DEVELOPING STRATEGIC CAPABILITIES
As the global economy continues to recover from the most challenging economic period in decades, business execution is consistently mentioned by executives as a top priority. Biopharmaceutical and healthcare companies have endured tremendous change, undertaking dramatic cost cutting initiatives designed to right-size industry players to a new, highly competitive market environment. Now leaders are focused on improving their organizations’ ability to execute. As they shift attention to growth and achieving their companies’ long-term innovation and customer-focused strategies, biopharmaceutical executives are looking for frameworks to evaluate and address gaps in their organizations’ strategic capabilities – the unique set of people, processes and technology that creates competitive advantage in the marketplace.
BRG's strategic capability offering provides organizations with a comprehensive, holistic and proven framework for identifying the people, process and technology enablers of customer and financial imperatives. By facilitating a robust dialogue, supported by analysis and insights, BRG helps leaders build consensus on how their strategic capabilities will drive results and create value. The framework is also designed to support existing strategic HR programs, such as workforce planning, organizational and leadership alignment, and talent management.
We work with industry leaders in healthcare, technology, consumer, finance and other fast-changing, innovative industries.
MANAGING BRANDS, FRANCHISES AND STRATEGIC BUSINESS UNITS (SBUS)
The way biopharmaceutical companies manage their businesses has evolved dramatically. In the past, the focus was on products. Today, the emphasis is on building brands as a means to achieve greater customer loyalty and market share in an increasingly competitive marketplace. As biopharmaceutical companies continue to adapt to intense cost cutting and downward pressure on top-line growth and earnings, they are now embracing new organizational structures – therapeutic market-based franchises and customer-focused SBUs – that enable increased transparency and alignment, and the optimization of resources across portfolios.
BRG's franchise and SBU management offering helps companies develop a planning and management system based on organizing portfolios of brands into distinct franchises and integrating cross-functional resources into SBUs, each with a unique set of markets, customers and strategic capabilities. For each unit, the management system consists of a comprehensive set of strategic objectives, measures and targets, and a set of initiatives agreed upon by the leadership team. To ensure ongoing alignment and accountability, each unit adopts a consistent governance process to continuously monitor progress and gather feedback on execution and trends.
CREATING THE OFFICE OF STRATEGY MANAGEMENT (OSM)
Most companies have departments to manage finances, human resources, marketing, information technology, strategic planning and quality. But who manages the execution of strategy? Too often strategy execution is managed department by department. While a siloed approach to execution may have worked well in the past, it is now an impediment to achieving results. In a rapidly changing and highly competitive global business environment, companies must have the ability to manage their strategies dynamically. They must have a clear strategic focus that can be simply communicated to the organization and be adept at faster decision-making based on timely, high-quality information. They must also have the agility to quickly align their organizations when they make mid-course corrections or alter their strategic direction. Recognizing this imperative, leading-edge companies are creating a new function – the Office of Strategy Management (OSM). The intent of the OSM is to accelerate results: to guide the development and communication of strategic direction; embed strategy execution in key management processes; and coordinate plans and activities across business units, functions and individual goal setting.
BRG helps organizations make business execution a sustainable, core competency through the establishment of an Office of Strategy Management. BRG partners with clients to design, plan and implement the OSM, including the OSM's mission, key management processes, roles and responsibilities, and the annual calendar of strategy governance activities. Until the OSM is fully up and running, BRG assists with on-boarding and coaching newly appointed OSM employees, establishing or enhancing core strategy management processes, and preparing for and facilitating strategy review meetings.
OPTIMIZING THE VALUE OF STRATEGIC PARTNERSHIPS
Partnering deals and joint ventures among biopharmaceutical and healthcare players are no longer simply opportunistic but are recognized as a strategic imperative. The ever-increasing pressure to hold down healthcare costs is driving companies to adopt strategic partnerships designed to reduce R&D and infrastructure costs, spread risks, and expand access to new technology platforms, assets, and markets. However, getting the most out of these partnerships requires more than a carefully negotiated contract. Achieving success in this increasingly virtualized world also requires unprecedented alignment, coordination, communication, and trust among partners.
BRG works with senior management from both sides of the partnership to establish shared goals, performance measurements, and targets; improve collaboration and communication; and effectively govern the partnership. BRG’s proven strategy management framework and governing process as well as experience and ability in neutral facilitation accelerate the achievement of the full potential of strategic partnerships.
INCREASING RETURN ON BUSINESS ANALYTICS AND BI TECHNOLOGY
Biopharmaceutical and healthcare companies are investing heavily in business analytics and business intelligence (BI) technology. Organizations have access to an ever expanding supply of data, but find themselves struggling to leverage this capability to improve insight and decision making. This is evident from observing organizations still continuing to produce hundreds of reports that address yesterday’s demands but fail to provide the information needed to support new organizational directions.
Effective business analytics and BI technology must be used in close alignment with the rapidly changing business goals and information needs of the organization. BRG helps organizations effectively use data to quickly respond to changing opportunities and threats and improve business execution. By using proven business execution tools such as strategy mapping, value driver modeling, organizational alignment, and performance reporting, BRG dramatically improves the prioritization, adoption, and return on investment in business analytics and BI technology.
IMPLEMENTING PERFORMANCE MEASURES AND MONITORING RESULTS
For most executives, putting their organization on the right road to success is a challenging but straightforward task that starts with creating a clear statement of the endgame for the organization. However, the less obvious task is deciding how best to sustain momentum toward the target, especially when organizations lack consensus on what success looks like and the ability to evaluate progress along the way. As the saying goes “you can’t manage what you don’t measure.” Successful life science leaders understand this point and not only invest the time and resources to define strategic goals, but also to select, track and refine a balanced portfolio of performance measures for evaluating progress against shared goals.
BRG works with management teams to select and implement performance measures that are used to inform progress against strategic goals and enable rich, data-driven discussion of key issues and more timely intervention and support, as required. BRG's measurement development approach consists of individual and group facilitation sessions to agree on strategic goals and key drivers, identify performance measures, define performance targets, analyze and graph data, and prepare and conduct the performance review meetings.
ALIGNING INITIATIVES AND TRACKING EXECUTION AND BENEFITS
In today’s highly competitive, cost-sensitive environment, biopharmaceutical and healthcare companies are rewarded for optimizing resources that will reduce costs, drive innovation, and sustain revenue growth. Yet, as important as this process is, many executives view the allocation of resources as a politically charged exercise that is conducted in silos, lacks transparency, and is inconsistent in follow up and accountability. Often, the sole purpose of resource allocation appears to be sharing the pain of cutting costs or redistributing power rather than providing a strategic process for improving organizational focus, alignment, and speed of decision-making in optimizing scarce resources.
BRG helps companies recognize and realize the increased organizational and financial benefits that are possible from having a robust initiative management process. BRG provides a framework for consistent evaluation of funding requests for strategic and operational initiatives or projects. The goal is to minimize the politics behind the allocation of resources by establishing a formal, objective and repeatable process for identifying, selecting, evaluating and tracking the benefits derived from initiatives. Once in place, resource allocation becomes a valuable driver of business execution.
COMPANIES WE HAVE WORKED WITH:
Managing Brands, Franchises and Strategic Business Units Read more …
Creating the Office of Strategy Management Read more …
Optimizing the Value of Strategic Partnerships Read more …
Developing Strategic Capabilities Read more …
Implementing Performance Measures and Monitoring Results Read more …
Aligning Initiatives and Tracking Execution and Benefits Read more …
Increasing Return on Business Analytics and BI Technology Read more …
* Palladium Balanced Scorecard Hall of Fame for Strategy Execution winner for
outstanding results using the Kaplan-Norton methodology