a lasting positive impact on society and the environment. 🌏 📢 Share your thoughts and join the movement towards sustainable business practices by clicking the link in my bio! 🌟 #SustainableBusiness #GreenLeadership #EcoFriendly #BusinessGrowth #SustainableDevelopment #EthicalBusiness #CorporateResponsibility #FutureOfWork #Sustainability #OrganizationalSuccess
To view or add a comment, sign in
-
🌊 Embracing Blue Ocean Strategy: Charting New Growth Opportunities 🌟 In today's competitive landscape, standing out is essential. Blue Ocean Strategy offers a refreshing approach by focusing on creating uncontested market space rather than competing in existing markets. It encourages innovation and value creation, paving the way for sustainable growth and differentiation. Key principles include: 🔹 Value Innovation: Simultaneously reducing costs while increasing value for customers. 🔹 Focus on Non-Customers: Identifying and catering to new market segments. 🔹 Reconstructing Market Boundaries: Redefining industry norms to open up new opportunities. By embracing Blue Ocean Strategy, companies can break away from the competition and cultivate new demand. Let’s explore how we can apply these principles to foster innovation and drive business success! #BlueOceanStrategy #Innovation #BusinessGrowth #Strategy
To view or add a comment, sign in
-
👉3 pillars of future-focused decision making that drive real business and environmental results: Its one thing make reactive decisions based on current market conditions resulting in short term outcomes but at what cost? - Long-term vision - Craft a clear picture of your desired sustainable future. - Reverse engineering - Work backward from your vision to create actionable steps. - Adaptability - Remain flexible in your approach while staying true to your end goal. When done right, this strategy boosts innovation, attracts forward-thinking talent, and positions your business as a leader in sustainability. But it requires genuine commitment to long-term thinking at every level because you will face resistance. Ready to transform your decision-making process? Start by auditing your current practices against these 3 pillars. The businesses that master future-focused strategies today will lead their industries tomorrow. The future is bright if we do it right😊
To view or add a comment, sign in
-
💡 I Like Big Buts: 4 Questions to Ask of Your Strategy 💡 (We're talking buts with one 't' here...you know who you are 🍑) In today’s world of rapid change—driven by the low-carbon transition, new technologies, and shifting societal trends—business strategies face unprecedented complexity. So, how confident are you in your strategy's ability to handle the unexpected? In my latest video, I share 4 key “buts” to help you test the resilience of your strategy: 1️⃣ But If 2️⃣ If But 3️⃣ But For 4️⃣ The Big But 💬 Watch the video below and share your thoughts! Do you think about big buts too? Go on, see if you can comment without an innuendo... 🔗 Please subscribe to our YouTube channel for more concise strategy and sustainability insights and do your bit to help us spread the word. https://lnkd.in/eZNY5SqA #BusinessStrategy #Sustainability #Resilience #FutureProofing
To view or add a comment, sign in
-
💡 Questioning the Blue Ocean Strategy 💡 In the field of business strategy, the Blue Ocean Strategy has long been praised to be a game-changer, urging companies to seek uncontested market space ripe for innovation. But my question is: ⁉ Does it always have to be a Blue Ocean approach ⁉ 🌊 While the concept encourages businesses to explore uncharted waters and create new demand, it's not a one-size-fits-all solution. Sometimes, the market might not offer untapped opportunities or going head-to-head with competitors might be inevitable. 🔍 In such scenarios, perhaps it's time to reconsider. Embracing a Red Ocean Strategy—focusing on existing market spaces, refining existing products, and outperforming competitors—might be just as effective, if not more, in certain contexts. 🔄 It's crucial for businesses to assess their unique circumstances, market dynamics, and competitive landscape before diving into any strategy. Adaptability and agility are key. Whether it's blue, red, or even purple, what matters most is finding the right strategy that aligns with your goals and maximizes your potential for success. Have you found success sticking to a Blue Ocean approach, or have you thrived in the Red Ocean? Share your insights below! 👇 #BusinessStrategy #BlueOceanStrategy #RedOceanStrategy #MarketInsights
To view or add a comment, sign in
26,543 followers
Karllestone Capital/Business Model & Design Thinking /Strategy/Fintech/Growth/SPC Business Agility Coach/Change&Transformation/Adjunct Prof.Keio Univ. Entrepreneurship & Startup/ New York Univ. Marketing & New Ventures
3dAbsolutely