Structured process to define meaningful SBUs. Split if different parts are significantly different in terms of operating technology, market maturity, competition, marketing skills and/or financial results.
Client assembles existing available data, e.g. business plans, management accounts, market research.
Workshops and interviews with relevant client managers to fill any gaps, e.g. things they know but haven’t written down, and to map into the PIMS format and definitions. Also to define alternative future scenarios for analysis.
Analysis using par and look-alike models to come up with strategic diagnosis and prescription.
Discussion of results, including implementation priorities.
Objectives and Benefits
Objective: meaningful split into distinct SBUs. Scientific diagnosis and strategy prescription for each.
Benefits: good, workable, explainable strategy in rapid time. Clear priorities for improvement.
Multivariate statistical and AI tools to explore and quantify performance drivers: result = par models to quantify strengths and weaknesses. Clustering: result = report on look-alikes to characterise winners versus losers by performance.