After conducting a webinar on ServiceNow for Finance Workflows at DxSherpa Technologies, we came to a scenario where we talked about what is working well and what is not. My opinion states that the approach to a specific problem is the only thing that goes wrong. But, from my experience, most teams add so many ingredients that it spoils the plan.
Almost all companies have access to similar pools of talent, technology, and capital (i.e., materials), but what sets executives apart is how they use new business models (i.e., recipes). It’s a way of differentiating themselves.
I would suggest the following models when any organization tries to reach for growth:
Generate growth by extending current markets
In project delivery, value capture refers to maximizing growth by extending current markets through efficient and effective project execution. It involves identifying and seizing opportunities to expand the project’s impact, reach, and benefits beyond its initial scope, thereby generating additional value for stakeholders and the broader market ecosystem. This is achieved through stakeholder analysis, scalable solutions, market research, strategic partnerships, iterative development, value proposition optimization, and post-project evaluation. By integrating value capture principles into project delivery, organizations can leverage their projects to unlock new growth opportunities and create sustainable value.
Generate growth by expanding to new and larger markets
In the context of project delivery, value creation refers to the strategic process of generating growth by expanding into new and larger markets. It involves analyzing potential target markets, developing a market entry strategy, adapting offerings to meet market needs, forming strategic partnerships, ensuring scalability and flexibility, conducting market research, and managing risks. By incorporating these elements into project delivery, organizations can penetrate new markets, unlock growth opportunities, and create sustainable value.
Both categories have obvious potential for success, but many companies use them centrally or short-sightedly. More focus on capturing value leads to Higher returns!
Understanding Value Transformation
Value transformation is a strategy for generating growth by advancing between technologies (i.e., conquest and creation) in response to circumstances and opportunities without sacrificing profits.
Companies are moving from mutually exclusive investments in value capture and value creation to mutually reinforcing investments in both. This approach will result in a ~20% increase in operating income (EBIT) and about 100% increase in enterprise value over the past decade.