This weeks lectures started off with some interesting advice from the lecturer about strategies, as a team we had been discussing our objectives and the strategies we were going to apply for the real roll overs on Mike's Bikes. Our team had been considering a differentiation strategy like Porter describes in his 5 forces, and by what Magretta says about competitive strategy summed up in this quote "[competitive strategy] is how you will do better than your rivals and doing better than your rivals means being different". My team wants to differentiate and has done that through the practice rounds, we had trials implementing more than one new bike which went well for us, also part of our strategy has been to change our name (which most people have done now).
Just when we thought we had decided on the sort of strategy we wanted to implement, Peter holds a game-changing (literally) lecture where he went into discussing competition and different strategies, strategies we had never even considered. The Blue Ocean strategy reading goes over this idea that just because everyone is in that one segment does not mean that is the only place or the only viable position to be in. It is a very interesting concept and is easy to see how many companies have been successful using this strategy as it is very important to be always changing and staying unique. A blue ocean is a new unpopulated industry related to your previous industry which has no competition. We will be adapting our strategy to maintain our competitive place in the simulation and ensure we are staying at the top of our game.
The last reading we studied which also has significant relevance to where we are now in the game and the future too, is Kim, W. Chan's piece on the future of your company and ways to plan for it. He mentions having a focus or key ideas for the company, using divergence and staying unique within the market and having a compelling tag line -similar to a value proposition a tag line states what you promise to offer your customers through your products and services. Chan was all about something he called a Strategy Canvas which uses Visual; awakening, exploration, strategy fair and communication to identify strategic issues and develop and choose a strategy. His way of developing a strategy to me was very compelling as it does not have the usual hierarchical functions of strategy planning and ensured everyone would agree and that the best one would be chosen by having equal chances to display these to managers.
I would love it if we had enough time to develop strategies with our teams however that is unfortunately not possible, however I will push that we have a variety of options when developing our strategy and ensure that all team members get behind it. Our strategy has been successful so far with a good result for our first proper roll over, however we will need to reassess our strategy weekly and understand we may need to make major or minor changes depending on competition and market changes.
Kim, W. C. & Mauborgne, R. (2004). Blue ocean strategy. Harvard Business Review, 82(10), 75--84