Your company has its own areas of competence, delivers its own set of services, has its own particular customers, and generates revenues.
So far, so good. But are you really working in a sustainably profitable way?
Any business model is only as good as its management approach. Our approach is value-oriented. It enables you as a company to identify and improve your value-generators and to systematically eliminate your value-destroyers. With the help of our “value loop” (“Wertschleife®”). In the recently published book, “Geschäftsmodelle richtig bewerten” (“Evaluating business models correctly”), co-author and managing partner Georgiy Michailov explains how you can identify and also implement your value-adding potentials in five steps.
1. The value positioning to be determined, company-specific and differentiated according to market.
2. The value proposition, stringently derived from the value positioning.
3. Value creation that effectively and efficiently secures delivery on the value proposition.
4. Value capture that is as innovative as it is profitable, and finally:
5. Value discipline, by which we mean the positive results of all management staff and instruments that actively manage value dimensions 1–4.
As you can see, our business model approach follows a continuous dynamic loop, beginning with value positioning and then systematically feeding back so that the value flow is as controlled as it is adaptive.
This is why we call our dynamic, systematic approach the “SMP value loop” (SMP-Wertkreislauf®).
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