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Simple & Pragmatic Problem Solving
#54Chapter 5: Individual Creative Option Generation• Individual Creative Optionscreative Thinkingindividual and group Mode1-2 hours(Rapid)

Relatedness

From the book "Advanced Problem-Solving Toolbox: 115 Creative Plays" | Compiled & Edited by: Mojtaba Goudarzi, Open translation: Mehrshid Goudarzi
Executive Synopsis & Core Logic:

Radial mapping of jobs, products and services adjacent and complementary to business (Donald Hambrick's approach) to create new revenue streams and strategic diversification.

Operational Parameters & Specifications

Category
Individual Creative Options
Dominant Thinking
creative
Participation
individual and group
Estimated TimeRapid
1-2 hours
Fast
Input Format
Business Ecosystem, Adjacent Industries, Value Chain and Complementary Actors
Output Format
Idea Generation
Key Application
Business development (BD), service diversification, forming strategic business partnerships (Co-branding) and increasing customer lifetime value (LTV).
Core Differentiator:

Discover business opportunities and new value portfolios at the intersection of neighboring industries based on existing brand assets rather than innovating from scratch.

Quick Field Example:

Coffee shop with value chain connection: monthly coffee subscription, specialized barista workshops, exclusive brand accessory and craft gallery.

Operational Benefits & Implementation Risks

Advantages & Value Creation:

Maximum utilization of infrastructure and existing customers, much lower risk than entering foreign markets, significant increase in profit margin.

Risks & Potential Trade-offs:

Risk of losing focus on the core business if too scattered in unrelated sub-areas.

Real-World Organizational & Industry Scenarios

Retail and coffee shops: Expanding from simple beverage sales to packaged products, education and lifestyle accessories.
Software-as-a-Service (SaaS) companies: entering payment services, financial data analytics and complementary marketplaces based on existing customer base.
Health and Fitness Centers: Combining sports services with nutrition, healthy supplements, lifestyle counseling and remote monitoring.

Strategic Rationale & Why to Apply

1Loyal customer is hungry for complementary services: A customer who trusts your brand prefers to buy ancillary needs from you as well.
2Optimizing Acquisition Costs (CAC): Selling new services to existing customers without incurring heavy upfront advertising costs.
3Building Multi-Layered Competitive Fortresses: A business that builds an ecosystem of connected services is hard to beat by single-product competitors.
4Discovering Organic Growth Channels: Identifying hidden partners that have a direct common interest in your growth.

Conceptual Framework & Book Method Description

"Relatedness" technique introduced by Columbia University strategy professor Donald Hambrick is an advanced model for horizontal and vertical development of the organization.

In this approach, the core business is placed at the center and three concentric circles are drawn around it: 1) directly related businesses (suppliers, distributors, and consumables); 2) indirect complementary products (accessories, content, subscriptions, and education); 3) peripheral and lifestyle ecosystems (art, wellness, logistics, and events). By monitoring these circles, the team extracts complementary opportunities and transforms the business from a single-service provider to a comprehensive brand.

Step-by-Step Real-World Implementation Scenario

Transforming a local coffee shop into an experience hub and a sustainable business ecosystem with Hambrick technique
1
Step 1: Drawing the current business mapDefinition of the origin situation: daily sales of coffee, tea, several models of sweets and sandwiches to the salon's customers.
2
Step 2: Mapping the Chain of Directly Related Businesses (Infrastructure)Identify specialized green grain suppliers, roasters, home brewer manufacturers, and local bread workshops.
3
Step 3: Mapping Indirect Complementary Businesses (Value Added)Home brewing equipment (drippers and French presses), handmade clay mugs, mail-order fresh coffee bean subscription packages, specialty coffee books and magazines.
4
Step 4: Connecting to surrounding ecosystems (lifestyle)Holding weekend workshops for barista training and coffee tasting (cupping), displaying and selling works of local artists on the walls of the cafe, and a healthy menu based on organic teas.
5
Step 5: Implementation and leap of financial efficiencyThe share of non-attendance revenues (seed sales, monthly subscriptions, accessories and classes) reached 45% of the total turnover within 4 months, and the customer community became a loyal brand tribe.

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