1

Copyright 2013, Giraffe LLC .

The Strategy Tree:
Planning for Growth
With
5 Fundamental Elements
2013 ISSA/Interclean North America
So whats a Strategy Tree

?
And why do you want one?
2
The Strategy Tree
Audiences
Objectives
Promise
Projects
Imperatives
(Initiatives)
Copyright 2013Giraffe LLC
2
4
To make your target audiences*
want more of what you offer.
And this is the main reason
you want one:
(*Target audiences are customers, clients, patients, students, donors, volunteers,
interest groups, influencers, stakeholders, etc.)
5
Customer enthusiasm
Big margins!
Customer loyalty
Competitive inimitability
Brand insulation (customer forgiveness)
A bigger customer permission space
More customer value capture
And here are some more reasons.
6
Some great strategies.
* See Can You SayWhatYour StrategyIs?byDavid Collis and Michael Rukstad,
Harvard Business Review, April 2008.
Low fares. No hidden fees.
Save Money. Live Better.
Tastes Great. Less Filling.
Absolutely, positively overnight.
Expect More. Pay Less.
Ultimate Driving Machine.
3
7
No one knowing why you need a strategy
A strategic plan that sits on the shelf
Everyone thinking strategy is some black box
No one knowing what to do with your SWOT
Cynicism about strategic planning
Lack of alignment and commitment
And heres what you eliminate
when you have one
So how do you put one together?
8
9
To make your target audiences*
want more of what you offer.
You Start Here: With the Goal of Strategy
(*Target audiences are customers, clients, patients, students, donors, volunteers,
interest groups, influencers, stakeholders, etc.)
4
Then You Go Here: The Strategic Growth Framework
10
Strategy
Development
Strategy
Implementation
Strategy
Execution
Develop a strategy
and strategic plan
Build the competencies,
processes and assets called for
by the strategic plan
Direct, manage and run the
newbusiness model; watch for
whats next
We are here
11
Then You Put the 5 Elements in Place
Promise
Audiences
Objectives
Projects
Imperatives
1. Strategy Begins with Target Audiences
Whose behavior do you want to influence?
Whose perceptions do you want to change?
Whom do you want to want more of what you offer?
Who will generate your revenue?
These are targets with whom you will measure success
and hold yourself accountable.
12
5
Identify Customers
Potential Target Audiences
Selected Audiences
2. Objectives Define How You Will
Measure Success
What do you want to accomplish with your target
customers?
By when will you accomplish it?
No more than three objectives.
Accomplished in three years.
Improvements in internal performance are not customer
objectives (e.g., reducing costs).
14
Set Objectives
Nominations for Objectives
By the end of three years, we will achieve the following
15
6
3. The Promise Is the Commitment
You Make to Your Target Audiences
25 words or less --- one breath.
Its unique and hard for competitors to imitate.
It makes a commitment upon which your customers can
depend.
This is the essence of what you do AND what you will
NOT do.
16
17
It is also the Handle on the Strategy
* See Can You SayWhatYour StrategyIs?byDavid Collis and Michael Rukstad,
Harvard Business Review, April 2008.
Low fares. No hidden fees.
Save Money. Live Better.
Tastes Great. Less Filling.
Absolutely, positively overnight.
Expect More. Pay Less.
Ultimate Driving Machine.
Promises From Our Clients
18
Keep a guy cool and sexy
from the first thing he puts on
to the last thing he takes off
Make everyday life possible
for individuals with
profound disabilities
Blue = Benefit Red = Differentiators
Help troubled kids and
kids in trouble lead
happier more successful lives
regardless of their ability to pay
The dental office
where
everybody knows
your name
Green = Scope
Build Partnerships
that Produce
Abundant, Healthy,
Homegrown Seafood
Build More Profitable
Businesses and Great Cities
Through
Practical Business Ethics
7
Drives Revenue
Write a Promise
Passionate About Best At
Future Demand
Write a Promise
Differentiator 1 Differentiator 2 Differentiator 3
Scope
Benefit
Write a Promise
21
8
4. Projects include the tactics that
deliver the promise
Identify the major actions you will take.
Organize them into 15 20 projects (depending upon
the size of your organization).
Specify an objective for each and every project.
Each project is described by the 5 to 10 steps with which
you will complete the project.
22
Year 1:Tactics
Results
Year 2: Tactics
Results
Year 3: Tactics
Results
3-Year Execution Plans Strategic Initiative:
Project Objective
23
5. Imperatives indicate what fixes are needed
for accomplishing your objectives
Examples of fixes are
Developanewaccountingsystem
Achievea5%operatingmargin
Reorganizingthecompany
InstallinganewITsystem
TrainingemployeesonthenewITsystem
One set of projects must address the imperatives
24
9
Define Imperatives
Nominations for Operating Objectives
Operating objectives for achieving the objectives
25
26
Our Definition of Strategy
Astrategyisanalignmentandintegrationof
Customers
Objectives
Apromise
Projects
Imperatives
forthepurposeofincreasingcustomerdependency.
The Strategy Tree
Audiences
Objectives
Promise
Projects
Imperatives
(Initiatives)
Copyright 2013Giraffe LLC
10