Phases of Business Development
The Hay Group Strategic Issues Matrix provides a useful way to evaluate and analyze various business entities based on characteristics and the phase of the business development life cycle.
Note: normally this would be presented as a tabular matrix but is broken down by characteristic here due to formatting constraints.
| Style Characteristics | |
| Emergence | Limited delegation by strong leadership Variety of schemes are possible |
| Developmental | Highest degree of delegation and freedom supported |
| Mature | Delegative to controlled Flexibility in meeting fixed goals |
| Liquidation | Very limited delegation and freedom |
| Decision Making Characteristics | |
| Emergence | Formalized goals virtually nonexistent Information limited |
| Developmental | General goals exist More information for decisions |
| Mature | High degree off clarity Information based decisions |
| Liquidation | Rigid goals Information for control |
| Planning and Control Systems Characteristics | |
| Emergence | Informal, highly qualitative (milestone oriented) |
| Developmental | Capable of selling broad goals and measuring results (program oriented) |
| Mature | Supportive of careful goal setting and control (P & L oriented) |
| Liquidation | De-emphasize long term planning quantitative controls (balance sheet oriented) |
| Responsiveness to External Conditions Characteristics | |
| Emergence | Limited responsiveness at first, focus on establishing a position |
| Developmental | Highly responsive Adapt to market opportunities |
| Mature | Less responsiveness required due to decreasing rate of change in markets |
| Liquidation | Responsive but under very limited conditions |
| Integration and Differentiation Characteristics | |
| Emergence | High degree of differentiation among organization Integration at top |
| Developmental | Decreasing differentiation among units Integrative functions becoming more “local” to markets, products |
| Mature | Continuing decrease in differentiation Integration “local” |
| Liquidation | Low differentiation Integration at the top (corporate) |
| Leadership Characteristics | |
| Emergence | Entrepreneur, strong leader |
| Developmental | Entrepreneur / business manager |
| Mature | Sophisticated manager |
| Liquidation | Administrator, S O B |