Value Management is a growth paradigm built around comprehending, creating and capturing customer value. Today’s hyper-competitive markets require firms to create new value for customers faster than ever and then capture that value through effective pricing and sales strategies. Seems simple enough, but tectonic shifts in technology, global markets and resource availability have made sustaining profitable growth more challenging than ever before.
Historically, value creation and capture have been approached in a piecemeal fashion with initiatives like customer-centric innovation, value-based pricing and value selling. These value-based initiatives often under-performed because they were implemented in isolation and lacked the right tools and data.
The Value Management paradigm addresses the interconnected nature of go-to-market decisions. It improves strategic choices made within each functional area by providing the right tools, frameworks and data to help managers make better decisions. It creates alignment across functional areas by using customer value as a common metric to drive the go-to-market process.