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STRATEGIC

BUSINESS ANALYSIS

THE DEFINITION AND


IMPORTANCE
TOPIC
Strategy is defined as its theory
about how to gain competitive
advantages. A good strategy is a
strategy that actually generates
such advantages.
STRATEGY
A GOOD STRATEGY MUST
ANSWER THESE 4 QUESTIONS

WHY WHAT HOW WHO

VISION ENVIRONMENT ROADMAPS WHO WILL


MISSION RESOURCES DIRECTION PERFORM
COMMON MEASURES PROCESS CAPABILITIES
PURPOSE
A mission statement defines the
organization’s business, its objectives, and
how it will reach these objectives.

A vision statement details where the


organization aspires to go.

A vision is the big picture of what you want


to achieve as an organization.
Purpose of Strategy Analysis

1. Recognize the basis/bases used to create our strategies.

All actions are based on certain causes or reasons. Strategies are normally crafted
to address a particular problem or concern that has to be addressed.

Example:
Using the same mission, vision,
goals, and objectives,
2. Determine the probability of strategies in the realization of our
mission, vision, goals, and objectives.

In simple words, will this strategy succeed in attaining its purpose?


Will it work?
3. Enhance our strategies ability to succeed.

From our analysis and assessment of identified potential strategies, we can later
find ways of adopting necessary changes that will increase our chances in
satisfying the needs of the business and its stakeholders.

In the end, Strategy Analysis allows us to improve our chances of realizing our
organizational expectations.
Whose Idea Is Better?
Try to consider three businessmen who have the same fruit retailing business in the
same area experiencing pest control problems. All have considered the various
factors to consider and each came up with unique solutions:

Businessman 2’s strategy was to place


Businessman 1’s strategy was to a small sign next to the displays with Businessman 3’s strategy
use chemical pesticides to get the words “ALL INSECTS KEEP was to wrap all his fruits
rid of these unwanted pests. AWAY FROM HERE. YOU ARE with acetate.
NOT ALLOWED IN THIS AREA”
printed on it.
ANALYSIS ACTIVITY
• Vision: Become the Philippines’ center for quality and
responsible medical services.
• Mission: Provide quality medical services to the Filipinos.
• Values: Customer Satisfaction, Healthy Environment, Quality
• Financial Goal: Reduce annual expenses this 2022.
• Objective: Reduce operational expenses by 2% this 2022.
Strategy 1: Reduce the 10 nurses working at the hospital daily.

Strategy 2: Utilize recycled paper or go for “paper less or no paper


at all” for forms and other documents.

Instructions: Using strategy analysis, identify which among the two


given strategies would help attain our financial objective. Explain
5 FORCES ANALYSIS (MICHAEL PORTER’S)
STRATEGY
A GOOD STRATEGY MUST
ANSWER THESE 4 QUESTIONS

WHY WHAT HOW WHO

VISION ENVIRONMENT ROADMAPS WHO WILL


MISSION RESOURCES DIRECTION PERFORM
COMMON MEASURES PROCESS CAPABILITIES
PURPOSE
COMPETITIVE THREAT OF THREAT OF BARGAINING BARGAINING
RIVALRY NEW ENTRY SUBSTITUTION POWER OF POWER OF
BUYERS SUPPLIERS
ASIAN OPENING OF SAN LOW TUITION FEES PAY THEM ON TIME
DEVELOPMENT F.C. CARLOS
( LOWER TF) UNIVERSITY USING
THE DWU
BUILDING
ACLC LNU EXPAND THEIR
BUSINESS
COURSES
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EDUCATION, WITH
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BUTONLY ENTREP)
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