Thinking of strategy & concepts as forms of investment

Carefully thought-out goals and strategies are built to last and can even provide security when times are tough.

We’re convinced that it is important to be just as demanding of concepts and strategic processes as we are of investment projects, if not more so. It is vital that we think carefully about how these concepts and processes are prepared and developed, the quality of the information and how easy they are to assess (qualify).

Why? Because strategic decisions, marketing concepts and the like not only often have a greater financial impact and greater economic consequences than investments, but the wrong decisions are also considerably harder to put right – e.g. incorrect market positioning and bad decisions regarding pricing and products.

Improving the quality of information about the market situation: the end of “arm chair consulting”

There is huge room for improvement when it comes to the information about customers, customer value and markets that is used in strategic projects. Even when renowned consultants are involved in strategy projects, standard reports about markets and fragmentary customer statements are still often deemed satisfactory. Many of these projects are dominated by an exclusively internal viewpoint and the ultimate “strategic miracle cure”. In all truth, the catchy buzzwords and visionary images that frequently dominate here have no real bearing on the customers or the actual market situation, and this in turn reduces the company’s credibility. Our irreverent term for this approach is “arm chair consulting”. This really is a shame, because more inspiring knowledge about customers and individual markets is actually out there for the taking.