...A gap analysis is performed to compare a strategy with the external environment and the internal environment, to see if there are any inconsistencies between the strategy and the environment. Therefore, the gap analysis is usually done by an organisation rather than an industry. So, for example, if Officeworks has the strategy of pursuing growth by being the best and cheapest supplier of office needs to the small business and home markets in Australia, then their gap analysis would be done to compare their internal environment with that strategy, and their external environment with that strategy. Therefore, they compare their capabilities, performance and key stakeholder expectations against that strategy to see if they are all consistent with it; if they find gaps, then they will need to decide what they are going to do to close those gaps. An example might be that Officeworks might not have the capabilities required to be the cheapest supplier, so they need to address those capabilities to improve that deficiency. They would also compare the remote environment trends they identified through their TEMPLES analysis of how the remote environment impacts on their business to see if they will get sufficient growth now and into the future, given the external trends and their strategy. Another external analysis is the Porter’s analysis of the industry environment, to determine the likely impacts on their profitability when pursuing that strategy going into the future. Again...
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...Case 1 – Kodak Idendity Industry, Product segments and Value chain The industry is Global photography industry. In the case mentioned that Kodak is a major multinational organisation, was listed on the New York Exchange TEMPLES Factor Issues Nature of impact (+/=/-) Assessment of impact (H/M/L) Technology • Digital technology made the growth of digital photography + H Economic • Impact of recession on consumer spending - M Market • Changing purchasing traditional camera to digital camera • Price competition to gain market share • Market share of photography product declined due to digital photography - - - H H H Society • Change in consumer purchase from traditional photograph to digital photography - H 5Q-Pursued strategy Business Strategy using 5Q approach Examples of how Kodak has been pursuing the corporate strategy Growth-Yes Withdraw: US Subsidiaries filed voluntary petitionfor Chapter 11 business reorganisation to enable Kodak bolster liquidity and sell off non-strategic intellectual property, so that 1) Kodak can focus on its most valuable business units. 2) The process will allow Kodak to continue normal business operation while it attempts to emerge a profitable a sustainable enterprise 3) The Bankruptcy was a step in the transformation in order to build the strong possible foundation for the Kodak of the future. Product Camera, film but focus on printers (consumer and commercial printer)...
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...Process Introduction The strategic management process is more than just simple rules. It is a rational approach used in businesses. It starts with management thinking strategically, then applying steps and thought to a process. This process should be understood by everyone in the business. Although it starts with upper management, it should be implemented throughout the entire business and everyone should be included. According to Popescu, in the International Conference on Management and Industrial Engineering “The process of strategic management consists of an ongoing analysis, decisions, and actions activities to create and sustain competitive advantages in order to obtain desired competitive position and achieve strategic objectives”(Popescu,2013). This process is not one simple step and can be complex. It is not a onetime occurrence and can happen multiple times. The ongoing analysis, decisions, and actions that are performed should include all people involved. Everyone should be on the same page throughout the strategic management process. Goal Setting It is important for any business to set goals. Goals give businesses a purpose. It helps to organize the direction in which a business should take. Businesses should always have goals and let the goals be clear. Goals should be clear to both managers and employees. Short term and long term goals should be established. These goals should be evaluated throughout the strategic management process. According to Campbell...
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...Program—professional level Global Strategy and Leadership Segment map and concepts Semester 1 2013 Authors: Delyth Samuel Published by Deakin University on behalf of CPA Australia Ltd, ABN 64 008 392 452 © CPA Australia Ltd February 2013 The contents are for general information only. They are not intended as professional advice, for that you should consult a suitable qualified professional. CPA Australia Ltd expressly disclaims all liability for any loss or damage arising from reliance upon any information in these papers. Contents Segment map Segment map 4 5 Segment concepts Module 1: An introduction to strategy and leadership Module 2: Understanding the external environment Module 3: Understanding the internal environment Module 4: Product and market development Module 5: Making strategic choices Module 6: Leading and implementing strategy 6 7 8 10 11 12 13 Segment map SEGMENT MAP AND CONCEPTS Segment map The following diagram shows how the study materials in Global Strategy and Leadership fit together in an overall concept map, with strategy and leadership concepts applying throughout. Strategy is an iterative process and this is reflected by the double-headed arrows. Module 1: An introduction to strategy and leadership Module 2: Understanding the external environment Defining the industry for analysis Past and future growth and profitability What’s needed to be successful Module 3: Understanding the internal environment How the organisation...
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...MSc Management with Streams Strategy Assessment Brief Due: 4pm, 29 April 2014 Page 1 of 8 1. Background Information The purpose of this assignment is to give you an opportunity to present your understanding of the concepts in strategy, to identify and appreciate the challenges strategists face in real-life situations and to apply different frameworks and tools in order to analyse the strategic positions of a firm in an industry or market. A direct outcome of this last part is to demonstrate that you can diagnose any challenges or gaps that this firm can pursue or fill and, therefore, you can recommend alternative strategies. Instructions: 1. Pick a company you find interesting in any industry, market or country you like. Make sure that you choose a firm that meets the following criteria: a. It is not very small (10+ employees) b. It generates revenue of a few hundreds thousands pounds or equivalent (£100,000+ revenue) c. you can find enough information about it The last criterion is very important as your assignment is heavily based on the information you can collect and the level of accessibility you can get for this information 2. Read as much material as you can find about this firm. Try to understand the business, the strategies it follows and the challenges it faces in that industry 3. Then, proceed with the assignment questions 2. Assignment Questions You are a management consultant and you have been asked by the Board of Directors of your employer to prepare...
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...Albany, Ohio with over 20,000 employees. As a “near to luxury” retailer, ANF operates in an apparel industry which straddles high to low end merchandise. Its’ main competitors include : American Eagle, Aeropostale, Gap and J- Crew. Their focus on capturing a young market has created a rivalry, which forces them to be innovative and creative in delivering fashionable mechandise. As a result, their competitive strategy involves not only marketing their products through stores, but via catalogs and e- commerce activites. SWOT ANALYSIS, ABERCROMBIE AND FITCH A scan of the internal and external environment is essential in any firm’s strategic planning process. A SWOT analysis defines the internal and external environmental issues with which a firm must address in its strategic planning process. This type of analysis specifies the internal and external factors that are favourable and or unfavourable to the firm achieving its business objectives. It guides the firm in matching its resources and other capabilities to the challenges of the competitive environment in which it operates. Internal factors can be classified as personnel, finance and manufacturing capabilities. Examples of external factors can include inter alia, macroeconomic matters, technological change, legislation, sociocultural and competition. Strength • Solid financial position. • Effective Marketing Strategy. •...
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...Summary This case study, we have done as the assignment of our ninth module in Professional Qualification in Human Resource Management and it is held by Mr. C H Liyanage. According to the given case study, Sharmin Rodrigo is the chairperson of the Mingo Group and she has desired to be the franchisee of one of the leading restaurant in U S A and she wants to operate it in her mother land. Sharmin Rodrigo is a well educated woman and she is successful business woman because she could build the leading business empire with in decade in her country. Mingo Group is a well diversified business. Once the negotiation got successful she invested million of rupees to secure the franchise with McDew which operates the renowned fast food chain in more than 130 countries with over 2000 restaurants. Sharmin planned to open 10 restaurants in her motherland and initially she started in the leading cities of the country. When she is stating this McDew there was some political interfere on that and in such cases she has to change her business plan also. Almost six months ahead to the opening she has sent 100 employees who have got selected to the personal desire of the Sharmin to an...
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...Global Strategy & Leadership Semester 2 2013 Glossary 7-‐S model Tool for testing whether a proposed strategy will achieve its aim by asking whether it is in alignment with the following major areas: Strategy, Structure, Systems, reSources, Skills, Style and Shared values. Ansoff product-‐market matrix Framework for considering possible alternatives and options for an organisation’s growth based on the product and market focus Balanced scorecard Performance management tool organised around four distinct perspectives which balance short-‐term and long-‐term performance, external and internal performance, financial and non-‐financial performance and different stakeholder perspectives. BCG (Boston Consulting Group) Matrix Tool to assess the organisation’s products in terms of market growth and the organisation’s market share, making it easier to identify any promising product areas that are either core to the organisation ...
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...CPA PROGRAM GLOBAL STRATEGY AND LEADERSHIP STUDENT SUPPORT SLIDES Semester 1, 2016 MODULE 1 AN INTRODUCTION TO STRATEGY AND LEADERSHIP NEED TO MEET MODULE OBJECTIVES • • • • • • • • Explain the development of the evolution of strategy Outline the ethical responsibilities and challenges that leaders of organisations are confronted by Discuss the different approaches to strategy, and how they differ from one another Identify the strategy process and describe the purpose of each step Explain the concepts of strategic thinking and analysis Describe the various levels of strategy and the links between them Explain the drivers, challenges and benefits of globalisation Discuss the role of the accountant in the strategy process PRACTICE • • • Have you completed the questions in the Study Guide? Have you completed the Learning Examples in the Student Notes? Have you completed the knowledge check questions from this module? Key revision areas: • The different approaches to strategy: rational, processual, evolutionary, systemic • The levels of corporate strategy and the scope/content of each • The drivers, challenges and benefits of globalisation • Evolution of corporate strategy as a concept – Porter, Mintzberg • Operational effectiveness v. strategic positioning • Developing the strategy – see Focus slide • Ethics in leadership: classical and socioeconomic views Strategy and leadership Approaches ...
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...• What remote environment trends have driven the industry to its current state? Are these factors changing? What will be their affect on future growth in the industry? Remember that a short text may only make reference to some of the factors in the remote environment. • What forces within the industry determine its current profitability? Are these forces changing? What will be their impact on the future profitability of the industry? Again, remember that a short text may only make reference to some of the forces in the external industry environment. • Does the text make any reference to different customer market segments in the industry, and can you make an assessment of what drives customer demand in them? • Given your remote and industry environment analyses, and your customer and market analysis, can you assess the basis of competition in the industry? What key factors are critical for the organisation to do well, in order to be successful? Do organisations in the industry compete in any strategic groups? Analyse competitors, if they are mentioned in the text, to gain a clear and specific profile of each major competitor in the industry. On the other hand, the facts in the text may make limited reference to the external environment and focus instead on the internal capabilities of the company. These are the factors within the organisation that may affect its strategic choice and implementation (refer to Module 3). • Who are the key stakeholders of the organisation...
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...Strategic Analysis and Choice Intake: October 2006 Student ID # 069017970 Master of Business Administration Module 2 Strategic Analysis and Choice Submitted by: Mohammed Hassan Sidahmed Student ID # 069017970 Intake: October 2006 1 Strategic Analysis and Choice Intake: October 2006 Student ID # 069017970 Strategic Analysis and Choice With reference to empirical examples, identify the circumstances in which a company should consider implementing a process of strategic renewal. What business strategies can they adopt in such circumstances and what factors are likely to influence the success of such strategies? 2 Strategic Analysis and Choice Intake: October 2006 Student ID # 069017970 A close look upon circumstances in which a company should consider implementing a process of strategic renewal and how to clearly identify these circumstances , analysts have to explore checklists and frameworks to find information necessary for conducting an internal and External Audit , to assess very clearly the internal and external Environments , so that the Company finds out where it currently stands and in order to take advantage of opportunities and its strong areas and to make plans for threats and weak areas when preparing business strategies. For the assessment External environment, it is best conducted by the PESTLE Analysis the factors are : ( P – Political , E – Economical , S – Social , T – Technological , L - Legal...
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...to create stronger ties. With the growth of the internet and mobile platforms, Relationship Marketing has continued to evolve and move forward as technology opens more collaborative and social communication channels. A simple example of this would be sending new customers a "Welcome Kit," which might have an incentive to make a second purchase. If 60 days pass and the customer have not made a second purchase, you would follow up with an e-mailed discount. You are using customer behaviour over time to trigger the marketing approach. Relationship Marketing Vs Transactional Marketing Transactional marketing is a business strategy that focuses on “single point of sale” transactions. The emphasis is on maximizing the efficiency and volume of individual sales rather than developing a relationship with buyer. On the other hand relationship marketing is a business strategy that seeks to establish long term relationship with its customers rather than focusing on single transaction, not only does it focus on individual customers but on all the stakeholders in order to manage a relationship that adds value to each person. Focus: The transactional marketing focus on recruitment of customers for single sale; Relationship marketing focus on customer retention Orientation: Transactional marketing is oriented on product features; Relationship Marketing orientation is on product benefits and system solutions Time Horizon: Transactional...
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...respect to hypothetical Business Organisation, Develop strategic intent and implementation after critical analysis of the environment. Case Study: SS SECONDARY SCHOOL Strategy is a unified, comprehensive and integrated plan relating strategic advantages of the firm to challenges of the environment. The strategy designed to ensure that the basic objectives of the enterprise are achieved. Strategic business management refers to a set of managerial decision and actions that determine the long run performance of a business or corporation, which is basically a process of achieving organisational objectives, by establishing a framework to perform various processes and focusing on relating the organisation to its external environment, that there is continuous interaction between the organisation and its environment. There are various limitations to strategic business implementation which includes complex and dynamic environment, rigidity, inadequate appreciation of strategic business management, limitation in implementation and seldom corporate strategy. Strategic management process involves three stages which includes strategy formulations, strategy implementation and strategic control. Strategic intent which is part of strategic formulation involves establishing a vision, mission and long term broad objectives. It is a big hairy and audacious goal that set by the organisation to be achieved at a certain period, which stipulate the kind of environment an organisation is aspire...
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...* Industry Definition – Providing an avenue for consumption purchases * Industry Value Chain – Fig 2.3 Page 2.9 * Value chain is being altered which increases value for the consumer as the retailer “middle man” is being cut out. Where merchandiser has direct access to the consumer. Banking industry has followed suit to create BPAY, Paypal etc. * Product Segmentation * Clothing * Small Goods * White Goods * Food * Music * Movies * Services * Industry Life Cycle – Fig 2.8 Page 2.19 * Early stages of the Growth Cycle * Remote Environment * POLITICAL – Change in legislation – ie. Tariff attached to every purchase. Negative * ECONOMIC – Exchange rate fluctuations – most online shopping growth is coming from intl. Labour Costs – need to reduce in order to make retail shopping more competitive. Positive * SOCIAL – Better Security – with entering personal banking information for online payments. Work/Life balance – Convenience and time poor. Positive * TECHNOLOGICAL – More efficient. Very dependent on advancing technology. Cost of production is reduced as the “middle man” ie. Retailer is reduced. Positive * ENVIROMENTAL – Logistically – more trucks on the road to make deliveries. Increased Packaging. Negative * LEGAL – Actually changing the legislation – to allow companies to ship to Australia. Positive More positives than negatives – industry...
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...Summary This report was produced for British Airways for the purpose of providing strong competitive edge in Airline industries. BA is a leader in airline operators in UK which face a lot of competition in the last decade. This report will analysis, identify and evaluate strategic choices that BA could pursue both internal and external environment forces. Some of the strategic will includes the strategy gap of BA. Through this strategic, we have recommended that BA should focus on their communication, planning, forecasting and strategy formulation to restore their competitive advantage within the industry. Table of contents Table of contents 1.1 Report objectives 1.2 Company overview 1.3 Strategy gap 1.4 Current strategies 2.0 External Analysis 2.1 PESTEL Analysis 2.2 Porters’ five forces 3.0 Internal Analysis 3.1 Resource based view 3.2 Value Chain 4.0 Key strategic Issues 5.0 Strategy formulation 6.0 Conclusions 7.0 Recommendations 1.1 Report Objectives The main objective of this report is to recommendation a good strategy for BA. This report will consist of sections which includes the followings: To found out the current strategic position of BA, Analysing the internal and external environment forces of BA, recommend strategic options using the internal and external analysis, evaluate strategic choices that BA could pursue and discuss the implementation. 1.2 Company Overview British Airways...
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