Blue ocean strategy

Blue Ocean Strategy&

Business modelvernieuwing

Yousri Mandour

Op het snijvlak van…

Analyse Creatie

Wie heeft het boek gelezen?Bent u actief in een rode oceaan?Jaws of Blue Lagoon?Als je mag kiezen: differentiatie of cost leadership?

Opwarmer

Kerngedachte Blue Ocean StrategyDoor waarde-innovatie te

realiseren, evolueren van een bloedige

rode oceaan…

naar nieuwe onontgonnenmarktgebieden: blauwe

oceanen!

Nieuwe vorm van strategievorming

Nieuw recept

Einde van Porter?

Hoe zit het met Ansoff?

Hoe de nieuwe markt aanboren?

Doorbreken van 2 conventionele denkkaders:

Focus op niet-klanten in plaats van bestaande klantenZoek naar overeenkomsten in plaats van verschillen tussen klanten

Focus op 3 soorten niet-klanten

‘soon-to-be’ noncustomers

‘refusing’ noncustomers

‘unexplored’ noncustomers

Differentiation or low cost Differentiation and low cost

Compete in existing market space Create uncontested market space

Segment existing customers Attract non-customers

Beat the competition Make the competition irrelevant

Blue Ocean StrategyRed Ocean Strategy

Competitive Advantage Value Innovation

Exploit existing demand Create and capture new demand

Steps in Blue Ocean Strategy

Analysis starting situation

Strategy canvas (as-is)

Creative process:

6 innovationpaths

Adaptproposition:

4actionsframework

Checklist Blue Ocean:

Strategy canvas (to-be)

What are difficulties when creating a strategy canvas?

Strategy canvas Southwest airlines

Steps in Blue Ocean Strategy

Analysis starting situation

Strategy canvas (as-is)

Creative process:

6 innovationpaths

Adaptproposition:

4actionsframework

Checklist Blue Ocean:

Strategy canvas (to-be)

6 innovatiepaden

Buyer, user, influencerTraditional customer groupExample: Novo Nordisk• Insulin producer• Doctor vs. patient

Herdefinieer kopersgroep

Kijk over marktsegmenten heen

Kijk breder in de waardeketen

Kiezen Dossieroverdracht?

Voor relatie Na relatie

Voor behandeling Na behandeling

SchuldgevoelAfspraak

makenParkeren

Kwaliteit assistent

wachten

Verdoofde mond 3 uur niet etenkostenverwerking

Steps in Blue Ocean Strategy

Analysis starting situation

Strategy canvas (as-is)

Creative process:

6 innovationpaths

Adaptproposition:

4actionsframework

Checklist Blue Ocean:

Strategy canvas (to-be)

Nieuw recept

Raise

Which factors should be raised well above the industry’s standard?

Eliminate

Which of the factors that the industry takes for granted should be eliminated?

Create

Which factors should be createdthat the industry has never offered?

Reduce

Which factors should be reduced well below the industry’s standard?

A New Value Curve

Pushing for a sharp drop in the industry’s cost structure

Pushing for a quantum leap in buyer value

4-actions framework

© ICSB Marketing en Strategie

Eliminate

Star performers

Animal shows

Aisle concession sales

Multiple show arenas

Raise

Unique venue

Reduce

Fun and humor

Thrill and danger

Create

Theme

Refined environment

Multiple productions

Artistic music and dance

Steps in Blue Ocean Strategy

Analysis starting situation

Strategy canvas (as-is)

Creative process:

6 innovationpaths

Adaptproposition:

4actionsframework

Checklist Blue Ocean:

Strategy canvas (to-be)

Strategy canvas of [yellow tail]

Value curve has focus

Value curve diverges from the other players

Clear strategic profile,compelling tagline:

“The speed of a plane at the price of a car”

Lakmoes-test van uw BOS strategie

Buyer utility

Is there exceptional buyer utility in your business idea?

What are the adoption hurdles in actualizing your business idea?

Are you addressing them up front?

Price

Is your price easily accessible to the mass of buyers?

Cost

Can you attain your cost target to profit at your strategic price?

A commercially viable Blue Ocean Strategy

YES

YES

YES

YES

No Rethink

No Rethink

No Rethink

No Rethink

Adoption

Get the Strategic Sequence right

Mutual funds supermarket SNS Fundcoach

Global search for asset management funds

Circle of world leader fund managers

Free mini-seminars

Eliminate

In-house inferior funds

Costs of buying and selling funds

Raise

Education on investing and stock trading in mini-seminars

Extensive research on private investment behaviour

Reduce

Only mutual funds, no individual stocks

Time span buying and selling

Create

Funds of exclusive asset management houses

Largest assortment of mutual funds in NL

“Nieuwe” manier van strategie bedrijvenAlle oude scholen:• Gevecht om taartpunt• Gevecht om taartgroei• Blue ocean: eigen unieke taart bakken

Nieuw aanbod voor niet klantenMeerwaarde voor nieuwe klanten én bedrijf: differentiatie én kostenleiderschapAan de hand van modellen, processen, spelregels

Blue Ocean Strategy – executive summary

Blue Ocean Strategy denken gaat over het definiëren van een waarde-innovatie in nieuwe markten voor nieuwe klanten. Een stimulerende nieuwe wereld van alternatief strategie denken. Maar ook moeilijk en risicovol. En het biedt geen antwoord voor het gevecht in de huidige business. Terwijl (in tijden van crisis) juist daar alle zorgen en aandacht liggen.

Hoe kunnen de slimme inzichten van de Blue Ocean Strategy denkwereld, helpen om opnieuw een slag te

winnen in het gevecht om de bestaande markt?

Blue Ocean Strategy – waar gaat dat over?

Internal & External Analysis

SWOT- and confrontation matrix

Vision & Mission

Creative solutions

Choose

Issues

Business Case

Execute

Strategy Canvas

Main goal & Willingness

6 innovation paths

Business Casestrategic rank

Execute

Alternative Canvas

Choose(3 characteristics, 4 actions => customer)

Creating a Strategy Canvas for McDonald’s

“Strategy Canvas” as a start

The Strategy Canvas is the cornerstone for Blue Ocean Strategy:• Provides insight in the need for change• Sharpens the key elements of the new strategy

Your assignment: Create an (as-is) Strategy Canvas for McDonald’s

Strategy Canvas assignment

1. Formulate field of competition – 3 to 4 competitors / alternatives

2. Formulate competitive factors from the customers’ point of view

3. Score each player on the defined competitive factors (based on case information and own estimation)

4. Write down hurdles that you encounter during the process of making the strategy canvas!

5. Each team prepares a presentation of max 10 minutes for tomorrow morning

Searching for blue oceans

Assignment

Searching for blue oceans for McDonald’sReconstruct market boundaries via 4 of the 6 pathsFoundation of the ‘to-be’ Strategy Canvas

6 conventional boundaries of competition

1. Look across alternative industries

Substitute versus alternativeWhich customers looks beyond the border?• Key factors• Art of elimination

Example: NetJets• Business class versus Companyjet• Focus on costs and demand

2. Look across the chain of buyers

Buyer, user, influencerTraditional customer groupExample: Novo Nordisk• Insulin producer• Doctor vs. patient

3. Look across complementary product and service offerings

Disclose added value of product context• What happens before, after and during the use

of your service?• Imperfections during the total product experience

Example: • Cinema a night out• Pain point: What to do with the kids?• Additional service: day nursery

© ICSB Marketing en Strategie

Going to the dentist

> Choosing > Dossier transfer

Before relationship After relationship

Before treatment After treatment

Feeling guilty Making

appointmentParking

Waiting

Numb mouthUnable to eat properlyPayment

4. Look across time (external trends)

Relevant trends McDonald’s:• Growing

awareness for healthy nutrition & living.

• Increasing number of elderly people in USA / Europe

Assignment in 4 teams

Team 1Alternative industries

Team 3Complementary product and service offerings

Team 1Alternative industries

Team 3Complementary product and service offerings

Team 2Chain of buyers

Team 4Time (external trends)

Team 2Chain of buyers

Team 4Time (external trends)

Explore possible paths and develop ideas for blue oceans

Contact

ICSB Marketing en Strategie

Barbizonlaan 762908 ME Capelle a/d IJssel

T: 010 452 86 02I: www.icsb.nlE: yousri.mandour@icsb.nl