Strategic cycle: tactics

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Introduction: tactics

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Strategic tactics

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The necessary tactics components

Your company's TACTICS have to be able to:

  • build capabilities & competencies,
    • In the context of your business, capabilities refer to the things your company can do well, such as producing high-quality products, delivering excellent customer service, or innovating new technologies. Capabilities can also refer to your company's resources, such as its financial resources, physical assets, and human talent. Understanding and effectively leveraging your company's capabilities can be essential for its success and competitiveness in the marketplace.
    • Competencies are the skills, knowledge, resources, and attributes that allow a person or part of your organisation to perform specific tasks or activities.
  • while at the same time, realise capacity building
    • Your business' capacity refers to the maximum amount of goods or services you can produce or deliver within a given period. Capacity can be affected by several factors, such as the availability of raw materials, the efficiency of production processes, the availability of labour, and the capacity of equipment and facilities. When your business operates at or near its capacity, it can meet customer demand for its products or services. Still, it may struggle to handle a sudden increase in demand without expanding its capacity. On the other hand, when you are operating well below capacity, you may have an excess production capacity that is not being used, which could lead to inefficiencies and higher costs.
  • and support the development of the enterprise.
    • Enterprise development is the process of your enterprises' (re-)creation and growth. This development can involve various activities, such as looking for financial assistance, training and education, business planning, or creating access to markets and networking opportunities. The goal of enterprise development is to become more sustainable, which can contribute to economic growth.

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Capabilities is the core concept of a 'tactics'-strategy

Capabilities refer to the resources, knowledge, skills, and abilities of an organisation or individual. These capabilities enable an organisation or individual to perform specific tasks or functions and achieve certain goals. They are essential because they can give an organisation or individual a competitive advantage and enable them to achieve success in their respective fields. In business, organisational capabilities can include production processes, technological expertise, financial resources, and human capital. These capabilities allow an organisation to produce goods or services and compete in the marketplace. Individual capabilities, on the other hand, refer to an individual's knowledge, skills, and abilities. These capabilities can be developed through education, training, and experience, enabling an individual to perform specific tasks or functions and contribute to an organisation. Identifying and developing capabilities is crucial to organisational and individual development.

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The results of the 'tactical'-strategic flow

When the company invests its tangible an intangible resources tactically, it tends to end up with the following:

  • the best products and services when there is an outside-in mentality.
    • A product is a tangible item that your company produces and sells to customers. A service is an intangible offering that your company provides to its customers. Services are activities or benefits your business offers your customers in exchange for money. You can sell both products and services or focus on just one or the other.
  • Instead, however, they tend to excel in enterprise development with an inside-out view.
    • Enterprise development is the process of your enterprises' (re-)creation and growth. This development can involve various activities, such as looking for financial assistance, training and education, business planning, or creating access to markets and networking opportunities. The goal of enterprise development is to become more sustainable, which can contribute to economic growth.

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Tactics with an 'OUTSIDE-IN' (action) orientation

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Overview

In this situation,

  • while enterprise value is what we hope for,
  • capabilities & competencies are the critical step, and
  • more than we wish for, we are stuck (looking for new) products & services.

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OUTSIDE-IN strategic cycle in TACTICS-mode

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Dynamic process view

  1. First action (OUTSIDE).
    1. (Sought for) enterprise capabilities & competencies)
    2. are deployed tactically to develop the enterprise.
    3. As a result, they provide value creation.
  2. Second focus (INSIDE).
    1. The customer value part is used to,
    2. enhance products and services.
  3. The hope is,
    1. that this cycle will lead in a natural way to enterprise value, but but to make this hope come true
    2. capabilities & competencies are the critical step to shift the mindset from tactics to mission.

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Linear process view

Tactics, the outside-in (action) strategic cycle
Outside Driver Inside
Value appropriation
↓ Mission ↑ Enterprise value = hope
Capacity building
↓ TACTICS ↑ Capabilities & competencies = critical step
DREAM

1. Organisational development

<<<<<<<
↓ Strategy ↑ DO

4. Products & services

ANALYSE

2. Value creation

↓ Vision ↑ DECIDE

3. Customer value

>>>>>>>

Dreaming, analysing, deciding and doing together form a complete thinking cycle.

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Areas of concern

This (unique) tactical situation separates the enterprise in two systems:

  • (customer) value creation
  • and value appropriation (creating enterprise value).

This separation ensures peace of mind for those responsible for the two systems in the company.

Operations take care of

  1. entrprise development
  2. value creation
  3. customer value
  4. and products & services

and takes the tactical turn to start the cycle over and over again.

Business starts from

  1. capacity & competences
  2. to create enterprise value
  3. to start with value appropriation
  4. and more capacity building.

and takes the tactical turn to start the cycle over and over again.

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Tactics with an 'INSIDE-OUT' (focus) orientation

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Overview

In this situation,

  • while value creation is what we hope for,
  • products & services are critical, otherwise
  • we end up with (continuous) (organisational) development.

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INSIDE-OUT strategic cycle in TACTICS-mode

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Dynamic process view

  1. First focus (INSIDE).
    1. Tactical considerations force the organisation to look (primarily external) for capabilities & competencies,
    2. in the hope that they will provide enterprise value from the outset.
  2. Second action (OUTSIDE).
    1. The employees are deployed for enterprise capacity building
    2. and enterprise development.
  3. The hope is
    1. that this delivers the correct value creation, with the trap of falling into disconnected 'vision thinking'
    2. therefor, are products & services the critical step.

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Linear process view

Tactics, the inside-out (focus) strategic cycle
Outside Driver Inside
<<<<<<<
↓ Mission ↑ ANALYSE

2. Enterprise value

DECIDE

3. Capacity building

↓ Tactics ↑ DREAM

1. Capabilities & competencies

DO

4. Organisational development

>>>>>>>
↓ STRATEGY ↑ Products & services = critical step
Value creation = hope
↓ Vision ↑ Customer value
Value appropriation

Dreaming, analysing, deciding and doing together form a complete thinking cycle.

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Areas of concern

Comming soon

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General concern

Comming soon .

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