Corporate Strategy in Marine Industries - Module 7

John B. Lacson Foundation Maritime University Arevalo), Inc.
GRADUATE SCHOOL
Iloilo City
Module 7: Strategy Formulation
Lesson 1: Defining the Business
Introduction
As you start and grow a business it is important to spend time thinking about your
business strategy. Think of the business strategy as your map — with it, you’ll determine the
direction of your business and what you want it to look like in the future. By clearly defining the
strategy, you’ll have the guidelines and structure to develop your business or growth plan and
achieve your business goals. Remember, you cannot be all things to all customers. You do not
have to be the market leader to compete successfully, but you do need to focus on your company’s
strengths to find a way to differentiate from other competitors
Learning Outcomes
At the end of the lesson, the students shall have been able to:
1. define the business

2. discuss the importance of business.
3. explain the importance of strategy in business?
4. state the effect of business in the economic.
5. identify the factors on how to build a business.
Pre-Test
Multiple Choice: Select the correct answer from the choices given below each question. Write
the letter of your answer on the blank provided before each number.
__________1. Defined as an organization or enterprising entity in commercial, industrial or

professional activities.
a. business
b. company
c. corporate
d. all of the Above
__________2. Refers to the organized efforts and activities of individuals to produce and sell
goods and services for profit.
a. company
b. business
c. corporate
d. all of the Above
__________3. It is the one of the most important activities of human.
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a. company
b. corporate
c. business
d. all of the Above
__________4. Playing as an important role in the economic development of the nation and for
the upliftment of living standard of people.
a. organization
b. company
c. corporate
d. business
__________5. It is the shorter outlook of business.

a. functional Level Strategy
b. business Level Strategy
c. functional Level of Company
d. all of the above.
Reading
A business is defined as an organization or enterprising entity engaged in commercial,

industrial, or professional activities. Businesses can be for-profit entities or they can be non-profit
organizations that operate to fulfill a charitable mission or further a social cause. The term
"business" also refers to the organized efforts and activities of individuals to produce and sell
goods and services for profit. Businesses range in scale from a sole proprietorship to an
international corporation. Several lines of theory are engaged with understanding business
administration including organizational behavior, organization theory, and strategic
management. Business is one of the most important human activities. It has been playing an
important role in the economic development of the nation and for the upliftment of living
standard of people.
Business refers to a form of activity conducted with an objective of earning profits for
the benefit of those on whose behalf the activity is conducted." Another common definition of
business is, "Human activity directed towards producing or acquiring wealth through buying and
selling of goods." Thus, the term business means continuous production and distribution of goods
and services with the aim of earning profits under uncertain market conditions.
Defining your Business Strategy
Once defined, your business strategy sets priorities for the company and management
team and helps you attract and retain the talented workers you need. Although individuals in your
company may focus on different priorities to accomplish specific tasks, these priorities should
not conflict with the overall strategic direction of the company. Your business strategy can be
defined in either several paragraphs or be written as a set of strategic statements. It is a summary
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of how the company will achieve its goals, meet the expectations of its customers and sustain a
competitive advantage in the marketplace.
Business Level Strategy

Large companies usually have multiple lines of business in their portfolio. The larger
firms even distinguish them as separate strategic business units (SBUs) under a single
organizational umbrella. As strategic business units, they are operational as stand-alone a
business, which means that competition is bound to arise. In this level, strategy formulation is
geared towards coming up with competitive strategies between and among the lines of businesses
or SBUs of the organization.
Functional Level Strategy

Compared to the other two levels, the functional level has a shorter outlook. Within each
line of business or SBU, there are functional units with their own specific tasks and sets of
activities. Strategies at this level are required, primarily addressing how these activities and tasks
will be carried out effectively and efficiently.
Summary
A business is defined as an organization or enterprising entity engaged in commercial,

industrial, or professional activities. Businesses can be for-profit entities or they can be non-profit
organizations that operate to fulfill a charitable mission or further a social cause. The term
"business" also refers to the organized efforts and activities of individuals to produce and sell
goods and services for profit. Businesses range in scale from a sole proprietorship to an
international corporation. Several lines of theory are engaged with understanding business
administration including organizational behavior, organization theory, and strategic
management. Business is one of the most important human activities. It has been playing an
important role in the economic development of the nation and for the upliftment of living
standard of people.
To retain
Self-Assessment Questions
Answer briefly the following questions:
1. Explain the importance of Business.

2. What cause your business to struggle in today’s reality?
3. How can your business become more resilient with uncertainty in the market and
workplace?
4. How would employees contribute to achieve the goal of a business entity?
5. What strategy will you employ to retain your customers?
Suggested Enrichment Activity
Discuss why product modification is important in business.
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References
MacCann, C., Jiang, Y., Brown, L. E., Double, K. S., Bucich, M., & Minbashian, A. (2020).
Emotional intelligence predicts academic performance: A meta-analysis. Psychological
Bulletin, 146(2), 150 – 186.
Open Textbook Library (2019) Principles of management. Retrieved from

https://open.umn.edu/opentextbooks/textbooks/693
Paternoster, R., Pogarsky, G., & Zimmerman, G. (2011). Thoughtfully reflective decision making
and the accumulation of capital: Bringing choice back in. Journal of Quantitative
Criminology, 27(1), 1-26.
Teeboom, L. (2019) Group vs Individual Decision Making for a Business. Retrieved from
https://smallbusiness.chron.com/group-vs-individual-decision-making-business-
448.html
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Lesson 2: Setting Corporate Goals
Introduction
Setting corporate goals and objectives has always been essential to workplace success,
but only recently have executives begun to see the power behind corporate goal. Here, we’ll
discuss why they’re so critical to driving performance, as well as how you can begin setting them
in your own company.
When you strategically set corporate goals, you can achieve corporate alignment. And,
there’s a direct correlation between effective goal setting and alignment and financial
performance. Companies that have goals aligned tend to outperform organizations that lack a
direct connection between top company priorities and employees’ individual goals.
When you create alignment, employees have a direct line of sight as to how their efforts impact
organizational success.
Learning Outcomes
1. discuss shipping corporate?

2. explain the importance of shipping corporate.
3. enumerate the steps to set corporate goals and objectives?
4. discuss the effect of shipping to economic.
5. enumerate the advantage of shipping to business.
Pre-Test
__________1. Important things to set in building a business.

a. goals
b. vision
c. mission
d. objectives
__________2. Benefits of Corporate goal setting.

a. back crop
b. uptick in employee retention Mission
c. loss of Revenue
d. all of the above
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__________3. It is a Step to Set a corporate goals and objectives that it’s mostly up to you to
determine your most important company-level goals
a. make goals SMART
b. set no more than 3-5 OKRs
c. get executive input
d. all of the Above
__________4. It is a Step to Set a corporate goals and objectives that once you’ve developed
your goals for the year, break them down by identifying what you need
to accomplish for each quarter
a. make goals SMART
d. break it down by quarter
__________5. It is a Step to Set a corporate goals and objectives that will then be broken down
further among teams and individuals
a. cascade down & align up
d. break it down by quarter
Reading
Company goals help you execute your business strategy. One of the most common
reasons organizations fail to achieve their goals is that there’s a disconnect between the CEO’s
priorities and the employees’ goals. When you set top company goals and cascade them from the
bottom down (as well as aligning them upwards), you guarantee that all employees’ goals are
directly supporting the most important priorities to the company right now. As a result, every
single contributor is supporting the execution of your business strategy.
Moreover, cascaded and goals allow all teams to see each other’s goals. This prevents
redundant efforts from taking place and gives managers a clear understanding of exactly what
their direct reports are responsible for, so they can track progress and coach their people to keep
them laser-focused.
Goal setting improves employee retention.
Another benefit of corporate goal setting is an uptick in employee retention. Gallup

research indicates that companies with a dissatisfied workforce unsurprisingly have a 51% higher
rate of turnover than others, along with lower productivity rates and more employee absences.
Because OKR goal setting can drive employee satisfaction by giving teams a way to see how
their contributions support company progress, corporate goal setting is one of the most powerful
tools you can use to retain your top talent.
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7 steps to set corporate goals and objectives.
Step 1: Get executive input
If you’re a CEO, it’s mostly up to you to determine your most important company-level
goals. Some organizations use a SWOT analysis to identify Strengths, Weaknesses,
Opportunities, and Threats, then develop goals based on how to use each to their advantage. You
can also ask fellow executives to weigh in.
If you’re unsure of where to start, consider identifying where you’d like to be in five
years. Then, take that information to the next step to figure out where you’d like to be within one
year.
Step 2: Choose corporate goals and objectives for 1 year
Even though you have a vision of where you’d like your company to go within the next
five years, company goals should never extend further than one year. Otherwise, you’re looking
at long-term strategies, not goals. Strategizing for the long haul can be beneficial, but without the
ability to focus on broken down, measurable goals, you won’t be able to laser-focus on what’s
most important right now.
To set yearly goals, identify what you have to do within the next year to support your
five-year vision. For instance, if you hope to have 500,000 users within 5 years, your goal for
your first year might be to focus on growing your global business. Another goal might be to
launch a new product successfully.
Step 3: Break it down by quarter
Once you’ve developed your goals for the year, break them down by identifying what
you need to accomplish for each quarter. Set specific dates for your Key Results. Recall that the
Objective is the thing to be accomplished, and the Key Result is the set of 1-3 KPIs to measure
the achievement of the Objective. It can be either a qualitative milestone or a quantified metric.
Feel free to look here for more specific instructions on how to use OKRs.
Step 4: Make goals SMART
In addition to making goals Time-bound, you should also verify that they satisfy the other
components of SMART criteria: Specific, Measureable, Aligned, Relevant and Time-bound. By
using these five guidelines to create your goals, you’ll ensure clarity and make it easier to track
progress when it comes time for follow-through.
Step 5: Set no more than 3-5 OKRs
At any given time, you should have no more than 3-5 OKRs per quarter. Having more
than that will make it too difficult to focus on goals. Remember, these are your most important
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priorities. Even high-performing organizations like Google use caps on OKRs to allow their
teams to laser focus on the most critical current company Objectives – read more about why here.
Step 6: Use examples
The corporate goals and objectives you decide to set on your company will depend on a
few key factors, including your current opportunities and threats as discussed in the first point.
Thus, no two organizations will have the exact same goals. However, it can still be helpful
to look at other companies’ corporate goals for guidance. To make sure you’re on the right track,
take a look at our list of OKR examples. For your convenience, we’ve also included OKRs for
every department, making it even easier to see how goals can be cascaded down and aligned up,
which brings us to our next point.
Step 7: Cascade down & align up
After setting 3-5 SMART company goals for the quarter, you can then begin cascading
them down through departments or units. These will then be broken down further among teams
and individuals. Keep in mind that individuals should also be setting some of their own OKRs,
creating a system by which goals are both cascaded down and contributed up. The end result is
an aligned network of goals that gives all employees a direct line of sight into how their
contributions are driving progress on company priorities.
Summary
Company goals help you execute your business strategy. One of the most common
reasons organizations fail to achieve their goals is that there’s a disconnect between the CEO’s
priorities and the employees’ goals. When you set top company goals and cascade them from the
bottom
down (as well as aligning them upwards), you guarantee that all employees’ goals are directly
supporting the most important priorities to the company right now. As a result, every single
contributor is supporting the execution of your business strategy.
Moreover, cascaded and goals allow all teams to see each other’s goals. This prevents
redundant efforts from taking place and gives managers a clear understanding of exactly what
their direct reports are responsible for, so they can track progress and coach their people to keep
them laser-focused.
1. What is Shipping Corporate?

2. Discuss the importance of shipping corporate.
3. What are the steps to set corporate goals and objectives?
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4. Explain the effect of shipping to economic.

5. Discuss the advantage of shipping to business.
Enumerate the guidelines in creating a corporate vision and mission.
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References
Harrison, E. Frank (1999). The Managerial Decision-Making Process (5th ed.). Boston:
Houghton Mifflin.
McCall, Morgan W., Jr., & Kaplan, Robert K. (1990). Whatever it takes: The realities of
managerial decision making (2nd ed.). Englewood Cliffs, NJ: Prentice-Hall.
Porter, Michael E. (1980). Competitive Strategy: Techniques for analyzing industries and
competitors. New York: Free Press.
Porter, Michael E. (1985). Competitive advantage: Creating and sustaining superior

performance. New York: Free Press.
Williams, Steve W. (2002). Making better business decisions: Understanding and improving
critical thinking and problem-solving skills. Thousand Oaks, CA: Sage Publications.
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Lesson 3: Corporate Strategy
Introduction
Corporate strategy is the highest strategic plan of the organization, which defines the
company goals and defines ways of the achievement within strategic management. Corporate
strategy is hierarchy the highest strategic plan of the organization, which defines the corporate
overall goals and directions and the way in which will be achieved within strategic management
activities.
Learning Outcomes
1. explain the meaning of corporate strategy?

2. discuss the importance of corporate strategy.
3. enumerate the benefits of corporate strategy.
4. explain the effect of corporate strategy in economic.
5. enumerate at least 3 analytical techniques to develop a strategy.
Pre-Test
__________1. It is the highest strategic plan of the organization, which defines the company
goals and defines ways of the achievement within strategic management.
a. corporate strategy
b. company strategy
c. business strategy
d. all of the above
__________2. It is hierarchically the highest strategic plan of the organization, which defines
the corporate overall goals and directions and the way in which will be achieved
within strategic management activities
a. company strategy
b. corporate strategy
c. business strategy
d. all of the above
__________3. What are parts of the strategy?

a. mission and Objectives
b. objectives and Goals
c. vision and Mission
d. vision and Goals
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__________4. It must include and influence all aspects of the organization and its entire
product portfolio
a. company strategy
b. business strategy
c. corporate strategy
d. technical strategy
__________5. This refers to the basis for the whole company and therefore the strategy.
a. product portfolio
b. company profile
c. endorsement
d. all of the above
Reading
company goals and defines ways of the achievement within strategic management. It is a long-
term, clearly defined vision of the direction of a company or organization. It helps determine the
overall value of the organization sets strategic goals and motivates workers to achieve them. It
sets out a basic plan for what is to be achieved and when. This is done by using strategic goals
and basic milestones. However, corporate strategy is also a continuous process that must be able
to respond appropriately to changing conditions and surroundings - the market situation.
Corporate strategy must include and influence all aspects of the organization and its entire
product portfolio.
What should a corporate strategy include and cover?
Clearly named vision and mission should be part of the strategy. Numerous analytical
techniques are used to develop the strategy (see PESTLE, SWOT, VRIO). When implementing
the strategy, for example the BSC is used in for the implementation. Corporate strategy
influences how a company creates value. This means that it must cover both the product portfolio
and the assumptions - resources and organizational aspects.
The product portfolio is the basis for the whole company and therefore the strategy. The
company needs to be clear about what it wants to deliver, who it wants to deliver, what are the
key competitive advantages, pricing strategies and many other things. They are either part of a
corporate strategy or are elaborated in detail in separate but subordinate strategic documents such
as business strategies, marketing strategy and the like.
Company resources are necessary to deliver products and to propel processes. The
corporate strategy must include at least a basic assessment of existing resources (eg using VRIO)
and a plan of how new resources will be acquired so that the strategic goals can be achieved.
Again, this description is either part of the corporate strategy as such or it is elaborated in detail
in partial strategic documents (human resources strategy, financial strategy, IT strategy, etc.).
Resources are a key limitation of the operation of companies. Most often lacking human
resources. Sometimes companies face a lack of financial resources, sometimes they do not have
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sufficient technology, and sometimes they miss a building permit to build a production hall. The
most limiting resource is people - the lack of suitably qualified workers is the most common
reason for not achieving the company’s business goals.
The organizational model then tells how to set up processes, organizational structure and
overall operating principles to achieve strategic goals. It is necessary to set rules of operation, the
policies, guidelines, organizational structure, management system and powers and
responsibilities of people so that they effectively support to achieve strategic goals. In this
respect, there is no optimal model - it is always necessary to use a management system, set
processes and organization appropriately to the resources, culture and overall situation in the
organization and the market. What works great in one company can cause problems for another
company.
Thus, corporate strategy must not only define the product and business direction
(business, market and financial goals) but also what a firm has to do to achieve these goals.
Summary
company goals and defines ways of the achievement within strategic management. It is a long-
term, clearly defined vision of the direction of a company or organization. It helps determine the
overall value of the organization sets strategic goals and motivates workers to achieve them. It
sets out a basic plan for what is to be achieved and when. This is done by using strategic goals
and basic milestones. However, corporate strategy is also a continuous process that must be able
to respond appropriately to changing conditions and surroundings - the market situation.
Corporate strategy must include and influence all aspects of the organization and its entire
product portfolio.
1. Explain the meaning of corporate strategy.

2. Discuss the importance of corporate strategy.
3. Enumerate and discuss the benefits of corporate strategy
4. Explain the effect of corporate strategy to economics
5. Enumerate the analytical technique to develop a strategy.
Suggested Enrichment Activity.
Discuss how corporate strategy influence company values.
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References
Bulletin, 146(2), 150 – 186.

448.html
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Lesson 4: Corporate Stockholders
Introduction
A stockholder is someone who has shares in a company. Stockholders own a piece of that
company. Stockholder are people who hold stocks — in other words, own shares — in a
corporation. When you buy stocks, it's like buying part of the company. The more shares you
buy, the more invested you are in a company. The value of the stock goes up when the company
does well and goes down when the company does poorly, so stockholders want the company to
succeed. If you want to become a stockholder, start following the stock market.
Learning Outcomes
1. discuss the corporate structure

2. elucidate the meaning of shareholder.
3. enumerate the difference between a shareholder and a stockholder?
4. enumerate the shareholder rights
5. know who are the shareholders of a corporation.
Pre- Test
__________1. Other term for stockholder?

a. shareholder
b. business Partner
c. corporate
d. all of the above
__________2. One that receive ownership rights based on their percentage of ownership in
corporate stock.
a. business Partner
b. stockholder
c. company
d. all of the above
__________3. All shares of stock are purchased at a specific price. Shareholders receive a
benefit from ownership in two ways. What are they?
a. through dividends, which are paid based on the profits of the company and the
number of shares owned
b. selling their shares for a profit
c. A and B
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d. A only
__________4. A typical corporate structure is made up of three groups.

a. shareholders, seeking a return on investment
b. officers, managing the daily operations
c. directors, providing oversight and protection to shareholders
d. all of the above
__________5. Rights of stockholder that can access and analyze all corporate records related to
governance and financial performance
a. rights of information
b. rights to vote
c. meeting of Rights
d. all of the above
Reading
A shareholder may also be referred to as a stockholder. A stockholder or shareholder is

an institution or individual (including a corporation) that legally owns one or more shares of
stock in a public or private corporation. Shareholders receive ownership rights based on their
percentage of ownership in corporate stock. Shares are considered to be an apportioned
ownership interest in the business. The value of one share of stock can range from less than one
percent to 100 percent.
When a corporation is initially incorporated, the original owners are routinely the first
shareholders. In smaller businesses, the initial owners remain the sole shareholders throughout
the life of the corporation. Employees, managers, and owners may all be stockholders in the
company where they handle the daily operations of the business. Additionally, one individual
may be a shareholder, director, and officer. Generally, this only occurs in small corporations.
The general public or private investors will normally be the majority shareholders in a
large corporation. Each shareholder will usually receive a stock certificate indicating how many
shares they own in total. Increased stock prices and dividends reward shareholders for investing
in a successful business. If the stock doesn't perform well, the shareholders may lose money on
their investment if they sell the stock for less than they paid for it.
Unlike owners in a partnership or sole proprietorship, shareholders in a corporation are

not personally responsible for repaying the company's financial obligations. In other words, if
the corporation goes bankrupt, its creditors cannot demand repayment from the shareholders.
Another benefit of being a shareholder is that there's usually no need to get involved in the daily
operations of the business. Shareholders expect the officers and board of directors to manage the
company.
A stockholder and shareholder are virtually identical. They both characterize an

individual that owns shares of stock in a corporation. Holding stock and holding shares mean the
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same thing. Individuals, trusts, and companies may own shares of stock in a for-profit
corporation. All shares of stock are purchased at a specific price. Shareholders receive a benefit
from ownership in two ways:
1. Through dividends, which are paid based on the profits of the company and the number
of shares owned
2. Selling their shares for a profit
Corporate Structure
A corporation is a unique business entity because they're owned by individuals who:

own the business
Buy shares of stock in the company
Are looking to earn dividends and capital gains
The typical corporate structure is made up of three groups:
Shareholders, seeking a return on investment

Officers, managing the daily operations
Directors, providing oversight and protection to shareholders
Shareholders' rights are addressed in the corporation's charter and bylaws. The Model
Business Corporations Act (Model Act) is used in many states and influences the law governing
U.S. corporations. It's an important and often cited reference for courts, lawyers, and scholars. It
includes the rights below:
Right to information
Stockholders can access and analyze all corporate records related to governance and
financial performance. Most of the financial information that a corporation produces is released
to the public to meet the Security Exchange Commission's guidelines. Also, corporations may
disclose standardized and ad hoc reports to shareholders directly.
Right to vote
There must be one class of stock that represents an ownership interest in the corporation.
Most companies refer to this class of share as "common stock." Common stock provides voting
rights to stockholders.
Meeting rights
Annual shareholder meetings must take place as stated in the state corporate statutes. The
meeting should cover topics such as government actions and electing directors. Remember, small
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corporations may be able to address these matters through written correspondence, rather than
holding an official meeting.
Right to make proposals
Shareholders owning $2,000 or more worth of shares or one percent have the right to add
agenda items to the corporate proxy statement.
Right to dissent
Dissenter rights are a type of special protection that is provided to shareholders who have
invested in a company that is not actively traded. Dissenter rights provide shareholders with an
option to force the corporation to buy back the shareholder's shares at fair value.
Summary
A shareholder may also be referred to as a stockholder. A stockholder or shareholder is

an institution or individual (including a corporation) that legally owns one or more shares of
stock in a public or private corporation. Shareholders receive ownership rights based on their
percentage of ownership in corporate stock. Shares are considered to be an apportioned
ownership interest in the business.
1. Discuss the meaning of corporate structure

2. Explain the meaning of a shareholder.
3. What is the Difference Between a Shareholder and a Stockholder?
4. Enumerate the rights of a shareholder.
5. Who are the shareholders of a corporation?
Why creditors cannot demand repayment from the stockholders if the corporation is
bankrupt?
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References
Houghton Mifflin.

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Lesson 5: Stockholders, the Mission and Strategy
Introduction
A stockholder is someone, or even another entity such as a group of investors or another

company, who owns one or more shares of the stock in a corporation. The corporation’s stock
may be publicly traded in an open stock market such as the New York Stock Exchange, or the
stock may be privately traded. The corporation benefits from stockholders’ purchase of stocks,
since the dividends from the sale of the stocks give the company money to conduct its business.
The owners of a corporation are not the company’s management, but rather the stockholders.
Learning Outcomes
1. discuss the importance of stockholder in a corporation

2. explain the importance of mission in a corporation
3. elucidate the important of strategy in a corporation
4. discuss the importance of MOST Analysis in a business corporation
5. identify the advantages and disadvantages of MOST Analysis in business.
Pre- Test
__________1. Generally, have one vote per share of the company that they own.
a. stockholder
b. corporate
c. owner
d. all of the above
__________2. MOST Analysis that should be the top-level, overall reason for being in business
in terms of what you want to accomplish.
a. objective
b. mission
c. strategy
d. all of the above
__________3. MOST Analysis are the things you are to do in order to reach
your objectives.
a. objective
b. mission
c. strategy
d. all of the above
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__________4. MOST Analysis that you will use to enact your strategies
a. objective
b. mission
c. strategy
d. tactics
__________5. MOST Analysis which is one step down from your mission.
a. objective
b. mission
c. strategy
d. tactics
Reading
Stockholders do not simply turn their money over to a corporation and surrender any say
in how that money is used. Instead, stockholders may vote on different matters of business within
the corporation, such as the appointment of new members to the board of directors. Stockholders
also receive a certain portion of the dividends earned by the corporation, according to the number
of shares each stockholder purchases. Stockholders generally have one vote per share of the
company that they own. If one stockholder owns the majority of the corporation’s stocks, or 51
percent of the stocks or more, then that stockholder has the ability to outvote other stockholders.
A good recommendation should be: effective in solving the stated problem (s), practical (can be
implemented in this situation, with the resources available), feasible within a reasonable time
frame, cost effective, not overly disruptive, and acceptable to key “stakeholders” in the
organization. It is important to consider “fits” between resources plus competencies with
opportunities, and also fits between risks and expectations.
There are four primary steps in this phase:
Reviewing the current objectives and strategies of the organization, which usually would
have been identified and evaluated as part of the diagnosis
Identifying a rich range of strategic alternatives to address the three levels of strategy
formulation outlined below, including but not limited to dealing with the critical issues.
Doing a balance evaluation of advantages and disadvantages of the alternatives relative
to their feasibility plus expected effects on the issues and contributions to the success of
the organization
Deciding on the alternatives that should be implemented or recommended.
In organizations, and in the practice of strategic management, strategies must be
implemented to achieve the intended results. The most wonderful strategy in the history of the
world is useless if not implemented successfully. This third and final stage in the strategic
management process involves developing an implementation plan and then doing whatever it
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takes to make the new strategy operational and effective in achieving the organization's
objectives.
All businesses operate under some kind of general business plan, which is intended to
outline the overall goal of the business. Obviously, making money is the standard goal for a for-
profit business, but the business plan needs to get into the specifics of how you are going to make
that happen. Often, the biggest difference between a company that is successful and one that falls
short is the quality of the business plan they start out with right from the beginning.
A good business plan can go a long way toward success down the road. You can
download business strategy books, templates and checklists from our website.
the business. There is so much to do on a daily basis that it is easy to forget about the plan
and get lost in the details of the daily routine. This is a dangerous mistake for any business or
organization to make. When the daily activities that take up most of your time are no longer
aligned with the vision that you have for the future of the business, you are going to have a hard
time reaching your goals. Staying on track requires a close connection between long-term goals
and short-term activities.
This is where the MOST Analysis tool comes in handy. The idea behind MOST is that it
will help you to organize your activities in support of each other so they are all heading in the
same direction. Without this kind of cohesion between your activities, the future can suddenly
look bleak.
MOST Analysis is made up of four elements –
M – Mission
O – Objectives
S – Strategy
T – Tactics
The tool is meant to work from the top down, with each successful point becoming a little
more specific as it goes. Let’s take a quick look at each of the four elements of the MOST
Analysis tool to better understand how they can drive your organization forward.
Mission
Basically, this is the main purpose of the business plan that we discussed above. It should
be the top-level, overall reason for being in business in terms of what you want to accomplish.
The more specific that you can be when defining your mission, the more success you will have
later on trying to define the remaining points within the tool.
For example, imagine that you own a dry-cleaning business. You could state that your
mission is to be the best possible dry-cleaning business that you can be and impress each
customer that comes through the door. That might sound good, but what does it mean? Those
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kinds of goals won’t really give you any direction to go on. Instead, something like being the top
dry-cleaning business within your city is far more attainable and tangible. If you are bringing in
the most business and getting the best reviews in your city for dry cleaning companies, you will
know you have reached your goal. Then, you can frame the rest of your thinking around trying
to make this happen.
Objectives
Your objectives are one step down from your mission. Think of these are a collection of
individual goals that will add up to reaching your overall mission. Just like with the mission,
objectives should be specific enough to guide your decision making and planning for the future.
With your mission in place, it should be relatively easy to develop a list of a few objectives.
To continue the previous example, you need to highlight objectives that will outline how you can
become the best dry cleaner in the city. Some possibilities might be to grow sales by 5% each
month, attract ‘x’ number of customers to switch from your competition, or receive a certain
number of reviews online. Your objectives should be measurable so you can evaluate the methods
you used to try and reach them and determine whether you have succeeded or not.
Strategy
These are the things you are going to do in order to reach your objectives. What actions
should be taken in order to accomplish your objectives, and in turn, your mission? Keeping up
with the example we have been using, the following are a few sample business strategies that
could be used:
Run a promotion to entice new customers to switch from your competition, such as
offering to beat any rate by 10%.
Invest in new advertising channels such as paid online advertisements or local radio.
Offer benefits to customers who take the time to leave a review about your business
The strategies that will work for your business are going to vary wildly depending on
your market and target demographic. However, the idea is the same for any organization – build
a list of strategies that further your pursuit of the objectives you have already highlighted. This
is not a time to be vague. Your strategies should be specific and actionable.
Tactics
The final points in the MOST tools are the tactics that you will use to enact your strategies.
Your tactics should be the specific details that will guide your daily activities. So, if you are
going to run radio ads as mentioned in the previous example, some tactics would include writing
a script, hiring a voice over artist, contacting radio stations, etc. Using your tactics to dictate your
daily activities is the best way to make sure what you are doing today will guide you in the right
direction toward your overall mission.
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There is cohesion between each step along the MOST Analysis that is important and
should be considered carefully. One step builds on the next, and that consistency is what makes
this a valuable tool. Many organizations get lost somewhere between the mission and the tactics,
so do a careful review of your processes to make sure that you don’t fall into that trap. As long
as you are able to outline a logical progression for your business from one step to the next, the
end result should keep you pointing in the right direction.
Summary
A good business plan can go a long way toward success down the road. You can
download business strategy books, templates and checklists from our website.
However, once the business is up and running, it is easy to lose track of that plan or
purpose for the business. There is so much to do on a daily basis that it is easy to forget about the
plan and get lost in the details of the daily routine. This is a dangerous mistake for any business
or organization to make. When the daily activities that take up most of your time are no longer
aligned with the vision that you have for the future of the business, you are going to have a hard
time reaching your goals. Staying on track requires a close connection between long-term goals
and short-term activities.
This is where the MOST Analysis tool comes in handy. The idea behind MOST is that it
will help you to organize your activities in support of each other so they are all heading in the
same direction. Without this kind of cohesion between your activities, the future can suddenly
look bleak.
MOST Analysis is made up of four elements –
M – Mission
O – Objectives
S – Strategy
T – Tactics
The tool is meant to work from the top down, with each successful point becoming a little
more specific as it goes. Let’s take a quick look at each of the four elements of the MOST
Analysis tool to better understand how they can drive your organization forward.
1. Discuss the importance of stockholder in a business corporation

2. Explain the importance of mission in a business corporation.
3. Elucidate the important of strategy in a business corporation
4. Discuss the importance of MOST Analysis in business
5. Enumerate the advantages and disadvantages of MOST Analysis in business.
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Discuss how MOST Analysis can drive the organization forward.
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References
Bulletin, 146(2), 150 – 186.

448.html
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Lesson 6: Corporate Social Responsibility
Introduction
Corporate social responsibility (CSR) is how companies manage their business processes
to produce an overall positive impact on society. It covers sustainability, social impact and ethics,
on how companies make their money.
Learning Outcomes
1. discuss the meaning of corporate social responsibility?

2. identify the important of corporate social responsibility?
3. enumerate the needs of companies for their operations.
4. explain the Social Responsibilities of a corporation.
Pre- Test
__________1. This refers on how companies manage their business processes to produce an
overall positive impact on society.
a. corporate social responsibility
b. corporate social science
c. corporate social response
d. corporate social return
__________2. This refer is the continuing commitment by business to behave ethically and
contribute to economic development while improving the quality of life
of the workforce and their families as well as of the local community and
society at large.
a. corporate social science
b. corporate social responsibility
__________3. The CSR definition used by Business for Social Responsibility is;
a. continual business
b. corporate business
c. operating business
d. all of the above
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__________4. Companies need to answer to two aspects of their operations.

The quality of their management, nature of, and quantity of their impact on
society in the various areas.
a. corporate and company success
b. quality of work and quantity of society
c. the quality of their management - both in terms of people and processes.
d. the nature of, and quantity of their impact on society in the various areas.
__________5. This becomes an integral part of the wealth creation process - which if
managed properly should enhance the competitiveness of business and
maximize the value of wealth creation to society.
a. corporate social responsibility
b. corporate social science
Reading
Social responsibility becomes an integral part of the wealth creation process - which if
managed properly should enhance the competitiveness of business and maximize the value of
wealth creation to society.
When times get hard, there is the incentive to practice CSR more and better - if it is a
philanthropic exercise which is peripheral to the main business, it will always be the first thing
to go when push comes to shove.
But as with any process based on the collective activities of communities of human beings
(as companies are) there is no 'one size fits all'. In different countries, there will be different
priorities, and values that will shape how business act. And even the observations above are
changing over time. The US has growing numbers of people looking towards core business
issues.
For instance, the CSR definition used by Business for Social Responsibility is:
Operating a business in a manner that meets or exceeds the ethical, legal, commercial and
public expectations that society has of business.
One of the most frequently asked questions at this site - and probably for all those
individuals and organizations dealing with CSR issues is the obvious - just what does 'Corporate
Social Responsibility' mean anyway? Is it a stalking horse for an anti-corporate agenda?
Something which, like original sin, you can never escape? Or what?
Different organizations have framed different definitions - although there is considerable

common ground between them. My own definition is that CSR is about how companies manage
the business processes to produce an overall positive impact on society.
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Companies need to answer to two aspects of their operations. 1. The quality of their
management - both in terms of people and processes (the inner circle). 2. The nature of, and
quantity of their impact on society in the various areas.
Outside stakeholders are taking an increasing interest in the activity of the company. Most
look to the outer circle - what the company has actually done, good or bad, in terms of its products
and services, in terms of its impact on the environment and on local communities, or in how it
treats and develops its workforce. Out of the various stakeholders, it is financial analysts who are
predominantly focused - as well as past financial performance - on quality of management as an
indicator of likely future performance.
Corporate Social Responsibility is the continuing commitment by business to behave

ethically and contribute to economic development while improving the quality of life of the
workforce and their families as well as of the local community and society at large
The same report gave some evidence of the different perceptions of what this should mean
from a number of different societies across the world. Definitions as different as CSR is about
capacity building for sustainable livelihoods. It respects cultural differences and finds the
business opportunities in building the skills of employees, the community and the government
from Ghana, through to CSR is about business giving back to society from the Philippines.
Traditionally in the United States, CSR has been defined much more in terms of a
philanthropic model. Companies make profits, unhindered except by fulfilling their duty to pay
taxes. Then they donate a certain share of the profits to charitable causes. It is seen as tainting
the act for the company to receive any benefit from the giving.
The European model is much more focused on operating the core business in a socially
responsible way, complemented by investment in communities for solid business case reasons.
Personally, I believe this model is more sustainable because:
A concept whereby companies decide voluntarily to contribute to a better society and a

cleaner environment. A concept whereby companies integrate social and environmental concerns
in their business operations and in their interaction with their stakeholders on a voluntary basis.
When you review each of these, they broadly agree that the definition now focuses on the
impact of how you manage your core business. Some go further than others in prescribing how
far companies go beyond managing their own impact into the terrain of acting specifically outside
of that focus to make a contribution to the achievement of broader societal goals. It is a key
difference, when many business leaders feel that their companies are ill equipped to pursue
broader societal goals, and activists argue that companies have no democratic legitimacy to take
such roles. That particular debate will continue.
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Summary
Corporate social responsibility (CSR) is how companies manage their business processes
to produce an overall positive impact on society. It covers sustainability, social impact and ethics,
and done correctly should be about core business - how companies make their money - not just
add-on extras such as philanthropy.
Social responsibility becomes an integral part of the wealth creation process - which if
managed properly should enhance the competitiveness of business and maximize the value of
wealth creation to society.
Self- Assessment Questions
1. What is Corporate Social Responsibility?

2. Discuss the importance of corporate social responsibility?
3. Enumerate and discuss the needs of companies for their operations.
4. Explain social responsibilities of a corporation.
Suggested Enrichment Activities
Cite example of corporate social responsibilities in the Philippines and explain.
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References
Houghton Mifflin.

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John B. Lacson Foundation Maritime University Arevalo), Inc.

Module 7: Strategy Formulation

Lesson 1: Defining the Business

1. define the business

__________1. Defined as an organization or enterprising entity in commercial, industrial or

__________3. It is the one of the most important activities of human.

__________5. It is the shorter outlook of business.

A business is defined as an organization or enterprising entity engaged in commercial,

Defining your Business Strategy

Business Level Strategy

Functional Level Strategy

A business is defined as an organization or enterprising entity engaged in commercial,

1. Explain the importance of Business.

Suggested Enrichment Activity

Discuss why product modification is important in business.

Open Textbook Library (2019) Principles of management. Retrieved from

Lesson 2: Setting Corporate Goals

1. discuss shipping corporate?

__________1. Important things to set in building a business.

__________2. Benefits of Corporate goal setting.

Goal setting improves employee retention.

Another benefit of corporate goal setting is an uptick in employee retention. Gallup

7 steps to set corporate goals and objectives.

Step 1: Get executive input

Step 2: Choose corporate goals and objectives for 1 year

Step 3: Break it down by quarter

Step 4: Make goals SMART

Step 5: Set no more than 3-5 OKRs

Step 6: Use examples

Step 7: Cascade down & align up

1. What is Shipping Corporate?

4. Explain the effect of shipping to economic.

Suggested Enrichment Activity

Enumerate the guidelines in creating a corporate vision and mission.

Porter, Michael E. (1985). Competitive advantage: Creating and sustaining superior

Lesson 3: Corporate Strategy

1. explain the meaning of corporate strategy?

__________3. What are parts of the strategy?

Answer briefly the following questions:

1. Explain the meaning of corporate strategy.

Suggested Enrichment Activity.

Discuss how corporate strategy influence company values.

Open Textbook Library (2019) Principles of management. Retrieved from

Lesson 4: Corporate Stockholders

1. discuss the corporate structure

__________1. Other term for stockholder?

__________4. A typical corporate structure is made up of three groups.

A shareholder may also be referred to as a stockholder. A stockholder or shareholder is

Unlike owners in a partnership or sole proprietorship, shareholders in a corporation are

A stockholder and shareholder are virtually identical. They both characterize an

A corporation is a unique business entity because they're owned by individuals who:

Shareholders, seeking a return on investment

Right to make proposals

A shareholder may also be referred to as a stockholder. A stockholder or shareholder is

Answer briefly the following questions:

1. Discuss the meaning of corporate structure

Suggested Enrichment Activity

Porter, Michael E. (1985). Competitive advantage: Creating and sustaining superior

Lesson 5: Stockholders, the Mission and Strategy

A stockholder is someone, or even another entity such as a group of investors or another

1. discuss the importance of stockholder in a corporation

There are four primary steps in this phase:

MOST Analysis is made up of four elements –

MOST Analysis is made up of four elements –