Strategy

In the field of management, ‘strategic management involves the formulation and implementation of the major goals and initiatives taken by an organization’s top managers on behalf of owners, based on consideration of resources and an assessment of the internal and external environments in which the organization operates.

Strategic management provides overall direction to an enterprise and involves specifying the organization’s objectives, developing policies and plans to achieve those objectives, and then allocating resources to implement the plans.  Academics and practicing managers have developed numerous models and frameworks to assist in strategic decision-making in the context of complex environments and competitive dynamics. Strategic management is not static in nature; the models often include a feedback loop to monitor execution and to inform the next round of planning.

Dynamic Equity for your Startup

Dynamic vs Traditional Equity Splits in your start-up

Aligning management performance with shareholders’ interests through unrestricted share structures creates greater accountability leading to better returns for all.

Covid-19 has not only propelled companies of all sizes to embrace new ways of doing business, but it also offered a unique opportunity to reposition age-old management fads like restricted share-incentives. Various initiatives are allowing for greater transparency in pay gaps across organisation in all industries, and therefore the opportunity to implement new innovative structures at executive level is now a real possibility.

markets economy

Disadvantages of existing share incentive structures

Whilst many share schemes serve to align management and shareholder interests, there is a worrying trend, highlighted in the media, of growing discontent. This article expands on some of the weaknesses of these ill-fated Long-Term Incentive (LTI) structures. As all schemes are essentially the same thing (see here), this insight explains why these structures are not appropriate for performance orientated companies.

Homme d affair

Return of the trusted adviser

Thirty years ago the term ‘Homme d’Affaires’ was well understood, describing a true adviser with real wisdom drawn from deep and broad experience of the world. The trend towards specialisation has caused us to forget the supreme importance of an individual who is able to look at the whole picture and pull together the advice of all the specialists.