This article was prepared by the Deloitte Strategy and Innovation team at Deloitte Consulting South Africa. If you have specific questions, you may contact Mike Vincent at mivincent@deloitte.co.za, Kirsten Benfield at kbenfield@deloitte.co.za or Julia Johnson at juljohnson@deloitte.co.za
Adjacent Growth Plays – An unexploited gold mine or a distraction from core business?
Making your current business grow is one strategy. Growing beyond your current business is another. Which one offers greater benefits and how important is the difference?
Deciding to grow a business is the beginning, not the end, of a complex strategic planning process. One of the most important decisions is where to look for growth: in familiar areas that offer quick returns, or in products, services or markets that represent a departure and may take time to cultivate. The answer can determine not only what your business does next, but what it becomes. Should you seek growth opportunities close to the core, or further afield?
This article describes the Deloitte point of view on growth through adjacent plays and how leadership teams can systematically drive this growth through to create the “Business of Tomorrow” for achieving sustainable shareholder value growth.
It is common cause that all shareholders expect that management teams will diligently apply their minds to growing the business in which they are invested. Increased operational efficiencies, while important, will typically only deliver incremental improvements in margins. What are the other potential sources of growth that could deliver ambitious growth targets and meet the insatiable appetite of shareholders?
Read the full article . . . . Adjacent Growth Plays – An unexploited gold mine or a distraction from core business
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Filed under: Executive Leadership, adjacent plays, business growth, business strategy, Deloitte, leadership, management, shareholder value
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