Podcast
Questions and Answers
The aim to develop a low-cost production position is known as ______ leadership.
The aim to develop a low-cost production position is known as ______ leadership.
low-cost
An approach where a business does not choose a definitive strategy is referred to as a ______.
An approach where a business does not choose a definitive strategy is referred to as a ______.
reactor
The ______ Test evaluates how well a strategy aligns with the farmer's vision and other stakeholders.
The ______ Test evaluates how well a strategy aligns with the farmer's vision and other stakeholders.
Vision Consistency
A strategy that aims for reasonable cost while ensuring other characteristics such as quality is called ______-cost provider.
A strategy that aims for reasonable cost while ensuring other characteristics such as quality is called ______-cost provider.
Signup and view all the answers
The strategy of revising objectives and timetables towards more realistic levels is known as ______.
The strategy of revising objectives and timetables towards more realistic levels is known as ______.
Signup and view all the answers
Actions aimed at improving short-term profitability fit under the umbrella of ______ moves.
Actions aimed at improving short-term profitability fit under the umbrella of ______ moves.
Signup and view all the answers
The ______ Test determines if a strategy helps build competitive advantage through efficiency, quality, and innovation.
The ______ Test determines if a strategy helps build competitive advantage through efficiency, quality, and innovation.
Signup and view all the answers
The use of ______ analysis helps in identifying strengths, weaknesses, opportunities, and threats in farming.
The use of ______ analysis helps in identifying strengths, weaknesses, opportunities, and threats in farming.
Signup and view all the answers
The ability of the farm to improve or maintain ______________ is crucial for its success.
The ability of the farm to improve or maintain ______________ is crucial for its success.
Signup and view all the answers
A sign of competitive strength includes having important core ______________.
A sign of competitive strength includes having important core ______________.
Signup and view all the answers
Signs of competitive weakness can include a lack of clear ______________.
Signs of competitive weakness can include a lack of clear ______________.
Signup and view all the answers
Having above average profit margins is an indicator of a farm's ____________ strength.
Having above average profit margins is an indicator of a farm's ____________ strength.
Signup and view all the answers
The process of evaluating costs by category is known as _____________ analysis.
The process of evaluating costs by category is known as _____________ analysis.
Signup and view all the answers
A major source of competitive advantage for farms is maintaining lower unit ______________.
A major source of competitive advantage for farms is maintaining lower unit ______________.
Signup and view all the answers
A farm must capitalize on opportunities to stay competitive and improve its ____________.
A farm must capitalize on opportunities to stay competitive and improve its ____________.
Signup and view all the answers
__________ analysis involves assessing a farm's strengths, weaknesses, opportunities, and threats.
__________ analysis involves assessing a farm's strengths, weaknesses, opportunities, and threats.
Signup and view all the answers
The ______ approach is used to set multiple goals in an organization.
The ______ approach is used to set multiple goals in an organization.
Signup and view all the answers
SWOT Analysis includes strengths, weaknesses, opportunities, and ______.
SWOT Analysis includes strengths, weaknesses, opportunities, and ______.
Signup and view all the answers
A farm's competitive advantage can be measured by its profit rate relative to the industry ______.
A farm's competitive advantage can be measured by its profit rate relative to the industry ______.
Signup and view all the answers
Performance indicators include profitability, solvency, liquidity, and ______ capacity.
Performance indicators include profitability, solvency, liquidity, and ______ capacity.
Signup and view all the answers
Capabilities in farming can lead to a competitive edge through superior ______.
Capabilities in farming can lead to a competitive edge through superior ______.
Signup and view all the answers
Study Notes
Strategic Management Overview
- Strategy is a plan of action designed to achieve a particular goal.
Strategic Management: Key Stages
-
Strategic Planning:
- Identifying stakeholders
- Defining vision and objectives
- Conducting SWOT analysis (internal and external analysis)
- Crafting the strategy
-
Strategy Implementation:
- Obtaining and organizing farm resources
- Directing resources effectively
-
Strategic Control:
- Measuring and evaluating farm performance
- Monitoring external events
- Taking corrective actions as needed
Strategy: Four Key Questions
- What do we want to achieve?
- Where should we put our efforts?
- What resources do we have available?
- What do we need to do to compete, survive and meet our goals?
Strategy Implementation—Detailed
- Designing the structure of the farm to align with chosen strategy
- Setting target dates for implementation
- Assigning tasks to personnel
- Motivating staff to accept and implement the plan
- Providing training if needed
- Obtaining and directing needed resources
- Comparing actual performance to budgets
- Adapting the plan based on circumstances
Strategic Planning Considerations
- Identification of stakeholders (internal and external)
- Development of vision and objectives
- SWOT analysis (strengths, weaknesses, opportunities, threats)
- How to use strengths effectively
- How to minimize weaknesses
- Capitalizing on opportunities
- Addressing potential threats
- Aligning decisions to long-term objectives
Strategic Control—Detailed
- Key indicators for measuring progress (financial, productivity)
- Establishing standards for evaluation
- Creating recording systems
- Comparing actual performance to defined standards
- Evaluating results
- Taking corrective actions
Common Problems in Strategic Planning
- Planning under uncertainty
- Difficulty in preparing forecasts
- Need to examine proposed strategies under different scenarios
- Ivory tower planning (out of touch/unrealistic)
- Planning only for the present
- Focusing too much on the future
- Errors caused by cognitive biases
Strategic Management—Additional Comments
- Strategy needs to change and adapt as the business environment evolves
- The ability to make proactive adjustments and to be entrepreneurial is an important element for success
- First mover advantage, risk, initial competitive position, cost/resources needed and competitors' expected choices are factors influencing strategy.
- Farm Business Management is challenging and requires a multi-faceted approach.
- Successful future managers will understand economics of production, maintain accurate records, critically analyze performance, plan strategically, and effectively implement plans.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Related Documents
Description
Test your knowledge on the key concepts of strategic management. This quiz covers strategic planning, implementation, and control, along with the essential questions to consider when developing a strategy. Challenge yourself to see how well you grasp the stages of strategic management.
