Capability-Value-Readiness Matrix

The Capability-Value-Readiness Matrix is a 2x2 matrix used to evaluate the potential of a business opportunity. It is used to assess the capability of an organization to deliver a value proposition, and the readiness of the organization to do so.

At a very high level, the Capability-Value-Readiness Matrix is used in the context of business, marketing, finance.

Capability-Value-Readiness Matrix quadrant descriptions, including examples
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What is the Capability-Value-Readiness Matrix?

A visual explanation is shown in the image above. The Capability-Value-Readiness Matrix can be described as a matrix with the following quadrants:

  1. High Capability, High Readiness: Opportunities with high capability and high readiness, such as a new product launch, should be pursued first.
  2. High Capability, Low Readiness: Opportunities with high capability but low readiness, such as a new market entry, should be monitored for future potential.
  3. Low Capability, High Readiness: Opportunities with low capability and high readiness, such as a new technology, should be avoided.
  4. Low Capability, Low Readiness: Opportunities with low capability and low readiness, such as a new business model, should also be avoided.

What is the purpose of the Capability-Value-Readiness Matrix?

The Capability-Value-Readiness Matrix is a 2x2 matrix used to evaluate the potential of a business opportunity. It is used to assess the capability of an organization to deliver a value proposition, and the readiness of the organization to do so.

The matrix is divided into four quadrants, each representing a different combination of capability and readiness. The top-left quadrant represents opportunities that have high capability and high readiness. These are the most attractive opportunities, and should be pursued first. The top-right quadrant represents opportunities with high capability but low readiness. These opportunities should be monitored, as they may become attractive in the future. The bottom-left quadrant represents opportunities with low capability and high readiness. These opportunities should be avoided, as they may not be profitable. The bottom-right quadrant represents opportunities with low capability and low readiness. These opportunities should also be avoided, as they are unlikely to be profitable.

The Capability-Value-Readiness Matrix is a useful tool for evaluating business opportunities and determining which ones to pursue. It can help organizations prioritize their resources and focus on the most attractive opportunities.


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What templates are related to Capability-Value-Readiness Matrix?

The following templates can also be categorized as business, marketing, finance and are therefore related to Capability-Value-Readiness Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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