Strategic Evaluation Using the GE-McKinsey Matrix PPT

This PPT slide, part of the 28-slide Strategy Classics: GE-McKinsey Matrix PowerPoint presentation, presents an overview of the GE-McKinsey Matrix, a strategic tool designed to assist executives in evaluating business units based on 2 primary dimensions: Industry Attractiveness and Business Unit Strength. The matrix is structured as a 3x3 grid, with Industry Attractiveness plotted on the Y-axis and Business Unit Strength on the X-axis.

Industry Attractiveness assesses the potential benefits of entering or competing in a market, categorized into high, medium, or low scores. This dimension is crucial for identifying which markets may offer the best opportunities for growth. On the other hand, Business Unit Strength evaluates a firm's competitive position within the market, taking into account factors such as market share, brand positioning, and customer loyalty.

Once these 2 dimensions are plotted, executives can determine appropriate Investment Strategies for each business unit. The slide outlines 3 potential strategies: Grow/Invest, Hold/Protect, and Harvest/Divest. The choice of strategy depends on the positioning of the business unit within the matrix. For instance, units in the "Harvest" section should only be divested or invested in if they continue to generate more revenue than the costs incurred.

This framework allows for a structured approach to portfolio management, enabling executives to make informed decisions about resource allocation and strategic direction. The clarity of the matrix helps in visualizing where to focus efforts, ensuring that investments align with both market potential and internal capabilities.

This slide is part of the Strategy Classics: GE-McKinsey Matrix PowerPoint presentation.

Download the Full Presentation

EXPLORE MORE SLIDES FROM THIS PRESENTATION

EXPLORE MORE PRESENTATIONS ON

Portfolio Strategy Customer Loyalty Portfolio Management Positioning

Are you familiar with Flevy? We are you shortcut to immediate value.

Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations

Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.

Flevy is the world's largest knowledge base of best practices.

Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.

Read Customer Testimonials

"I have used FlevyPro for several business applications. It is a great complement to working with expensive consultants. The quality and effectiveness of the tools are of the highest standards."

– Moritz Bernhoerster, Global Sourcing Director at Fortune 500

"As a consulting firm, we had been creating subject matter training materials for our people and found the excellent materials on Flevy, which saved us 100's of hours of re-creating what already exists on the Flevy materials we purchased."

– Michael Evans, Managing Director at Newport LLC

"I like your product. I'm frequently designing PowerPoint presentations for my company and your product has given me so many great ideas on the use of charts, layouts, tools, and frameworks. I really think the templates are a valuable asset to the job."

– Roberto Fuentes Martinez, Senior Executive Director at Technology Transformation Advisory

"[Flevy] produces some great work that has been/continues to be of immense help not only to myself, but as I seek to provide professional services to my clients, it gives me a large "tool box" of resources that are critical to provide them with the quality of service and outcomes they are expecting."

– Royston Knowles, Executive with 50+ Years of Board Level Experience

"I am extremely grateful for the proactiveness and eagerness to help and I would gladly recommend the Flevy team if you are looking for data and toolkits to help you work through business solutions."

– Trevor Booth, Partner, Fast Forward Consulting

"As a young consulting firm, requests for input from clients vary and it's sometimes impossible to provide expert solutions across a broad spectrum of requirements. That was before I discovered Flevy.com.

Through subscription to this invaluable site of a plethora of topics that are key and crucial to consulting, I

... [read more]

– Nishi Singh, Strategist and MD at NSP Consultants

"The wide selection of frameworks is very useful to me as an independent consultant. In fact, it rivals what I had at my disposal at Big 4 Consulting firms in terms of efficacy and organization."

– Julia T., Consulting Firm Owner (Former Manager at Deloitte and Capgemini)

"As a small business owner, the resource material available from FlevyPro has proven to be invaluable. The ability to search for material on demand based our project events and client requirements was great for me and proved very beneficial to my clients. Importantly, being able to easily edit and tailor

... [read more]

– Michael Duff, Managing Director at Change Strategy (UK)