Sunteți pe pagina 1din 28

LSE (London

School of
Economics)

University of Birmingham University of


Durham University
Southampton University Reading

Doctorate in Business Administration


(DBA)
DBA STRATEGY ROADMAP:
Part1: Company Report (Amazon.com)

Part2: The Evidence Review

Part3: Reflection for employability enhancement & leadership

For Assignment writing or Dissertation Help, Please Contact:


Dr. Sajid Saeed
+447762198474 (WhatsApp/Viber/imo)
Email: todrsaeed@gmail.com
2

Table of Contents
Part I: Company Report ...................................................................................................................... 3
1.0 Introduction ................................................................................................................................. 3
2.0 Background of Amazon .............................................................................................................. 3
2.1 Current performance .............................................................................................................. 4
2.2 Competitive position ............................................................................................................... 6
2.3 Internal and External Environment Analysis ...................................................................... 7
3.0 Future business solution to Amazon........................................................................................ 10
3.1 Strategy Map Balance Score Card ...................................................................................... 11
3.2 Impact on current business practices .................................................................................. 13
3.3 Organizational learning challenges ..................................................................................... 14
4.0 Wider implications if proposal is not implemented ............................................................... 15
5.0 Conclusions ................................................................................................................................ 15
References ........................................................................................................................................ 16
Part II: Literature Review ................................................................................................................. 18
1.0 Introduction ............................................................................................................................... 18
2.0 Evidence Review........................................................................................................................ 18
2.1 Strategy Map ......................................................................................................................... 18
2.2 Balance Score Card............................................................................................................... 20
3.0 Potential DBA Perspectives ...................................................................................................... 22
References ........................................................................................................................................ 23
Part III: Reflection for employability enhancement ........................................................................ 25
1.0 The critical thinking and core capabilities required to complete consultancy task for
Amazon ............................................................................................................................................ 25
2.0 Evaluation of current leadership experience, potential, and competencies ......................... 25
3.0 Ability Assessment to work on consultancy task.................................................................... 26
4.0 Personal leadership development plan and career accession ................................................ 27
References ........................................................................................................................................ 28
3

Part I: Company Report


1.0 Introduction
Every organization throughout its life is required to continually analyse its internal and external
environment to meet the emerging challenges. However, it becomes more necessary for large
organization, particularly technology based as there is constant development and update in
technology. Therefore, different situational tools are used by an organization to scan its
environment such as SWOT analysis, VCM model, PESTLE analysis, competencies and
capabilities, competitor analysis, etc., to identify changing demand, opportunities and risks.
However, on the basis of outcome, different strategies are pursued using strategy maps, i.e.,
balance score card that helps recommended and provide strategic direction which should be
implemented with constant monitoring and evaluation. This consultancy report analyses
business environment of Amazon and propose strategic directions to compete, and assure long
term survival and leadership position.

2.0 Background of Amazon


Amazon.com, Inc., mainly operates as Amazon. The company is basically a cloud computing
and electronic commerce based in America. Amazon was founded in 1994 by Jeff Bezos who
still manages the company as CEO and Chairman. The company is the largest retailer globally
and is known for adoption of technology. It is largest retailer of internet globally in terms of
market capitalization and revenue, whereas it is second largest retailer (Alibaba Group stands
first which is another e-retailing organization) with respect to sales (Jopson 2012).

Products and Services

The company started its business initially as online book store. However, later it used
diversification strategy and now it sells large number of products that include jewellery, toys,
food, furniture, apparel, electronics, video games, software, audio book streaming/ downloads,
MP3 streaming/ downloads, and video streaming/ downloads. Amazon’s production of
consumer electronics includes Echo, Fire TV, Fire tablets and Kindle e-readers. The company
is also known to be the biggest contributor of cloud infrastructure services. The Amazon Basics
(in-house brand of Amazon) sells low-end products.

As the company is largest retailer, therefore, it uses spate retail websites for different countries
including Mexico, India, China, Japan, Brazil, Australia, Netherlands, Spain, Italy, Germany,
Canada, France, Ireland, United Kingdom and United States. It also operates in different
languages such as Turkish, Polish and Dutch for German Amazon website. Its products are
4

also shipped globally to specific countries. Thus, the company dominates with 11 international
market place and customers in more than 180 countries.

Figure 1: Amazon presence in Global region (Wood 2017)

Mission, Vision and Values of Amazon

 The mission of the company is to leverage expertise and technology of its invaluable
staff to provide its customers with ultimate online shopping experience.
 The vision of Amazon is to be one of the most consumer centrilc organization on earth
and to create a place where the individuals can come to find and choose anything that
they would like to buy online.
 The values of Amazon revolves around fraguality, high hiring bar, ownership, bias for
action, innovation and customer obsession.

2.1 Current performance


As identified earlier, Amazon is a technology giant in its industry and its success has led it to
make several acquisitions and make profitable investments. The following image shows key
acquisitions of Amazon
5

Figure 2: Key Acquisitions of Amazon (French 2018)

The following image shows key investments of Amazon

Figure 3: Key investments of Amazon (French 2018)

Amazon is also enjoying increasing sales and operating profits with the passage of time which
clearly reflects its effective business strategy and efficient business performance.
6

Figure 4: Amazon Sales and Operating Income from web services (Soper 2017)

2.2 Competitive position


Amazon operates in a market that has large number of retailers. For instance, globally, Amazon
has a global market share of 13% and is behind Alibaba with a market share of 26.6%. The
other retailers in the market are e-bay (US based) with market share of 4.5%, JD.com (Chinese
based) 3.8%. Categorized with respect to company type, the following image shows the
breakdown of top 10 largest retailers that hold about half of the international market (Digital
Commerce 360).

Figure 5: Key players in global retailer market (Digital Commerce 360)


7

Amazon competes with different retailers with respect to different category. For instance, with
respect to online mass retailer it competes with E-bay whereas for books retailing, it competes
with Half Price books and Bames and Nobles. However, for e-books category, Amazon
competes wth Cybook, Bames and Nobles, Apple i-Pad and Kobo e-reader. Likewise, for
online specialized retailing, Amazon competes with Stapes, Dell and Apple. With respect to
social buying sites, Amazon competes with Deal Map and Groupon. Apart from different
categoes, Amazon also leads in public cloud market.

Figure 6: Amazon leads in public cloud (Garcia 2017)

2.3 Internal and External Environment Analysis


This section discusses internal and external environment of Amazon to assess its success of
strategies and their management.

2.3.1 SWOT analysis

Figure 7: SWOT (LIS Career Strategy 2016)


8

One of the major strength of the company is that it has a strong background and presence in
the global market. Though, the company started its business with books, but now it deals in
large number of product categories than offered by any of its competitors, except Alibaba.
Another strength is that Amazon operates as a customer centric organization that focuses on
CRM processes to assess the buying behaviour of customers which enables it to offer them
with related products, items visited and preferences. This has helped to acquire new behaviours
with low cost as nearly 55% of their customers show repeated behaviours. Amazon also
outperforms many of its rivals because of its cost leadership strategy which has proved to be
successful. Several strategic alliances have been formed by Amazon with other organizations
to offer superior customer services. The company enjoy low cost structure as it operates on
economies of scale and reduced inventory replenishment time. Besides this, another major
strength of Amazon is its efficient delivery network which is successful because of its
fulfilment centres and strategic partners who help the company to provide products even in
remote areas and also free delivery in some specific geographic regions. Likewise, another
strength of Amazon is its use of “glocal” strategy, i.e., going global while acting local. This
has benefitted the company to compete also with local e-commerce organizations. Finally, its
acquisitions with successful e-commerce giant organizations, such as woot.com, IMBD.com,
Junglee.com and Zappos.com has proved to be a successful strategic decision to generate larger
revenues.

Though Amazon dominates with its strengths, however, it also has some weaknesses. For
instance, the extensive delivery network in some areas is affecting Amazon’s profit margins.
Likewise, it also avoid taxes in UK and US which has created negative image on its
customers. Similarly, in some regions, mainly developing countries, the business has not
gone highlight profitable which has led Amazon to bear debt burden. Some of its product,
such as fire phone, Kindle fire, etc., did not went successful but affected company’s
profitability.

Amazon could still take benefits from the opportunities arising from the global market. For
instance, it could open physical stores with its successful products to have direct engagement
with customers, increase loyalty and improve repeat purchase behaviour. Likewise, Amazon
could also further acquire other e-commerce organizations to reduce competition while taking
benefit from their specialized capacity. Moreover, Amazon could expand in other developing
countries particularly Asian as these are unsaturated markets with low competition.
Furthermore, Amazon could also improve its own products through backward integration.
9

There are some threats for which Amazon is required to take strategic decisions. For instance,
the low entry barriers in the retailer industry is attracting more e-commerce organizations
thereby increasing competition and price wars within the industry. Moreover, it could also
result in losses and shrinking profit markets. Similarly, change in government regulations for
the e-commerce giants could affect Amazon’s operations globally. Similarly, the increasing
domestic competition in some countries such as India and China could affect long term market
share and profitability of Amazon.

2.3.2 PESTLE analysis

Figure 8: PESTLE Analysis (Latest Quality n.d.)

With respect to political factors, the change in international policies could affect the growth
and productivity of Amazon. The political factors could also hinder expansion in other
countries, particularly developing, as they have limited view for e-commerce and acceptance
of global organizations (Sinaga n.d.). Similarly, the legal regulations could also affect e-
commerce purchases. Besides this, the war on terrorism, post BREXIT vote, etc., could have
serious impact on the company.

With respect to economic factors, the change in currency could seriously affect Amazon as it
sells products in global regions besides in US. The devaluation of US currency could therefore
negatively affect the company. Moreover, the economic slump, consumer purchase power, etc.,
are some other factors that could negatively Amazon.

With respect to social factors, the limited use of internet due to religious and ethical values
could hinder Amazon’s growth and performance. However, the changing attitude of consumers
to do e-shopping has positive influence on the company. Moreover, the increasing adoption of
10

technology and the rate of internet usage could help Amazon to increase its presence and
market share (Sinaga n.d.). Similarly, social media sites such as Facebook and Twitter are also
contributing to the growth of Amazon as the deals, bundles and introduction to innovative
products advertised in these sites are also creating market awareness and direct marketing.

With respect to technological factors, the change in technology has large impact on Amazon
as it is an online and e-commerce platform. This requires Amazon to constantly engage in
finding innovative methods that could help the company to lead. Moreover, better products,
improved services, and online shopping trend provides huge opportunity to Amazon to
constantly innovate and adapt latest technology to offer products at competitive prices and
maintain its dominant position in the market.

With respect to environmental factors, Amazon could provide cloud storage to customers to
reduce the negative impact of hardware and storage devices. This would eliminate computer
components thereby reducing production of hardware drives, their wear and tear charges,
expenses and other things that lead to pollution (Sinaga n.d.). However, the additional
packaging of the shipped products could be minimized using green strategies.

With respect to legal factors, the internal laws to ship overseas and remote regions could affect
operations of Amazon. Moreover, there are also separate laws for most chemicals and alcohols
which Amazon is required to adhere to. Similarly, multimedia content and internet content
require certain rights which Amazon has. The copied and duplicated content of several
products, such as movies, music, etc., should be strictly avoided by Amazon to outperform
competitors.

3.0 Future business solution to Amazon


This section proposes future business solution to Amazon by suggesting some strategies from
different perspectives. These strategies are aimed to achieve Amazon’s missions and goals.
11

3.1 Strategy Map Balance Score Card

Figure 9: Balance Score Card (Dreams Time n.d.)

The following is the proposed strategies discussed in context of balance score card and
suggested to Amazon Inc. The discussion is made for each area, such as financial perspectives,
customer perspectives, business perspectives and third party relationship perspectives.

The following strategies are proposed for financial perspectives:

Revenue Growth Debt Capacity Utilization Other Financials


 Retain existing  Optimize debt and  Increase the  Eliminate bad
customers be more dependent percentage of debts
 Acquire new on equity data centres  Tax Payment
customers by unutilized  Reduce cycle time
promotional  Use extra  Reduce inventory
strategies. capacity for turnover time
cloud storage

The following strategies are proposed for customer perspectives

Complaints Cost Reliability Products/ Services


12

 Reduce customer  Reduce cost of  Reduce loss of  Offer best


complaints products through data products with
through proper economies of scale  Continue speed and
well trained  Increase support business by scalability
complaint from in-house improving
handling team quality
 Provide customers
prompt response
on query/ chat.
Complaints/
requests

The following strategies are proposed for business process perspectives:

Environmental and R and D Process CRM (Customer Operational/


Social Relationship Business Process
Management)
process
 Meet regulatory  Develop  Develop  Monitor quality
requirements innovative product contract teams throughout
 Offer green  Observe and  Monitor operational and
packaging and address changing support quality business process
shipment pattern of  Maintain high  Develop support
 Modify products consumer standards in team for
with behaviour service level installation
environmental  Modify products agreements  Create team for
concern to meet customer  Strong data backup and
 Assure safety and needs and communicate monitoring
health of expectations between  Business
employees  Meet new and customer and continuity
 Create cultural existing customer support team management
awareness requirements
13

 Monitor shared
services

The following strategies are proposed for third party relationship and training and
development opportunity perspectives:

Providers of Internet Third party Leadership and Training and


Services infrastructure Internal culture Development
support Opportunities
 Arrange for  Create and  Improve  Provide training
backups with ISPs develop long term internal culture to front line
 Maintain long relationships with at Amazon employees (direct
term relationship its strategic  Maintain customer support
with ISPs partners/ third cultural values and CRM)
party service  Lead  Provide training to
providers innovatively all employees to
and effectively improve their
productivity
 Offer development
opportunities to
employees.

3.2 Impact on current business practices


Implementation of the proposed strategy map will provide wider benefits to Amazon while
improving its current business practices. Firstly, it will positively influence strategic planning
and develop effective framework for communication strategy. This will help to be more
conscious about cause and effect relationships. It will also help Amazon to easily achieve
interrelated strategic objectives. Secondly, it will improve strategy execution and
communication providing broader picture from different perspectives. Thirdly, strategy map
14

will improve the initiatives required to be taken by Amazon to execute proposed balance score
card while aligning the projects. This will improve delivery of strategic objectives. Fourthly, it
will help to make information management better. Research has shown that organizations
adapting balance score card for strategy map has better decision making and higher quality
information management (Bernard's Bulletin n.d.). Fifthly, it will also improve performance
reporting as strategic issues and execution of strategic plans could be handled better. Sixthly,
strategy map/ balance score card will also realign the organizational structure and process of
Amazon with its strategic objectives.

3.3 Organizational learning challenges


Though, the posed strategy map (balance score card) could help Amazon in improving its
financial, customer, business process and learning areas; however, it could also face some
challenges while implementing it. This could be due to practical guidance and support for its
development, particularly, if it is treated as "quick fix" (Kaplan and Norton 2008). Therefore,
the management, rather than burdening employees, should consider that it is an evolutionary
process which could take time in its implementation. Moreover, the process also requires
continuous monitoring as it is for long term perspectives. If its implementation is regarded as
quick, Amazon could face disappointing results. Besides this, if the targeted metrics are poorly
defined, they cannot be achieved. Therefore, visual indicators could be used to explain targets
to employees as these are easily understood. Likewise, the employees should be involved in
decision making processes to assure that they are properly implemented across Amazon. This
will help to prepare employees for individual and organizational targets and its achievements.
Besides this, another challenge could be poor and inefficient collection and reporting of data.
For instance, overly emphasize of financial metrics than operating variables could lead to
serious challenges (Meyer 2003). Therefore, few and important metrics and automated data
collection and reporting procedures could be followed by Amazon as it also reduces energy
and time. It would also improve performance of Amazon while assuring proper implementation
of strategy map. Likewise, presence of informal review structure could also affect
implementation of balance score card strategies. Therefore, the management must timely and
formally review the structure using a standard agenda to assure proper actions. Besides this,
Amazon’s management should also focus on external environment with internal focus (Niven
2005). This will help to make necessary changes and adaptations to the strategy map. Thus, if
timely actions are taken then organizational challenges could be overcome and strategy map
could be easily implemented which will provide long term strategic growth and direction to
Amazon while improving its performance.
15

4.0 Wider implications if proposal is not implemented


As supported with several literature and identified benefits of implementation of proposed
strategy map, i.e., balance score card, Amazon should pay serious consideration to improve its
business process to assure long term growth and success. However, in other case, if Amazon
failed to implement the proposal, it could face serious current and long term impact. For
instance, it could face losses in long term as it will fail to meet current and future contemporary
environment needs (Person 2010). This is because improvement in current process is important
to compete in its industry as other e-commerce retailers are constantly evolving and improving
their businesses to gain competitive edge and outperform Amazon. Similarly, being a customer
centric organization, if Amazon failed to improve its customer services, it could lose them
which will incur losses to company. Likewise, its constant reliance on debt could also have
long term serious implications which could affect profitability of Amazon (Pramudita 2016).
Besides this, Amazon also needs to improve its internal process and offer increased training to
employees as these are necessary for organization’s survival where its ignorance could pose
serious threat to customers. Thus, it is important for Amazon to implement recommended
proposal to improve its strategic and business performance.

5.0 Conclusions
In a nutshell, it could be concluded that Amazon is operating successfully as a technology giant
and has captured its target market adequately. However, the strong competition from Ali Baba
Group (dominant leader) and other emerging technology e-commerce organizations, both at
local and international level could pose serious threat to the organization. Therefore, to
overcome these threats and improve its strategic processes, the proposed strategy map (using
balance score card) is proposed which will help Amazon to achieve its vision and long term
strategic objectives.
16

References
Bernard's Bulletin n.d. The 7 Key Benefits Of Using A Balanced Scorecard. Available from
https://www.bernardmarr.com/default.asp?contentID=972 [8 April 2018]

Digital Commerce 360. Global 1000 spotlight: The top 10 e-retail players dominate. Available
from https://www.top500guide.com/global-1000-spotlight-top-10-e-retail-players-
dominate/ [8 April 2018]

Dreams Time n.d. Balance Score Card. Available from https://www.dreamstime.com/stock-


illustration-balanced-scorecard-business-diagram-illustration-strategy-concept-
infographic-perspectives-image53148239 [8 April 2018]

French, S 2018. All the companies in Jeff Bezos’s empire, in one (large) chart. Available from
https://www.marketwatch.com/story/its-not-just-amazon-and-whole-foods-heres-jeff-
bezos-enormous-empire-in-one-chart-2017-06-21 [5 April 2018]

Garcia, T 2017. 20 years after IPO: How Amazon came to dominate books, electronics and the
cloud. Available from https://www.marketwatch.com/story/how-amazon-came-to-
dominate-books-electronics-and-the-cloud-2017-05-12 [8 April 2018]

Jopson, B 2012. Amazon urges California referendum on online tax. Available from
https://www.ft.com/content/61828252-ac1d-11e0-b85c-
00144feabdc0#axzz1RxkefD8m [5 April 2018]

Kaplan, RS and Norton, DP 2008, The Execution Premium: Linking Strategy to Operations for
Competitive Advantage, Harvard Business Press

Latest Quality n.d. Advantages and Disadvantages of PESTLE Analysis. Available from
http://www.latestquality.com/advantages-disadvantages-pestle-analysis/ [5 April
2018]

LIS Career Strategy 2016. Use a SWOT analysis to plot your career strategy. Available from
http://infonista.com/2016/03/29/use-a-swot-analysis-to-plot-your-career-strategy/ [5
April 2018]

Meyer, MW 2003, Rethinking Performance Measurement: Beyond the Balanced Scorecard,


Cambridge University Press
17

Niven, PR 2005, Balanced Scorecard Diagnostics: Maintaining Maximum Performance, John


Wiley & Sons

Person, R 2010, Balanced Scorecards and Operational Dashboards with Microsoft Excel, John
Wiley & Sons

Sinaga, R n.d, Amazon Marketplace: Getting Started in the Amazon Marketplace, Private Label
Rights

Soper, T 2017. Amazon Web Services posts $3.5B in sales, up 47% from last year, reaches
$14B annual run rate. Available from https://www.geekwire.com/2017/amazon-web-
services-posts-3-5b-revenue-47-last-year/ [8 April 2018]

Wood, M 2017. New to Selling on Amazon? Don’t Worry. Here’s How to Do It. Available from
https://www.fundera.com/blog/selling-on-amazon [8 April 2018]
18

Part II: Literature Review


1.0 Introduction
There is an increasing evidences and researches that have regarded importance of strategy map
and use of balance score card for formulation and implementation strategy. As the consultancy
report mainly revolves on the assessment of business environment and recommendation of
strategy map; therefore, the literature in this section supports their use, significance and
implementation. This would help to provide broader picture with supporting evidences to
improve achievement of strategic direction of the chosen organization.

2.0 Evidence Review


The review of literature is divided in two parts, i.e., strategy map and balance score card. The
strategy map discusses the formulation and implementation of strategies as a guide and its link
with balance score card along with its implications identified by scholars and researchers. In
contrast, the review of literature on balance score card discusses the context, usage,
implementation and success.

2.1 Strategy Map


Originally, strategy map was created as a design for balance score card, however, it also plays
an important role to support the implementation of strategy. This is because it creates as the
basis of identification of strategies, its indicators, measures and implementation. Moreover, it
also includes representation of relationships between different components of strategy, i.e.,
growth and learning perspectives, internal process, customer perspectives and financial
perspectives (Bower 2004).

While developing a strategy map, it is important to first define the strategy, followed by the
identification of different measures that helps to implement them and manage them effectively.
In other words, strategy map is regarded as a control tool that helps to prevent development of
incomplete strategies and its concepts. In this regard, Qu and Free (2011) states that graphical
presentation helps to gear the implementation and adaptation of balance score card, particularly
due to strategic management process operationalization, flexibility and signalling of assured
decision-making powers. Besides this, the concept and introduction of strategy map helps to
make implementation of balance score card better. The use of strategy map with balance score
card has been proved to be successful by several researchers such as Young and O'Byrne
(2001), Copeland et al. (1996), Eccles, (1991), Mair (2002), Veth (2006), and Urrutia and
Eriksen (2005).
19

According to Grassl, Agarwal, and Pahl (2012), strategy map is an important part of strategic
planning tool, i.e., meta-SWOT which is based on the capabilities and resources, and business
environmental factors that combines into the end result of the analysis. This is presented in a
slightly changed map. González et al., (2012) states that strategy map has proved to have
positive impact on improve an organization’s competitive position while serving as a tool for
benchmark required for the planning stage of the strategic implementation. Furthermore,
strategy map also helps to improve managerial skills of management to filter the valuable
information while restricting the insignificant information from the strategic basis. In other
words, it could be said that it minimizes the information load on management which helps to
assess only key information that could be used to provide strategic direction. However, Day
and Schoemaker (2005) states that if that strategic signals are assessed incorrectly, they may
affect the competitive position of an organization or reduce stakeholder value. Consequently,
the strategy map could also involve other external factors that supports and identify the
competitive position of an organization. DeSarbo, Day and Oliva (1987) argues that the key
concept behind strategy map is to create visual communication of multifaceted interactions
between different factors or variables linked the competition strategy as it provides the
forecasted outcomes into account. Thus, the strategy map performs role of a supportive
function that helps to formulate strategy and assure its implementation.

According to Iyer and Sankaran (2011), one of the factor that has increased the importance of
strategy map to be used as a tool is that helps to self-control functions while enabling improved
understanding of organization’s management in attaining objectives. This is because it provides
adequate separation of duties and responsibilities, and transfer the power of decision making
to different levels within the hierarchy or structure of the organization. Likewise, Dror and
Barad (2008) argues that development of strategy map should be started form the infrastructure
(root causes) and then include goals of the organization. It also identifies that strategy map
could be used within limited time period and therefore it must be regularly/ periodically
modified and updated.

Platts and Tan (2004) argues that there is no uniform or standard structure for strategy map.
Several diagrams show diverse relational priorities that is developed for similar measures and
objectives. In contrast, Carmona et al. (2011) has identified that there are two kinds of
diagrams, i.e., Pyramid (that includes indivisible layers or matrix integrated) Silo (that
emphasizes on functional relationships). Their research also identified that pyramid type of
map has proved to be effective in project implementation with short term financial outcomes.
20

This regards that any particular character of provided industry or organization and as well as
type of concept of development is also important. This is also supported by Scholey and
Armitage (2003) who provides that use of strategy map differs on the basis of industries and
sizes and also on the basis of corporate context.

According Sheehan (2012), if an organization is unable to create strategy map and implement
it correctly, it will face negative outcomes. This is because adequate level of skills and
sufficient awareness is required to use this tool. Moreover, strategy map is the initial stage that
defines components of strategy, mission, vision and their mutual interactions which all
contributes to provide guidance to operationalise the strategy. However, Kaplan and Norton
(2000) states that strategy map serves as a communication function that is simple and carries
information for employees and stakeholders for the implementation of strategy. Likewise,
Scholey (2005) states that the development process of strategy map introduces transparency
and clarity to the procedure of formulating strategy. This also helps to create early warning
system that indicates level of achievement of goals and emerging issues. Similarly, Markiewicz
(2013) states that strategy map helps to draw attention to align to and adjust to adequate
structure that must be implemented to assure successful operations and improvement. Thus, it
could be said that strategy map serves as an important function, guide or element to help an
organization to identify and implement strategies recognized in different areas.

2.2 Balance Score Card


According to Fernandes, Raja and Whalley (2006), balance score card refers to a strategy
management process which enables organizational managers to translate strategies into
achievable objectives so that they could be implemented. Basically, balance score card takes
into account four different perspectives to guide strategies. These perspectives include growth
and learning, internal business processes, customers and financials. However, it also assures
that all the employees are aware of the strategies which helps to smooth down its
implementation. The outcome of the implementation of balance score card is clearly reflected
from performance of an organization. Braam and Nijssen (2004) identified four steps that are
important in implementing and designing balance score card. Firstly, the organizational vision
is translated into operational objectives. Secondly, the vision is communicated and is associated
with individual performance. Thirdly, the strategies are adjusted and planned on the basis of
feedback. Lastly, the learning outcomes are thoroughly analysed and implemented.

Kaplan and Norton (1996) emphasizes that balance score card plays important role in an
organization that encourages everyone from top management to lower level workers to work
21

towards a shared vision. However, the top management regularly reviews balance score card
and guide and control others. Some of the important usage of balance score card include
obtaining feedback to improve strategy and learn; perform systematic and periodic strategic
reviews; align and identify strategic initiatives; link strategic objectives to annual budgets and
long term targets; align personal and departmental goals to organizational strategy;
communicate strategy across organization; and gain consensus and clarify strategy to all.
Bhagwat and Sharma (2007) identifies that balance score card serves as an important strategic
management tool as it translates vision and objectives of organization into critical drivers and
operational measures. Moreover, it also integrates both non-financial and financial
performance measurements of four perspectives making them a “balanced” method to monitor
performance of organization. In contrast, Yang and Wang (2010) states that one of the
important characteristics of balance score card is that it provides a snapshot of overall
performance of an organization with the combination of lagging and leading indicators. This
combination also provides a comprehensive view of an organization as it provides a holistic
and clear picture of organization’s progress towards accomplishment of strategies. Moreover,
balance score card also provides improved strategic planning as it enables managers to consider
cause-and-effect relationships. Moreover, it also enables managers to view interrelated
objectives in a better way that improves performance. Likewise, it also assist an organization
to align their initiatives to particular projects that aim to meet different strategic objectives.
Besides this, balance score card also helps to improve management information as it helps
managers to define performance indicators that are helpful in achieving different strategic
objectives. It also helps to report performance to the management.

Kaplan and Norton (1996) provides that there are different factors that reflect successful
implementation of balance score card. Amongst all, it must be successful in bringing required
transformation in an organization to achieve strategic outcomes. However, the other
characteristics include awareness, achievement, alignment and assessment. With respect to
awareness, it means that employees are aware of balance score card concept and has its
understanding its importance to execute organizational strategies. Employees could easily
appreciate the causal relationships among all the strategic objectives identified in scorecard.
With respect to alignment, it means that incentives, rewards, competency development
initiatives, external partners, budgets and support functions are well aligned with balance score
card. With respect to assessment, it means that actual performance is periodically reviewed and
evaluated on the basis of initiatives and targets identified in balance score card. Lastly, with
respect to achievement, it means that all the objectives of balance score card are successfully
22

implemented. The clear visibility of these characteristics shows that organization is successful
in implementing balance score card. However, engagement of employees, both emotionally
and mentally, is also required to achieve vision of organization. Thus, overall performance of
individuals and organization is enhanced.

3.0 Potential DBA Perspectives


The present report on DBA strategy road map provides a strategic insight about how an
organization plans and implements strategy on core areas. Through this assignment, the
strategy road map is taken practically in which Amazon was chosen for recommendation of a
strategy map. However, while proposing strategies using balance score card, the external and
internal business environment, or could say situational analysis was rigorously conducted to
identify what future directions are missing by Amazon. However, the complete DBA report on
strategy map road has provided me valuable experience which could help me while undertaking
further module and programs, and to effectively meet criteria of DBA. Moreover, the present
report could he said to have increased my ability to think from diverse perspectives while living
in complex and contemporary business environment. Moreover, now I am better able to
develop logical ideas about strategies and plan a guide/ route map to accomplish them.
Moreover, I also feel like I am better able to guide other organizations as a consultant in
developing and executing strategies with the help of strategy map or balance score card.
Besides this, the completion of the evidence review and consultancy report has also helped me
to improve my research skills, both practically and online which will benefit me in preparing
final thesis for the DBA. Moreover, I could also critically analyse and identify the weaker areas
of an organization as well as the threats posed which could negatively affect organizational
performance. Likewise, the theoretical support and evidence has also broaden my concept and
application of strategy map and balance score cared which is more than just reading through
books. Thus, I could say that this strategy map consultancy project has provided me good
experience which is helpful in my future DBA courses.
23

References
Bhagwat, R, and Sharma, MK 2007, ‘Performance measurement of supply chain
management: A balanced scorecard approach’, Comput Ind Eng, Volume 53, Issue 1,
pp 43-62

Bower, M 2004, Five Questions About….Strategy Maps with Robert S. Kaplan, Harvard
Business School Publishing

Braam, G and Nijssen, E 2004, ‘Performance effects of using the Balanced Scorecard: a note
on the Dutch experience’, Long Range Planning, Volume 37, pp 335-349.

Carmona et al. 2011, ‘The impact of strategy communications, incentives and national culture
on balanced scorecard implementation’, Advances in Accounting, incorporating
Advances in International Accounting, Number 27

Copeland et al. 1996, Valuation: Measuring and Managing the Value of Companies, John
Wiley & Sons

Day, G and Schoemaker, P 2005, ‘Scanning the peripheral’, Harvard Business Review,
Number 83, pp. 135-148

DeSarbo, W, Day, D and Oliva, T 1987, ‘Strategy Maps: A Spatial Representation of Intra-
Industry Competitive Strategy’, Management Science, Volume 33, Number 12, pp.
1534-1535

Dror, S and Barad, M 2008, ‘Strategy maps as improvement paths of enterprises’,


International Journal of Production Research, Volume 46, Number 23, pp 6644-6645

Eccles, R 1991, ‘The performance measurement manifesto’, Harvard Business Review,


Volume 69, pp. 131-7.

Fernandes, KJ, Raja, V and Whalley, A 2006, ‘Lessons from implementing the balanced
scorecard in a small and medium size manufacturing organization’, Technovation,
Volume 26, Issue 5, pp 623-634.

González et al., 2012, ‘The alignment of manager’s mental models with the balanced
scorecard strategy map’, Total Quality Management, Volume 23, Number 5, pp. 624-
625.
24

Grassl, W, Agarwal, R and Pahlm J 2012, ‘Meta-SWOT: introducing a new strategic


planning tool’, Journal of Business Strategy, Volume 33, Number 2, pp 17-20.

Kaplan, R and Norton, D 2000, ‘Strategy Maps’, Strategic Finance, pp 33-34

Mair, S 2002, ‘A balanced scorecard for a small software group’, IEEE Software, Volume 19,
Number 6, pp. 21-27

Markiewicz, P 2013, ‘Methodical Aspects of Applying Strategy Map In An Organization’,


Business, Management and Education, No. 11, Issue 1, p. 162.

Platts, K and Tan, K 2004, ‘Strategy visualization: knowing, understanding, and formulating,
Management Decision’, Volume 42, Issue 5/6, pp. 667-676.

Qu, SQ and Free, C 2011, ‘The use of graphics in promoting management ideas: an analysis
of the balanced scorecard’, Journal of Accounting and Organizational Change,
Volume 7, Number 2, pp. 158-89

Scholey, C 2005, ‘Strategy maps: a step-by-step guide to measuring, managing and


communicating the plan’, Journal of Business Strategy, Volume 26, Issue 3, pp. 12-14

Scholey, C and Armitage, H 2003, ‘Mapping mavens’, CMA Management, Volume 77,
Number 3, pp. 15-18

Sheehan, N 2012, Ready for risk. Strategy map to survive and thrive, CMA Magazine

Urrutiam I and Eriksen, S 2005, ‘Application of balanced scorecard in Spanish private health-
management’, Measuring Business Excellence, Volume 9, Issue 4, pp. 16-26.

Veth, G 2006, ‘Mapping the path to the future’, DM Review, Volume 16, Number 5, pp. 32-
33.

Yang, L and Wang, Y 2010, ‘An innovation in the Performance Measurement System: The
reviews on studies of the Balanced Scorecard’, Paper presented at the IEEE
International Conference

Young, S and O'Byrne, S 2001, EVA and Value-Based Management, McGraw-Hill Publishers
25

Part III: Reflection for employability enhancement


1.0 The critical thinking and core capabilities required to complete consultancy task for
Amazon
While working on consultancy task, I realized that I have several critical thinking and core
capabilities. However, I also possess some weaknesses which I need to overcome to become a
better consultant. Moreover, I am also provided with several opportunities from which I could
take benefit and improve my skills and expertise as a consultant. However, I also need to take
different measures to avoid negative impact of threats. The following is my personal SWOT
which identifies my strengths, weaknesses, opportunities and threats (Rath and Conchie 2008):

Strengths that I possess include good research skills, collaboration skills, competent, complete
my work on time, punctual, encourage teamwork, admire other’s efforts, good interpersonal
skills, enthusiastic, self-motivated, initiative taker, professionally qualified as I am undertaking
DBA studies, knowledge seeker, information gainer, industry experience, leadership qualities,
good vision, rational and logical thinker, good communicator, negotiator, constructive
argument builder, and possess analytical skills.

Weaknesses that I have include limited professional certificates, introvert and lose confidence
when speaking in public, limited knowledge in some areas, lack charismatic leadership
qualities.

Opportunities from which I could take benefit include obtain other professional certificate
courses, work under leader with transformative and charismatic qualities, attend seminars and
other diplomas, increase exposure to consultancy market, gain experience in consultancy, meet
and personally talk to key leaders in consultancy sector to gain wider knowledge and benefits.

Threats that could affect my position and interest as a consultant include lack of time required
to work and deliver high quality consultancy report, too many consultants in the industry, over-
burdening with market/ information knowledge by client, extensive areas expertise by
competitor consultants, and limited opportunity to work at leadership/ managerial position in
consultancy sector.

2.0 Evaluation of current leadership experience, potential, and competencies


One of the tool that is widely used to evaluate current leadership experience, potential and
competencies, is the Johri Window Model. This tool helps an individual to assess from four
areas, i.e., Fascade, Unknown, Arena and Blind Spot (Davies 2014).
26

In the Fascade Area, the different competencies, experience, potential and skills that I have
include caring personality, honest for other people, have sympathy and concern for others,
open-minded, loving, persuasive and friendly people. These qualities are only known to me
and other people are unaware of these skills and competencies.

In the Unknown Area, the different competencies, experience, potential and skills that I have
include critical thinking ability, intelligent, good interpersonal relationships, negotiator, ability
to do several things at a time, good supporter, leadership qualities, vision enabler, and
information seeker/ curious. These qualities of mine are known to other people but I am
unaware of them.

In the Arena Area, the different competencies, experience, potential and skills that I have
include problem solver, integrity, negotiator and guidance provider, communicator, motivated,
energetic, and trustworthy. These qualities are known by other people as well as other people.

In the Blind Spot, the different competencies, experience, potential and skills that I have
include liberal, team oriented, mature, work oriented, technical skills, punctual, high patient,
tolerance level, and ability to work under pressure. These qualities are known by everyone.

3.0 Ability Assessment to work on consultancy task


The earlier two sections clearly identify my personal SWOT (i.e., strengths, weaknesses,
opportunities and threat), and also the core capabilities, potential, experience and critical
thinking with the help of Johri Window. The strengths identified in both the two sections were
the key reasons that has helped me to work on the consultancy task and propose strategy map
to Amazon. Most of these skills have developed with the passage of time or could say with the
progress of consultancy project. However, all of them have contributed and made me to
produce effective and well-comprehended consultancy report. Though, I capitalize on several
strengths that could benefit me as a consultant; however, at the same time there are some
weaknesses on which I need to work to overcome them. For instance, I have limited market
knowledge and therefore I need to expand it as it one of the key skill of a consultant. Likewise,
I also need to improve my communication skills, particularly while dealing with large number
of people or speaking publicly. Besides this, I also need to increase my leadership skills as they
are important for me to acquire so that I could take leadership or managerial position in future.
Thus, it is important for me to overcome my weaknesses while improving my skills as it is
necessary for me to work as future consultant.
27

4.0 Personal leadership development plan and career accession


As said earlier, there are several skills that I need to develop, enhance and improve to acquire
leadership position in the consultant industry. Moreover, the adoption of these skills will also
help me in developing my career as a leader so that I could lead, manage, guide and coach other
people. Besides developing skills professionally, I also need to improve personality traits and
characteristics. Thus, on the whole, I need to become expertise in consultancy field, expand
my skills and develop leadership personality traits. For instance, I should acquire negotiation
skills, analytical thinking, self-esteem, communicator, decision maker, enthusiasm, strong
vision, team builder, etc., to be an effective leader in my field (West and Turner 2008).
However, the following are some activities of personal leadership development and career
accession that I will undertake within next two years.

 Firstly, I will read books on great leaders of the past and present. Moreover, I will also
read books that guide to develop leadership skills. The top rated and bestselling books
will be studied.
 Secondly, I will take different sessions of public speaking which will improve this area.
Moreover, I will also attend online courses on improving skills to speak publicly.
 Thirdly, I will learn to improve communication skills through different courses. These
will help me to learn and develop effective ways of communicating with people.
 Fourthly, I will attend different seminars, conferences, workshops and courses on
programs of communication and leadership.
 Fifthly, I will increase my market knowledge, which is very important for a consultant,
by working directly under senior consultants in large consultancy firms.

Thus, these will help me to become a successful consultant at leadership position in future.
28

References
Davies, S 2014, Johari's Window, SilverWood Books

Rath, T and Conchie, B 2008, Strengths Based Leadership: Great Leaders, Teams, and Why
People Follow, Simon and Schuster

West, R and Turner, LH 2008, Understanding Interpersonal Communication: Making Choices


in Changing Times, Cengage Learning

S-ar putea să vă placă și