Documente Academic
Documente Profesional
Documente Cultură
SYSTEMS
UNDERSTANDING
STRATEGIES
Goal
The concept of strategy
Corporate level strategy
Business unit strategy
UNDERSTANDING
STRATEGIES
Strategies are plans to achieve organization goals.
To
implement
Strategie
s
Goals
Management
control system
UNDERSTANDING
STRATEGIES
GOAL
Satisfactor
y profit
Founder
Goal
Board
of
Director
ROI
Revenue
Company
size
Profit
Risk
Shareholder
s value
THE CONCEPT OF
STRATEGY
Strategy
Corporate strategy ,
Business unit strategy.
THE CONCEPT OF
STRATEGY
Strategy formulation
Environmental
analysis
Internal Analysis
Technology
Manufacturing
Marketing
Distribution
Logistic
Competitor
Customer
Supplier
Regulatory
Social/political
Opportunities and
threat
Identify
opportunities
Fix internal
competencies with
external
opportunities
Firms strategies
Strengths &
weakness
Identify core
competencies
CORPORATE LEVEL
STRATEGY
Corporate strategy is concerned with the
will participate,
The deployment of resources among those
businesses.
CORPORATE LEVEL
STRATEGY
In terms of corporate level strategy, companies
CORPORATE LEVEL
STRATEGY
Corporate level strategies
High
. Single industry (Exxon Mobil, Mc Donald )
Degree of
Relatedness
. Unrelated diversification
(Textron)
Low
Extent of Diversification
High
BUSINESS UNIT
STRATEGIES
Business Unit strategies deal with how to create
in
each
chosen to
interrelated aspects :
BUSINESS UNIT
STRATEGIES
Mission
. BCG Model
.GE Planning
model
Business unit
strategies
Competitive
advantage
. Porters Five
Forces Model
. Value chain
analysis
BCG MODEL
Low
Cash source
High
High
High
StaStar
Market
growth
Cash
rate
use
Hold
Question mark
Build
Cash cow
Harvest
Dog
Divest
Low
Low
High
Low
GE PLANNING MODEL
The Portfolio Matrix
High
Industry
Attractiveness
Average
Low
Winners
Winners
Question
marks
Winners
Average business
Losers
Profit
producers
Losers
Losers
Strong
Average
Weak
Business Strength
GE PLANNING MODEL
Recommended Business Strategies
High
Industry
Attractiveness
Average
Low
Invest/grow
Strongly
(build)
Invest/grow
Selectively
(build)
Dominate/
Delay/
divest
Invest/grow
Selectively
(build)
Earn/
Protect
(hold)
Harvest/
divest
Earn/protect
(hold)
Strong
Harvest/
divest
Average
Harvest/
Weak divest
Business Strength
PORTERS FIVE
FORCES MODEL
New
Entrants
Suppliers
Industry
Competitors
Substitute
s
Customer
s
VALUE CHAIN
ANALYSIS
Value analysis
Raw
materia
l
Product
development
Manufacturing
&
Marketing
sales
High quality
Lower Cost
Service/
Logistics
Thank you