1. Winning Business Models: Evaluating Business
Plans
• Further, we can use our approach to evaluate the consistency of
business plans on the corporate level and/or on the divisional level
• We analyze a firm‘s past performance and identify the key drivers of
performance/success
• We then take these drivers and study how well they are correlating with
the performance of the group for the planning periods ahead
• Example: Firm X
Source: H.Rüll © Dr. Hartwig Ruell – Senior Excellence 1

2. Winning Business Models: Business Plans of Firm X
Observation: whereas the actuals for
2012 are varying widely along the
regression line, the planned values for
the year 2013 are concentrated in the
upper right corner (high profitability)
Source: H.Rüll

3. Winning Business Models: Business Plans of Firm X
Observation: this chart shows the
profitability of firm X vs. one of the key
drivers of profitability of this firm.
Note the discrapency in the area
between the dotted lines: actuals vs.
planned values: although the key
drivers of profitability remain
unchanged, the planned profitabilities
(2013) exceed the actuals (2012) by a
factor of 5-6!
Source: H.Rüll