Strategic Management PDF

Strategic managem ent (a By:brief overview) Shalini Bartwal Ph.D. Scholar Logistics and Supply Chain Management School of Management Doon University Introduction- What is strategy? 2 WHY DO SOME COMPANIES MAKE THE LEAP AND OTHERS DON’T?? 3 Strategy...

Strategic managem ent (a By:brief overview) Shalini Bartwal Ph.D. Scholar Logistics and Supply Chain Management School of Management Doon University Introduction- What is strategy? 2 WHY DO SOME COMPANIES MAKE THE LEAP AND OTHERS DON’T?? 3 Strategy is the definition of the long-term goals and objectives of a company, the adoption of actions, and the allocation of necessary resources for the achievement of the objectives. (Chandler, 1962) Strategy is the model of the objectives, policies, purposes, goals, and plans to achieve them addressed in such a way that they define which business the company is or will be. (Andrews, 1971) According to Porter (2008), the strategy is to select the set of activities in which a company stands out to establish a sustainable difference in the market; the differentiation arises from the activities chosen and how they are carried out. 4 ARE PLANNING AND STRATEGY THE SAME 5  STRATEGY PLANNING Oriented towards stability Oriented towards change Open and external focus Closed and internal focus Anticipates for the future Extrapolates from the past Strategy and planning are Entrepreneurial and action- oriented Inaction, in case of ambiguity not substitutes, Emphasizes the environment Emphasizes the enterprises but complementar art science y proactive reactive (source: 6 semanticscholar.com) Strategy at all levels of an organization 7 (Source: Brainkart.com) Some business success stories which strategically planned out their businesses 8 (source: Brownandjoseph.com) The Five Forces Model/ Diamond model By Michael Porter A framework that helps analyze the level of competition within a certain industry. It is especially useful when starting a new business or when entering a new industry sector. According to this framework, competitiveness does not only come from competitors. Rather, the state of competition in an industry depends on five basic forces. The collective strength of these forces determines the profit potential of an industry and thus its attractiveness. If the five forces are intense (e.g. airline industry), almost no company in the industry earns attractive returns on investments. If the forces are mild however (e.g. soft drink industry), there is room for higher returns. 9 Concentration ratio? 10  Concentration ratio? The share of an X company in the total market place. 11 12 The BCG Matrix 13 14 15 16  Seek answers to the questions How do you involve How are the missions strategy in decision- and visions of any making? How can strategy organization be implemented in complement different areas? strategies? What drives businesses What are the reasons that to plan strategically? drive a business towards long-term gains What are the basic Can only planning Is strategy required requirements for strategically draws out at every level of the strategic planning? the competition? organization? 17  Growth Strategies What is Growth? Growth is the route to survival, especially in the context of an emerging economy with intense competition. A process of overcoming resource deficiencies resulting from the liabilities of newness and smallness. Competitive tactics that firm adopt to enhance position in market place. The more firms grow the more 18 resources they can access,  Stages of Business Growth Rapid growth Continuous growth Reinvent product and Build a balanced business competitive strategies system cultivate leaders, empower Keep reinventing growth employees strategies Broaden lines, expand Establish a responsive territories innovative system Inject relentless growth Develop capability for attitudes in the workforce flexibility and speed 19  Growth Strategies of Companies Organic growth originates internally and focuses on internal R&D and product development. New Organic Growth ventures that adopt this growth strategy mainly rely on their own resources to expand. A relationship formed by two or more organizations Partnership whose goal is to create more value for target clients’ Growth new or underserved needs. In doing so, it creates value for each partner firm. Acquisition Growth through acquisition, refers to acquiring other Growth companies in related or unrelated business areas. 20 21 22  Mergers Acquisition Exampl es Strategic Joint Venture Alliance 23 “Don’t compete with rivals- make them irrelevant” W Chan Kim, Blue Ocean Strategy 24 Thank you References https://www.semanticscholar.org/paper/An-analysis-of-strategic-planning-practices-at- of-Sheridan/1401be6a65f21a07b3fc09eb100d8a1f0e95fd47 Henderson, B. D. (1989). The origin of strategy. Harvard business review, 67(6), 139- 143. http://arts.brainkart.com/article/levels-of-strategy-1192/ https://brownandjoseph.com/blog/11-turnaround-success-stories/ Porter, M. E. (2008). Competitive Advantage: Creating and Sustaining Superior Performance. simonandschuster. com. A. D. Chandler, Strategy and Structure: Chapters in the History of the American Industrial Enterprise, Beard Books, New York, NY, USA, 1962. K. R. Andrews, >e Concept of Corporate Strategy, Irwin, Homewood, IL, USA, 1971. 26 Diversity, Equity and Inclusion (DEI) A Strategic imperative 27 28 The terms Diversity: Representation of various identities within an organization. This refers to demographics, including gender, age, ethnicity, race, sexual orientation, location, nationality, disability status, and more. The wider the range of these demographics, the more diverse your organization is. However, having a diverse team is not enough. Creating a workplace environment that supports and nurtures diverse employees is what matters. Equity: Representation of various identities within an organization. An equitable organization means that every employee receives equal opportunities, is treated fairly, and has the resources they need to succeed in their job, regardless of their background. Inclusion: An inclusive environment means that all employees are treated with respect and care, despite any differences, and made to feel welcome, valued, and heard. A report by Gartner found that 29 inclusive teams perform up to 30% better than non-inclusive teams. Belongingness: All employees should feel accepted, valued, and heard at work. Belonging is about fostering psychological safety in team situations, where every team member is comfortable expressing themselves without fear of judgment or retribution. Regardless of how long an employee has been in the company or team, they should feel 30 welcome and needed and 31 BRANDS SUPPORTING DEI 32