Strategic Review SRQ rationale

When the Apollo space craft was sent to the moon, the dream, vision, mission, and specific supporting goals were all in sync. Such is the nature of circumstances yet often overlooked by the casual observer, there is immense diligence required of the management of the journey. From atmospheric disturbance, through gravitational pulls, fuel optimisation and physical logistics it was necessary for the space craft to go off course inorder to be steered on course to the destination. This happened about a hundred thousand times! Momentum, speed and directional correction was calculated and made in direct proportion to the feedback collected from the instrumentation both on the craft and at mission control. Some of this was automatic yet the success was in the main due to the manual interventions.

When a business is launched, like the Apollo space mission, business direction is predetermined by the owners and managers directing the intended strategic outcomes. The key measures everyone will be familiar with are the sales volumes, the gross margins and sometimes (though not often enough) the net profits after expenses. For some, the road travelled is only reflected upon at Business Activity Statement time or financial year end. Others receive a ‘friendly’ or not so friendly letter from the bank!

A proactive way to capture strategic information in addition to every day Key Performance Indicators, is to maintain a discipline of regular strategic reviews of the business. Once a year is not good enough. Once a quarter is good yet nothing will add business ‘steering’ value better than a series of planned, disciplined mini monthly reviews where the quarterly exercises can reflect and offer decision support to emerging trends.

The Strategic Review Quotient (SRQ) instrument is designed to promote a proactive, strategic management habit to ensure businesses as whole or key divisions or departments are on track to achieve. The end mission may be an annual performance or a two to three years horizon of a particular strategic initiative.

The SRQ7 suggests SEVEN fundamental conversation starter questions:

  1. This business has  clear Vision, Mission and Purpose statements
  2. The Market positioning or niche is identified and targetted
  3. Key business strategies for ‘going to market’ are operationalized
  4. Business Plan, Revenues and Budgets EIS plus SWOT analysis are being used
  5. Key business processes and systems are documented and followed
  6. There is an inventory of pre-arranged resources
  7. All the key deliverables for the business are catalogued.

 The SRQ70 is a structured process for a general Strategic Review and a quarterly agenda.

  • The process includes documenting a score against seventy key questions in each of the SRQ seven categories.
    • The output is a two page report graphically illustrating the strategic review status check of the business.
    • A strategic Quotient value rates the business on the following scale:
  • Highly sustainable 
  • All KPI’s are consistent to plan
  • Internally Efficient & Externally Effective
  • Operational and In-Development
  • Critical Success Factors Optimised
  • Business Start-Up attributes  
  • Business Concept Status  

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This is a sample SRQ70 report: 

The SRQ700 is ideally intended for a business’s initial strategic planning and annual review.

  • This process is a deep dive into the business using a check list of SEVEN HUNDRED questions in each of the SRQ seven key categories.

All SRQ options are deliberately intended for a facilitated service. The objective outputs are discussed, debated and tested for independent congruency of facts in the context of intended directions or outcomes.

 

To purchase the SRQ 70 please email coach@questunique.com.au