STRATEGIC MANAGEMENT FORMULATION AND EXECUTION

PHASE 2

RUBEN DARIO VARON CARRENO

WILSON JAVIER BEJARANO
STEFANY ESCUDERO BEJARANO

STRATEGIC MANAGEMENT
212053_9

UNIVERSIDAD NACIONAL ABIERTA Y A DISTANCIA

COLOMBIA
JULY 2019
TABLE OF CONTENTS

• Introduction
• Objectives
• Concept map of each student (Activity 3)
• Strategy Proposal (Activity 5)
• Strategic Plan (Activity 5)
• Balanced Scorecard (Activity 5)
• Conclusions
• References
 INTRODUCTION

This assignment tries to show the use of strategies design tools (Porter’s Generic Strategies, Blue Ocean
Strategy) and strategic control as Scorecards and plans to solve the problem exposed in the collaborative
environment related to workforce problem of Uber. Based on the Porter’s Generic Strategies the differentiation
strategy was selected and developed as a group where the proposed plan seeks to convert the company to the
only of the ride-hailling market which offers benefits to its drivers without affecting the company incomes,
controlling and ensuring the implementation through a Balanced Scorecard.
 OBJECTIVES

• Understand and apply the Porter’s Generic Strategies, BlueOcean Strategy and Value Innovation to create
a corporate strategy for the Uber’s workforce problem.

• Implement knowledge obtained during the first and second phase to create real solutions and ideas to the
organizations depending on its market situation.
 CONCEPT MAPS

WILSON BEJARANO
RUBEN VARON
Stefany Escudero
 STRATEGY PROPOSAL
Group number: 212053_9
Case name: Uber workforce problem
Generic strategy: Recognition Program Cost ☐ Differentiation X Focus ☐
Strategy description:
Great work environment and driver’s satisfaction are the aspects to promote in order to generate a highly motivated
workforce in Uber. Therefore, it is important to maintain the motivation of drivers as it is a very positive aspect and a factor
that intervenes in the work performance and contributes to improve the company productivity. To increase employee
motivation a campaign is being implemented. The meaning of this strategy is to be the only company on the ride-hailing
market that offers benefits and training to its drivers as the main objective, offering a set of additional benefits without giving
them full employee status. Among the benefits offered there are 2 types of compensation, economic and educational.
Monetary compensation such overtime, car insurance or gas bonus depends on the average performance during 3 months
(quantity of rides, amount of production and qualification from the riders) and it will be received every quarter of the year.
Educational compensation is a training program held by a third company that offers courses to our drivers related to drive
smart, transit legislation, behaviour engineering and healthy habits. Those courses could be taken once and are presential or
virtual depending on the driver preference.
 STRATEGIC PLAN

Mission Strategies
• Improve stakeholder satisfaction
• Generate a great work environment.
Vision • Develop a recognition program that includes training systems and
equal remuneration system.

• Coverts into the best company of special transportation and be

recognized for great quality services and wellness for its drivers. Tactics

Objectives • Recognition program includes overtime, car insurance or gas bonus.

• Deploy a training system for drivers, offering them courses focused
on drive smart, transit legislation, behaviour engineering and healthy
• Establish a training and improvement program that includes habits.
driving and customer services skills.
• Establish and promote healthy lifestyle for drivers focusing
on sedentarism.
• Improve the safety conditions for the drivers.
 BALANCED SCORECARD

PERSPECTIVE GOAL INDICATOR INITIATIVES

Increase profits without giving to the Through the economic compensation program increase the drivers headcount
FINANCIAL drivers full employee status.
Balance sheet.
and number of rides per quarter.

Offer a high quality service to Ride qualification on Train the drivers through the educational compensation offered in the
CUSTOMER improve rider satisfaction. the app. recognition program, offering a great experience due to a high quality service.

Improve service quality offered in all Customer qualification

INTERNAL Train the drivers on drive smart, transit legislation and behaviour engineering
the transportation services. and feedbacks.
PROCESSES in order to give a different experience to the client during the ride.

INTERNAL Generate a great work environment in

A set of additional benefits for the drivers are include in the recognition
PROCESSES the Uber population. Work satisfaction
program to motivate the uber population and increase the productivity.

Generate a Healthy lifestyle

LEARNING & Raise awareness between drivers about health risks related to sedentarism and
awareness. Med-checks results.
GROWTH offer a healthy lifestyle programs to the drives.

LEARNING &
Improve customer services skills. Driver qualification on Bunch of service quality courses available for the drivers during its Uber
GROWTH the app. history to train them for the a great customer experience.
 CONCLUSIONS

• HOW CRUCIAL IS SETTING A STRATEGY TO CREATE COMPETITIVE ADVANTAGES?

A good strategy is crucial in the development and performance of the company and it will mark the possible success in the
market you want to enter. Multiple tools facilitate not only the creation of strategies but also the control and implementation
of it. The good selection, creation or even the union of several generic strategies means that the company can maintain itself
and be a leader as long as it is based on its own interests and the needs of the market.
Ruben Varon.

When carrying out the activity, we could apply the corporate strategies generating the value in the organization and the case
studied (Uber), promoting innovative factors taking into account the strategic planning, the design and the execution of the
strategy and the strategic control resulting in advantages competitive.
Stefany Escudero
REFERENCES

• Hales, G., & Mclarney, C. (2017). Uber’s Competitive Advantage vis-à-vis Porter’s Generic Strategies. IUP Journal of
Management Research, 16(4), 7–22. Retrieved
from:http://bibliotecavirtual.unad.edu.co/login?url=https://bibliotecavirtual.unad.edu.co:2969/login.aspx?direct=true&db=b
uh&AN=126823931&lang=es&site=ehost-live

• Kaplan, R. S., & Norton, D. P. (2007). Using the Balanced Scorecard as a Strategic Management System. Harvard Business
Review, 85(7/8), 150–161. Retrieved from:
http://bibliotecavirtual.unad.edu.co/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=25358567
&lang=es&site=eds-live

• CASPARI, C., & CASPARI, M. (2016). Strategic Planning Moving Ideas to Practice. Camping Magazine, 89(2), 56.
Retrieved from:
http://bibliotecavirtual.unad.edu.co/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=f5h&AN=11456612
0&lang=es&site=eds-live