贝恩咨询贝恩《BainBPRApproachKaiA新
贝恩咨询分析方法plp
Key product profitability measure: Cost allocation method:
Disadvantage:
• Gross margin
(revenue - cost of goods sold)
• Accounting standards
• Often does not reflect true
Gross Margin Versus Operating Margin
If accounting ect costs to products, managers may misjudge products’ relative contribution to profits.
bc
BOS CU7020998JZA 10
Product Line Profitability Potential for Mismanagement
Failure to tie direct and indirect costs to individual product lines can cause firms to mismanage their businesses.
• Operating margin
• Activity-based cost drivers
• Difficult to capture all
activities that drive costs
bc
BOS CU7020998JZA 7
Product Line Profitability
Direct and Indirect Costs
Product Line Profitability
Product line profitability (PLP) is a diagnostic tool that helps us determine the “true” profitability of each product within a multi-product portfolio.
国际商务英语写作模板:商业计划书
国际商务英语写作模板:商业计划书篇一:商业计划书模板---英文版精编资料商业计划书模板---英文版BUSINESS PLAN TEMPLATEBUSINESS PLAN[My Company]123 MainStreetAnytown, USA -4567[Your Name][DATE]TABLE OF CONTENTS...商业计划书商业计划书模板---英文版BUSINESS PLAN TEMPLATEBUSINESS PLAN[My Company]123 Main StreetAnytown, USA 10000123-45671[Your Name][DATE]2TABLE OF CONTENTSExecutiveSummary ........................................... ................................................... .. (1)Management ........................................ ................................................... ................................................... . (2)[Company] History ........................................... ................................................... .. (5)[Product/Service] Description ....................................... ................................................... . (7)Objectives......................................... ................................................... ................................................... .. (9)Competitors ....................................... ................................................... ................................................... .. (10)Competitive Advantages ........................................ ................................................... .. (11)Innovation ........................................ ................................................... ................................................... . (13)Pricing ........................................... ................................................... ................................................... (14)Specific Markets ........................................... (15)Growth Strategy .......................................... ................................................... . (16)Market Size and Share ............................................. ................................................... (17)Targeting New Markets ........................................... ................................................... . (18)Location .......................................... ................................................... ................................................... .. (19)Manufacturing Plan .............................................. (20)Research & Development ....................................... ................................................... . (21)Historical Financial Data .............................................. ................................................... .. (22)Proforma Financial Data .............................................. ................................................... .. (23)Proforma Balance Sheet ............................................. ................................................... (26)Cost Control ........................................... ................................................... (27)Effects of Loan or Investment ........................................ ................................................... (28)Attachments ....................................... ................................................... ................................................... . (29)3Executive Summary [My Company] was formed as a [proprietorship, partnership, corporation] in [Month, Year] in [City, State], by [John Doe] in response to the following market conditions:[Startup, growth] opportunities exist in [Product/Service].The need for use of efficient distribution (转载于: 小龙文档网:国际商务英语写作模板:商业计划书)and financial methods in these overlooked markets.[I/We] have several customers who are willing to place large [orders,contracts] within the next three months.Several other prospective [customers/clients] have expressed serious interest in doing business within six months. [I/We] previously owned a company that was active in the widget markets. Over the past few years I spent much time studying ways to improve overall performance and increase profits. This plan is a result of that study. The basic components of this plan are:1. Competitive pricing2. Expand the markets3. Increased advertising4. Lower our unit costs,5. Thereby achieving higher profits.1. Sign contracts2. Increased advertising3. Increase office staffTo this end, [I/we] need investment from private individuals and/or companies. A total of $XXX isbeing raised which will be used to finance working capital, plant and equipment. The company will be incorporated and common stock issued to investors. The company will be run as a [proprietorship, partnership, corporation].Financial Goals Sales Net Income Earnings pershareYear 1 $25,000 .01 Year 2 $250,000 .12 Year 3 $375,000 .141Management[Name] [Title]??[Experience]??Sales growth from zero to $1,000,000 in five years.??Led market in market share - 30%.Formulated advertising budgets & campaigns.Pioneered new distribution channels. Established national sales force.Established national repair & service centers.Brought new and innovative products to the market.Designed point-of-purchase materials.[Education}University of BostonBoston, MA- Computer SciencesPresidentJohn Q. Doe, Chief Executive Officer, and Director since February 1988 and President since January 1990. Mr. Doe was the founder and Chief Executive Officer of the original operating company known as Random Excess, Inc. He has had experience in the widget field with his own firm, John Doe Co., of Oshkosh (Wisconsin), from 1980 to 1987. This firm was sold to FatCat Widgets, Inc. in 1987.篇二:商务英语写作(商业计划书写作格式)商务英语写作:商业计划书写作格式XX-03-24 13:39:08 来源:爱词霸资讯官网封面 (Title page)企业的名称和地址Name and address of business负责人的姓名和地址Name(s) and address(es) of principals企业的性质Nature of business报告机密性的陈述Statement of confidentiality目录 (Table of contents)1. 概述/总结 (Executive summary)2. 行业及市场分析 (Industry analysis)对未来的展望和发展趋势 (Future outlook and trends)竞争者分析 (Analysis of competitors)市场划分 (Market segmentation)行业预测 (Industry forecasts)3. 企业的描述 (The description of the venture)企业的宗旨和目标(Mission statement and objectives)产品或服务的描述 (Description of the product or service)企业的规模 (Size of business)产品的进一步开发(Future potential/product development)竞争优势 (Competitive advantage)办公设备和人员 (Office equipment and personnel)创业者的背景 (Backgrounds of entrepreneurs)4. 生产计划 (Production plan)制造过程/被分包的数量 (Manufacturing process /amount subcontracted)选址 (Location)厂房 (Physical plant)机器和设备 (Machinery and equipment)原材料的供应情况 (Sources of raw materials to be supplied)生产能力和提高的可能性 (Output limitations, if any, and scale-up possibilities)质量控制计划 (Quality control plans)5. 营销计划 (The marketing plan)定价 (Pricing)分销 (Distribution)促销 (Promotion)产品预测 (Product forecasts)预见的涨价 (Anticipated mark-up)竞争对手的反应 (Competitors’ response)市场份额预测 (Market share projection)控制 (Controls)6. 组织计划 (Organizational plan)所有权的形式 (Form of ownership)合作者或主要股权所有人的身份 (Identificationof partners or principal shareholders)负责人的权利 (Authority of principals)管理层成员的背景 (Management team background) 组织成员的角色和责任(Roles and responsibilities of members of organization)7. 风险与对策分析(Assessment of risks)企业弱点的评价 (Evaluate weakness if business)新技术 (New technologies)应急计划 (Contingency plan)8. 财务计划 (Financial plan)各种业绩比率和投资回报 (Summary of performance ratios, ROI etc.)销售预测 (Sales forecasts)财务预测的假设(Assumptions underpinning financial forecasts)损益表(Income statement / Profit and loss statement)预测现金流量表 (Cash flow projections)资产负债预估表 (Pro forma balance sheet)量本利分析 (Break-even analysis)资金来源和运用 (Sources and applications offunds)9. 融资需求 (Financing requirements)融资前的活动小结 (Summary of operations prior to financing)现在的股东和未付债款 (Current shareholders, loans outstanding)资金需要量及时间 (Funds required and timing)投资回报 (The deal on offer)资本负债比率和盈利与利息比率(Anticipated gearing and interest cover)投资者退出方式 (Exit routes for investors)附录 (Appendix)1. 管理人员简历 (Management team biographies)2. 职业咨询人员背景(Names and details of professional advisors)3. 技术参数和图纸 (Technical data and drawings)4. 专利、版权、设计等(Details of patents, copyright, designs)5. 审计的报表 (Audited accounts)6. 信件 (Letters)7. 市场调研数据 (Market research data)8. 租约或合同 (Leaser or contracts)9. 供应商的报价单 (Price lists from suppliers)10. 客户的订单 (Orders from customers)篇三:英文商业计划书模板英语商业计划书(Business Plan)第一讲:概述第二讲:现状分析第三讲:目标确定第四讲:组织结构第五讲:产品分析第六讲:市场分析第七讲:市场策略第八讲:生产分析第九讲:财务分析第十讲:附件第一讲:概述(executive summary)概述是整个商业计划的第一部分,相当于整个商业计划的浓缩,使整个商业计划的精华所在。
贝恩咨询分析方法-Ratioanaly
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Ratio Analysis的实际 应用案例
总结词
通过Ratio Analysis,分析某公司 的盈利能力,评估其经营绩效和市 场竞争力。
详细描述
利用销售利润率、净利润率和资产周转率等指标,分析该公 司从销售活动中获取利润的能力、成本控制能力和资产利用 效率。
总结词
通过Ratio Analysis,分析某公司的营运能力, 评估其资产管理和运营效率。
资产收益率
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股东权益收益率
反映企业资产创造利润的能力, 计算公式为净利润与总资产的比 值。
衡量股东权益的收益水平,计算 公式为净利润与股东权益的比值。
营运能力比率
应收账款周转率
反映应收账款的周转速度,计算公式为销售收入与应 收账款的比值。
存货周转率
衡量企业存货的流动性,计算公式为销售成本与存货 的比值。
详细描述
利用存货周转率、固定资产周转率和总资产周转率 等指标,分析该公司资产管理和运营效率,以及资 产使用效率和回报水平。
总结词
通过Ratio Analysis,分析某公司的偿债能力,评估其短期和长期偿债能力及财务 风险。
详细描述
利用流动比率、速动比率和负债权益比 率等指标,分析该公司短期和长期偿债
贝恩咨询分析方法Ratio Analysis
目录
• Ratio Analysis简介 • Ratio Analysis的主要类型 • Ratio Analysis的应用步骤 • Ratio Analysis的优缺点分析 • Ratio Analysis的实际应用案例
01
Ratio Analysis简介
Ratio Analysis的重要性
提供决策依据
贝恩咨询分析方法-ProductLineProfitability
•
•Bain profit improvement tool kit
• PLP • BDP • RCP • VMR
•5
贝恩咨询分析方法ProductLineProfitability
Profit Line Profitability
•Senior managers can use PLP analysis to make important decisions about product lines.
change in supplier quality
• Standard excludes switchover from main produce
• Increased labor due to rework from lost
•
贝恩咨询分析方法ProductLineProfitability
Product Line Profitability
•If gross margins are based on inappropriate accounting standards and indirect costs are not allocated appropriately
•Accounting standard
•Revenue per widget: •Raw materials:
•$6.00 •$1.75
•Production floor labor:
•0.30 hours x 8.00/hour = $2.40
•Gross margin: •Gross margin percent:
•Sales and marketing
• Spend advertising
贝恩咨询-战略分析工具幻灯片PPT
Value Managed Relationships Value Managed Relationships Objectives
After cቤተ መጻሕፍቲ ባይዱmpleting this module, you will be able to:
•Understand VMR concept and application •Articulate types of cost savings opportunities created by VMRs •Use the Bain framework to conduct a VMR •Refer to real examples of Bain’s VMR process and success
collaborative sharing of information and resources.
Value Managed Relationships
A VMR is one procurement strategy to maximize cost savings and strategic value.
Vertical Integration
Value Managed Relationships
How Does a VMR Work?
A VMR, when appropriate, exceeds the value of all other types of relationships.
•A Value Managed Relationship can exceed the value
Strategic Purchasing Options
Vertical Integration
Bain战略分析工具英文版
Creating and managing a profit pool
Profit pool analysis may indicate new opportunities or threats
Imperatives
Be open to a new perspective on your business and industry
0
0
other components
personal computers
microprocessors
share of industry revenue
software
peripherals
Value chain focus Axes
Vertical—operating margin Horizontal—share of industry data
service repair
100%
aftermarket parts auto rental
2023/12/29
4
Profit Pools: Company Examples
Companies
Automakers U-Haul Elevators (OTIS) Harley Davidson
Polaroid
Current strategy
Change product focus
Change Customer focus
2023/12/29
15
Application to our cases
Retail industry (Wal*Mart) Soft drink industry (Coca-Cola and
贝恩分析方法-rcp
数据获取的挑战与解决方案
挑战
数据获取是RCP实施过程中的一大挑战,尤其是在数据分散、数据质量参差不 齐的情况下。
解决方案
建立统一的数据管理平台,制定数据标准,加强数据治理,确保数据的准确性 和完整性。同时,加强与各业务部门的沟通与协作,提高数据共享的意识和积 极性。
资源整合的挑战与解决方案
挑战
资源整合涉及到人力、物力、财力等多个方面,如何高效地整合资源是RCP实施 过程中的一大难题。
THANKS
感谢观看
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企业需要对资源进行有效的管理和规划,以确保资源的充足性和可持 续性。
企业还需要不断优化资源配置,以提高资源的利用效率和企业的整体 效益。
能力维度(Capacity)
能力维度是指企业所具备的能 力,包括生产能力、研发能力
、营销能力、管理能力等。
在能力维度上,企业需要考虑 如何提升自身的能力,以应对
RCP的含义和重要性
01
RCP是贝恩分析方法中的一个重要概念,分别代表了Repositioning(重新定位)、 Creativity(创造力)和Positioning(定位)。
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RCP强调企业在市场竞争中不仅要有准确的定位,还要根据市场变化和消费者 需求的变化进行重新定位,同时要发挥创造力,不断创新和改进产品或服务, 以保持竞争优势。
RCP在企业中的发展趋势
更广泛的应用领域
随着RCP的不断发展,其应用领域将越来越广泛,不仅限 于财务和战略分析,还将扩展到市场营销、人力资源等领 域。
个性化定制服务
企业将更加注重个性化的定制服务,根据不同行业和企业 的特点,提供更加贴合需求的RCP解决方案。
持续优化和升级
随着技术和市场的变化,RCP将持续优化和升级,以适应 不断变化的市场需求和企业战略调整。
作为溯因推理研究方法的因果过程追踪及其在公共政策研究中的应用
与量化研究相 比,质 性 研 究 显 然 更 擅 长 于 发 掘 和 描 述 政 策 变 化 过 程 的 因 果 机 制①( 朱天飚,2017) 。“一个完整的解释,必须规定一种机制来描述一个变量影响另 一个变量的过程,换句话说,X 是如何产生 Y 的”( Kiser and Hechter,1991) 。质性方 法论体系利用个案分析方法研究社会现实案例,是国内外公共管理以及公共政策研 究的重要载体( Sigelman and Gadbois,1983; 马骏,2012) 。个案分析方法通过对公共 政策过程的全景式描述,多角度地把握研究对象的特征,可以探索揭示公共政策实 施过 程 的 因 果 机 制,但 其 方 法 论 瓶 颈 在 于 从 个 别 到 一 般 的 因 果 推 论 解 释 力 弱 ( Eisenhardt,1989; Yin,1994; Goodin,2009) 。为提高因果推论能力,公共政策的质 性研究方法论 体 系 需 要 进 一 步 突 破。近 年 来 兴 起 的 因 果 过 程 追 踪 方 法 ( Causal Process Tracing) 具有识别并纠正虚假因果关联以及遗漏变量偏误等内生性问题的方 法论优势( Falleti,2016; 张长东,2018) ,成为公共政策学者可以使用的重要方法论 工具。
产业经济学中的贝恩范式
产业经济学中的贝恩范式摘要:1.贝恩范式的定义和概述2.贝恩范式的核心理论3.贝恩范式的应用领域4.贝恩范式的优势与局限性5.我国产业经济学中的贝恩范式实践正文:一、贝恩范式的定义和概述贝恩范式,又称贝恩产业组织理论,是由美国经济学家约瑟夫·贝恩(Joseph K.Bain)在20 世纪50 年代提出的一种产业组织理论。
贝恩范式主要研究企业、市场和产业组织结构之间的关系,以企业行为和市场结构为核心,分析产业内的竞争、垄断、价格、质量等问题。
二、贝恩范式的核心理论贝恩范式的核心理论主要包括以下几个方面:1.规模经济:贝恩认为,企业的规模扩大可以带来生产成本的降低,从而提高企业的市场竞争力。
2.市场结构:贝恩范式将市场结构分为完全竞争、垄断、寡头垄断和竞争性垄断四种类型,并分析不同市场结构下企业的行为和市场绩效。
3.市场进入和退出:贝恩范式探讨了企业在不同市场结构下的进入和退出问题,以及市场进入和退出对市场结构和产业绩效的影响。
4.研发与创新:贝恩范式强调研发与创新对企业竞争优势的重要性,以及企业如何在不同市场结构下进行研发与创新。
三、贝恩范式的应用领域贝恩范式在产业经济学领域具有广泛的应用,包括以下几个方面:1.产业组织政策:贝恩范式为政府制定产业组织政策提供了理论依据,如对垄断行业的监管、对新兴产业的扶持等。
2.企业战略:贝恩范式为企业提供了在不同市场结构下制定竞争战略的思路,如如何实现规模经济、如何进行研发与创新等。
3.产业竞争力分析:贝恩范式可以帮助分析产业内的竞争状况,预测产业发展趋势,为提升产业竞争力提供指导。
四、贝恩范式的优势与局限性贝恩范式的优势主要体现在以下几个方面:1.系统性:贝恩范式从企业行为和市场结构的角度系统地分析了产业组织问题。
2.实用性:贝恩范式的理论和方法可以直接应用于产业组织政策的制定和企业战略的制定。
然而,贝恩范式也存在以下局限性:1.忽略了市场竞争的动态过程,贝恩范式的静态分析难以解释产业的动态发展。
进入壁垒与退出壁垒
我国学者杨治从相反的角度来定义进入壁垒,----即进入壁垒就是新企业比 老企业必须多承受的不利因素。
新企业比老企业必须多承受的不利因素,都会阻碍新企业进入产业,构成进 入壁垒。
进入壁垒的特征: (1)进入壁垒是针对特定产业或企业; (2)进入壁垒是可变的; (3)进入壁垒是企业针对竞争对手采取策略性行为的主要方式,具有针对性。 (4)进入壁垒具有多样性,一般分为经济性进入壁垒与非经济性进入壁垒。
高
轮胎
中等偏低
钢铁
高
人造丝 中等偏低
拖拉机
很高
壁垒很高的行业可以使价格比竞争水平高10%以上, 高和中等偏低的进入壁垒分别允许价格超过竞争水平7%和4%。
贝恩的进入壁垒
行业
经济规模 产品差别 校对成本 资本要求
汽车
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卷烟
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汽油
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鞋
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1~2
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肥皂
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钢铁
2Leabharlann 133拖拉机
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(二)非经济性进入壁垒的种类与产生的原因
政策法律制度
阻止进入的策略性行为
指寡头垄断行业中现有企业通过相互协调,实施控制产业利润率、形 成过剩供给、针对新企业的歧视性价格等一些阻止进入的策略和行 为,由此形成阻碍新企业的壁垒。
第二节 测量进入壁垒的基本方法 产业的进入壁垒越高----新企业进入越困难----产业内企业也就越少--
第三节 退出壁垒的基本涵义与影响因素
一、退出壁垒 经营不成功的厂商主动放弃生产或提供某种特定市场上的产品或服务,从
贝恩咨询分析方法-rcp3
Agenda
•
贝恩咨询分析方法-rcp3
Yummy Gum* - Background
•Bain used RCP to help its client Yummy Gum improve its profitability.
•Situation:
• Yummy gum has a solid hitchhiker position in the premium gum
贝恩咨询分析方法-rcp3
2020/12/10
贝恩咨询分析方法-rcp3
• The relative cost position (RCP) concept • Applications • RCP Steps • Client example • Challenges • Key takeaways
•Doing an RCP involves several steps:
RCP Steps
•Process Steps •Map the business value chain
•Key Success Factors
• Map value chain from end to end (e.g., raw materials to
reduction efforts? (e.g., wage rates, amounts of raw material inputs)
• Which cost elements would
decrease significantly with an increase in scale?
• Which cost elements might
element for key competitors based on primary data
贝恩2017年全球奢侈品行业研究报告(英文版)
DELIVERING CONTENT, INSPIRATION AND ENGAGEMENT THROUGHOUT TOUCHPOINTS WILL BE KEY TO WIN
VIRTUOUS CIRCLE AROUND THE YOUNGER GEN ACCELERATION:
MILLENNIALS ENTERING THE MARKET WITH CLEAR TASTES AND BEHAVIORS, INFLUENCING OTHER GENERATIONS
WINNING BRANDS DEVELOPING TAILORED STRATEGIES AND UPGRADED VALUE PROPOSITIONS
16-17E PERSONAL LUXURY
GOODS GROWTH
4 LOCAL
+ % CONSUMER
SPEND
6 TOURIST
+ % SPEND
RoW
ASIA
(ex. M. China and Japan)
11
10 YEARS AFTER THE CRISIS, LUXURY MARKET GROWTH DRIVEN BY VOLUME – NOT PRICE INCREASE (EXAMPLE: LEATHER GOODS)
"LOCAL TOURIST" AS THE UNIVERSAL CUSTOMER: ALMOST ALL NATIONALITIES AND GEOGRAPHIES GROWING (ESP. CHINESE AND CHINA)
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Bain BPR ApproachKai A. SimonViktora Institute1 G eneral aspectsBain uses five key success imperatives for BPR projects. The approach used by Bain & Co. also differs from the definition outlined by the early advocates Hammer & Champy.Hammer & Champy’s definition The radical redesign of business processes to achieve dramatic improvements in critical measures of performance, such as cost, quality, capital, service, and speed.Bain’s definitionThe holistic redesign and optimization of a business to achieve full potential and build strategic competitive advantage. This includes the radical redesign of core processes as well as the application of the entire Bain tool kit of performance enhancing techniques.The definition of Hammer & Champy is focusing the aspect of business process performance improvement in quantitative terms. Conducting a BPR-project with this definition as starting-point, the targeted improvements would primarily be defined in terms of quality, cycle-time and cost efficiency. The Bain definition, on the other hand, takes a wider perspective and includes the aspect of strategic competitive advantage in an explicit way.2 R eengineering principles•Top management sponsorship. Senior management is obliged to provide an inspirational vision of the ultimate goal to be achieved. This includes the slaughter of ”sacred cows”, allowing the reengineering team to explore all opportunities, even those that might imply a re-consideration of the company's business scope and strategy. Also, there must be a clear and early commitment to the results that are developed during the initiative in order to give the necessary creditability to the effort.•Strategic foundation. The business of the company must be clearly defined.Consequently, any business improvement effort must depart from a re-consideration of the organization's business scope, vision statement and overall strategy. The result of this initial phase must inform the identification of business processes and customer requirements.•Comprehensive change management. The goals of the change initiative must be communicated extensively throughout the entire organization. The change effort, lead by the project team, has to show early achievements, that provide momentum to the overall effort.•Right and left-brained thinking. Breakthrough ideas, and radical and creative design must be combined with a systematic, deliberate and conservative implementation of the designed processes, organizational structures and technological components.•Aligning organizational components through investments. Information technology that supports the new processes is a necessary investment. The compensation and reward structure must be aligned with the new organizational form, while training and education must be provided to enhance individual and organizational skills.3 T he role of ITEven though Bain is not directly involved in systems development for clients, recent developments in e-business have not passed unnoticed. As a consequence, Bain has developed a model for evaluating start-up companies in the e-business sector and taken on the role of business incubator.In its client projects, Bain considers technology as a medium that offers significant opportunities to enhance service, reduce costs, and achieve a differentiated breakthrough in the way a company develops and delivers its products, or services. The change team for BPR projects in which Bain is involved is typically staffed with experienced IT people from the client company and facilitated by a senior member of Bain’s technology practice. This person is responsible for coordinating the IT-related activities within the project. Generally, Bain is not involved in developing IT solutions, leaving this part to partners specializing in this field. Appropriate partners are selected and recommended. The technological guidance is covered by a four stage approach, where each stage consists of a number of activities with varying Bain involvement. Bain runs the IT aspects of a process improvement project through a cycle similar to the one being used for the organizational and process elements.Identification of potential breakthrough technologyIn this initial phase of the IT improvement cycle, the involvement of Bain is relatively high. Either the activities are directly carried out by Bain personnel, or strong support is given to client personnel doing the work with regard to research, analysis and methodology.•In depth understanding of customers. In order to identify technology opportunities, it is necessary to gain a sound understanding of the role and expectations of customers and their interfaces with the company. It also includes the consideration of the "electronic value chain" as a whole, instead of investigating and improving its elements individually.•Knowledge of leading edge technology and applications. A high pace of development in the IT area constantly offers new technologies and applicationareas. The selection of cutting-edge, yet sustainable, technology solutions requiresa deep knowledge of leading applications and emerging technologies.•BPR survey of comparable firms. In order to explore the potential for gaining strategic advantage through IT, a survey or investigation of comparable firms is conducted and the results are benchmarked against the company. Comparable companies, in this context, does not only mean firms in the same industry, but can include organizations with similar processes or customers.Detailed description of technological requirementsAlso in this phase, the involvement of Bain personnel is high. The specifications are developed in the reengineering team, consisting of client personnel and consultants, where the consultants take responsibility for the methodological approach and the structuring of results.•Define detailed user requirements to satisfy customer needs. Internal requirements for functionality and usability need to be considered together with the needs for customer oriented performance and the achievement of customer satisfaction.•Work closely with leading edge vendors. In order to assure that recent and relevant technology is considered for inclusion in the project, contacts with leading vendors are taken at an early stage of the improvement initiative. However, that does not mean that a selection of a specific solution takes place.•Evaluate cost/benefit with respect to reengineering vision. Investments in information technology must be in line with the defined vision of the reenginering effort and justified with improvements in customer service, process performance, or quality. In other words, the value added by technology must exceed the required investments and deployment costs.Develop prototypeIn the prototype development, the role of Bain is less prominent than in the previous phases. Since Bain does not take on the development of technological solutions, theinvolvement is limited to be guiding and ensuring that the IT development is in line with the objectives of the overall initiative.For this stage, three options are available, depending on the clients IT-sourcing strategy. The technical solution can be developed internally by the company, if the required resources and competencies are available. Alternatively, development can be sourced to the company's existing IT partner, or a partner recommended by Bain.•Prototype hardware and basic infrastructure. The hardware specification defines the overall architecture of the technical system to be implemented with regard to network infrastructure, choice of hardware platform and required hardware performance. This also includes the determination of network protocols and operating systems.•Software/application design and development. The necessary software in terms of applications and integration modules must be designed and developed in compliance with the objectives set out for the improvement initiative, but must also follow good practice in systems development, especially when business critical systems are part of the development. When off-the-shelf software is used, development does not take place, while the design effort remains the same.•Develop Alpha-version of integrated system. With all components in place, a first prototype of the technology solution as a whole is developed. In the case of purchased system, this step includes the installation and initial customization.•Meet pre-pilot performance threshold. For ensuring system performance in compliance with the objectives set out on process level, the alpha-version must be able to reach a threshold to be considered as feasible and valid. If tuning of the first version does not make it possible to reach this threshold, the solution must be reviewed and possibly replaced.Pilot and RolloutOnce the pilot installation has met the performance threshold and has been approved for further development, the pilot installation and rollout is initiated. In this phase,Bain is operationally involved in determining internal technology ownership, defining and designing training and education programs.•Alpha/Beta pilot sites with leading vendors. In cooperation with the internal or external vendors being selected, the improved solution prototype is developed intoa stable prototype that is installed at a number of pilot sites.•User training and feedback. User training and the collection of feedback for further improvement is crucial for the successful rollout and deployment of the technological solution. The emphasis must be on training in technology use and the development of understanding the business and process benefits of technology.•Plan for needed revision and total rollout. Based on the user feedback and system evaluation during the pilot phase, a plan for the required revisions and subsequent organization-wide installation and deployment is developed.4 T he reengineering approachBain comprises five stages into the BPR approach, each of them with different objectives, duration, and Bain involvement. The different may involve other companies, e.g. as part of the benchmarking process.Bain reengineering approachMacro auditAt this stage, Bain takes an active role and is involved in all activities. The overall steering group and teams for different improvement areas are actively supported.•Identify and prioritize target areas and opportunities. In this phase, the overall objectives of the initiative are identified and outlined. This includes the identification and prioritization of processes and organizational units to be targeted and the definition of the vision and intended outcome of the improvement effort.•Define scope and intended improvement level for each area. For each of the targeted processes and organizational units, the scope of the improvement initiative is defined. Within this scope, the improvement objectives are described in terms of time, cost, quality and service level.•Build project teams. For each area, a project team is assembled that is responsible and accountable for the improvement effort and achievement of the targeted goals.These teams are coordinated by an overall group.•Hunt for profit. Any organizational and process improvement effort must result in bottom-line profit. In the final stage of the macro-audit, the defined improvement areas are investigated with regard to their ability to deliver added value and profits.Diagnosis/AnalysisThe consultants' involvement in this phase is high, but limited to high-priority areas. Typically, consultants are involved in the benchmarking activities and contribute with their experience from other companies and provide methodological support.•Fact base development. For each area, a fact base is developed, including a detailed analysis of the current situation. For this purpose, the current processes and organizational structures are investigated and documented, and performance gaps are identified and scrutinized for the underlying causes.•Inclusion of benchmarks into evaluation. The results of the benchmarking against external organizations can contribute to developing a more informed fact base and are included into the analysis. The benchmarking effort can includeorganizations in the same industry, but also companies with similar processes in different industries.Option developmentThe development of possible change options is a concentrated effort with high involvement of consultants. However, the consultants primarily play a facilitating role.•Test limits of current approach. The current organizational structures and processes are analyzed with regard to their ability to satisfy the performance requirements set out for the improvement initiative. The result of this analysis determines the required level of change in the different target areas.•Develop alternatives. Depending on the level of change being required for achieving future performance goals, different process and organization alternatives are developed and evaluated against each other. This evaluation is includes the determination of resources and effort required for implementation of the new processes and structures and their potential for future change.PilotsThe consultant participation in this phase is focused on the support of company internal work groups and the conceptual testing and evaluation of existing and new processes and organizational structures.•Prove and select ideas. In selected areas, pilot implementations of new processes and organizational support structures are implemented and tested in order to prove and evaluate different approaches and concepts. The test, evaluation and selection phase is conducted in an iterative way and the evaluation of these pilot implementations is used for selecting the most feasible options.•Build commitment for rollout. A fast and consistent rollout requires a broad commitment from various actors in the organization. Creating a genuine understanding of the new working principles, processes and organizational structures is a pre-requisite for ensuring a smooth and effective diffusion process.•Identify rollout support requirements. A second requirement for making the rollout process work is the identification and assignment of resources and support for the diffusion process itself. The new process introduction must take place without disrupting operational efficiency and the old ways of working must be transformed fast and seamlessly.Full implementationIt is common, but not necessary, that consultants are involved in the roll-out phase. In most cases, Bain personnel is supporting the implementation teams and assists them in the initial check-up phase.•Rollout to organization. Depending on the assigned resources and the implementation strategy and capability, the roll-out phase can take between 6 and24 months. A parallel introduction is more resource consuming and involves higherrisk, whereas a step-by-step diffusion reduces these factors, but extends the project and postpones the initiation of the deployment.•Install tracking system. In order to monitor the performance of the implemented processes and engage in a phase of continuous fine-tuning and improvement, a tracking system must be implemented. This measurement tool analyzes processes according to their performance metrics and in relation to the performance objectives being set out in the initiation phase of the improvement effort.。