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whitepaper: How does your company score on e-business strategy capability?

by Simon John, Director, Verum-i Limited

introduction
To be strategic in the "e" world, you have to have the structures and management capability to make it happen. Yes, you can employ specialist outside help to develop strategic thinking but management and leadership must be inbuilt in the organisation. This will ensure that strategic plans are put into action and managed in the appropriate manner. In my view, those organisations which have e-business strategy capability should show all of the following 10 qualities. How many boxes can you honestly check?

senior executive time
Conscious time and effort set aside by senior management, individually and as a group to consider strategic e-business options and implementation.

awareness and importance
Senior management in particular and all members of the organisation must understand and be aware of the importance of e-business strategy.

senior executive experience
Senior management should have a grasp of strategic development in the e-business environment. This involves an understanding of the drivers within the digital economy and the underlying effects of technology. Senior executives should not rely too much on the advice of consultants in this area as they don't have the expert insights into your organisation and industry. Their assumptions may be misfounded.

dynamic leadership
The CEO should be at the forefront of the e-business strategy charge, setting the agenda and being the final line of resolution. He or she should believe totally in the direction the organisation is going.

internal relationships
Senior management and managers should understand the relationship between e-business strategy and and the management and control of day-to-day operations within the organisation.

be creative
e-business strategy should be creative in its development and implementation. This creativity should filter down from the top to the lower ranks in the organisation. A lack of creativity can lead to lost opportunities and competitive advantage.

good diagnostic tools
Good development and diagnostic tools such as a balanced scorecard should be used to recognise strategic issues and assess the company's position against this strategy on a scheduled basis. These tools provide a more scientific approach to strategic development and ensure buy in, effective communication and feedback processes and a smooth transition of the strategy occurs.

environmental knowledge
Do you know your environment well enough - customers, competitors, partners. When developing successful e-business strategy it is essential to know these factors implicitly.

timing and speed
e-business strategy should be developed with good timing and speed in mind - should your corporation divest a division at a particular time, go to market with a new service or product in June or transform the business in 20 weeks? is your organisation able to do this?

willingness to change
A move to create a new strategy may open up issues that the organisation or senior executives do not want to deal with - total restructuring, job losses, customer realignment. Are you willing to face the fact and change? Furthermore, many strategies in the e-business environment may have to be changed at short notice, sometimes after many hours of work has been put in. Is your organisation willing to do this?

summary
To put in place an effective e-business strategy, I believe you require the above 10 key qualities. As business becomes more competitive not only strategy but the right e-business strategy is essential - the window of opportunity for development and implementation is small and getting smaller. How did you do? Do you think your main competitors would do any better?

Simon John
Director
Verum-i Limited
simon@verum-i.co.nz
http://www.verum-i.co.nz

 

Copyright © Simon John - Verum-i Limited 2002. Copying in whole or in part of this document is prohibited without the prior written permission of Verum-i Limited.