Infostud 3, one of the largest internet companies in Serbia, had grown into a portfolio of businesses — Poslovi Infostud, Polovni Automobili, 4Zida, Osiguranik, tyre sales, Infostud hub. The goal was to transform it into a group with a clear corporate strategy and a structure that enables sustainable growth.
Despite the success of the individual business units, the company faced a challenge of coordination and strategic management at the corporate level: several businesses under one roof, without a formal corporate centre and without formally defined business strategies.
The challenge
The lack of centralized management and a clear corporate strategy made coordination between the various business units difficult, while growth and diversification called for a new, systematic solution.
Project objectives:
- Defining a corporate strategy and a clear “parenting” model of management.
- Establishing a corporate centre with a clear role, responsibilities and remit.
- Defining strategies for all the businesses within the group.
Approach and methodology
- Diagnostics — analysis of both the corporate level and the individual businesses: existing strategies, market positions and operational challenges.
- Corporate strategy — working with the owners and top management on the group strategy and the role of the corporate centre.
- Strategy at every level — individual strategic plans for each business, aligned with the corporate strategy.
- Organizational design — introducing a matrix model that links the businesses' strategies with the functions of the corporate centre.
- Implementation and evaluation — gradually introducing changes and tracking plans in each business in parallel.
The work used the “I, Entrepreneur” methodology — at the corporate level through five strategic dimensions (portfolio, growth, the parenting role, resource allocation and financial strategy), and at the business level through defining competitive advantage and positioning. Galbraith's “Star” model of organizational design was also applied.
The solution
- A clear strategic framework for the Inspira Group was formulated for focused portfolio management and value creation at the corporate level.
- A corporate centre was established with responsibility for strategic planning, resource allocation, leadership development and process standardization.
- A matrix structure was introduced for efficient coordination between the centre and the individual businesses.
- Strategic plans were formulated for each business within the group.
- The owners and managers were educated in corporate governance and strategy — to improve the model on their own.
Results
| Metric | Before | After |
|---|---|---|
| Revenue | €6,5M | €10M (+50%) |
| Net profit | €1,6M | €3,1M (+94%) |
Alongside financial growth (12 months after implementation), qualitative results were achieved too: better communication between the central team and the businesses, a clear vision for the group's development, greater agility in responding to market opportunities, and greater leadership capacity for independent strategic planning.
Early in the business, as soon as we had some money, we sent people on training. Later we engaged expert consultants, and the high point was working with Đorđe, who helped create our corporate strategy and the strategies of the businesses within the group. Thank you, Đorđe!
Key lessons
- Understanding the difference between corporate and business strategy lets an organization improve on its own.
- A corporate centre helps with strategic planning, resource allocation and leadership development.
- As a business expands, a clear corporate strategy and the right structures are the key to stability and sustainable growth.
- A clearly and formally defined strategy is a precondition for serious results.
This case shows how one of the largest internet businesses in Serbia, with a clearly defined corporate and business strategy and an effective organizational design, grew into the Inspira Group — with significant growth in financial performance and organizational capacity, and long-term sustainability.