“Strategic value analysis” for competitive advantage

✍ Scribed by Greg Young

• Publisher: John Wiley and Sons
• Year: 1999
• Weight: 209 KB
• Volume: 10
• Category: Article
• ISSN: 1058-0247
• DOI: 10.1002/(sici)1520-6386(199932)10:2<52::aid-cir8>3.0.co;2-b

✦ Synopsis

Strategic value analysis (SVA) integrates decision analysis with well-known principles of business strategy to develop spreadsheet-based models that select among alternative paths to competitive advantage. These models rank strategic alternatives by evaluating in one spreadsheet the competitive intelligence about rivals, customers, and suppliers, together with the value of the business position on key resource factors for success. Strategic value analysis applies scenario analysis and sensitivity analysis to the spreadsheet to test the validity of the ranking. Two core SVA processes, learning and evaluation, call for the CI analyst to have a central role in decision-making for competitive advantage, and to build collaborative working relationships with management and other sources of expert information. This article describes SVA and illustrates it with examples from actual business experiences.