LAHORE SCHOOL OF ECONOMICS

Strategic Management
(MGT-401)

Program BBA. IV Major in Marketing and Minor in Media Studies. Section I

&J
Credit Hours 3 Credit Hours

Duration 16 Weeks

Prerequisites Basic courses of Management & Marketing, Financial Accounting,

Operations Management

Resource Person Ms. Khadija Shahid

Class timings Lecture session:
Monday: 2nd slot section I & J (11:30 a.m-12:30am, 1:00-2:00
p.m)
Discussion/Assignment Session:
Wednesday: 2nd slot section I (11:30-12:30, 1:00-2:00)
Wednesday: 3rd slot section J (3:00-4:00, 4:30-5:30)
Office Hours Responsive on email. Please do mention your name and
section on email.
E-mail KHADIJASHAHID6@GMAIL.COM

Teaching Assistant ZAHRA WAQAR (ZAHRAWAQAR1997@GMAIL.COM)

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 Course: Strategic Management
Lahore School of Economics
BBA IV, Section I & J
Winter Term 2020
SYLLABUS

1. The Nature of Strategic Management: Difference between Planning and Strategy. Key Terms of Strategic
Management. Benefits of Strategic Management. Pitfalls in Strategic Planning. Guidelines for Effective Strategic
Management. Ethical and Moral issues in Business Management. Nature of Global Competition and templates of
Strategic Planning.

2. Strategy Planning – Business Vision and Mission: What do we want to Become? Vision vs. Mission.
Process of Developing a Mission Statement. Importance of Vision and Mission Statements. Characteristics of
Mission Statement. Mission Statement Components. Writing and Evaluating Mission Statements.

3. Strategy External Assessment: Nature of External Audit. Industrial Organization View. Forces of
External Environment and Sources of information. Competitive Analysis. Forecasting Tools and Techniques. Use
of Computer Software. Global Challenges. External Factor Evaluation Matrix.

4. Strategy Internal Assessment: Nature of Internal Audit. Resource-Based View. Integrating Strategy and
Culture. Management. Marketing. Operations, Research and Development. MIS. Value Chain Analysis. Internal
Factor Evaluation Matrix.

5. Strategy Formulation – Strategy in Action: Long-Term Objectives. Integration Strategies. Intensive

Strategies. Diversification Strategies. Defensive Strategies. Michael Porter’s Five Generic Strategies. Space matrix
and BCG matrix. Creating Competitive Advantages in Changing Technological Environment.

6. Strategy Analysis and Choice: Nature of Strategy Analysis and Choice. A Comprehensive Strategy-
Formulation Framework. The Matching Stage. The Decision Stage. Cultural and Political aspects of Strategy
choice. Templates of Good Governance.

7. Strategy Implementation – Management and Operations Issues: The Nature of Strategy Implementation.
Annual Objectives. Policies. Resource Allocation. Managing Conflict. Matching Structure with Strategy.
Restructuring, Reengineering, and E-Engineering. Linking Performance and Pay to Strategies. Change
Management. Managing & Resistance to Change.

8. Strategy Evaluation/Controls – Marketing, Finance/Accounting, R&D, and MIS Issues: Strategy Review
of Financial Control: A Strategy-Evaluation Framework. The Balanced Scorecard. Use of new IT & computer
software. Impact of Social Media on Strategic Planning.

9. Revisit Ethical and Moral issues in Business. Governance issues. Merit, Diversity and Accountability at
various levels of management. Corporate Social Responsibility.

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Course Introduction

Business strategy refers to the deliberate activities through which business goals are set and
implemented. The most important role of strategic planning is to differentiate the firm from
its competitors in order to realize superior financial performance and returns to the owners
of a business. It may also be defined as: “…the art and science of continuously developing new
competitive advantages for the firm in a constantly changing environment. Firm should be
able to effectively execute and compete within its chosen position in the market place and
successfully achieve its goals of creating value for all stakeholders in the firm.”
However, it is important to realize that strategy is not only shaped by the underlying
environmental conditions, but also by the resources available to management. The
integration of the external and internal perspectives provides the basic framework for
strategic thinking. This course gives the students a holistic view of strategy formulation,
implementation and control in firms. Moreover, they will be able to think beyond day-to-day
business activities of firms; analyzing the strategic threats and opportunities of firms based
on firms’ internal capabilities and external environments in a fast changing global
environment.

Course Learning Objectives

CLO 1. The students should be able to choose strategies for developing competitive
advantages for the firm so that it effectively executes and competes within its chosen
position in the market place and successfully achieves top management’s identified
objectives.
CLO 2. The students should be able to realize that strategy is not only shaped by the
underlying environmental conditions, such as technology and competition, but also
the resources available to management, including the firm’s assets, structures, and
competencies of its employees.
CLO 3. The students should be able to get a holistic view of strategy formulation,
implementation, and controls in the firm in order to realize superior financial
performance. Students should be able put themselves in the role of managers,
analyze business situations and to make decision to accomplish firm’s objectives
CLO 4. Students should be able to think beyond day to day business activities of firm,
analyzing the threats and opportunities of firm based on firm’s internal capabilities
and external environments, including sustainability, growth and expansion issues.
.

Program Learning Objectives

PLO 1. To equip students with a sound knowledge of the economy allowing them to
critically think about and respond to economic and financial problems in a
challenging global economy.
PLO 2. To enable students to lead in the fields of economics, business. Bureaucracy,
and politics
PLO 3. To encourage students to take initiatives by providing a challenging academic
environment that reflects real world situations.
PLO 4. To develop and nurture the leadership potential among students and to make
them realize the importance of teamwork and collaborative environment in

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 achieving time-constrained goals.

Indicate below how the course learning objectives specifically relate to any
Program learning goals and objectives.

Program Learning Objectives Course Learning Objectives Course Assessment Item

PLO 1. To equip CLO 2. The students should be CP, Quizzes, Assignments, and
students with a sound able to realize that strategy is not Exams
knowledge of the only shaped by the underlying
economy allowing them environmental conditions, such
to critically think about as technology and competition,
and respond to but also the resources available
economic and to management, including the
financial problems in a firm’s assets, structures, and
challenging global competencies of its employees.
economy.
PLO 2. To enable Exam
students to lead in the
fields of economics,
business, bureaucracy,
and politics
PLO 3. To encourage CLO 4. Students should be able Short topic specific cases,
students to take to think beyond day-to-day Field visits to firms.
initiatives by providing a business activities of firm, Term Project
challenging academic analyzing the threats and
environment that opportunities of firm based on
reflects real world firm’s internal capabilities and
situations external environments, including
sustainability, growth and
expansion issues.
PLO 4. To develop and nurture CLO 1. The students should be Group case studies
the leadership potential among able to choose strategies for Comprehensive case studies
students and to make them developing competitive WAC written analysis of cases
realize the importance of advantages for the firm so that it Group formal presentations
teamwork and effectively executes and
collaborative competes within its chosen
environment in position in the market place and
achieving time- successfully achieves top
constrained goals management’s identified
objectives
CLO 3. The students should be Term project presentations
able to get a holistic view of Final exam
strategy formulation,
implementation, and controls in
the firm in order to realize
superior financial performance.
Students should be able put
themselves in the role of
managers, analyze business
situations and to make decision
to accomplish firm’s objectives

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Pedagogy

This course is designed as an advanced level course in Business Administration Studies. The
commitment of the students to the lectures is essentially required. For this purpose, the students are
required to read the course material before attending to the classes. Therefore, a quiz on a chapter
completed should be expected in every discussion session. There will be 5 to 10 short class cases,
where a written case analysis (individually done) and a class discussion will be required. There will be
3-5 comprehensive management cases (in a group of 3 - 5 students) where an individually written
analysis of case and a consensus (WAC) and formal group presentations will be required. These cases
require use of advanced EXCEL to do complete analysis of data provided. Further work by reading
academic papers and recent publications and journals will definitely bring extra points. The Term
Project (in a group of 3-5 students) is done on a large Pakistani firm and gives the student exposure to
Real Life work situations and perception of the vastness and the importance of the subject matter.

Class rules
Regularity and punctuality will be very strictly observed. You have an allowance of number of
absences as per LSE policy. This includes the leaves that are approved from your Students
Affairs Office. Regarding punctuality, you will be marked present only if you arrive in the class
within five minutes of the scheduled time and stay for its entirety. If your group is making a
presentation and you are not there, you get zero. If you miss a Quiz you get zero in that Quiz
unless until approved from instructor. No assignment will be accepted after the due date.
a. Mobile/Cell Phones must be switched off or set to silent.
b. Any action which disturbs the class is prohibited.

Class Participation:

Positive, healthy and constructive class participation will be monitored for each class.
Particular emphasis will be given during the presentation and case study sessions. The
manner in which the question is asked or answered will also be noted. Your behaviour, as
business executives in the class will contribute to the class participation marks.

Policy on Plagiarism/Cheating:
The plagiarism in Assignment/presentation or cheating during exam will result in an F grade
for the course. The students must note that plagiarism include the submission/presentation
of a report/article that has been previously used for another course (even by the same
author) or using the graded material of this course for some other course.

Quizzes/Class Participation:

Quizzes will be taken regularly as per the judgment of instructor. The quizzes are aimed at
evaluating the participants’ understanding and clarity of different concepts. Some corrective
action will be taken if necessary, to fill the gap between desired and actual. Quizzes may be
either subjective or objective.

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Assignments/Project:

Project is based on valuation exercise for a chosen stock by applying different techniques and
strategies discussed in this course. At the end of the semester, a group of 4 to 5 students is
supposed to submit an analysis report along with supporting material. They are also required
to present their analysis in front of others and justify their assumptions, techniques and
model.

Assessments
All of the activities held during the session will be evaluated. The final grades for the course
will be as follows:

Final Assessment Grade weights:

Mid Term Examination- 10%
Final Term Examination-15%
Quizzes - 30%
Long Cases - 10%
Simulation -5%
Assignments/Discussion Sessions/Class Participation-10%
Term Project/Presentations- 20%

RECOMMENDED TEXT BOOK:

• Fred R. David.2015. Strategic Management. Fifteenth or Latest Edition. Pearson

Education.

• Thomas L. Wheelen & J. David Hunger. Strategic Management Business Policy.

Thirteenth Edition. USA: Prentice Hall, Pearson 2013.
• Dess, Lumpkin, Eisner. Strategic Management. Third Edition. USA: McGraw-Hill/Irwin,
2007.

Other Recommended Books and Reading List:

• Michael A. Hitt, R. Duane Ireland. Strategic Management—Competitiveness and

Globalization. Fourth Edition. USA: South-Western College Publishing, 2001.
• BPP Learning Media. Business Strategy. India: Viva Books Private Limited, 2010.
• Grant, R.M (2003), Strategic Planning in a Turbulent Environment: Evidence from the
Oil Majors. Strategic Management Journal, 24:491-517.doi: 10.1002/smj.314
• J. Robert Mitchell, Dean A. Shepherd, Mark P. Sharfman (2010), Erratic Strategic
Decisions: When and Why Managers are inconsistent in Strategic Decision Making. Strategic
Management Journal, DOI: 10.1002/smj.905
• Holcomb, T.R, Holmes Jr. R. M., Connelly, B.L. (2009). Making the most of what you
have: Managerial Ability as a Source of Resource Value Creation. Strategic Management
Journal, 30: 457-485.DOI:10.1002/smj.747
• Mathew S. Kraatz and Edward J. Zajac (2001), How Organizational Resources affect
Strategic Change and Performance in Turbulent Environments: Theory and Evidence.

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Organization Science, Vol.12, No.5: 632-657.
INFORMS[http://www.jstor.org/stable/3086005]
• Esteban R. Brenes, Maurico Mena and German E. Molina (2008), Key Success Factors
for Strategy Implementation in Latin America: Journal of Business Research, Vol. 61, Issue 6:
590-598. DOI: 10.1016/j.jbusres.2007.06.033
• Lawrence G.HRE BINIAK (2006) Obstacles to Effective Strategy Implementation.
Organizational Dynamics, Vol. 35, Issue 1: 12-31.DOI: 10.1016/j.orgdyn.2005.12.001
Magazines, Journals and Periodicals

• Review, Strategic management Journal, Business Week, Forbes, Fortune

• Harvard Business Review
• Leadership Quarterly
• Journal of Leadership and Organizational Studies
• Journal of Management
• Academy of Management Journal
• Academy of Management Review
• BUSINESS RECORDER, BUSINESS SECTION OF DAILY NEWS, BUSINESS SECTION OF
DAILY DAWN, AND WALL STREET JOURNAL, NEW YORK

STUDENTS ARE REQUIRED TO BUY THE NEWS PAPER ‘BUSINESS RECORDER’ AND BRING IT
TO CLASS ROOM FOR DISCUSSION

CALENDAR OF ACTIVITIES

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WEE LECTURE/
  CONTENT OF THE LECTURE/DISCUSSION
K DISCUSSION

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   Lecture 1 Overview of Strategic Management
Week 1   Discussion 1 Quiz 1
      Discussion on term project.
      Alaska Gold mine (Short Case)
  Lecture 2 The Business Vision and Mission
Week 2   Discussion 2 Develop mission statement for J crew
      Quiz 2
  Lecture 3 The External Assessment
Week 3   Discussion 3 Quiz 3
      EFE matrix PEPSI case (class EXCEL assignment)
  Lecture 4 The internal Assessment
Week 4   Discussion 4 Quiz 4
      IFE matrix PEPSI case (class EXCEL assignment)
  Lecture 5 Strategies in Action
Week 5   Discussion 5 Quiz 5
      Develop hypothetical strategies for PEPSICO
  Lecture 6 Strategy Analysis and Choice (SWOT and IE)
Week 6   Discussion 6 Quiz 6
      SWOT matrix and IE
  Lecture 7 Strategy Analysis and Choice (SPACE on Excel)
Week 7   Discussion 7 Quiz 7
      SPACE matrix
  Lecture 8  
Week 8   Discussion 8  
       
  Lecture 9
MIDTERM
Week 9   Discussion 9
       
Week   Lecture 10 Strategy Analysis and Choice (BCG and QSPM)
10   Discussion 10 Quiz 8
      BCG matrix and QSPMatrix (on EXCEL)
Week   Lecture 11 Implementation Strategies (Management and operations Issues)
11   Discussion 11 Quiz 9
      TJX companies Inc
Week   Lecture 12
12   Discussion 12 Simulation
     

Week   Lecture 13 Case 1 Discussion

13   Discussion 13 Case 1 presentation
       
Week   Lecture 14 Case 2 Discussion
14   Discussion 14 Case 2 presentation
       
Week   Lecture 15
15   Discussion 15 TERM PROJECT PRESENTATIONS
       

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 Week   Lecture 16
16   Discussion 16 TERM PROJECT PRESENTATIONS
       
Week  
17   FINAL EXAM

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