Insurance Dealers (business) Operation series (iii) strategy development Chapter

Strategy Development Chapter

There is no doubt that a clear and workable strategy determines to a large extent the success or failure of a company's one sector project.

We often hear a sentence: "Do the right thing and do the right things."

The former is about strategic issues, the latter is strategic implementation.

This chapter is about the development of strategic issues, especially the traditional enterprises of the electric business strategy considerations.

Met many companies, large small, private, private, state-owned enterprises or foreign companies, in the formulation of corporate strategy, departmental strategy, entrepreneurial project strategy, more or less, all have the following problems:

Either a lack of understanding of their own capabilities and resources, or a lack of research on competitors, there is no research on the target users, wishful thinking to develop their so-called strategy.

What is strategy?

In the class of Professor Liu Guang Xue, the teacher said: "The strategy is the core goal that the enterprise determines in the specific environment, the key path to reach the goal, the action, the economic logic of the enterprise profit, and the five elements of different characteristics of the competitor." ”

How should the strategy of the traditional enterprise e-commerce be formulated?

Detailed details see my previous blog post "Traditional enterprise Internet strategic planning suggestions and precautions"

In this article, focus on a number of key elements in the formulation of a strategy (not a corporate strategy):

1. What is SWOT analysis? Is it the purpose of the analysis or the conclusion of the analysis?

See a lot of development strategy ppt, opening is SWOT analysis.

SWOT analysis is a model of analytical thinking and analysis needed for strategic development, however, he has established analytical framework and analytical logic, that is: first, from the external macro environment, including political, economic, legal, social, scientific and technological environment, as well as industry environmental factors (the possible use of the five-force analysis model) for upstream suppliers, Downstream channels, end consumers, potential substitutes and direct competitors (or government relations), analyze the competition in the industry in which the company or project is based to assess profitability and future growth rates.

Through the external environment (Macro environment and industry environment) of the actual situation (data), the future change trend analysis, to find the company with this project is closely related to the threat point and opportunity point;

Through the analysis of the internal environment, mainly with the company or project related to the value chain comparison (and competitors) analysis, to find the company and competitors compared to the company's advantages and disadvantages, while analyzing the success of the company or project success of the key competitive elements.

To sum up, through the analysis of external environment, to find opportunities and threats, through the analysis of internal environment, to find their own strengths and weaknesses, and to delineate the core elements of competition.

So SWOT is an analysis of the conclusion, but also a comparative analysis of internal and external environmental data mining thinking process. As soon as the SWOT conclusion is given, it is obvious that there is not enough understanding of SWOT analysis thinking and deduction;

2. Strategic positioning, value chain allocation and core competitiveness in strategic formulation

In the strategy formulation, we must first solve the strategic positioning problem.

Strategic positioning includes three main elements: Who (target users), WHAT (user needs), how (we meet user needs)

The target user's determination is an issue of user data collection analysis, user segmentation and user selection. Most of the homogeneous users, such as more than 70%, are core users, and they are our core target users.

The user needs to determine the needs of the core users to distinguish (such as using Maslow's demand model, etc.) to determine the core users of core needs.

Any company or project must solve a certain user's needs, therefore, the corresponding is how we meet the target user's needs.

Internal value chain configuration analysis this piece, need to use in SWOT analysis of the value chain analysis results, because of the previous comparative analysis, found the key competitive elements, but also found a comparative analysis of the advantages and disadvantages, so to make the company or project success, we have to configure the value chain in the key competitive elements, And make some key competitive elements in the comparative advantage, thus forming the core competitiveness.

And the determination of some key competitive elements is through the analysis of external users ' needs, find the value of the item or product that the user is most concerned with, and do a comparative analysis of the value curve with the competitor at these key value points to determine the difference of our competitive strategy, our selling point and our competitive advantage.

3. On the implementation of the strategy

The strategy must be people to carry it out, so the question that needs to be addressed at the strategic execution level is what organizational structure is needed? How is power distributed? How is the performance evaluated? What incentive mechanisms are needed to ensure that the team is moving towards the set goals?

Here is not to elaborate.

The development of electric business strategy of the traditional enterprise, and the development of the electric business strategy of the insurance company, we can look back to our strategic plan, in contrast, whether we can continue to deepen the discussion, and continuously optimize the development of their own electric business strategy?

The next chapter will be specific to the insurance company's electric business strategy for attention.

(To be continued)