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FinanceTheory / principleReal options theoryWhen and how should real options theory be applied?Use real options reasoning when outcomes are uncertain, management can respond to future information, the response has material economic value and the initial decision affects whether that flexibility remains available. It is especially useful when a conventional discounted cash flow or net present value calculation treats management as passive and therefore misses the value of staged commitment.IntermediateStrategicFigures
Organisational behaviourFramework / modelOverhead value analysisHow can overhead value analysis improve people, teams, or organisational effectiveness?Use OVA when overhead has grown without a clear link to organisational priorities, when support services no longer meet internal customer needs, or when financial pressure requires a disciplined redesign. It can be preventive or corrective. Because the analysis may affect roles, workload and employment, establish transparent decision criteria, worker consultation and implementation support at the outset.AccessibleStrategicFigures
OperationsFramework / modelSix sigmaHow can six sigma support strategic choice or positioning?Use six sigma when an organisation needs to identify the causes of poor operational performance, improve process reliability and translate fewer defects into customer or financial value. A project should have a defined business case, but the claim that management should reject any initiative without at least $175 000 in savings is a legacy rule of thumb, not a universal threshold. Scale the expected benefit to the process, organisation and risk involved.AccessibleStrategicFigures
Organisational behaviourFramework / modelSix thinking hats (De Bono)How can six thinking hats (de bono) support strategic choice or positioning?Use the method when a decision needs to be examined from several perspectives, when habitual positions are limiting a conversation or when a group is arguing rather than thinking together. The sequence can expose overlooked opportunities, add nuance to initial reactions, encourage lateral thought and accelerate a decision by giving each stage a clear purpose.AccessibleTacticalFigures
OperationsFramework / modelValue stream mappingHow can value stream mapping improve people, teams, or organisational effectiveness?Use value stream mapping to reduce lead time, expose waste and coordinate improvement across functional boundaries. A map records process steps, material movement, information flow and operating data such as inventory, cycle time and batch size with common symbols (see Rother and Shook, 2003). The current state map supplies evidence for designing a leaner future state.AccessibleTacticalFigures
Organisational behaviourFramework / modelCulture dimensions (Trompenaars)How can culture dimensions (trompenaars) improve people, teams, or organisational effectiveness?Use the model when colleagues, customers or partners from different backgrounds face recurring tension in expectations. Awareness is only the beginning. Effective intercultural management requires dialogue and reconciliation: the parties seek a workable combination of different preferences rather than declaring one culture superior.AccessibleOperationalFigures