Business Portfolio and Dynamic Capability Development Report

This presentation provides an in-depth analysis of business portfolio and dynamic capability development. It explores the BCG Matrix, GE-McKinsey Matrix, and Synergy Matrix in the context of Fantasy Film. The report offers recommendations for investment and highlights the importance of identifying opportunities and mobilizing resources. It also discusses the concept of dynamic capabilities and their application in the film industry. The presentation concludes with a discussion on transforming and reconfiguring the organization for growth. References are provided for further reading.

Business Portfolio and
Dynamic Capability
Development Report

Introduction
Business portfolio is the systematic way for analyzing the goods and services
which develop an association's business portfolio. This is a company set of
investments, products, holdings, businesses and brands.
Fantasy Film is the digital animation studio which are mainly specialized in
animated feature films, special effects, digital animation software and
animated advertising given to the live action films. An organization has
production service in the Brisbane, San Francisco and Los Angeles which
remain controlled by the company senior members.

BCG Matrix
?Relative
Market
Share
Market
Growth
Rate
BCG Matrix is a model used for analysing
products according to growth share and market
share. This model was designed to interpret role
of products in future markets and growth so that an
organization get easy to know that in which
business unit they have to invest in. This matrix is
based on 4 grids which shows relative growth and
market share of 4 business units of Fantasy Film.

Continue...
These are:
Star: A strategic business unit can be considered as Stars when they have high
relative growth and market share.
Cash Cows: Business units that have high market share but low growth rate, are
considered to be as cash cows.
Question Marks: Business units that have small market share and high growth
rate are considered to be as question marks.
Dogs: Business units that have low growth and market share are to be
considered as dogs.

GE-McKinsey Matrix
Gro
wth
Competitive strength
of business unit
Hig
h
Med Low
Indust
ry
attract
ivenes
s
H
i
g
hM
e
d
L
o
w
Gro
wth
Harv
est
Selectiv
e
Harv
est
Harv
est
Selectiv
e
Selectiv
e
Gro
wth
GE-McKinsey Matrix is a technique that
offers a balanced approach for organisations
having multiple business corporation to
analyse their investment plan for different
business units. This matrix is explained as a
framework that includes business portfolio,
and give direction for strategic planning of
development, growth and their investment.

Continue...
The allotment of resources on the matrix will give three proposals to the
organization to make further decisions:
Grow/Invest- Products with high market share and high returns in future are
kept in this section. It will always profitable for an organization to invest in
these units.
Hold/Selective- In this section, those units or products are kept which don't
have large market share and organizations should make selective investment in
these products.
Harvest/Divest- Products under this sections are of no profit or no use for the
organization and must be liquidate or divest soon. These products acts like cost
to company and do not generate any profit to the organization

Synergy Matrix
Synergy Matrix – It is encompasses on the combination of complementary
contribution of various programs , projects and initiatives. Fantasy Film has
mainly applied such tool and method for satisfying its clients requirement.
Along with this, it is very effective in resolving certain technical complexity of
the projects. It is widely applied method and it shows the expression of specific
area. Business synergy matrix consist as one of the important method which is
appropriate for company growth.

Continue...
Threshold of acceptance
Misfits
Incoming:
Benefits from belonging
to portfolio
+-
Fits
+
- Outgoing
:
Benefit
to
portfolio
Altruists
Givers
Parasites
Takers

Business categorisation
BCG
Matrix
GE-McKinsey
Matrix
Synergy
Matrix
Fantaspace Star High Fits
Advantage Cash cow Medium Giver/Altruists
Anisoft Question Mark Low Taker/
Parasites
DigiFX Dogs Low Misfits

Fantaspace
Analysis - Stars are considered to be the assets for an organization. In case of
Fantasy Film, Fantaspace is the star business because it generates highest
revenue amongst all business units, $4.8 billion and it has highest
contributions in terms of competitive strength, income benefit and out going
benefit.
Recommendations - As Fantaspace is most revenue generating product of
fantasy Films, the company should invest more in their star product. The
investment can be made by appropriate planning, innovation and coordination
in the management and team.

Advantage
Analysis - Cash Cows have low growth rate and can grow if large investments
are there. Advantage is the cash cows for Fantasy Film which generate $1.9
billion revenue.
Recommendations - The cash cow of Fantasy Films has low market growth
rate and need less amount to invest but their revenue generation is high. So
here the company should make selective investment as the rate of investment
is low here but its revenue will be high.

Anisoft
Analysis - Question Marks have high growth rate but it does not capture big
market. Anisoft is the question marks for Fantasy Film.
Recommendations - This product is kept under the question mark section
where the investment should be made selectively. Anisoft having high market
growth rate but their business strength is very low as well its benefits the
company are high.

DigiFX
Analysis - Dogs are low at both, market and growth rate. DigiFx is the dog
for Fantasy Film because it generates lowest revenue, $150 million. As per the
analysis of GE Mc Kinsey matrix, DigiFx have have low market and growth
and so they should be harvested or divested by Fantasy Films.
Recommendations - Being a non-profitable unit, DigiFX revenue generation
is too low as compared to other services provided by Fantasy Films. It is not
contributing much in market size as well as their benefits to company are also
low.

Conclusion
Portfolio analysis is effective method which help in managing and maintaining
production of goods and services. It will assist in creating value in developing
business operation where profitability is high.

Introduction
Dynamic capabilities define the firm ability to combine, develop and
reconfigure internal and external competencies which help in identifying rapid
changes in environment. Dynamic capabilities, continuous competitive
advantages are comes under firm ability to purchase and reconfigure their
present competencies in better manner. Fantasy Film are present their
animated films towards people in that way which attract them.

Identify and assess
opportunities
Analysis - This is one of the major responsibility and role of company is to
maintain and manage the business operation in better manner in order to gain
higher growth and success at market place. As per the scenario, Fantasy Film
require to identifying and assess opportunities which help in increasing growth
level of the company. The business of Fantaspace is one of the most popular
animated producing film company which can add some features in their
picture that attract people.

Identify and assess
opportunities
Recommendations - An organisation should concern on recognising the
access opportunities for business and its workers in order to reaching with
high competitive place. It is necessary for Fantasy film is to hire skilled and
qualified employees who have current knowledge about animation of film
which attract more people.

Mobilise resources
Analysis - It is one of the most important factor of dynamic capability where
company mobilise all resources which are required for high growth and
development. Fantasy film need to manage its resources for attaining its
desired goals and objectives in proper manner. In this company, there are two
resources such as time and cost and all such are waste by Anisoft for making
already existing software. So it will create bad impact on business operation
and functions in effective manner.

Mobilise resources
Recommendations - The company need to focus on mobilising resources
according to proper management of resources that is required for the firm.
Fantasy Film should maintain and manage all the arrangement of resource in
the management. Anisoft can develop another software which is unique and
different from other. It is required for firm is to make those software which
help in increasing growth and development level.

Transform and reconfigure
Analysis - Reconfiguration define as “quality to modification and
reconfiguration in all assets and organization structure” in context of match
the organization internal procedure along with seized opportunities. Therefore,
it is required for Fantasy Film is to reconfigure the technology and strategies
for maintaining the effective flow of business operation and function in proper
manner.

Transform and reconfigure
Recommendations - It can be recommendation that Fantasy Film require to
use appropriate strategy which help in taking advice from subordinate in their
regular activities. With the help of this strategy, the company can easily
analyses whole organization performance and its risk factor. This will assist in
acquiring high competitive edge firm that require to be focus on both sense
and seize opportunities for reconfiguration the firm structure. In this strategic
term, such dynamic capabilities has been develop by continuous procedure of
disciplined, fact based conversation. They can develop new software which
can used for analyzing issues and problems which occurs while making film.

Conclusion
It can be concluded that the main purpose of business concern is to increasing
the business operation and its capabilities in order to enhance its profitability
rate. In this portfolio analysis is effective in managing the manufacturing
products and services which assist in developing value in making functions for
higher the growth. Along with this, dynamic capability analysis is the effective
analyzing of internal and external resources of the firm.

References
Bear, M.E., and et. al., 2016. System for business portfolio modeling and analysis. U.S.
Patent 9,424,536.
Bollapragada, S., and et. al., 2012. Systems and methods for initial sampling in multi-
objective portfolio analysis. U.S. Patent 8,126,795.
Camisón, C. and Monfort-Mir, V. M., 2012. Measuring innovation in tourism from the
Schumpeterian and the dynamic-capabilities perspectives. Tourism management,
33(4), pp.776-789.
Danneels, E., 2011. Trying to become a different type of company: Dynamic capability at
Smith Corona. Strategic Management Journal. 32(1). pp.1-31.
Greco, M., Cricelli, L. and Grimaldi, M., 2013. A strategic management framework of
tangible and intangible assets. European Management Journal. 31(1). pp.55-66.
Helfat, C. E. and Winter, S. G., 2011. Untangling dynamic and operational capabilities:
Strategy for the (N) ever‐changing world. Strategic management journal. 32(11).
pp.1243-1250.
Hult, H., and et. al., 2012. Risk and portfolio analysis: Principles and methods. Springer
Science & Business Media.
Jenkins, W. and Williamson, D., 2015. Strategic management and business analysis.
Routledge.

Thank
You