346 Posts found for Source: Boston Consulting Group (BCG)

We recently surveyed roughly 16,500 people worldwide to identify the most effective diversity and inclusion measures. Our investigation builds on previous research into gender diversity. For our current analysis, we broadened our lens to include diversity in two additional dimensions: race and ethnicity and also sexual orientation. Through that research, we identified specific solutions that companies can implement to accelerate their progress on diversity.

Content: Article | Authors: Elliot Vaughn, Jennifer Garcia-Alonso, Justin Dean, Matt Krentz, Miki Tsusaka | Source: Boston Consulting Group (BCG) | Subjects: Diversity, Human Resources

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We worry that in their headlong embrace of formal systems of risk management, many companies are pursuing a highly technical approach to risk management—characterized by complex financial models and elaborate, formal risk-management systems—in isolation from the day-to-day activities of the broader organization. The result is that risk management may exist as a formal function, but it is not really embedded in the “mindset” of the … [ Read more ]

Content: Article | Authors: Alexander Roos, James Tucker, Marc Rodt, Sebastian Stange, Ulrich Pidun | Source: Boston Consulting Group (BCG) | Subject: Risk Management

Gender diversity can be a profound business challenge —or a source of competitive advantage. But it’s not women who need to change. It’s the workplace.

Content: Article | Source: Boston Consulting Group (BCG) | Subjects: Diversity, Human Resources, Women in Business

Map and understand the larger system in which you operate. Businesses operate within larger economic, social, and environmental systems, which have feedback loops in both directions — businesses’ actions affect the larger systems, and vice versa. Though predicting the exact behavior of such systems is rarely feasible, leaders can improve their understanding by explicitly mapping out the most impactful forces (accelerators or inhibitors of the system’s workings) … [ Read more ]

Content: Quotation | Authors: Kevin Whitaker, Martin Reeves | Source: Boston Consulting Group (BCG) | Subjects: Management, Strategy

Business strategy has traditionally considered only a narrow set of issues (such as customer needs, operating model effectiveness, and competitive advantage), a limited range of timescales (most notably the annual planning process), and a limited number of stakeholders (customers, employees, and competitors). Such simplification may have made sense when contextual change was slow, and when the only expectation of businesses was that they would aim … [ Read more ]

Content: Quotation | Authors: Kevin Whitaker, Martin Reeves | Source: Boston Consulting Group (BCG) | Subject: Strategy

Since businesses face more aggressive competition than ever before and have to assume increasing risk, they need to prioritize their deployment of resources even more carefully and govern their wide-ranging global activities more diligently. Smart planning has never been as important as it is today.

In this Focus, we delve into the changes and challenges that have altered the context in which companies must now undertake … [ Read more ]

Content: Article | Authors: Alexander Roos, Fabrice Roghé, James Tucker, Marc Rodt, Sebastian Stange | Source: Boston Consulting Group (BCG) | Subject: Management

At most large companies, the performance management system is a hodgepodge of legacy systems. KPIs are not aligned across the organization. Different information systems categorize data differently. Decision rights as to who decides what data to collect are so distributed that there is no consistent approach to reporting across the entire company.

As a result, the finance organization spends an inordinate amount of time simply putting … [ Read more ]

Content: Article | Authors: Alexander Roos, James Tucker, Jeff Kotzen, Julien Ghesquieres, Marc Rodt, Tim Nolan | Source: Boston Consulting Group (BCG) | Subjects: Finance, Management

First, companies need to take a step back and reframe the way they talk about diversity, equity, and inclusion. They must start with a new basic premise: that they will understand the needs of every individual, look for patterns of difference that cut across the whole organization and matter the most in driving positive outcomes, and devise solutions that holistically address those differences. When viewed … [ Read more ]

Content: Quotation | Authors: Gabrielle Novacek, Jean Lee, Matt Krentz | Source: Boston Consulting Group (BCG) | Subjects: Diversity, Human Resources

Business ecosystems are on the rise. In 2000, just three among the S&P top 100 global companies relied predominantly on ecosystem business models. In 2020 this number had grown to 22 companies, which together accounted for 40% of total market capitalization.

It is no wonder that many leaders of established companies are afraid of missing out on this trend and feel compelled to come up with … [ Read more ]

Content: Article | Authors: Balázs Zoletnik, Martin Reeves, Ulrich Pidun | Source: Boston Consulting Group (BCG) | Subjects: Business Model, Strategy

It is widely acknowledged that business ecosystems offer great potential. Compared to more traditionally organized businesses, such as vertically integrated companies or hierarchical supply chains, business ecosystems are praised for their ability to foster innovation, scale quickly, and adapt to changing environments.

However, many companies that try to build their own ecosystems struggle to realize this potential. Our research has shown that less than 15% of … [ Read more ]

Content: Article | Authors: Martin Reeves, Niklas Knust, Ulrich Pidun | Source: Boston Consulting Group (BCG) | Subjects: Business Model, Strategy

If designing a traditional business model is like planning and building a house, designing an ecosystem is more like developing a whole residential district: more complex, more players to coordinate, more layers of interaction and unintended emergent outcomes.

What makes ecosystem design distinctive is that it requires a true system perspective. It is not sufficient to design the value creation and delivery model; the design must … [ Read more ]

Content: Article | Authors: Martin Reeves, Ulrich Pidun | Source: Boston Consulting Group (BCG) | Subjects: Business Model, Strategy

New business insights can come from changing perspectives on the company’s boundaries, resources, and time horizons. We suggest laying out the whole of the supply chain, the cradle to grave of the product life cycle, the adjacent business ecosystem, and all relevant stakeholders. Take a systems perspective to see the full ecosystem and market dynamics at work. Within this expanded business context, understand where issues … [ Read more ]

Content: Quotation | Authors: David Young, Martin Reeves | Source: Boston Consulting Group (BCG) | Subjects: Management, Social Responsibility (ESG), Strategy

The term “business ecosystem” has firmly established itself in the dictionary of management buzzwords. Many managers, fearful of missing out on this trend, feel compelled to come up with their own business ecosystems—or at least to become part of some large emerging ecosystems. But they struggle with the broad scope of the concept, unclear definitions, and the lack of practical advice. This article should help. … [ Read more ]

Content: Article | Authors: Martin Reeves, Maximilian Schüssler, Ulrich Pidun | Source: Boston Consulting Group (BCG) | Subject: Strategy

More companies are forging strategic alliances as they seek competitive advantage. Here’s what they must do to build and manage them successfully.

Content: Article | Authors: André Kronimus, Benjamin Gansel, Gözde Yalazı Özbek, Huseyin Batu Yigit, Konrad von Szczepanski, Nikolaus Lang | Source: Boston Consulting Group (BCG) | Subject: Strategy

Among CFOs, alternative approaches to budgeting are getting a lot of attention. In particular, Beyond Budgeting, a concrete alternative to traditional budgeting, is gaining mainstream traction. The approach is producing impressive results at a growing number of global companies. Moreover, a BCG study confirmed that Beyond Budgeting has significant benefits: 59% of 174 finance executives surveyed reported increased sales, 56% saved significant costs in the … [ Read more ]

Content: Article | Authors: Bjarte Bogsnes, Hardik Sheth, Sebastian Stange | Source: Boston Consulting Group (BCG) | Subject: Finance

Instead of defaulting to the standard change management methods, leaders should adopt strategies of change that respond appropriately to the specific characteristics of their change context.

Content: Article | Authors: David Purser, Leesa Quinlan, Martin Reeves, Simon Levin, Vítor V. Vasconcelos | Source: Boston Consulting Group (BCG) | Subject: Change Management

Thanks to digital technologies and digitally savvy customers, companies across industries can create a customer experience unlike anything ever seen before. CEOs, take note: this could be the biggest growth opportunity to come along in decades.

Content: Article | Authors: Bharat Poddar, Karen Lellouche Tordjman, Rob Bell, Yogesh Mishra | Source: Boston Consulting Group (BCG) | Subject: Customer Related

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As business environments become more changeable and long-term growth rates decline, companies increasingly need to innovate—across their operations, offerings, and business models. We know the powerful effects of innovation, but what is upstream of innovation? How can we understand and shape the murky mental territory that leads to good ideas: the realm of imagination?

Content: Article | Authors: Jack Fuller, Martin Reeves | Source: Boston Consulting Group (BCG) | Subject: Innovation