The development of a business strategy is the basis for the successful functioning of a company. It is important for management to consider the key factors that can influence the selection of the necessary tools. Osterwalder and Pigneur (2013) offer a list of elements that need to be paid close attention to when developing a business strategy. Moreover, the authors also describe approaches for efficiently analyzing these points.
Business Model Canvas
- Customer segments: men and women from 17 to 24 years old, high school graduates, physically fit.
- Value proposition: the organization offers recruits the opportunity to develop professional and personal skills and apply them to national and global security.
- Channels: customers can be reached through various media channels, educational programs, and events.
- Customer relations: the organization provides various benefits and fair remuneration and invests in the development of personal and professional skills.
- Revenue streams: the organization “generates revenues from the sale of goods and the provision of services for a fee” (U. S. Army, 2020, p. 42).
- Key resources: the main assets of the organization are funding, property, and equipment (U. S. Army, 2020).
- Key activities: the organization focuses on the conduct of military operations, as well as the processes associated with their effective implementation.
- Key partnership: the organization’s partners are the governments and defense departments of the United States, Europe, and other countries, as well as manufacturers of military equipment (Wormuth, 2020).
- Cost structure: this structure includes all expenses that are necessary to maintain the military and conduct military operations, including infrastructure, logistics, equipment, training, and other aspects.
Business model analysis reveals the key factors required to develop a successful business strategy. Currently, the organization needs to focus on attracting and developing recruits with skills from various professional fields. This strategy will create a structure for future development since, with an increase in highly specialized professionals, it will be possible to more efficiently perform current tasks and expand the area of activities. The analysis also identified that the organization has a relatively low revenue compared to costs (U. S. Army, 2020). This factor is important since the modern environment is highly competitive and complex. The focus on attracting and developing professionals will also help diversify the organization’s activities in the future, providing new revenue sources.
The analysis also found that the key partners of the organization are a fairly narrow range of structures. This factor may currently hinder effective development and limit the range of opportunities. In this regard, expanding the number of partners and acquiring connections with the most diverse actors will allow the organization not only to recruit new specialists but also to provide adequate training for officers. However, international cooperation is a priority for the organization at the moment, which allows for the creation of global networking (Wormuth, 2020). In general, in order to attract customers, organizations should pay more attention to expanding the list of opportunities available for officers’ development.
The analysis made it possible to identify the key features of the organization that currently determine its activities. This information can be used to create a future strategy that would help it develop a more effective management system. Currently, the organization has the opportunity to initiate more comprehensive development and diversification of activities. These areas can be used to expand the professional specialization of the staff, as well as to work on new areas that would allow the organization to become a stronger international actor. It is also important that it can increase its revenue through obtaining new sources of income and expanding the list of services and goods provided.
Osterwalder, A., and Pigneur, Y. (2013). Business model generation: A handbook for visionaries, game changers, and challengers. Wiley.
U. S. Army. (2020). United State Army Annual Financial Report: 2020 Fiscal Year. U. S. Army. Web.
Wormuth, C. (2020). The role of allies and partners in U. S. military strategy and operations. RAND Corporation. Web.