Case Presentation - Strategic Management

Strategic Intent
PRESENTED BY GROUP 7

B Sanjay Kumar
230101059
Divij Chawla
230101070
Kinjal Khandelwal
230103105
Parv Mittal
230101142
Rishi Gupta
230103168
Sakshi Singh
230103193
Rethinking Strategy for Competitive Revitalization
Imitation
Global managers mimic strategies
Challenges without achieving true revitalization.
Energy spent on cost and quality
replication, often falling short.
Western
Traditional strategy concepts may
Concepts contribute to Western decline.
Concepts like "strategic fit" and
"generic strategies" may hinder
innovation.
Strategic Intent
Beyond ambition, it involves an
Defined
active management process.
Envisions a leadership position,
sets criteria, and guides resource
allocations.

Dynamic
Competitor
Conventional competitor analysis
Analysis lacks insight into resourcefulness.
Resource discrepancies alone don't
predict future success; the pace of
building advantages is crucial.
Lessons from Sun-tzu's
Rising global leaders start with
Wisdom Emphasizes the need for a strategy
Successful disproportionate ambitions.
Competitors that goes beyond visible tactics.
Long-term success hinges on
Highlights the importance of
sustaining an obsession with
understanding the evolution of great
winning—termed "strategic intent."
victory.

Remaking Strategy
Strategic Intent &
Winning Essence
Strategic intent guides competitive focus
for winning. Ex- Apollo program and NEC,
show how clear intent aligns efforts toward
common goals, like winning a space race or
navigating computing &
telecommunications convergence.
Temporal Stability
by Strategic Intent
Stable strategic intent offers consistency to
short-term actions, as seen in Komatsu's
efforts against Caterpillar. Well-defined
strategic goals enable adaptable programs,
fostering a balance between consistency and
flexibility for global leadership pursuits.
 Targets Deserving
Effort & Commitment
Strategic Stretch &
Planning vs Intent Invention
Innovation & Strategic
Difference? Strategic Intent emphasises going
Planning focuses on today’s Leadership beyond capabilities. Creative &
Marathon
problems. Intent folds the future A 10-to-20-year Global Leadership and inventive use of limited Top Management Role?
into the present. Quest can’t be planned. It doesn't come resources is key to Strategic Intent. Focus on the next 400
from undirected intrapreneurship or meters, presenting corporate
accidental processes. challenges as milestones.

5 Engagement Pillars
Quasi Crisis Skill Enablement

Amplifying weak signals spurs Train for Problem Solving,

improvement; Statistical Tools & Analysis, Value
for Management e.g., Komatsu budgeted on worst-
case, overvalued yen exchange rates.
Engineering & Team Building

Competitive Intelligence Clear Milestones & Reviews

Digesting Challenges
Encourage personal challenges by having Track progress, ensure internal recognition
Middle managers protecting teams from
employees benchmark against best-in- and rewards reinforce desired behaviors,
shifting priorities may undermine corporate
class competitors. For example, Ford making the challenge inescapable for
challenge credibility with a "wait and see"
showed workers videotapes of Mazda's everyone in the company.
attitude.
most efficient plant operations.
 Strategic Insights for
Competitive Success
Building Sustainable
Advantage Competitive
Reciprocal
Importance of Innovation
Responsibility Challenge the notion that cost
Mutual Commitment reduction alone ensures Strategies
Avoid blaming workers
competitiveness. Define competitive innovation as an
disproportionately for Connect competitiveness with
Stress the dynamic nature of alternative to imitation.
competitive failure. shared gains and pains.
advantages and the need for Explore Japanese approaches: layers
Emphasize shared Highlight Nissan's top-down
continuous innovation. of advantage, searching for loose
responsibility between sacrifice before employee
management and bricks, changing terms of
concessions.
employees. engagement, and collaboration.

Layers of Advantage Strategic Intent and Competence

Stress the importance of strategic intent
Explain mutually desirable layers of competing through collaboration
in entering underdefended territory.
advantage.
Use Honda's example of challenging the
Showcase examples of successfully Recap the importance of reciprocal
motorcycle industry strategically.
balancing cost and differentiation. responsibility.
Reinforce the need for continuous innovation
Searching for Loose Bricks to build and sustain competitive advantages.
Summarize competitive innovation strategies:
Introduce exploiting surprise in business battles. layers of advantage, searching for loose bricks,
Emphasize staying below the response threshold of changing terms of engagement, and
larger rivals. collaborating for success.
Illustrate the search for loose bricks with diverse
examples.
Competitive Innovation & Barriers to Entry vs.
Strategic Revitalization Barriers to Imitation Competitive
Canon's distinction: reduced Innovation
Honda's entry barriers as Judo
Horizontal Changing the Terms Changing rules short-circuited
Use larger competitor's weight
Diversification of Engagement Xerox's retaliation
against them
Warned competitors Refuse industry boundaries Develop contrasting capabilities
through engine Canon's copier business entry as an
competence example
Entered diverse
Competitive Collaboration Strategies
industries unnoticed
Win without fighting: licensing,
Clean Sheet of Paper Advantage outsourcing, joint ventures
Japanese maxim: "My enemy's enemy is
Successful competitors wedded to a my friend"
recipe
New competitors possess a clean Leveraging Limited Resources
sheet
Long-term consistency, medium-term
Strategic Intent for Revitalization focus, short-term inventiveness
Key to pursuing ambitious goals
Consistency in resource allocation
(long term)
Hijacking Rivals' Development Efforts
Clearly articulated corporate
challenges (medium term) Attack traditional businesses while
Competitive innovation to reduce risk volunteering for next-gen products
(short term) Calibrate competitors' strengths and
weaknesses
Importance of Strategic
Thinking in Global Businesses
Portfolio Management vs
Organisational Recipes
Moving into emerging markets or
counterattacking competitors.
The problem of over-reliance on
organizational recipes like SBUs
and decentralization.
Strategy Hierarchy and
Elitist Management
Disparities arise due to a top-to-
down strategy hierarchy,
where top management is given
the elitist crown, and the
employees at lower levels feel
disconnected.
Managerial Performance
and Career Mobility
Negative effects of frequent
managerial rotations on deep
business knowledge.
Challenges in Global Coordination and
Pressure on managers for quick
Brand Building successes and its consequences. Core Competence
The significance behind
Importance of inter-
strong BSUs leading to
business coordination
stronger Global Brand
for capturing economies
Positioning and Franchising.
of scope and the impact
of inflexible SBUs on
Courageous Goals and companies.
Investor Confidence
Code of Silence and Lack of ambitious goals and its
Communication impact on investor confidence.
Importance of honesty,
Concern of investors' short-
humility, and effective
term orientation and top
communication from top
management's role in building
management.
confidence.
Thank You