Worksheet · Strategy Health Check
Score each segment on attractiveness and ability to win
A business that believes it can win everywhere spreads itself thin. This sheet scores every segment on two axes and names the weak corner. It builds the Competent step of the check:
Attractiveness and ability-to-win are scored honestly by segment, and the weak quadrants are named.
Step 1. Agree the criteria
Score each criterion 1 (poor) to 5 (strong). Agree the weights before anyone scores a segment.
| Attractiveness criterion | Weight | Ability-to-win criterion | Weight |
|---|---|---|---|
| Size | Our share and its trend | ||
| Growth | Our cost against the leader's | ||
| Typical margin in the segment | How customers rate us on what they buy on | ||
| Intensity of rivalry (5 = mild) | Capabilities we already have for it | ||
| Buyer power (5 = weak) | Relationships and access we hold | ||
| Barriers to new entrants |
Score ability to win from evidence such as share trend, win rate or unit cost. A score nobody can support is marked down to 2.
Step 2. Score the segments
| Segment | Attractiveness (1 to 5) | Ability to win (1 to 5) | Quadrant | Our revenue | Action |
|---|---|---|---|---|---|
| e.g. Regional hospitals | 2 | 2 | Weak on both | $14m | Exit shortlist |
Actions: invest, hold, fix, or put on the exit shortlist.
Step 3. Name the weak quadrant
List the segments that scored low on both axes. This list is your exit shortlist. Write it down and date it.
| Segment | Revenue | Profit after allocated cost | Decision and date |
|---|---|---|---|
Done when: every segment is scored on both axes from evidence, and the segments in the weak quadrants are named in writing.
Adapted from our own strategy reference (PSP, 2010).
From the Strategy Health Check. Your report links the sheet for each of its moves.