How can a small business use the performance levers covered in Strategy Beyond the Hockey Stick to grow?

A small business can use the performance levers covered in Strategy Beyond the Hockey Stick to grow by implementing the following steps:

1. Adopt an outside view: Use data-driven insights to make strategic decisions rather than relying solely on internal perspectives.

2. Overcome social dynamics: Encourage open and honest discussions to ensure breakthrough ideas are not watered down into safe, non-risky options.

3. Implement the ten performance levers: These levers, as outlined in the book, can significantly increase a business's chances of outperforming competitors and achieving breakout growth. They include factors like endowment, trends, and moves.

4. Regularly review and adjust strategies: The business environment is dynamic, so strategies should be too. Regular reviews ensure that the business stays on the right track.

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Strategy Beyond the Hockey Stick: People, Probabilities, and Big Moves to Beat the Odds

McKinsey & Co. partners wrote this book. How do you effectively turn the promises of strategy meetings into reality? How can you manage social dynamic...

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Based on in-depth empirical research on thousands of companies, McKinsey Partners Chris Bradley, Martin Hirt, and Sven Smit provide a data-driven "outside view" to overcome social dynamics and create effective strategies. offers ten performance levers that dramatically increase your chances to outperform competitors and create breakout growth.

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Commercial bank treasury departments are responsible for managing the bank's finances, including its funding strategies. Big moves in this context could involve several strategies:

1. Diversification of Funding Sources: This involves not relying on a single source of funding but exploring various options such as deposits, interbank loans, equity, and debt securities. This reduces the risk of liquidity crunch.

2. Asset-Liability Management: This is a critical strategy where the treasury department ensures that the maturities of assets and liabilities are well matched to avoid liquidity risk.

3. Cost of Funds Reduction: This could involve negotiating better terms with lenders or shifting to cheaper sources of funds.

4. Capital Adequacy: Ensuring the bank maintains adequate capital as per regulatory requirements is another key strategy.

5. Use of Technology: Implementing advanced technology for better forecasting, risk management, and decision-making can also be a significant move.

Remember, these strategies should align with the overall business strategy of the bank and regulatory guidelines.

1. Implementing a robust risk management system: This can help identify, assess, and mitigate risks that could lead to poor performance.

2. Diversifying the portfolio: By investing in a variety of financial instruments, the bank can spread its risk and potentially increase returns.

3. Enhancing customer service: By improving the customer experience, the bank can increase customer loyalty and attract new customers.

4. Investing in technology: This can improve efficiency and accuracy in operations, leading to better performance.

5. Training and development: Investing in the skills and knowledge of the treasury department can lead to better decision-making.

6. Implementing effective cash management strategies: This can ensure the bank has sufficient liquidity to meet its obligations.

7. Strengthening compliance: By ensuring the bank adheres to all relevant regulations, it can avoid costly fines and reputational damage.

8. Improving financial reporting: Accurate and timely reporting can help the bank make informed decisions.

9. Enhancing the bank's credit rating: This can lower borrowing costs and increase the bank's attractiveness to investors.

10. Implementing a strategic planning process: This can help the bank set and achieve its long-term goals.

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