STRATEGIC MANAGEMENT MODULE 1 M.COM. 4 Semester 2021SORRELL CI The Strategy Making Process Select the corporate mission and major corporate goals Analyse organisation’s external competitive environment (O, T) Analyse organisation's internal competitive environment (S, W) Select Strategies Implement the strategies Feed back SSUCIEareUOM cag ol koe Shalinee BPA U ie)Mission Mission is a general expression of the overall purpose of the organisation It is in line with the value and expectations of major stakeholders It is concerned with the scope and boundaries of the organisation. What the company does? Eesentlally {he mission answers three questions namely, - What is our business? - What will it be? - What should it be? a commerce-2 University of Cal... A en. CCU tee LN PA T10:46 173.3KB/s Mission is a general expression of the overall purpose of the organisation. It is in line with the value and expectations of major stakeholders It is concemed with the scope and boundaries of the organisation. What the company does? Essentially the mission answers three questions namely, - What is our business? - What will it be? - What should it be? What is our business? - Who is being satisfied (customer groups)? What is being satisfied (customer needs)?, How customers’ needs are being *~*- 1 sdintioee-~ Competencies) ?° a commerce-2 University of Cal... A en. CCU tee LN PA TSOYA B 19 Mission is a general expression of the overall purpose of the organisation. It is in line with the value and expectations of major stakeholders It is concemed with the scope and boundaries of the organisation. What the company does? Essentially the mission answers three questions namely, - What is our business? - What will it be? - What should it be? What is our business? - Who is being satisfied (customer groups)? What is being satisfied (customer needs)?, How customers’ needs are being satisfied (distinctive competencies)?* a commerce-2 University of Cal... A en. CCU tc oe Te€ ~~ fww-zvkt-dhv > ee] ie Mission + This approach stresses the need for a customer-oriented rather then a product-otlented business cefinition + A product-oriented business definition focuses on the characteristics of the products sold and the markets serve not on which kinds of customer needs the products are satisfying. Such an approach obscures the company's true mission because a product is only the physical manifestation of applying particular skill to satisfy a particular need for a particular customer group. URC -ey AU cele 2 pT eC PAU eS ~OO> . (O) 5oe LBs Mission This approach stresses the need for a customer-oriented rather than a product-oriented business definition. A productoriented business definition focuses on the characteristics of the products sold and the markets served, not on which kinds of customer needs the products are satisfying. Such an approach obscures the company's true mission because a product is only the physical manifestation of applying a particular skill to satisfy a particular need for a particular customer group. In practice, that need may be served in many different ways, and a broad customer-oriented business definition that identifies these ways can safeguard companies trom being caught unaware by major shifts in demand a commerce-2 University of Cal... & "ile Deg You ol koe Curis ayer U ries)Nirma: maximise value to the customer. »Ciofolanlanl-1cx- ey ACAI 1ESTI NOL r=] a DYE Mame oe LOTUS+ Nirma: 2 that maximise value to the customer. (It is a customer oriented mission statement). « Microsoft corporation: to empower every person and every organisation on the planet to achieve more. »Ciofolanlanl-1cx- ey ACAI 1ESTI NOL r=] a i) ol koe eel ey SEU ie)BT AL) C9 + Nirma: that maximise value to the customer. (It is a customer oriented mission statement). + Microsoft corporation: fo empower every person and every organisation on the planet to achieve more. * (It is a customer oriented mission statement). »Ciofolanlanl-1cx- ey ACAI 1ESTI NOL r=] ol koe Sudha SEU ie)11:04 174.4KB/s Vision Desired future state. It is a vividly descriptive image of what a company wants to become in the future. The critical point is that a vision articulates a view of a realistic, credible, attractive future for the organization, a condition that is better in some important ways that what now exists. Ford “ to become the world’s leading consumer company for automotive products and services” Hindustan Lever: r t needs of the either we become world class or we leave or kee PRU Cie)SRAM LLCs MAG Ye Vision Desired future state. It is a vividly descriptive image of what a company wants to become in the future, The critical point Is that a vision articulates a view of a realistic, credible, altractive fulure for the organizatio condition that is better in some important ways that, to meet the everyday ITC: * either we become world class or we leave business”. Cannon: “Beat Xerox” Rajmita Chakraborty joined a OD ¥] c a(t) You ol koe pTelary BERL Ue)Telemed SRE AS 2 (31.9 Values. How managers and employees should conduct thems: How they shoukl do business? What kind of organisation they should build to achieve the mission? Values are commonly seen as the bedrock of 2 company's organizational culture: the set of values, norms, and standards that control how employees work to achieve an organization's mission ‘and goals. . LS ant sexs ey AU aes NAO Ore Cc a Op 7 a i 7) You ol koe ENE Co BERL Ue)Values. How managers and employees should themselves? How they shoukl do business? What kind of organisation they should build to achieve the mission? Values are commonly seen as the bedrock of 2 company’s organizational culture’ the set of values, norms, and standards that control how employees work to achieve an organization's mission ‘and goals. An organization's culture Is commonly seen as an important source of ts compettive advantage. UO iRerolatta sneer AUN“ Kel OC ae c11:20 175.8KB/s Major Goals + Precise and measurable (standard against which they can judge their performance). Address crucial issues {To maintain focus, managers shouidd select a limited number of major goals to assess the performance of the company) Challenging but realistic (They give all employees an incentive to look for ways of improving the operations of an organization. If a goal is unrealistic in the challenges it poses, employees may give up; a goal that is too easy may fail to motivate managers and other employees} a commerce-2 University of Cal... @ @ You ol koeSh AAC Major Goals + Precise and measurable (standard against which they can judge their performance). Address crucial issues {To maintain focus, managers should select a limited number of major goals to assess the performance of the company) Challenging but realistic (They give all employees an incentive to look for ways of improving the operations of an organization. If a goal is unrealistic in the challenges it poses, employees may give up; a goal that is too easy may fail to motivate managers and other employees) @ @ You ol koe11:25 179.6KB/s Major Goals Precise and measurable (standard against which they can judge their performance). Address crucial issues (To maintain focus, managers should select a limited number of major goals to assess the performance of the company) Challenging but realistic (They give all employees an incentive to look for ways of improving the operations of an organization. If a goal is unrealistic in the challenges it poses, employees may give up: a goal that is too easy may fail to motivate managers and other employees) Specify a time period (Time constraints tell employees that success requires a goal to be attained by a given date, not after that date. Deadlines can inject a sense of urgency into goal attainment and act as a motivator. However, not all goals require time constraints. ri a commerce-2 University of Cal... ts BNE You ol koe SPU ie)Major Goals Precise and measurable (standard against which they can judge their performance) Address crucial issues (To maintain foous, managers should select a limited number of major goals to assess the performance of the company) Challenging but realistic (They give all employees an incentive to look for ways of improving the operations of an organization. I a goal is unrealistic in the challe it po mployees may give up; a goal fail to moti i { oth loyees) Specify a time period (Time constraints tell employees that success requires a goal to be attained by a given date, not after that date. Deadlines can inject a sense of urgency into goal attainment and act as a motivator. However, not all goals require time constraints. ny commerce-2 University of Cal... commerc... 176 others‘Yrategy impiementston Putting Quality Improvement Programs Changing the way product is designed Positioning the product differently Market segmentation Expanding through mergers snd acquisitions Downsizing the company The feedback loop