INTERNAL ASSESSMENT

VALUE CHAIN ANALYSIS

Activities
Inbound Logistics
1.Does the location of distribution facilities minimize
shipping times?
2.Does the warehouse layout and designs increase
efficiency of operations for incoming materials?
Operations
1.Are the plant operations efficient to minimize costs?
2.Are the plant layout and workflow design efficient?
3.Is the incorporation of process technology appropriate?
Outbound Logistics
1.Are the shipping processes effective in providing quick
delivery and minimize damages?
2.Does the shipping of goods in large lot sizes minimize
transportation costs?
Marketing and Sales
1.Are there innovative approaches to promotion and
advertising?
2.Does the company have proper identification of
customer segments and needs?
Service
1.Is there a quick response to customer needs and
emergencies?
2.Is the quality of service personnel and ongoing
traininghigh?
General Administration
1. Are there effective planning systems to attain overall
goals and objectives?
2.Are there excellent relationshipswith diverse stakeholder
groups?
3.Is information technology effective in integrating valuecreating activities?
Human Resource Management
1.Are recruiting, development, and retention mechanisms
effective for employees?
2.Are there quality relations with trade unions?
3.Does the company have reward and incentive programs
to motivate all employees?
Technology Development
1.Are there effective R&D activities for process and
product initiatives?
2.Are there positive collaborative relationships between
R&D and other departments?

YE
S

NO

Explanation

3.Are R&D activities for process and product initiatives

effective?
Procurement
1.Is the procurement of raw material inputs to optimize
quality and speed and to minimize the associated
costs?
2.Does the company have development on collaborative
win-win relationships with suppliers?
3.Are there analysis and selection of alternative sources of
inputs that minimize dependence on one supplier?
Additional Questions:
1. How does the company accomplish its value chain activities enumerated below?
a. Research and Development
b. Design
c. Supply
d. Production
e. Marketing
f. Distribution
g. Customer Service

SUSTAINABLE COMPETITIVE ADVANTAGE ASSESSMENT

A. Resources (To be answered by YES or NO)
Resources
1. Tangible Resources
Financial Resources
Physical Resources
Technological
Resources
Organizational
Resources
2. Intangible Resources
Human Resources
Innovation and
Creativity
Reputation
3. Organizational
Capabilities

Is it
VALUABLE?

Is it RARE?

Is it
DIFFICULT
TO
IMMITATE?

Is it
WITHOUT
SUBTITUTES?

EXPLANATION

B. Activities
Activities

Is it
VALUABLE?

Is it RARE?

Is it
DIFFICULT
TO
IMMITATE?

Is it
WITHOUT
SUBTITUTES?

EXPLANATION

Inbound Logistics
Operations
Outbound Logistics
Marketing and Sales
Service
General
Administration
Human Resource
Management
Technology
Development
Procurement
Additional Question:
1. On the four characteristics of resource inimitability enumerated below, what characteristic do your companys products
has? How do you say so?
a. Physical uniqueness
b. Path Dependency
c. Causal Ambiguity
d. Social Complexity

ASSESSING INTELLECTUAL CAPITAL

A. Human Capital
Recruiting Top-Notch Human Capital
Q1. Does the organization assess attitude and general makeup instead of focusing primarily on skills and background in
selecting employees at all levels? How do you say so?
Q2. How important are creativity and problem-solving ability? Are they properly considered in hiring decisions?
Q3. Do people throughout the organization engage in effective networking activities to obtain a broad pool of worthy
potential employees? Is the organization creative in such endeavors?
Enhancing Human Capital through Employee Development
Q4. Does the development and training process inculcate an organization-wide perspective?
Q5. Is there widespread involvement, including top executives, in the preparation and delivery of training and
development programs?
Q6. Is the development of human capital effectively tracked and monitored?
Q7. Are there effective programs for succession at all levels of the organization, especially at the top-most levels?
Q8. Does the firm effectively evaluate its human capital? Is a 360-degree evaluation used? Why? Why not?
Q9.Are mechanisms in place to assure that a managers success does not come at the cost of compromising the
organizations core values?
Retaining the Best Employees
Q10. Are there appropriate financial rewards to motivate employees at all levels?
Q11. Do people throughout the organization strongly identify with the organizations mission?
Q12. Are employees provided with a stimulating and challenging work environment that fosters professional growth?
Q13. Are valued amenities provided (e.g., flex time, child-care facilities, telecommuting) that are appropriate given the
organizations mission, strategy, and how work is accomplished?
Q14. Is the organization continually devising strategies and mechanisms to retain top performers?
Activity
Attracting human capital
Developing human capital
Retaining human capital

Actions/Strategies

B. Social Capital
Q15. Are there positive personal and professional relationships among employees?
Q16. Is the organization benefiting (or being penalized) by hiring (or by voluntary turnover) en masse?
Q17. Does an environment of caring and encouragement rather than competition enhance team performance?
Q18. Do the social networks within the organization have the appropriate levels of closure and bridging relationships?
Q19. Does the organization minimize the adverse effects of excessive social capital, such as excessive costs and
groupthink?

C. Technology
Q20. Has the organization used technologies such as email and networks to develop products and services?
Q21. Does the organization effectively use technology to transfer best practices across the organization?
Q22. Does the organization use technology to leverage human capital and knowledge both within the boundaries of the
organization and among its suppliers and customers?
Q23. Has the organization effectively used technology to codify knowledge for competitive advantage?
Q24. Does the organization try to retain some of the knowledge of employees when they decide to leave the firm?

ASSESSING BUSINESS-LEVEL STRATEGIES

Q1. What strategy the company use cost-leadership, differentiation or focus?
A. COST-LEADERSHIP STRATEGIES
YES

NO

*EXPLANATION

Firm Infrastructure
1. Does the company have few management layers
to reduce overhead costs?
2. Are standardized accounting practices use by the
company to minimize personnel required?
Human Resource Management
1. Does the management minimize costs associated
with employee turnover through effective policies?
2. Does the company have effective orientation and
training programs to maximize employee
productivity?
Technology Development
1. Do you effectively use automated technology to
reduce scrappage rates?
2. Are you an expert in process engineering that
reduce manufacturing costs?
Procurement
1. Do you have effective policy guidelines to ensure
low-cost raw materials (with acceptable quality
levels)?
2. Does the company have shared purchasing
operations with other business units?
Inbound Logistics
1. Is the layout of receiving dock operations
effective?
Operations
1. Is the use of quality control inspectors effective to
minimize rework?
Outbound Logistics
1. Does the company have effective utilization of
delivery fleets?
Marketing and Sales
1. Are you purchasing raw materials and supplies in
large bulks?
2. Do you maximize sales force utilization by
territory management?
Service
1. Does the company have thorough service repair
guidelines to minimize repeat maintenance calls?
2. Do you use a single type of vehicle to minimize
repair costs?
Q2. If you are using cost leadership strategies, what are those strategies (which are not enumerated above)?

B. DIFFERENTIATION STRATEGIES
YES
Firm Infrastructure
1. Does the company have superior MIS - to
integrate value-creating activities to improve
quality?
2. Do you facilities that promote firm image. *What
are those?
3. Do the companys CEO widely respected and
then, which enhances the firms reputation?
Human Resource Management
1. Do you have programs that attract talented
engineers and other skilled workers?
2. Does the company provide training and incentives
to ensure a strong customer service orientation?
Technology Development
1. Do you have superior material handling and
sorting technology?
2. Does the company have excellent applications
engineering support?
Procurement
1. Do you purchase high-quality raw materials,
supplies and components to enhance product image?
2. Is the company uses the most prestigious outlets?
Inbound Logistics
1. Do you have superior material handling
operations to minimize damage?
2. Does the company have quick transfer of inputs
to manufacturing process?
Operations
1. Do you have flexibility and speed in responding
to changes in manufacturing specifications?
2. Do you have low defect rates to improve quality?
Outbound Logistics
1. Is the companys order processing accurate and
responsive?
2. Does the company have effective product
replenishment to reduce customer inventory?
Marketing and Sales
1. Are the companys advertising programs creative
and innovative?
2. Do you foster personal relationship with key
customers?
Service
2. Do you have rapid response to customer service
requests?
2. Does the company have complete inventory of
replacement parts and supplies?

NO

*EXPLANATION

C. INDUSTRY LIFE-CYCLE STAGES

Q1. In what stage of industry life-cycle the company is?
a. Introduction Stage
c. Maturity Stage
b. Growth Stage
d. Decline Stage
Q2. What generic strategy(ies) does the company uses?
a. Differentiation
d. A combination of Differentiation and Cost Leadership
b. Cost Leadership
e. A combination of Cost Leadership and Focus
c. Focus
f. A combination of Differentiation and Focus
Q3. What is the market growth rate of the company?
a. Very Large
c. Low
b. Negative
d. Low to Moderate
Q4. How do you describe number of your market segments?
a. Many
c. Few
b. Some
d. Very few
Q5. In what extent the intensity of competition is?
a. Changing
c. Low
b. Increasing
d. Very Intense
Q6. How do you describe the emphasis that the company uses on product design?
a. High
c. Low
b. Low to moderate
d. Very High
Q7. How do you describe the emphasis that the company uses on process design?
a. High
c. Low
b. Low to moderate
Q8. What is the companys major functional area(s) of concern?
a. Research and Development
c. General Management and Finance
b. Production
d. Sales and Marketing
Q9. What is the current over-all objective of the company?
a. Create consumer demand
c. Defend market share and extend product life cycles
b. Increase market awareness
d. Consolidate, Maintain, Harvest or Exit
Q10. Do you use turnaround strategies, such as asset and cost surgery and piecemeal productivity improvements?

ASSESSING CORPORATE-LEVEL STRATEGIES

Q1. In the enumerated corporate-level strategies enumerated below, what is (are) currently used by your company?
a. Related Diversification
b. Unrelated Diversification
c. Backward Integration
d. Forward Integration
ASSESSING INTERNATIONAL-LEVEL STRATEGIES
Q1. Do you have a branch/outlet outside the country?
Q2. In the enumerated international-level strategies enumerated below, what is (are) currently used by your company?
a. Global Strategy
b. Transnational Strategy
c. International Strategy
d. Multidomestic Strategy
*Q3. If you have international strategies, how do you enter the international industry?
a. Exporting
b. Licensing
c. Franchising
d. Strategic Alliance
e. Joint Venture
f. Wholly Owned Subsidiary
ENTREPRENEURIAL STRATEGY
Q1. Do you have any entrepreneurial strategies? If you have, what it is?
a. Entry Strategies
a.1. Pioneering New Entry
a.2. Imitative New Entry
a.3. Adaptive New Entry
b. Generic Strategies
b.1. Overall Cost Leadership
b.2. Differentiation
b.3. Focus
c. Combination Strategies
d. Others, please indicate: __________________

COMPETITIVE DYNAMICS ANALYSIS

Q1. Do you have new competitive actions, in terms of strategic actions and tactical actions? What are these (those not
enumerated below)?
* Here are some of the competitive actions. Please check the action if you are using it.
Strategic Actions
1. Entering New Markets
2. New Product Introductions
3. Changing Production Capacity
4. Mergers/Alliances
Tactical Actions
1. Price Cutting (or increases)
2. Product/Service Enhancements
3. Increased Marketing efforts
4. New Distribution Channels
Q2. Are you aware of your competitors? Who are your competitors?
Q3. Do you know what the competitive actions of your competitors are?
Q4. In the five hardball strategies enumerated below, do you use any? What is this, if any?
a. Devastate rivals profit sanctuaries
b. Plagiarize with pride
c. Deceive the competition
d. Unleash massive and overwhelming force
e. Raise competitors costs
*Q5. If you are not reacting on the competition, why? Is it because of forbearance or co-opetition?

STRATEGIC CONTROL AND GOVERNANCE

Q1. Is the organization doing the right things?
Q2. Is the organization doing things right?
Q3. What is the Organizational Culture of the company?
Q4. What are the rewards and incentives systems of the company?
Q5. What are your behavioral controls?
Q6. What are the managerial rewards and incentives systems of the company?
Q7. Do you have external governance control mechanisms? What are these?
* These include the market for corporate control, auditors, governmental regulatory bodies,
banks and analysts, media, and public activists.

INNOVATION AND CORPORATE ENTREPRENEURSHIP

Dimensions of Entrepreneurial Orientation
Autonomy
1. Do you use skunkworks to foster entrepreneurial thinking?
2. Does the company design organizational structures that support independent action?
Innovativeness
1. Do you foster creativity and experimentation?
2. Does the company invest in new technology, R&D, and continuous improvements?
Proactiveness
1. Does the company introduce new products or technological capabilities ahead of the
competition?
2. Does the company continuously seek out new product or service offerings?
Competitive Aggressiveness
1. Do you enter markets with drastically lower prices?
2. Do you find successful business models and copy them?
Risk taking
1. Do you research and assess risk factors to minimize uncertainty?
2. Do you use techniques that have worked in other domains?

YES

NO