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Mission and Principles Our mission is to help organizations achieve sustainable success by pursuing a disciplined approach to creating, communicating and capturing superior value. We help clients understand and then operationalize, in a consistent,
disciplined way, two fundamental principles: 1: The primary focus of a business should be to create, communicate and
capture superior value. 2: Sustainable value-creation strategies recognize the interdependent
interests of customers, employees and investors, and create business models
through which each of those constituents can best achieve its goals by advancing
the goals of the others. Rather than develop strategies for our clients, we build their strategic thinking and management capabilities. We then coach them as they develop and implement their own strategies. Our style of doing
business We treat customers with
respect, and approach our work in a spirit of “confident humility.”
While we know that we add great value, we also know that our customers
are smarter about their businesses than we
can ever hope to be. We respect
their knowledge and experience, and work with them to get the greatest leverage
from that knowledge and experience. We understand that the time and bandwidth of the CEO and management team are the scarcest organizational resources. We design our processes so that senior management involvement is time efficient and yields a high impact. Services We accomplish our mission through a series of services, including: A structured approach to improving organizational
performance that integrates Strategy, Execution, Learning
and Adaptation., to create an ongoing, virtuous cycle. Working with an individual manager or a management
team to build their strategic thinking and execution capabilities. Analyzing the major opportunities and challenges
facing a client organization and evaluating the soundness of the firm's current
approach to dealing with those opportunities and challenges. Working with young or start-up companies to develop a
value creation strategy in the form of a business plan, typically aimed at
attracting venture capital. Working with client organizations to draft white
papers on a variety of topics related to strategy and value creation.
Fundamental Insights All of our consulting services are rooted in a set of fundamental insights, which include:
The industrial, mass production economy reached its peak in the United States in the thirty years following World War 2. During that era, many of our fundamental assumptions about managing large organizations were formed, and those assumptions were, in turn, woven into the fabric of corporate practices and procedures. But over the last twenty years, we have shifted to an information economy. The key characteristics of the industrial and information economies are so radically different that many of the management practices we came to take for granted during the earlier period have now become dysfunctional. Successful organizations must align their management processes with the realities of the new economy. Those realities include the growing importance of innovation, and the shift from physical assets to knowledge assets as the basis of wealth generation.
The most successful companies believe their fundamental purpose is not to maximize short-term earnings or beat the competition, but rather to create a continuous stream of value for customers, employees and investors, in ways that integrate the interests of those three groups. We have found that once managers understand and accept this definition of organizational purpose, their thinking on a host of strategic and tactical issues becomes dramatically clearer and more precise.
The best value-creation strategies will fail if they are not supported by specific changes in a company’s management processes. For example, many organizations have adopted strategies that require greater levels of internal cooperation between business units, functional departments, etc. These strategies often fail because existing reporting structures, performance measures and reward systems reinforce the pursuit of parochial business unit and departmental objectives, undermining cooperative efforts that would benefit the company as a whole. Subscribe to the Paul O'Malley Associates newsletter
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