...COMPETING FOR THE FUTURE Strategy as Stretch Strategy must be built upon the juncture of where the firm is and where it wants to be. It is not cash that fuels the journey to the future, but the emotional & intellectual energy of every employee. Imagine you were an investor who, a decade or two ago, was asked to choose between the following pairs of firms as long-term investment opportunities: Where would you have put your money? Most investors would probably have been tempted to invest in the firms in the left column. Why? These firms had strong reputations, technological riches & deep pockets. They could hire the most talented people in their industry, had sizable market shares and in most cases, had a worldwide distribution presence. In short, they had resources. Yet, they lost much of their leadership to firms with far fewer visible resources. Take the example of RCA & SONY? RCA had almost single-handedly created the color television industry in U.S., and every competitor relied on RCA patents, products of one of the world’s outstanding research laboratories. How could Sony out-innovate the U.S. consumer electronics pioneers? Conclusion: Starting resource positions are a very poor predictor of future industry leadership. A firm can sit on huge amount of cash & talented people, and still lose its preeminent position. Likewise, a firm can sometimes overcome enormous resource handicaps & successfully scale the heights of industry leadership. The...
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...REVIEW ON COMPETING FOR THE FUTURE BY GARY HAMEL AND C K PRAHALAD This book is providing tools and concepts need to focus on technically produced with strategic planning in order to achieve the future success for a company as it has described the method of reinvention to satisfy corporate needs to be achieved through experience and discovery in the critical situation where company’s were fallen flat by the lack of integration and to have a fresh change that make the employee to work. It also focuses on combining companies and corporate visions for function operations. This book was very insightful in the area of teaching senior and top management skills and qualities that need to be possessed to be a successful company. The core competencies are not product specific but some exceeding resources and patience of single business unit create more options in the market. Business needs involving continuous leverage of core competencies with major contribution at all level of management for building and nurturing sophisticated, and more positive, and strategic architecture as a high-level blueprint for the reconfiguring of the interface with customers. As strategic intent is strategic architecture’s capstone but it’s an ambitious and compelling strategic intent that provides the emotional and intellectual energy for the journey. They are trying to create ambitious aspiration for the future and all in its importance. Gary Hamel and CK Prahalad emphasize that companies are focusing...
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...Competing for the Future and the Core Competence of the Corporation The two articles named in the title above, written by Humel and Prahalad respectively, explore how projection affects a company’s competitiveness. Summary The most dominant companies in the world have been shown to have two major characteristics which are strategic planning and core competence. A company’s strategy simply means its master plan for the future while its core competence is its strategic advantage. Most companies that have a strategic intent and a strategic architecture to develop those intent always end up being more dominant than companies that do not project towards the future. The managers of different strategic business units (SBU) in a company or organization must be aware of the common strategic intent being pursued, and collaborate towards it rather than compete against each other for short term benefits. This will enable competences to be easily identified and clarified. Access to diverse markets, distinct customer benefits and distinctiveness are the three major characteristics of a core competence. It is necessary to focus on the core competence in order to capture an emerging market. A core product developed from a core competence, derives an end product which can be sold to a customer at the consumer or manufacturing level. The core products are the components that add to the quality of the end products. Reflection To capture an emerging market, an industry must strive to forecast...
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...ADVANTAGE TECHNOLOGY NETWORKS PRACTICE PROCESS BALANCE PERFORMANCE SUPPLY CHAIN SUPPLY CHAIN THE &THE VS. HYPE REALITY 46 SUPPLY CHAIN MANAGEMENT REVIEW · SEPTEMBER/OCTOBER 2001 www.scmr.com The conventional wisdom is that competition in the future will not be company vs. company but supply chain vs. supply chain. But the reality is that instances of head-to-head supply chain competition will be limited. The more likely scenario will find companies competing— and winning—based on the capabilities they can assemble across their supply networks. By James B. Rice, Jr. and Richard M. Hoppe A n increasingly vocal and popular sentiment holds that the nature of competition in the future will not be between companies but rather between supply chains. If this does, in fact, represent the future, how will these chains actually compete against each other? And what can practitioners do now in anticipation of this future? In contemplating the much-ballyhooed supply chain vs. supply chain (SC vs. SC) proposition, we first sought examples of this competition in action. Yet for as many examples of SC vs. SC competition that we found, there were at least as many places where the model didn’t fit. On the one hand, we saw vivid examples where one company or a series of companies had designed supply networks to act with singular focus against other unique companies or groups of companies—for example, Brax, Perdue Farms, and Tyson Foods. Yet more...
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...My chosen leader is the co-founder of Home Depot, Ken Langone. Mr. Langone is 82 and has a net worth of over $3 Billion, according to Forbes. He was born and raised in New York and attended New York University and New York University Stern School of Business. He climbed the ladder to become a successful businessman not only because of his schooling but also because of his passion. While he is a tough businessman, he is a genuinely good man. He is a native New Yorker and proud of it. After reading articles and watching videos of him being interviewed, it is clear that even in his older age, he is smart, passionate and savvy. From the information I have found so far on Ken Langone, I believe he would be categorized as a leader who uses...
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...Changing Organizational Culture The Seven Step Change Model 12/10/2011 Urooj Khan MBA Regular 10739 Supervised By Ali Mujahid Table of Contents Culture and Organizational Culture 3 Culture 3 Organizational Culture 3 Influences on Culture 3 Cultural Measurement Dimensions 4 Changing Organizational Culture 8 Conclusion 13 Bibliography 14 Culture and Organizational Culture Culture The grand total of all the objects, ideas, knowledge, ways of doing things, habits, values, and attitudes which each generation in a society passes on to the next is what the anthropologist refers to as the culture of a group (Nord, 1972). According to Inkeles, culture is the social heritage, all the knowledge, beliefs, customs, and skills that are available to members of a society (Inkeles, 1964). The famous Dutch behavioral scientist, Geert Hofstede defined culture as the collective mental programming of a people in an environment. He later defined culture as the collective programming of the mind which distinguishes the members of one group from another (Muriithi N, 2003). Organizational Culture Edgar Schein says that organizational culture is developed over time as people in the organization learn to deal successfully with problems of external adaptation and internal integration. It becomes the common language and the common background (Schein E. , 1999). Culture starts with leadership, is reinforced with the accumulated learning of the organizational members...
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...The following is a highlighted summary of the book, Competing for the Future, published by Harvard Business School Publishing. The statements below are key points of the book as determined by James Altfeld and have been made available at no charge to the user. Competing for the Future By Gary Hamel and C.K. Prahalad Look around your company. Look at the high profile initiatives that have been launched recently. Look at the issues that are preoccupying senior management. Look at the criteria and benchmarks by which progress is being measured. Look at the track record of new business creation. Look into the faces of your colleagues and consider their dreams and fears. Look toward the future and regenerate success again and again in the years and decades to come. Now ask yourself: Does senior management have a clear and broadly shared understanding of how the industry may be different ten years from now? Are its headlights shining farther out than those of competitors? Is its point of view about the future clearly reflected in the company’s short term priorities? Is its point of view about the future competitively unique? Ask yourself: How influential is my company in setting the new rules of competition within its industry? Is it regularly redefining new ways of doing business building new capabilities, and setting new standards of customer satisfaction? Is it more a rule maker than a rule taker within its industry? Is it more intent on challenging the industry status quo...
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...A Process for Changing Organizational Culture Kim Cameron University of Michigan Business School 701 Tappan Street Ann Arbor, Michigan 48109 734-615-5247 kim_cameron@umich.edu To be published in Michael Driver (Ed.) The Handbook of Organizational Development 2004 2 A Process for Changing Organizational Culture Kim Cameron University of Michigan Much of the current scholarly literature argues that successful companies--those with sustained profitability and above-normal financial returns--are characterized by certain well-defined external conditions. These conditions include having (1) high barriers to entry (e.g., the difficulty of other firms entering the market, so few, if any, competitors exist), (2) nonsubstitutable products (e.g., others cannot duplicate the firm’s product, and no alternatives exist), (3) a large market share (e.g., the firm can capitalize of economies of scale and efficiencies by dominating the market), (4) buyers with low bargaining power (e.g., purchasers of the firm’s products become dependent on the firm because they have no other alternative sources) (5) suppliers with low bargaining power (e.g., suppliers to the firm become dependent because they have no other alternative customers), (6) rivalry among competitors (e.g., incentives to improve are a product of rigorous competition), and (7) rare products or services (e.g., offering something that no other company provides) (Porter, 1980; Barney, 1995). Unquestionably, these are desirable...
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...A Process for Changing Organizational Culture Kim Cameron Ross School of Business University of Michigan 701 Tappan Street Ann Arbor, Michigan 48109 734-615-5247 kim_cameron@umich.edu In Thomas G. Cummings (Ed.) Handbook of Organizational Development, (pages 429-445) Thousand Oaks, CA: Sage Publishing. A Process for Changing Organizational Culture Kim Cameron University of Michigan Much of the current scholarly literature argues that successful companies--those with sustained profitability and above-normal financial returns--are characterized by certain well-defined external conditions. These conditions include having (1) high barriers to entry (e.g., the difficulty of other firms entering the market, so few, if any, competitors exist), (2) non-substitutable products (e.g., others cannot duplicate the firm’s product, and few, if any, alternatives exist), (3) a large market share (e.g., the firm can capitalize on economies of scale and efficiencies by dominating the market), (4) buyers with low bargaining power (e.g., purchasers of the firm’s products become dependent on the firm because they have no other alternative sources) (5) suppliers with low bargaining power (e.g., suppliers to the firm become dependent because they have no other alternative customers), (6) rivalry among competitors (e.g., incentives to improve are a product of rigorous competition), and (7) rare products or services (e.g., offering...
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...A Process for Changing Organizational Culture Kim Cameron Ross School of Business University of Michigan 701 Tappan Street Ann Arbor, Michigan 48109 734-615-5247 kim_cameron@umich.edu In Thomas G. Cummings (Ed.) Handbook of Organizational Development, (pages 429-445) Thousand Oaks, CA: Sage Publishing. A Process for Changing Organizational Culture Kim Cameron University of Michigan Much of the current scholarly literature argues that successful companies--those with sustained profitability and above-normal financial returns--are characterized by certain well-defined external conditions. These conditions include having (1) high barriers to entry (e.g., the difficulty of other firms entering the market, so few, if any, competitors exist), (2) non-substitutable products (e.g., others cannot duplicate the firm’s product, and few, if any, alternatives exist), (3) a large market share (e.g., the firm can capitalize on economies of scale and efficiencies by dominating the market), (4) buyers with low bargaining power (e.g., purchasers of the firm’s products become dependent on the firm because they have no other alternative sources) (5) suppliers with low bargaining power (e.g., suppliers to the firm become dependent because they have no other alternative customers), (6) rivalry among competitors (e.g., incentives to improve are a product of rigorous competition), and (7) rare products or services (e.g., offering...
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...************************************************************** Instructor’s Grade on Assignment: Instructor’s Comments: Executive Summary We have been hired to help Mack Stewart, the CEO and president of Star Bright Stores assess data to recommend the best type of franchise he should pursue for this company. The future success of the company is dependent on growing the business. In order to do so, he needs to attract potential franchises to purchase stores. Using the statistics he has been keeping on 27 different franchise owners with different characteristics. Using various excel functions, we have determined that the best type of franchise for Star Bright Stores has 5.5 thousand square feet, $540 thousand in inventory, spends $9.6 thousand on advertising, has 9.7 thousand families, and at least 14 competing stores within each district. The data below outlines how we came to these conclusions. Problem We have been hired to help the CEO of Star Bright Stores compile and evaluate data in order to best recommend the type of franchise he should pursue. Background Star Bright Stores president and CEO Mack Stewart is worried about the operation of his franchise. The future...
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...SUNY Brockport | CIBC Mellon | Case Study | | Nicolas Iannucci | 9/21/2013 | This case study will include a brief summary of CIBC Mellon’s history, mission, and structure; A SWOT analysis; Finally an “Analysis of Competing Hypotheses” with a prediction for CIBC Mellon’s future. | Part I. Introduction, Structure, Mission & Vision 1. Introduction: Founded in 1996, CIBC Mellon is 50-50 jointly owned by Canadian Imperial Bank of Commerce (CIBC) and The Bank of New York Mellon Corporation (BNY Mellon), the world’s largest custodian. CIBC Mellon provides asset servicing solutions, including custody, multicurrency accounting, fund administration, unit holder recordkeeping, pension services and securities lending services, for institutions and corporations. They have over 1,000 people supporting more than 1,200 clients. As of June 30, 2013, CIBC Mellon held more than CAD$1.2 trillion of assets under administration. CIBC Mellon is headquartered in Toronto, with offices across Canada. 2. Corporate structure: CIBC Mellon seems to have an SBU form of the multidivisional structure for implementing a related linked strategy. 3. Vision: ...
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...executive compensation prevention of accounting fraud risk analysis agriculture: land use management genetically altered plants control of crown gall in ornamental plants methods of crop estimation/pricing/futures bioterrorism in crops architecture: options in environmental or natural disaster proof structures (floods, fires, earthquakes, etc.) landscape designs for different environments (drought, boggy, etc.) solar heating or cooling designs lighting systems for large structures restoration methods for old and/or historic buildings aviation: wind shear problems and solutions pilot retirement or retention issues training and safety procedures global positioning systems runway incursion solutions aircraft fatigue competing materials for aircraft structures screening/security issues options in aircraft for corporate use small airport management biology/pre-med liability insurance/malpractice reform options in diagnosis or treatment medicare/medicaid issues wellness education physician education and training medical school curriculum updates--patient communication, grief training, etc. biomedical engineering: options in treatment/rehabilitation artificial joints or prosthetics (foot joints, etc.) competing tests (Pap, prostate, etc.) or treatment options materials options synthetic polymers for artificial...
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...It is now one of the largest retailers and diversified publicly listed company in Australia. In 1984, when it was firstly listed on ASX, its market value was only $30 million, but by the end of 2008, it had a market capitalization grown to $25 billion. In fact, it has engaged an aggressive acquisition and diversification strategy since its establishment. Of those diverse business one of the most important businesses is the retail business including Coles and Bunnings. This leads to the major competitor of Westfarmers's, woolworths. Currently woolworths entered the home improvement retail market and makes the competition between westfarmers and woolworths more aggressive. 3. Industry analysis The key retail market westfarmers are now competing is the food retail market and home improvement retail market. Given the fact that the nature of both retail markets are pretty much the same both base on supermarket distribution approach), we decided to analyse them together as a whole in both macro- and micro-environment....
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...Customer Support Software Companywide Compliance By Charles A. Kennedy July 6, 2012 CMGT/410 Project Planning and Implementation University of Phoenix Introduction The following memo is designed to provide our Management Team Employee’s and relevant stockholders the company’s plan to start implementing Customer Relation Software throughout the company. It will be explained in the following memo how this software will help us to be more competitive within the global market. Also this software will save the company monies and generate more sales by reducing some of the current redundancy we now have in our sales divisions. Once all relevant personal is trained there we be one hundred percent (100%) compliance throughout our company. MEMORANDUM TO: All Employees FROM: Corporate Office DATE: July 6, 2012 SUBJECT: Company Compliance System CC: Management and Relevant Stakeholders Over the past few years the company has expanded onto the global environment, with this new expansion there is a need for us up to integrate Customer Relation Marketing (CRM) into our business information systems, by integrating this new software it will allow the company to achieve the maximum return on marketing, fully capitalize on sales leads and prospects, and cultivate ongoing, lifetime relationships with our current and established customers. By integrating all data about sales leads, current customers, associated companies, and employees throughout...
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