Bm2

(Objectives for VG&D)

 

Output Objectives: 

Market Output Objectives are objectives assigned to the output of Market Processes: Products (in an extended sense). Those outputs are often tied to Capture Processes (ex: delivery of goods as a result of customers’ orders), therefore objectives should be attributed to the Super-Process they actually depend on.

• A Toyota factory may have objectives in terms of production rate and production quality, after switching to a new configuration with additional lines,
• After it improved its delivery organization, Cemex set objectives in terms of cement delivery lead time,
• Facebook may have had an objective in terms of number and size of marketing campaigns to gain its user base, before reaching a critical size and starting monetizing it,
• So long as it keeps its current activity, an online magazine like Techcrunch may have objectives in terms of number of articles released per day.

 

Operating Objectives:

Market Operating Objectives are objectives assigned to Market Processes in terms of requirement levels regarding inputs (Supplies and Resources) and inputs’ usage.

• Smart (Daimler AG) has objectives in terms of bill of materials (BOM) for its cars, i.e. objectives in terms of quantity of supplies directly incorporated into the product,
• Southwest Airlines has objectives in terms of average fuel consumption for its flights, i.e. objectives in terms of quantity of supplies directly consumed in the service delivery process,
• Airbus has objectives in terms of lead-time to build each plane, i.e. objectives in terms of manufacturing resources usage rate for its production process,
• Samsung will have objectives in terms of required usage of rare earth materials when it switches to a manufacturing process using substitutes,
• switching to LTE (4G) network, Verizon has objectives in terms of required infrastructure to serve a given number of clients.

 

(Objectives for VC&C)

 

CAPTURE ON CUSTOMERS’ SIDE:

 

Output Objectives:

Capture Output Objectives (on Customers’side) are objectives assigned to the output of Capture Processes: Revenues.

• Rovio, editor of Angry Birds, may have had objectives in terms or monthly revenue before extending its business to derivate products,
• Pebble Technology, a smartwatch company, had objectives in terms of number of preorders on Kickstarter before starting its production phase,
• a VC fund has objectives in terms of money raised before switching to the investment phase, and objectives in terms of portfolio divestment before closing its activity,
• once their business activity is more or less settled, most organizations have, of course, objectives in terms of annual revenues.

 

Operations Objectives:

Capture Operating Objectives (on Customers’ side) are objectives assigned to Capture Processes in terms of requirement levels regarding inputs (Supplies and Resources, but also Products – see Business Functions as BUs) and inputs’ usage.

• SAP has objectives in terms of sales cycle time, i.e. objectives in terms of required sales representatives’ time for its sales process,
• with its online stores, Zara (Inditex) may have objectives in terms of required physical stores to ensure its sales,
• Disneyland has objectives in terms of required advertising to get new customers visiting its park (leading to “customer acquisition cost”),
• by switching to a “cashless” payment solutions, vending machine operators like Canteen Vending Services have objectives in terms of required logistics to collect coins,
• Comcast has objectives in terms of required channels (generally speaking, a “product bundle”) to ensure a given level of revenue per customer.

 

CAPTURE ON SOURCES’ SIDE:

 

Output Objectives:

Capture Output Objectives (on Sources’ side) are objectives assigned to the output of Capture Processes: Supplies.

• Any Century 21 agency has objectives in terms of new reselling contracts per month, from real estate owners,
• Cash for Gold Co has objectives in terms of new individual gold suppliers per month,
• a VC fund has objectives in terms of startups to invest in during the investment phase of its business activity,
• Bank of America has objectives in terms of companies’ financial profile when it lends money (i.e. when it buys debt),
• Bolloré Group had objectives in terms of lithium sourcing before beginning its electric vehicle manufacturing phase.

 

Operations Objectives:

Capture Operating Objectives (on Sources’ side) are objectives assigned to Capture Processes in terms of requirement levels regarding inputs (Supplies and Resources, but also Cash – see Business Functions as BUs) and inputs’ usage.

• for its current business activity, Groupon must have objectives in terms of required sales executives to reach a given level of merchant acquisition rate,
• focusing on the efficiency of its purchasing process, Walmart must have objectives in terms of required IT and HR infrastructure,
• most organization should have, of course, objectives in terms of cost for what they have to buy, i.e. objectives in terms of required cash to acquire a given type of supplies.

 

(Objectives for VI&M)

 

Output Objectives:

Industry Output Objectives are objectives assigned to the output of Capture Processes: Resources.

• A new Samsung plant has objectives in terms of manufacturing infrastructure, before it switches to the production phase,
• Tesla Motors must have objectives in terms of new high end models it will develop before switching to mass produced models aimed at the mainstream,
• a League 2 soccer team has objectives in terms of victories before it can switch to a new business phase heavily focused on sponsorship-based revenues,
• 20 Century Fox has objectives in terms of films produced per year,
• Microsoft may have objectives in terms of new patents per year.

 

Operating Objectives:

Industry Operating Objectives are objectives assigned to Industry Processes in terms of requirement levels regarding inputs (Supplies and Resources) and inputs’ usage.

• Google has objectives in terms of electricity consumption to run its servers,
• with CAD solutions, mobile phones manufacturers were able to set stronger objectives in terms of required design process time,
• by adopting online training solutions, GE could set new objectives in terms of required infrastructure to improve the efficiency of its human resources,
• Aqua America, using sensors in its water delivery network, has objectives in terms of required on-site interventions for maintenance.