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Strategy: Creating and Sustaining – Michael Porter (página 2)




Enviado por Esteban Delosrios



Partes: 1, 2

This presentation draws on ideas from
Professor Porter"s books and articles, in particular,
Competitive Strategy (The Free Press, 1980);
Competitive Advantage (The Free Press, 1985); "What is
Strategy?" (Harvard Business Review, Nov/Dec 1996); and
On Competition (Harvard Business Review, 2008). No part
of this publication may be reproduced, stored in a retrieval
system, or transmitted in any form or by any
means—electronic, mechanical, photocopying, recording, or
otherwise—without the permission of Michael E. Porter.
Additional information

may be found at the website of the
Institute for Strategy and Competitiveness, www.isc.hbs.edu.

2. The Role of Business in
Society

• Only business can create
prosperity

• Healthy businesses need a healthy
community
BUT

• There is a growing awareness
of major societal challenges

• Companies are increasingly perceived
to be prospering at the expense of the broader
community

• Business increasingly is seen as
a major cause of social, environmental, and
economic problems

• Government and civil society often
attempt to address societal issues at the expense of
business

?

• Despite growing corporate
citizenship activities, the legitimacy of

business has fallen

3. The Role of a Company in Its
Communities (3,4,5)

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Philanthropy ? Corporate Social
Responsibility (CSR) ? Creating Shared Value (CSV)

Philanthropy

• Donations to worthy social
causes

Corporate Social
Responsibility

• Good corporate citizenship and
compliance with community nstandards

• Sustainability

Creating Shared Value

• Integrating societal improvement
into economic value creation itself

6. The Concept of Shared Value
(6,7)

Shared Value: Corporate policies and
practices that enhance competitiveness of the company while
simultaneously advancing social and economic conditions in the
communities in which it operates

• Create economic value by
creating societal value

  • What is good for the community is good
    for business

• All profit is not equal.
Profit involving shared value enables society to advance and
companies to grow faster

?

• Concern with societal issues
will be a defining characteristic of the post-crisis
era

• Incorporating societal issues into
strategy and operations is the next major transformation
in management thinking

• Shared value represents the next
evolution of capitalism

8. Moving to Shared Value

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CSR

Values: "doing good," good
citizenship,

philanthropy, and sustainability

Discretionary

Separate from profit
maximization

• Agenda externally
determined

• Impact is limited by the
corporate footprint and CSR budget

Example: Fair trade purchasing

CSV

Value: economic and societal
benefits relative to cost

• Integral to
competing

Essential to profit
maximization

• Agenda is business
specific

• Mobilizes the entire company
budget

Example: Transforming procurement to
increase quality and yield

* In both cases, compliance with
laws and ethical standards and reducing harm for corporate
activities are assumed

9. Business and Society: Why the
Disconnect?

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Company Profitability and Growth ?
Social and

Economic Development

• Companies adopted a narrow
model
of economic value creation

? Meeting conventional needs of
conventional customers

? Driving revenue through
acquisitions instead of new business creation

? Profit improvement through downsizing,
outsourcing, relocating
, and globalizing

? Emphasis on capital structure
instead of real value creation

? Societal issues treated as outside
the scope of business

?

• Huge societal needs go
unmet

Growth and innovation
suffer

10. Societal Needs and Economic Value
Creation

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Company Productivity

  • Environment impact

  • Supplier access and
    viability

  • Employee skills

  • Gender and racial
    equity

  • Worker safety

  • Employee health

  • Water use

  • Energy use

Social deficits create
economic cost

External conditions shape
internal company productivity

• Social needs represent the
largest market opportunities

• There is a growing congruence
between economic value creation and societal
objectives

11. Levels of Shared
Value

• Reconceiving customer needs,
products, and markets

Redefining productivity in
the value chain

– How the organization conducts its
business

• Enabling local cluster
development

12. Reconceiving Products and
Markets

• Design products and services to
address societal needs

– E.g., environmental impact, safety,
health, education, nutrition, living with disability, housing,
financial security

• Open new markets by serving
unmet needs in underserved communities

– Often requires redesigned products
or different distribution methods

• Businesses have the potential to be
more effective than governments and NGOs in creating and
marketing solutions to community problems

?

• New needs and new markets open up
opportunities to differentiate, innovate, and
grow

• A new generation of social
entrepreneurs
is capturing these opportunities, often faster
than mainstream businesses

13. Creating Shared Value in
Products

Dow Chemical Insect
Control

The SpinetoramTM Family of insect control
products are derived from a biological organism that
provides control of a broad spectrum of insect pests in a variety
of crops

• Natural degradation through UV light
and soil microbes

• Low solubility in water

• Favorable toxological
profile

• Carries lowest human hazard
label

• Organic version available

?

• Ability to be applied at lower
rates
than conventional insecticides

Low impact on beneficial
insects

Double-digit growth since
launch in 2010

14. Creating Shared Value in
Products

Intuit SnapTax

SnapTax provides low-income
consumers with access to tax preparation services over the phone
and enables rapid refunds

15 minutes for $15,
electronic filing included

• Data extracted from mobile phone
photos
of W-2s via optical character recognition

Debit card option for direct
deposit of refunds for unbanked households

Simple IRA option to enable
use of refund for retirement savings

15. Creating Shared Value in Products
and Markets

Novo Nordisk in China

Diabetes training programs together
with governments, NGOs, and opinion leaders to promote the latest
thinking among physicians on diabetes prevention,
screening,

treatment, and patient
communication

• Targeting smaller cities

• 220,000 sessions to date

"Diabetes bus" program to raise
patient awareness and provide on-site advice, NovoCare telephone
hotline allows patients to reach specialists with questions.
NovoCare Club provides ongoing updates to members.

• Patient education focuses on
prevention, lifestyle changes, and effective use of insulin
products

?

• 280,000 patients educated to
date

• Since 1997, this program is
estimated to have reduced healthcare costs in China by
$700 million through reducing diabetes related
complications

• Novo Nordisk sales have
increased
by an estimated $114 million

16. Discovering Product and Market
Opportunities to Create Shared Value

• Redefine the business around
unsolved customer problems or concerns, not traditional
product definitions

– Or the customer"s customer

• Think in terms of improving
lives
, not just meeting consumer needs

• Identify customer groups that have
been poorly served or overlooked by the industry"s
products

• Start with no preconceived
constraints
about product attributes, channel configuration,
or the economic model of the business

(e.g., small loans are
unprofitable)

17. Redefining Productivity in the Value
Chain

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Margin

Firm Infrastructure – (e.g. Financing,
Planning, Investor Relations)

Procurement – (e.g. Components,
Machinery, Advertising, Services)

Technology Development – (e.g. Product
Design, Testing, Process Design, Material Research, Market
Research)

Human Resource Management – (e.g.
Recruiting, Training, Compensation System

?

Inbound Logistics – (e.g. Incoming
Material Storage, Data Collection, Service, Customer
Access)

Operations – (e.g. Assembly, Component
Fabrication, Branch Operations)

Outbound Logistics – (e.g. Order
Processing, Warehousing, Report Preparation)

Marketing & Sales – (e.g. Sales
Force, Promotion, Advertising, Proposal Writing,
Website)

After-Sales Service – (e.g.
Installation, Customer Support, Complaint Resolution,
Repair

• Purchasing

• Resource use

• Energy use

• Logistical efficiency

• Employee productivity

• Location of facilities and the
supply chain

18. Identifying Opportunities for Shared
Value in Mining

The Value Chain

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Margin

  • 1. Firm Infrastructure – (e.g.
    Financing, Planning, Investor Relations)

Enhancing partnerships with
colleges and universities

  • 2. Human Resource
    Management

Recruiting from disadvantaged
surrounding communities

Diversity in
workforce

Employee education and job
training

Onsite housing for
miners

Employee health
investments

Compensation and benefits to
support living wage

Staff retraining and
rehabilitation after mine closes

  • 3. Technology
    Development

Enhancing partnerships with
colleges and universities

Procurement

Value adding purchasing practices
with suppliers

Exploration

Employment in
disadvantagedregions

Mine acquisition &
Development

Mine Operations

Processing

Energy and water
use

Limiting emissions and
waste

Biodiversity and low ecological
impacts

Minimizing effects of hazardous
materials

Recover additional materials from
"exhausted" mines

Worker safety
practices

Outbound Logistics

Minimizing logistical
impacts

Sales & and marketing

After-Sales customer
Support

19. Cluster development in the
company"s

Major Locations

• A strong local cluster improves
company growth and productivity

– Local suppliers

– Supporting institutions and
infrastructure

– Related businesses

Companies, working
collaboratively, can catalyze major improvements in

the local cluster and business
environment

• Local cluster development
strengthens the link between a company"s

success and community success

20. Local Cluster
Development

Cut Flowers in Kenya

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21. Local Cluster
Development

Anglo-American

• Anglo American has established Anglo
Zimele, a South African enterprise investment fund, for
mining-related small and medium-sized businesses in South
Africa

• As of 2010, the fund had invested in
509 businesses, which collectively employed 9,514 people
with annual revenues of $215 million Community value

10,000 new jobs
created

• Significant increase in
income for SME employees and owners

Spillover effects of these
new businesses on their communities Economic value

• Anglo-American has created reliable,
high-quality local suppliers

• Local suppliers reduce transaction
costs and improve service levels and
quality

22. Integrating Shared Value
Approaches

Nespresso

• Implementing shared value in
sourcing premium coffees from farmers in Costa Rica,
Guatemala, Colombia, and Ghana

• Upgrading the cluster

– Supporting local cluster
development
in coffee growing regions, including
establishment of cluster institutions

Partnering with
stakeholders

Shared Value

Farmers

• Better yields

• Better prices

• Better processing

Community

• Environmental
sustainability

• Economic development

Nespresso

• Stable supply

• Better quality

• Reinforces strategic
positioning

23. Creating Shared Value: Deciding
Where to Concentrate

Nestlé

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Nutrition

– Water

– Rural Development

?

• Opportunities to create shared value
are inevitably tied closely to a company"s particular
businesses

24. Measuring Shared
Value

Economic Value

• Profitability

• Revenue

• ROI

• Industry growth

Societal Value

• Specific societal benefits
achieved

?

• Shared value measurement
links economic and social improvement metrics

25. Creating Shared Value

Implications for Government and Civil
Society

• Government and NGOs often assume
that trade-offs between economic and social benefits are
inevitable

?

• Government and NGOs will be most
effective if they enable shared value by
business

• NGOs bring unique expertise,
implementation capacity, and relationships of trust
with communities

A New Type of NGO

TechnoServe
RootCapital

– Promotes the development of agricultural
clusters in more than 30 countries

– Provides financing to more than 400,000
farmers and businesses

Bill & Melinda Gates
Foundation

– Forms partnerships with global
corporations to foster agricultural clusters

• Governments should make platform
investments
in public assets and infrastructure to enable
shared value by business

• Government should regulate in a way
that reinforces and rewards shared value in business,
rather than working against it

26. Adding a Social Dimension to
Strategy

• Shared value opens up new
needs, new markets, and new value chain
configurations

• This creates new strategic
positions
, and new opportunities for extending existing
positioning

?

• Companies should incorporate a
social dimension to their value proposition

• Shared value can reinforce
and even anchor a company"s strategy

• The social dimension of strategy can
be more sustainable vs. competitors than conventional cost
and quality advantages

27. Shared Value and Strategic
Positioning

Intrepid Travel

Value Proposition

• Sustainable small-group
travel

• Unique real-life experiences
involving significant interaction with the local
communities

• Cost-conscious, adventurous,
socially aware travelers looking for authentic
experiences

Mission

"Intrepid"s core purpose is to enrich
people"s lives by

creating unique, interactive travel
experiences. We provide

fun, affordable and sustainable travel that
is profitable for

Intrepid and beneficial to local
communities."

Distinctive Activities

• Smaller groups allows for frequent
use of local public transport, supporting local infrastructure
and reducing environmental impact

• Smaller groups allow stays at local
hotels and homestay opportunities as well as dining at local
restaurants

• Some trips involve community
volunteer projects where travellers help build local
infrastructure

• Significant training of local tour
guides and other local businesses such as hotels to improve
quality and efficiency

• Projects such as Kilimanjaro Porters
Assistance Project outfits 300+ porters per month with climbing
gear and has trained 10,000 porters in first aid, conversational
English, money management, and HIV/AIDS awareness since
2004

• Cooperation with Victoria University
to study the impact of small group travel on sensitive rural
communities

?

• Successful strategies in the future
will embody a significant shared value
dimension

28. The Purpose of
Business

• There is an opportunity to
transform thinking and practice about the role of the
corporation in society

• Shared value gives rise to far
broader approaches
to economic value creation

• Shared value thinking will drive the
next wave of innovation, productivity enhancement,
and economic growth

• Businesses acting as
businesses
, not as charitable givers, are arguably the most
powerful force for addressing many of the pressing issues facing
our society

• A transformation of business
practice around shared value will give purpose to the
corporation and represents our best chance to legitimize
business again

 

 

Autor:

Esteban de los
Ríos

 

Partes: 1, 2
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