What is the three-step method of enterprise reform?

The first stage: find out the driving force in the company's competitive environment.

To solve any problem, the first task is to define it correctly. The first stage of making a strategy is to find out the real reason of the problem that the company needs to solve, that is, the driving force-that is, the economic, demographic, technological or competitive factors existing in the company's competitive environment, which either pose a threat to the company or bring opportunities to the company.

When defining the driving force, the management team must take two steps. First, team members must put forward some assumptions through brainstorming; Secondly, the chart shows how the driving force actually works-this process is called mapping, so as to test the previous assumptions and deepen our understanding of them.

The second stage: formulate the company strategy according to the driving force.

The formation of enterprise strategy includes three steps: first, you need to brainstorm and put forward various ideas on the measures to be taken, and then put forward an action plan for each driving force; Secondly, you must draw these action plans into a matrix and feel whether they are harmonious or not; Finally, you should draw a chart to clearly explain the tasks that each functional department needs to undertake when implementing the company strategy.

Brainstorming strategy should first rank the driving forces according to their importance. The top management should start with the most important driving force and put forward various possible preventive or utilization measures for each driving force through brainstorming. They should be concrete and action-oriented.

Making a strategic matrix When using this method to formulate a company's strategy, it is necessary to avoid the contradiction between actions taken against one driving force and actions taken against another driving force. When drawing, executives should arrange the driving forces of each column in the matrix at the top in order of importance, and the main functions of the company are listed on the left of each row, and then fill in the strategic overview for each driving force in the corresponding box in the matrix diagram. Finally, managers can read along the columns of the matrix diagram to find out the overall strategic thinking of the company for each driving force. Through discussion and reflection, executives must also discuss and carefully examine the ideas in each box in order to promote the revision and improvement of measurement standards. In this evaluation process, the action plans of each line should be compared with each other to ensure coordination and solve any contradictions and conflicts.

A graphic analysis of the strategy of functional departments and a well-made strategic map will help managers get rid of the shackles and think deeply about what actions should be taken at the conceptual level, so as not to fall into the quagmire of discussing how to take action prematurely. The strategic map clearly and vividly shows the assumptions made by managers in a way that words and numbers can't. Because the company's strategy is generally implemented through various functional departments, Professor Christensen found that the most effective method is to draw the strategic map of each functional department first, which is the summary at the end of each line in the strategic matrix diagram.

The graphic analysis method of strategy is the same as that of driving force. First, draw a blank matrix on the flip chart, and then find out the two most important ways to implement the company strategy through them. These two methods determine the horizontal axis and vertical axis in the strategic diagram. Executives usually need to repeat it several times before they can draw a strategic map that reflects a deep understanding of the problem.

The third stage: make plans for the projects that implement the strategy.

The last stage of formulating company strategy through driving force is to make a concrete plan on how to use funds and manpower in the process of strategy implementation. Only when the management has made careful consideration to ensure that the resource allocation of various projects is consistent with the company's strategy can the company implement strategic changes.

Comprehensive project planning helps managers describe the company strategy as a series of new products, services and process development projects. If a management team really wants to implement the company's strategy, they must make financial and human preparations in advance in order to carry out a series of projects to complete each strategic action. The team should have a general understanding of the purpose of these projects, the scale of the projects, possible risks, and the sequence of project start and completion. When the team finally evaluates the feasibility of the strategic plan according to the actual situation, it must ensure that the implementation of key projects in the strategic plan is within the company's power.

The top managers of a company can actively cultivate their excellent skills in this field through strategic planning again and again. This requires that the management team must personally participate in the formulation of the company strategy. It must be an iterative process to determine the driving force and the company strategy of driving force and re-evaluate it regularly, and it cannot be perfunctory. If the company regards these tasks as an integral part of the annual plan, the company's managers will become excellent strategic thinkers.