dramatic story canvas for apple: how steve jobs saved apple

17
DRAMATIC STORY CANVAS: Storyboard Template Holis&cally Document, Present, and Manage Organiza&onal Success (Failure) in Business and Life #4ROD. Dr. Rod King. [email protected] & hAp://businessmodels.ning.com & hAp://twiAer.com/RodKuhnKing Problem Pain: (Un)Known RED OCEAN BLUE OCEAN SoluOon Gain: (Un)Known Business Model Business Model Before AFer Adap&ve Storyboard Job To Get Done/Experience (Journey: Strategy/Execu=on)

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This presentation contains the template of a Dramatic Story Canvas for formulating and executing "Good Strategy" as outlined in Richard Rumelt's book, "Good Strategy. Bad Strategy." The presented template for the Dramatic Story Canvas contains the "Good Strategy" Canvas which contains the 4 topics that Rumelt considers necessary for a Good Strategy. The Dramatic Story Canvas is applied to illustrate the story of how Steve Jobs saved Apple. http://goo.gl/rbNTN9

TRANSCRIPT

Page 1: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS:  Storyboard  Template    

Holis&cally  Document,  Present,  and  Manage  Organiza&onal  Success  (Failure)  in  Business  and  Life  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

   

     

Before    

AFer    

Adap&ve  Storyboard  

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 2: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE   DIAGNOSIS   POLICY    

ACTION  PLAN  (TO  DO)        

Before    

AFer    

“Good  Strategy”  Canvas  

Strategic    

Prob

lem  Solving  

Targets  (Metrics)         Ex

ecuO

on  

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 3: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE   DIAGNOSIS   POLICY    

ACTION  PLAN  (TO  DO)        

Before    

AFer    

“Good  Strategy”  Canvas  

Strategic    

Prob

lem  Solving  

Targets  (Metrics)         Ex

ecuO

on  

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 4: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE:  Short/Medium/Long-­‐term  (Problems:  Constraints/Obstacles)  

DIAGNOSIS:  HolisOc  Business  Model  (Causes/Insights:  Ext./Int.  Resources)  

POLICY  (Solu=ons:  Goals/Objec=ves/Strategy)  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  (DML)  Cycle        

Before    

AFer    

“Good  Strategy”  Canvas  

Strategic    

Prob

lem  Solving  

Targets  (Metrics)         Ex

ecuO

on  

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 5: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Holis&cally  Document,  Present,  and  Manage  Organiza&onal  Success  (Failure)  in  Business  and  Life  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE:  Short/Medium/Long-­‐term  (Problems:  Constraints/Obstacles)  

DIAGNOSIS:  HolisOc  Business  Model  (Causes/Insights:  Ext./Int.  Resources)  

POLICY  (Solu=ons:  Goals/Objec=ves/Strategy)  

q C:  Collect  info  (on  business  model)  

q D:  Define  customer  challenge,  pain,  unacceptable  trade-­‐off,  conflict,  or  Minimum  Viable  Problem  (MVP)  

q M:  Measure  challenge,  pain,        trade-­‐off,  conflict,  or  problem  

q A:  Analyze,  qualita=vely  and  quan=ta=vely,  core  (80/20)  causes  or  simulate  business  model  drivers  especially  at  level  of  system,  environment,  and  supersystem;              use  analogies,  if  necessary  

 

q G:  Generate  disrup=ve  ideas  and  select  best  alterna=ve  

         (MAXIMIZE  VALUE  OR  HAPPINESS:              Minimize  Cost,  Pain,  and/or  Waste;              Minimize  Weaknesses  and  Threats              Maximize  Revenue,  Delight,  Benefit              and/or  Differen&a&on;              Maximize  Strengths  &  Opportuni.)  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  (DML)  Cycle      

Before    

AFer    

“Good  Strategy”  Canvas:  Process  

Strategic    

Prob

lem  Solving  

ExecuO

on  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 6: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Holis&cally  Document,  Present,  and  Manage  Organiza&onal  Success  (Failure)  in  Business  and  Life  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE:  Short/Medium/Long-­‐term  (Problems:  Constraints/Obstacles)  

DIAGNOSIS:  HolisOc  Business  Model  (Causes/Insights:  Ext./Int.  Resources)  

POLICY  (Solu=ons:  Goals/Objec=ves/Strategy)  

q C:  Collect  info  (on  business  model)  

q D:  Define  customer  challenge,  pain,  unacceptable  trade-­‐off,  conflict,  or  Minimum  Viable  Problem  (MVP)  

q M:  Measure  challenge,  pain,        trade-­‐off,  conflict,  or  problem  

q A:  Analyze,  qualita=vely  and  quan=ta=vely,  core  (80/20)  causes  or  simulate  business  model  drivers  especially  at  level  of  system,  environment,  and  supersystem;              use  analogies,  if  necessary  

   

q G:  Generate  disrup=ve  ideas  and  select  best  alterna=ve  

         (MAXIMIZE  VALUE  OR  HAPPINESS:              Minimize  Cost,  Pain,  and/or  Waste;              Minimize  Weaknesses  and  Threats              Maximize  Revenue,  Delight,  Benefit              and/or  Differen&a&on;              Maximize  Strengths  &  Opportuni.)  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  (DML)  Cycle  q  E:  Eliminate  –    q  R:  Reduce  –    q  I:  Increase  –    q  C:  Create  –    

Before    

AFer    

“Good  Strategy”  Canvas:  Process  

Strategic    

Prob

lem  Solving  

ExecuO

on  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 7: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Holis&cally  Document,  Present,  and  Manage  Organiza&onal  Success  (Failure)  in  Business  and  Life  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE:  Short/Medium/Long-­‐term  (Problems:  Constraints/Obstacles)  

DIAGNOSIS:  HolisOc  Business  Model  (Causes/Insights:  Ext./Int.  Resources)  

POLICY  (Solu=ons:  Goals/Objec=ves/Strategy)  

q C:  Collect  info  (on  business  model)  

q D:  Define  customer  challenge,  pain,  unacceptable  trade-­‐off,  conflict,  or  Minimum  Viable  Problem  (MVP)  

 q M:  Measure  challenge,  pain,        

trade-­‐off,  conflict,  or  problem  

q A:  Analyze,  qualita=vely  and  quan=ta=vely,  core  (80/20)  causes  or  simulate  business  model  drivers  especially  at  level  of  system,  environment,  and  supersystem;              use  analogies,  if  necessary  

   

q G:  Generate  disrup=ve  ideas  and  select  best  alterna=ve  

         (MAXIMIZE  VALUE  OR  HAPPINESS:              Minimize  Cost,  Pain,  and/or  Waste;              Minimize  Weaknesses  and  Threats              Maximize  Revenue,  Delight,  Benefit              and/or  Differen&a&on;              Maximize  Strengths  &  Opportuni.)  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  (DML)  Cycle  q  E:  Eliminate  –  Waste  (Defects)  q  R:  Reduce  –  Cost  (Pain)  q  I:  Increase  –  Revenue  (Delight)  q  C:  Create  –  Differen=a=on  (Awesome  Customer  Experience)  

Before    

AFer    

“Good  Strategy”  Canvas:  9  Steps  of  Problem-­‐Based  Strategy  (CDMAG-­‐ERIC)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 8: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  FormulaOng  and  ExecuOng  “Good    Strategy”    

Holis&cally  Document,  Present,  and  Manage  Organiza&onal  Success  (Failure)  in  Business  and  Life  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE:  Short/Medium/Long-­‐term  (Problems:  Constraints/Obstacles)  

DIAGNOSIS:  HolisOc  Business  Model  (Causes/Insights:  Ext./Int.  Resources)  

POLICY  (Solu=ons:  Goals/Objec=ves/Strategy)  

q C:  Collect  info  (on  business  model)  

q D:  Define  customer  challenge,  pain,  unacceptable  trade-­‐off,  conflict,  or  Minimum  Viable  Problem  (MVP)  

 q M:  Measure  challenge,  pain,        

trade-­‐off,  conflict,  or  problem  

q A:  Analyze,  qualita=vely  and  quan=ta=vely,  core  (80/20)  causes  or  simulate  business  model  drivers  especially  at  level  of  system,  environment,  and  supersystem;              use  analogies,  if  necessary  

   

q G:  Generate  disrup=ve  ideas  and  select  best  alterna=ve  

         (MAXIMIZE  VALUE  OR  HAPPINESS:              Minimize  Cost,  Pain,  and/or  Waste;              Minimize  Weaknesses  and  Threats              Maximize  Revenue,  Delight,  Benefit              and/or  Differen&a&on;              Maximize  Strengths  &  Opportuni.)  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  (DML)  Cycle  q  E:  Eliminate  –  Waste  (Defects)  q  R:  Reduce  –  Cost  (Pain),  e.g.,  size/cost;  complexity;  inaccessibility  (inconvenience);  &me  (delay)    q  I:  Increase  –  Revenue  (Delight),  e.g.,  func&onality/performance;  quality;  status  (brand);  customiza&on/interac&on  q  C:  Create  –  Differen=a=on  (Awesome  Customer  Experience)  

Before    

AFer    

“Good  Strategy”  Canvas:  9  Steps  of  Problem-­‐Based  Strategy  (CDMAG-­‐ERIC)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 9: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

InvenOon  of  the  DramaOc  Story  Canvas  was  Inspired  by  Pablo  Picasso’s  AdapOve  Approach  to  Art  

Especially  in  His  “AdapOve  (Morphological)”  PainOng  of  a  Chicken    

THE  MOST  ADAPTIVE  TOOL  IN  BUSINESS  

Page 10: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

The  DramaOc  Story  Canvas  Is  

An  ExcepOonally  VersaOle  Tool  Because  of  

Its  Universal  Story  Structure    In  

Time  and  Space  

THE  MOST  ADAPTIVE  TOOL  IN  BUSINESS  

Page 11: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

Example  

Page 12: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  Apple  (1998):  How  Steve  Jobs  Saved  Apple    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE   DIAGNOSIS   POLICY    

Value  Engine  (Undesirable  Impacts)  q Serious  decline  in  market  share,  

ROI,  revenue,  and  share  price    

q High  nega=ve  cash  flow      

q Compe==ve  disadvantage                              (in  Red  Ocean  industry  of  personal  computers)  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  Cycle          

Before    

AFer    

Apple’s  “Good  Strategy”  Canvas  (1998)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

“Put  a  dent  in  the  universe”  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 13: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  Apple  (1998):  How  Steve  Jobs  Saved  Apple    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE   DIAGNOSIS   POLICY    

Value  Engine  (Undesirable  Impacts)  q Serious  decline  in  market  share,  

ROI,  revenue,  and  share  price    

q High  nega=ve  cash  flow      

q Compe==ve  disadvantage                              (in  Red  Ocean  industry  of  personal  computers)  

q Customers  have  difficul=es  in  differen=a=ng  Apple’s  products  

q Complicated  product  lineup  q Too  many  (na=onal)  retailers:  too  

many  models.  price  points,  and  markup  are  required  to  sa=sfy  various  retailers  

q Highly  priced  products  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  Cycle        

Before    

AFer    

Apple’s  “Good  Strategy”  Canvas  (1998)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

“Put  a  dent  in  the  universe”  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 14: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  Apple  (1998):  How  Steve  Jobs  Saved  Apple    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE   DIAGNOSIS   POLICY    

Value  Engine  (Undesirable  Impacts)  q Serious  decline  in  market  share,  

ROI,  revenue,  and  share  price    

q High  nega=ve  cash  flow      

q Compe==ve  disadvantage                              (in  Red  Ocean  industry  of  personal  computers)  

q Customers  have  difficul=es  in  differen=a=ng  Apple’s  products  

q Complicated  product  lineup  q Too  many  (na=onal)  retailers:  too  

many  models.  price  points,  and  markup  are  required  to  sa=sfy  various  retailers  

q Highly  priced  products  

q Simplify  product  line  q Shrink  Apple  to  a  scale  and  scope  

suitable  to  its  reality  of  being  a  niche  producer  in  highly  compe=-­‐=ve  market  of  personal  computers  

q Sell  products  through  few  retailers  q Borrow  US$150  Mio.  for  investment  q “Wait  for  the  next  big  thing  (wave)”  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  Cycle          

Before    

AFer    

Apple’s  “Good  Strategy”  Canvas  (1998)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

“Put  a  dent  in  the  universe”  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 15: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  Apple  (1998):  How  Steve  Jobs  Saved  Apple    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE   DIAGNOSIS   POLICY    

Value  Engine  (Undesirable  Impacts)  q Serious  decline  in  market  share,  

ROI,  revenue,  and  share  price    

q High  nega=ve  cash  flow      

q Compe==ve  disadvantage                              (in  Red  Ocean  industry  of  personal  computers)  

q Customers  have  difficul=es  in  differen=a=ng  Apple’s  products  

q Complicated  product  lineup  q Too  many  (na=onal)  retailers:  too  

many  models.  price  points,  and  markup  are  required  to  sa=sfy  various  retailers  

q Highly  priced  products  

q Simplify  product  line  q Shrink  Apple  to  a  scale  and  scope  

suitable  to  its  reality  of  being  a  niche  producer  in  highly  compe=-­‐=ve  market  of  personal  computers  

q Sell  products  through  few  retailers  q Borrow  US$150  Mio.  for  investment  q “Wait  for  the  next  big  thing  (wave)”  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  Cycle  q  E:  Eliminate  –  Waste  (Defects);  Distributors;  Development  of  new  opera=ng  systems;  Printers  and  peripherals  q  R:  Reduce  –  Cost  (Pain);  No.  of  models  of  desktops  and  handheld  devices;  Retailers;  Manufacturing;  Inventory  q  I:  Increase  –  Revenue  (Delight);  ROI;  Partnership  with  Microsog;  Outsourcing  (Manufacturing)  q  C:  Create  –  Differen=a=on  (Awesome  Customer  Experience);  Online  Store;  Digital  Hub  (Ecosystem/Value  Network)  

Before    

AFer    

Apple’s  “Good  Strategy”  Canvas  (1998)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

“Put  a  dent  in  the  universe”  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 16: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

 DRAMATIC  STORY  CANVAS  for  Apple  (1998):  How  Steve  Jobs  Saved  Apple    

Source:  Based  on  Rumelt,  R.P.  (2011)  Good  Strategy.  Bad  Strategy.  Crown  Business:  New  York.  

 #4ROD.  Dr.  Rod  King.  [email protected]  &  hAp://businessmodels.ning.com  &  hAp://twiAer.com/RodKuhnKing  

Problem  Pain:  (Un)Known  

RED  OCE

AN   BLU

E  OCEAN

 

SoluOon  Gain:  (Un)Known  

Business  Model  

Business  Model  

CHALLENGE:  Short/Medium/Long-­‐term  (Problems:  Constraints/Obstacles)  

DIAGNOSIS:  HolisOc  Business  Model  (Causes/Insights:  Ext./Int.  Resources)  

POLICY  (Solu=ons:  Goals/Objec=ves/Strategy)  

Value  Engine  (Undesirable  Impacts)  q Serious  decline  in  market  share,  

ROI,  revenue,  and  share  price    

q High  nega=ve  cash  flow      

q Compe==ve  disadvantage                              (in  Red  Ocean  industry  of  personal  computers)  

q Customers  have  difficul=es  in  differen=a=ng  Apple’s  products  

q Complicated  product  lineup  q Too  many  (na=onal)  retailers:  too  

many  models.  price  points,  and  markup  are  required  to  sa=sfy  various  retailers  

q Highly  priced  products  

q Simplify  product  line  q Shrink  Apple  to  a  scale  and  scope  

suitable  to  its  reality  of  being  a  niche  producer  in  highly  compe=-­‐=ve  market  of  personal  computers  

q Sell  products  through  few  retailers  q Borrow  US$150  Mio.  for  investment  q “Wait  for  the  next  big  thing  (wave)”  

ACTION  PLAN  (TO  DO)  -­‐  Core  Tac=cs/Coherent  Ac=ons:  Do-­‐Measure-­‐Learn  Cycle  q  E:  Eliminate  –  Waste  (Defects);  Distributors;  Development  of  new  opera=ng  systems;  Printers  and  peripherals  q  R:  Reduce  –  Cost  (Pain);  No.  of  models  of  desktops  and  handheld  devices;  Retailers;  Manufacturing;  Inventory  q  I:  Increase  –  Revenue  (Delight);  ROI;  Partnership  with  Microsog;  Outsourcing  (Manufacturing)  q  C:  Create  –  Differen=a=on  (Awesome  Customer  Experience);  Online  Store;  Digital  Hub  (Ecosystem/Value  Network)  

Before    

AFer    

Apple’s  “Good  Strategy”  Canvas  (1998)  

Strategic    

Prob

lem  Solving  

ExecuO

on  

“Put  a  dent  in  the  universe”  

Targets  (Metrics)        

Job  To  Get  Done/Experience  (Journey:  Strategy/Execu=on)  

Page 17: DRAMATIC STORY CANVAS FOR APPLE: How Steve Jobs Saved Apple

Problem-­‐Based  Entrepreneurship  

Entrepreneurs  Should  be  Trained  Just  Like  Medical  Doctors.  

 Entrepreneurs  Should  PracOce  as  well  as  Master  

Problem-­‐Based  Strategy  and  Learning.