Strategic Management and Operation

Consolidate,Prioritise and Implement the Strategies

Strategies Complementary

• To increase market share in the new market
• increase budget for product promotion
• Find ways to increase the number of distributors
• Find new market in the eastern region
• Recruit more sales personnel

Guideline of using strategies

• Increase sales through increasing control of downstream activities
• Grow by concentric diversification
• Growth by controlling resources
• look for a partner to diversify within the same sector

Implementing the Strategies

1.Strategy to strategic objectives

-Set the strategic objective to get the strategy

2.Strategic action plan

-Series of activities through of well advance 

-Divided into three:

• Strategic Objectives
• Tactical Strategy
• Tactical Objectives

3.Strategic annual action plan

-Must be plan earlier before objective come

4.Successful implementation Phase

• Organization Structure
• The Reward System
• Allocation of Resources
• Managing Change
• Corporate Culture
• Having a Sound Strategic Planning System

Strategic Management and Operation

Generating Alternative Strategies Using Portfolio Models

Boston Consulting Group Model





General Electric Model



Shell Directional Policy Matrix



The Internal-External Matrix

Strategic Management and Operation

Generating Alternative Strategies Using Recent Models

3 types of strategy formation

• Prescriptive
• Descriptive
• Integration 

 Prescriptive

1.Design School

-Deliberate process of conscious thought, ru by the CEO and there is a fit of the strategy to the organization.

2.Planning School

-Formal planning process, step-by-step with special techniques.

3.Positioning School

-After an analytical process, a company ca decide i a market and competitive environment where its current position is and where it was to be.

Descriptive

1.Entrepreneurial School

-Prerogative of the leader's visionary process,blended with wisdom,experience,intuitions and judgement.

2.Cognitive School

-Recognise the interplay between the various influential factors, and the mind will the interpret them to come up with a strategy.

3.Learning School

-Formulated i an incremental process, improves as it process

Integration

1.Power School

-Shaped by power ad politics and strategy is to position the organization and indicate as ploys rather than some strategic perspective

2.Cultural School

Strategic decision as a collective process.

3.Environmental School

-Treat the environmental factors as actors and not factors, and influence ad reaction amongst them for strategists to analyze and make the appropriate decision

4.Configuration School

-Transformation process and integrates all the nie schools of thought.

Strategic Management and Operation

Generating Alternative Strategies Using Strategic Management Models

Models

• SWOT
• SPACE
• Experience Curve
• Break Even Point
• Product Life Cycle
• Porter's Five Factor
• Blue Ocean Strategy
• Big Think Strategy
• Portfolio Models       

SWOT 

  

  SPACE

Experience Curve

Break-Even Point

Product Life Cycle

Porter's Five Factor

Blue Ocean Strategy

Big Think Strategy

Strategic Management and Operation

Typology of Alternative Strategies 1:The Business and Functional Level

Definition
-Business= Overview of the organization from the perspective of handling competition
-Functional=Actions to be taken at the various functional or operational levels of the organization.

Business Level Strategy

• Cost Leadership Strategy
• Differentiation Strategy
• Focus Strategy

Functional Level Strategy

-Primary activities

• Inbound Logistics
• Operations
• Outbound Logistics
• Marketing and Sales
• Service

-Support Activities

• Procurement
• Research Development
• Human Resource Management
• Firm Infrastructure

Strategic Management and Operation

Typology of Alternative Strategies 1:The Corporate Level

Definition
-Considered for a overall movement of the organisation, as if looking from the helicopter  perspective,looking at overall and not giving the small components much emphasis.

Heading ad Guide

1.Grand Strategies

• Growth
• Stable Growth
• Turnaround
• Combination

2.Secondary Level Strategies

• Expand
• Integrate
• Diversity
• Reduce

3.Tactical Level Strategies

• Organically
• Joint Venture
• Merger
• Acquisition
• Reverse Takeover
• Strategic Alliences
• Licensing/Franchising

International Corporate Level Strategies

• Replication Strategy
• Global Strategy
• Multi-Domestic Strategy
• Transnational Strategy

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