Filtering Blue Ocean Ideas: Strategic Overlays

Blue Ocean Strategy
Knowledge Center

Andrew Nelson
CEO, Australia

Filtering Blue Ocean Ideas: Strategic Overlays

When developing Blue Ocean Strategies with organisations we find that some of the Blue Ocean ideas generated, while great ideas, do not fit with where the organisation is prepared to go.
For example, due to its exploration of non-customer insights, a bank might identify a great blue ocean opportunity in an otherwise unrelated business services sector (while exploring industry boundaries). But the Board and Management might decide it is not an area they wish to expand into or pursue due to limited resources or other constraints.
So we try to have clients establish a broad set of what we term "BOS Strategic Overlays" - typically seven to ten broad directional overlays that help the BOS team filter out ideas that might not otherwise make the grade. It becomes a larger part of our litmus testing of ideas.
So far we have not felt constrained by these overlays, and in fact they sometimes assist to identify potential rish veins of non-customers, although sometimes the overlays are refined and revised as we push the organisational boundaries.
Have others come across this issue? Any other comments?

  Mario Castaneda
Strategy Consultant, United States

Blue Ocean Ideas That do not Fit an Organization

Andrew, I like your model of "Strategic Overlays." In my case, I recently worked with a client in the defense industry ...

  Andrew Nelson
CEO, Australia

Business Matching Opportunities

@Mario Castaneda: Mario - that's a great story! As an interesting aside, I've also had some discussions with clients abo...

  C.L. Kappagomtula
Professor, Malaysia

Overlays for Blue Ocean Strategy

Andrew's concern is somewhat unfounded, merely for the reason, that any BOS is subject to the condition of either entire...

  Gerardo Arroyo Jimenez
Consultant, Mexico

Castaneda´s Participation

@Mario Castaneda: That's a great idea in order to retain not only employees, but also you retain ideas that other compet...

  Darenda Downing, USA

BOS Strategic Overlays

Indeed I have to agree that using overlays, theoretically, may be counterproductive to developing BOS in the purest sens...

  Andrew Nelson
CEO, Australia

Competition Irrelevant to Overlays

Just responding to Dr K and D Downing - as Darenda says, putting purely theoretical considerations aside, when working w...

  C.L. Kappagomtula
Professor, Malaysia

Mere Idea Generation by itself is not a Sufficient Cause to Adopt BOS

Allow me here to interlink the BOS with idea generation. Before any strategy is put to implementation, it is nece...

  Andrew Nelson
CEO, Australia

Strategic Filters by Any Other Name

Dr K, I think we are in agreement on process and concept but maybe disagree on terminology. As you say, appraising init...

  C.L. Kappagomtula
Professor, Malaysia

Organizational Criteria for BOS Strategy

Andrew, thanks for initiating an interesting discussion on BOS. Pragmatic evaluation of ideas by SWOT, and in-depth eval...

  Andrew Nelson
CEO, Australia

Confused About Terminology

Dr K, I am a little confused. All these evaluations you mention must have criteria set by the organisation, and as you s...

Manager, Pakistan

Blue Ocean Strategy Assumes no Boundaries

Blue Ocean Strategy, on the other hand is based on the views that market boundaries and industry structure are not given...

  C.L. Kappagomtula
Professor, Malaysia

Strategic Overlays in BOS

The very definition of overlays in management jargon means, managing or trying to avoid the inefficiencies by harmonizat...

  Mohd Norfaizin Bin Hj. Md Salleh AFA (UK)
Director, Malaysia

There is a Case for Filtering Blue Ocean Strategy

Whilst applying Blue Ocean Strategy, more often than not organisations tend to get over excited for applying the so call...


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