Summary: Supporting an internal new business to scale up within the parent organization. Including
preparing the roadmap and governance process for future investment.
Result: The business succeeded in gaining growth investment and establishing key linkages with
major Business Units to drive next stage growth.
Industry: Trucks and Construction Equipement
Summary: Advising one of the largest global truck manufacturers on approach to new business development and scaling corporate ventures.
Result: Identification of best practice and organizational changes required to improve the success rate of new business scale-ups.
Global Healthcare Corporation
Summary: Review and improvement of new business building capability
Approach: As part of a strategic transformation, the business had invested several hundred million 100m in new ventures over a 10-year period but achieved relatively little return to date in the form of successfully trading new businesses. The aim of the project was to identify process and governance-related impediments to new business creation that would unblock the new business portfolio. Effectus helped to diagnose issues through in-depth process documentation review and discussions with portfolio teams and corporate leaders. The output was a set of recommendations to bring the business building process in line with best practice in corporate venturing and scaling.
New Venture Scaling
Industry: Powder Metals
Summary: The business sought to increase growth and margins by identifying a set of new applications and market segments for its core products – copper and aluminium powder metals.
Approach: Effectus carried out a comprehensive product-market adjacency analysis, matching product features to industry-specific applications; then carried out a large number of voice-of-the-customer interviews to validate potential benefits and customer needs. The result was a set of customer-qualified new product opportunities with a projected sales revenue potential of over $100m within 3 years.
Industry: Global Oil Major
Summary: New ventures are a key part of the client’s transformation strategy from a global oil company to a sustainable energy company.
Approach: Effectus acted as ‘executive in residence’ for a corporate venture team, providing coaching and process support through opportunity identification, validation and pre-scale planning, as well as interfacing with corporate decision-makers to develop and implement appropriate governance and investment decision making for the venture.
Industry: UK regional accounting firm
Summary: Appointed by the managing partner of a large regional accounting firm to prepare a 3-year strategic plan. The context was a major technological change in the profession with the rise of cloud-based accounting platforms and data analytics.
Result: The project involved consultation with all departments, review of technology infrastructure, competitive analysis, strategic options development and strategy translation into a business plan, balanced scorecard, change program and governance process. Several innovative commercial opportunities and margin improvements were identified, as well as organizational structure changes to deliver client-centric service. The strategic dialogue process involving Partners helped to clarify and answer several fundamental questions concerning the firm’s culture and future ownership status.
Prepare a 3-year strategic plan
Global Technology Manufacturer
Industry: Global Technology Manufacturer, Ireland
Summary: Define and implement a subsidiary development strategy that extended the corporate mandate to include global inside sales and R&D functions
Result: The strategy ensured ongoing competitiveness of the site relative to other global locations and generated many new high-skilled jobs, benefiting both the site and the local economy.
Subsidiary growth strategy
Industry: UAE-based Telecomms
Summary: Appointed by the Chief Digital Officer to identify use cases for internet-of-things (IoT) technology, including value proposition demonstrators that could be used by field-based business development teams.
Result: Development of an IoT propensity index tool, ranking of industrial sub-sectors, customer research and identification of unmet needs and applications for IoT, high-level solutions design and benefits analysis. The business subsequently launched several of the concepts into the corporate market.
Global Food Ingredients Company
Industry: Global food ingredients company, Denmark and USA
Summary: Supported a global innovation program, working with teams from North and South America and Europe, to explore adjacent growth opportunities leveraging core scientific capabilities in the firm.
Result: The project led to the identification of four major growth technology platforms in areas including sustainable energy, sugar substitutes and food safety. Investment in ventures contributed to a significant increase in corporate value that was subsequently realized through successful M&A.
Adjacency growth strategy
Industry: Global consumer products company, Switzerland and USA
Summary: delivered an innovation program within a €1bn+ business unit using a combination of consumer insight, technology scanning and market foresight techniques.
Result: The process resulted in a portfolio of new product innovation opportunities ranging from packaging to ingredients and new marketing concepts. The approach and toolkit was subsequently adopted in other BU’s.