Family Business Strategy Simulation

The Strategy Experience- Family Business Strategy The Family Business Strategy simulation is designed to develop the strategic consulting capabilities of:

• professional services providers to family businesses (accountants, lawyers, other professional service consultants, etc.)
• family business owners & those likely to inherit family businesses

Central to the simulation are divergent family views of how value can be added to the business in a 5 year timescale – and how to resolve these strategic dilemmas.  The programme can be run over 3 or 4 phases, with phase 4 being optional:  Phase 1 – Strategic Analysis: Undertaking a strategic analysis of the business and its environment Phase 2 – Strategic Planning: Creating a 3-5 year strategic plan for growth Phase 3 – Strategic Focus & Action: Facilitating strategic consensus, implementing business plan through building on the company’s strategic and operational capabilities and effective use of resources within the simulated company. Participants take decisions within the simulation and see the outcomes in terms of a combination of financial statements and a non-financial scorecard. Phase 4 – Apply the learnings to a Client Company: Applying the learnings back into a client company. Development of a 3-5 year client company strategic action plan. Understanding strategic consulting. Gaining consensus and adoption of business plan. Please note: This phase is optional. Learning objectives:

• Strategic analysis and planning applied to family businesses: gives participants an understanding of how value can be added to family businesses through effective use of resources and development of key capabilities.
• Value creation through divergent paths: understanding how divergent views of how growth can be achieved can be discussed in an impersonal format that delivers reasoned outcomes.
• Resource and capability-based growth: understanding how value can be delivered by building capabilities that are valued by stakeholders
• Effective communication: encourages articulation of ideas, persuasive argument and presentation of business ideas to the business owners and / or potential investors in the business.
• Strategic models & frameworks: The simulation draws on relevant theoretical frameworks, value creation models and performance measurement criteria to deliver learning that can be applied to any family or SME business.
• Financial literacy (optional): understanding profit & loss account, balance sheet & interpreting results

  Content & Format  What: The Family Business Strategy simulation programme is designed for professionals providing strategic advice to family business owners. The simulation provides a sound theoretical basis for strategic planning & implementation, models and frameworks for analysis and can be customised to client company requirements, with individual or team-based coaching to develop strategic consulting capabilities. Who: Professionals participate in the programme in teams of 3 to 6 members and take on the role of consultants to a medium sized realistic family business trading in the UK and Europe. How: The simulation is computer based with all resources downloadable from the simulation platform. It is designed to be facilitated by experienced Learning Dynamics facilitators in the first instance. However, client company facilitators can be coached to deliver the programme by LD.  Participant resources include: Engaging computer based multimedia simulation with the following resources:

• comprehensive briefing, company management reports and industry overview
• explanation of decisions to be taken
• strategy models and frameworks for analysis
• Programme includes: ‘Fundamentals of Strategy’, Johnson, Whittington & Scholes
• timetable for decisions
• notification of results and detailed feedback on decisions
• helpful hints & tips including explanation of financial & non-financial performance terms

Facilitator resources: On-line simulation with the following resources:

• teaching notes for the facilitator team
• introductory slides
• comprehensive participant briefing
• company management reports and industry overview
• facilitator guidance on strategic issues covered within the simulation and detailed guidance on feedback to participants
• plus notification of team results
• participant mentoring guidance

How long: The simulation is designed to have a flexible timetable, but is normally run over an intensive 2 or 3-day programme, depending on whether the optional Phase 4 is included in the programme design.