Excellent article from HBR on the importance of aligning the three core pillars of a successful business strategy:
- Value Proposition
- Profit Proposition
- People Proposition
The article is excerpted from the new book “Blue Ocean Strategy“, and the main point it drives home is that while focusing on one or two of the above pillars can get your business success for a time, it’s only through alignment of all three that you can sustain success, and create structural barriers to imitators and rivals.
Another powerful point is that, depending on your business model, you may need to extend one or more of your pillars (such as People Proposition) to your partners, suppliers or clients in your value chain*. That’s a very powerful concept and one that resonates strongly with me and my experience in fostering industry ecosystems, and in developing strategic partnerships.
*PS, for those interested, Simon Wardley’s value chain posting from 2013 is outstanding. Highly, highly recommended.