© Phil Bullimore

Building Enterprise ValueA strategy to increase use value to drive the development of organisational capability

© Phil Bullimore

How value all aspects of the business by considering the

Value to an External Investor

© Phil Bullimore

Purpose

To develop and implement clear, robust, and scalable solutions to increase the value of the business delivering success now and in the future• Return on Investment• Managing not Limiting Risk• Improving Value Proposition to increase margin• Focusing Development Resource to deliver Value

© Phil Bullimore

Manage Opportunity Pipeline

Business Development

Delivering Contracts

Revenue Lifecycle – Parallel not Series !!!!

Selecting Opportunity

Building a Winning Solution

Mobilise

Deliver

Close

Demand lead Capability

Client Relationships & Insight

Corporate Governance

Winning and Delivering Contracts

Capability Developed through Delivery

Widening Opportunity Pipeline

Winning the Business (sales)

© Phil Bullimore

Function

Client Relationships

& Insight

Demand Led

Capability

Opportunity

Pipeline

Opportunity

Selection

Winning

Solutions

Winning

Bids

Contract

Mobilisation

Contract

Delivery

Closure

Business Development Lead Lead Lead Lead Key Lead Support Support Support

Delivery/Operation Key Key Support Support Key Support Lead Lead Lead

Partner/Supplier Mgt Key Key Support Support Support Support Key Key Support

Development Key Key Support Support Lead Support Key Key Support

Channel Management Key Key

Brand/Marketing/Comms Support Support Key Key Support Support Support Support

Stakeholder Engagement Key Key Key Support

Finance Key Key Key Key Key Key

People/HR Key Key Support Key Key Support

Management InformationRisk Management, Quality Assurance, Contracting

Support Support Support Support Support Support Support Support Support

Example Strategy DeploymentOpportunity

PipelineWinning

ContractsDelivering Contracts

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Example Value to Investor – Building Customer Insight

Have a strong relationship with customer gives• Greater certainty over future revenue/plans (Manage Risk)

• Improved ROI for development (Increased Margin from higher Value)

• Earlier to market (greater opportunity for revenue and margins)

• Better match of capability to customer value (revenue and margin – we only do what’s important and the customer pays for)

© Phil Bullimore

Building Enterprise Value

• Identify you core activity• Using Enterprise Value Canvas

• Agree what “great” looks like• Understand where you are now• Build an action plan to deliver “great”

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Delivering Enterprise Value Through: Blank Canvas

Where do we want to beOur value……. We will deliver this value by…….. We will demonstrate this value by……Profit (Revenue & Costs) RiskBrand, position, capability, relationships, competence, insight, Innovation, Differentiation

Impact

Where are we now Action Plan Our current resources/capabilities to deliver value are… Our current state & KPIs are……….. Our Actions & KPIs to Increase Shareholder Value…Internal

External

 Eliminate, Reduce, Raise, Create

IssuesThe risks of implementing the actions are………

The Impact of improvements on Current Operation/Profit will be………Positive/Drivers Negative/Barriers

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Delivering Enterprise Value throughBuilding Customer Insight

Where do we want to beInvestors will value our……. We will deliver this value by…….. We will demonstrate this value by……In depth understanding of customers will reduced their future risks

Our ability to generate revenue from future requirements

Our influence over decision makers and policy makers increase the likelihood that our specific solutions will be procured (Revenue and Risk)

Having a clear and common understanding of the sectors and funders we are targeting• Core characteristics, values and drivers• Future Priorities and ObjectivesBeing able to describe the value we could deliver to funding agenciesHaving a clear understanding of the relevant current and predicted characteristics of the institutions the funders wish to supportWorking with partners to increase our understanding

Having clarity over the clients we are targetingDemonstrating robust assessment of their future requirements, that have been confirmed through discussion/evaluation

Delivering innovative solutions

Proven Access to decision makers

Where are we now Action Plan Our current resources/capabilities to deliver value are… Our current state & KPIs are……….. Our Actions & KPIs to Increase Shareholder Value…Internal• Existing contacts/relationships• Customer (ie SME relationships)• Existing knowledge

External• Partnerships • Lobby• Influence through TAFTIE etc

Target sectors are definedLobby and influenceBuilding networksResearch driven in reaction to tendersKPIsBusiness Opportunity Contracts in new markets

Key Account ManagementFuture demand profileFuture requirements profile

Future KPIsProfit from new marketsROI on speculative activities

IssuesThe risks of implementing the actions are………We select the wrong customersWe come to the wrong conclusionsGovernment/Funding policy ChangesLobbying not effectiveThe Impact of improvements on Current Operation/Profit will be………Positive/DriversIncrease day rate by delivering higher value solutionsTenders success rate will increase as more seeded requirements

Negative/BarriersBeing firm on contract deliverable will require more robust contract managementRelationship with contract holders could suffer

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Issues to consider

• Internal and External Customers• What is Value – How can we understand it• Best Measures/KPIs• Gaps in capability• Conflicts with other activities• Politics• In house vs Outsourced• Creating and Managing Intellectual property• Sustainablity• Stability and Rate of Change

© Phil Bullimore

Review of Resources

• What assets do we need?• Do we need to own them• Could someone else do it better• Return on investments• Management of IP• Financing Assets