Solve the right problem dont just solve the
Solve the right problem don’t just solve the problem right Gap. Leap. Analysis. TM 12/7/2020 PP R O KKIINNGG ––I N I NS S NG AICT IALTI ITNAGT- I N G A–BCL O RO OVO PP I RI IRNI G – E–DEUDCU AC T IANTGI N– GF A–CFI L EN I NAGC H I N G 1 TU L UBS U ISNI N CH T H E TH V IER VT IUR A LAB E ESSSS SS C H OOOOLL Copyright Obeng All Rights reserved COPYRIGHT 2006 2004 ALL RIGHTS RESERVED . .
Gap. Leap. Analysis. TM 12/7/2020 PP R O KKIINNGG ––I N I NS S NG AICT IALTI ITNAGT- I N G A–BCL O RO OVO PP I RI IRNI G – E–DEUDCU AC T IANTGI N– GF A–CFI L EN I NAGC H I N G 2 TU L UBS U ISNI N CH T H E TH V IER VT IUR A LAB E ESSSS SS C H OOOOLL Copyright Obeng All Rights reserved COPYRIGHT 2006 2004 ALL RIGHTS RESERVED . .
PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Our level of innovation is too low PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Our level of innovation is too low PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Sales decline will continue We will continue to have few new products in the market Profits will fall Competitor products will look better than ours Our level of innovation is too low PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Arrange in a logical time sequence So the stickes “tell a story” PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Profits will fall Sales decline will continue Competitor products will look better than ours We will continue to have few new products in the market Our level of innovation is too low PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Our marketing budget may be overspent Profits will fall this year Profits will fall Sales decline will continue Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our revenues will increase by about Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Our marketing budget may be overspent Profits will fall this year Profits will fall Sales decline will continue Competitor products will look better than ours Some of our key people will be diverted from D 2 D business Our revenues will increase by about Customer satisfaction will increase We will have some products people want to buy We will continue to have few new products in the market Our level of innovation is too low People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Profits will fall by ~14% Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Profits will fall by ~14% Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Forecast horizon 90% 1 2 3 PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
The financials Here's the five-year record of Cadbury Schweppes: To December 31 st 2002 Turnover (£m) Operating Profit* (£m) Exceptional Items (£m) Pre-tax Profit (£m) 4, 220 4, 106 4, 301 4, 575 608 628 637 726 412 (30) 350 27 987 579 961 769 Earnings per share* (p) Dividend per share (p) 18. 6 9. 0 2003 19. 7 9. 5 2004 19. 5 10. 0 2005 24. 1 10. 5 2006 5, 519 877 31 859 27. 8 11. 0 (* after major restructuring costs but before goodwill amortisation) PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
We’ll get bought up Profits will fall by ~14% Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Profits will fall by ~14% £ 119, 000 We’ll get bought up £ 110. 5 m -£ 119 m -£ 8. 5 m Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Profits will fall by ~14% £ 119, 000 We’ll get bought up £ 110. 5 m -£ 119 m -£ 8. 5 m Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low How much would you spend to fix it? People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Profits will fall by ~14% £ 119, 000 We’ll get bought up £ 110. 5 m -£ 119 m -£ 8. 5 m Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low How much would you spend to fix it? People are scared of failure Our People have seen other’s ridiculed for trying to lead innovation We kill innovation on a whim Our People don’t know where to look for stimuli Our People try to bring all the skills required themselves (no partners) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses Our People don’t know it’s required of them There is no easy way of checking if an innovation is any good PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Profits will fall by ~14% £ 119, 000 We’ll get bought up £ 110. 5 m -£ 119 m -£ 8. 5 m Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low Our People have seen other’s ridiculed for trying to lead innovation BOM Training We kill innovation on a whim BOM Training People are scared of failure BOM Training Our People try to bring all the skills required themselves (no partners) What would you do to fix it? Our People don’t know where to look for stimuli New Innovation Process Our People don’t know it’s required of them BOM Training New Innovation Process The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses There is no easy way of checking if an innovation is any good New Innovation Process PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Biggest impact on solving problem/ Least effort to do Smallest impact on solving problem/ biggest effort to do PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
Profits will fall by ~14% £ 119, 000 £ 110. 5 m -£ 119 m We’ll get bought up -£ 8. 5 m Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Some of our key people will be diverted from D 2 D business Competitor products will look better than ours We will continue to have few new products in the market Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people want to buy Our level of innovation is too low -£ 5. 7 m We kill innovation on a whim BOM Training 1 People are scared of failure BOM Training 3 There is no easy way of checking if an innovation is any good Our People have seen other’s ridiculed for trying to lead innovation New Innovation Process 1 BOM Training 2 The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses New Innovation Process 2 Our People don’t know where to look for stimuli New Innovation Process 4 Our People try to bring all the skills required themselves (no partners) BOM Training 4 Our People don’t know it’s required of them New Innovation Process 3 PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
2 e. g Profits will fall by ~14% £ 119, 000 £ 110. 5 m -£ 119 m We’ll get bought up -£ 8. 5 m Profits will fall this year (3%) & rise next year (2%) Sales decline will continue 5%p. a trend Some of our key people will be diverted from D 2 D business Competitor products will look better than ours We will continue to have few new products in the market 1 3 e. g Customer satisfaction will increase Our level of innovation is too low -£ 5. 7 m People are scared of failure BOM Training 3 There is no easy way of checking if an innovation is any good Our People have seen other’s ridiculed for trying to lead innovation New Innovation Process 1 BOM Training 2 first step Our revenues will increase by about 1% We will have some products people want to buy We kill innovation on a whim BOM Training 1 4 Our marketing budget may be overspent (10%) The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses New Innovation Process 2 Our People don’t know where to look for stimuli New Innovation Process 4 Our People try to bring all the skills required themselves (no partners) BOM Training 4 Our People don’t know it’s required of them New Innovation Process 3 PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
…IF NOT FIXED. . . … IF FIXED. . . We’ll get bought up Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market -£ 119 m < GAP > Profits will fall this year (3%) & rise next year (2%) £ 110. 5 m Profits will fall by ~14% £ 119, 000 Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% Customer satisfaction will increase We will have some products people -£ 8. 5 m want to buy Our level of innovation is too low -£ 5. 7 m We kill innovation on a whim BOM Training There is no easy way of checking if an innovation is any good New Innovation Process People are scared of failure BOM Training WHY NOT FIXED YET? Our People don’t know where to Our People have seen other’s ridiculed for trying to lead innovation(POSSIBLE CAUSES) look for stimuli BOM Training The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses New Innovation Process Our People try to bring all the skills required themselves (no partners) Our People don’t know it’s required of them BOM Training New Innovation Process PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
…IF NOT FIXED. . . We’ll get bought up Profits will fall by ~14% £ 119, 000 Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new products in the market -£ 119 m < GAP > 1 Profits will fall this year (3%) & rise next year (2%) £ 110. 5 m 2 e. g … IF FIXED. . . Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% 3 e. g Customer satisfaction will increase We will have some products people want to buy -£ 8. 5 m Our level of innovation is too low -£ 5. 7 m We kill innovation on a whim BOM Training 4 There is no easy way of checking if an innovation is any good New Innovation Process first step People are scared of failure BOM Training WHY NOT FIXED YET? Our People don’t know where to Our People have seen other’s ridiculed for trying to lead innovation(POSSIBLE CAUSES) look for stimuli BOM Training The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses New Innovation Process Our People try to bring all the skills required themselves (no partners) Our People don’t know it’s required of them BOM Training New Innovation Process PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
…IF NOT FIXED. . . 4 We’ll get bought up Profits will fall by ~14% £ 119, 000 Sales decline will continue 5%p. a trend Competitor products will look better than ours We will continue to have few new My personal products in the market -£ 119 m contribution to solving problem first < step GAP > 1 New Innovation Process Some of our key people will be diverted from D 2 D business Our marketing budget may be overspent (10%) Our revenues will increase by about 1% 3 e. g Customer satisfaction will increase We will have some products people want to buy -£ 8. 5 m Our level of innovation is too low We kill innovation on a whim BOM Training There is no easy way of checking if an innovation is any good Profits will fall this year (3%) & rise next year (2%) £ 110. 5 m 2 e. g … IF FIXED. . . People are scared of failure BOM Training WHY NOT FIXED YET? Our People don’t know where to Our People have seen other’s ridiculed for trying to lead innovation(POSSIBLE CAUSES) look for stimuli BOM Training The hierarchy doesn’t allow you to pursue any idea which isn’t your bosses New Innovation Process Our People try to bring all the skills required themselves (no partners) Our People don’t know it’s required of them BOM Training New Innovation Process PROVOKING – INSPIRING – EDUCATING – FACILITATING – COACHING TH E V I R T U A L B U S I N E S S S C H O O L Copyright Obeng 2004 All Rights reserved .
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