Strategic Pricing Capability (PowerPoint PPTX)

DESCRIPTION

Pricing isn't just a matter of a good Pricing Strategy and tactics. By investing in specific areas of organizational capital—specifically, Pricing Capital—we can foster a Strategic Pricing Capability.

This framework breaks down the 3 forms of Pricing Capital:

1. Human Capital – Human Capital refers to the Pricing professionals who have deep understanding of all elements and implications of the organization's Pricing Strategy.

2. Systems Capital – Systems Capital refers to the software and hardware infrastructure needed to perform Pricing analyses and implement our resultant Pricing Strategy.

3. Social Capital – Social Capital is the internal, organizational “glue” that coordinates and holds together the many participants and stakeholders in the Pricing process.

To develop Pricing as a strategic capability, we must make appropriate investments across all 3 forms of Pricing Capital.

This presentation also discusses the 3-phase process to build Pricing as a strategic capability. This process starts at the high level of overall capital budgeting decisions; and ends with us making Pricing decisions and taking Pricing actions. Having Pricing has a strategic capability is a source of sustainable Competitive Advantage.

This deck also includes slide templates for you to use in your own business presentations.

The Strategic Pricing Capability framework is not just theoretical; it provides actionable insights and practical steps for implementation. The PPT outlines the critical role of Human Capital, emphasizing the need for pricing professionals to possess a deep understanding of corporate strategy, product range, and market dynamics. Systems Capital is equally crucial, involving the integration of sophisticated software and hardware to perform comprehensive pricing analyses and implement strategies effectively. Social Capital, the organizational "glue," ensures seamless coordination among stakeholders, fostering a collaborative environment essential for strategic pricing.

The presentation also details a 3-phase process for building a Strategic Pricing Capability, starting with capital investment decisions and ending with actionable pricing decisions. This structured approach ensures that investments in pricing capital are balanced and aligned with organizational goals. The deck includes templates to facilitate the application of these concepts in your own business context, making it a valuable resource for any organization looking to gain a competitive edge through strategic pricing.

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Source: Best Practices in Pricing Strategy, Capital Budgeting PowerPoint Slides: Strategic Pricing Capability PowerPoint (PPTX) Presentation, LearnPPT Consulting