STRATEGIC

MANAGEMENT
CHAPTER 11 & 12

QUEENS COLLEGE KUALA LUMPUR

Lecture by Amir Abidin

CHAPTER OVERVIEW

-Definition of review, evaluation and control

-Types of evaluation
Effective meetings, project

-Internal control system

-Elements of internal control system
Healthy & safety; Dismissal & redundancy
Definition of strategic
review, evaluation and
control
strategic review, It is a regularly scheduled
activity including the Executive Leadership
Team (ELT) during which the ELT examine
what has been working and what has not been
working in the strategic direction of the
organization and plans the adjustments that
will increase or maintain performance.
 Strategic evaluation

‘Strategy evaluation’ is the process through which the strategists know the extent to
which a strategy is able to achieve its objectives. In the words of Professor William F.
Glueck and Lawrence R. Jauch,

“Evaluation of strategy is that phase of strategic management process in which the top
managers determine whether their strategic choice as implemented is meeting the
objectives of the enterprise.”
Strategy Evaluation – Meaning
Strategy evaluation is that phase of the strategic management process
in which manager tries to assure that the strategic choice is properly
implemented and is meeting the objectives of the enterprise. When
one talks of evaluation one cannot forget control aspect.

87%

Data gained A person who need to make

the decision
 Strategic Control – Meaning

Find the method in contorling!

Press Press Press

C D
Strategic controls are intended to steer Strategies are forward-
the company towards its long-term looking, and based on
strategic direction. After a strategy is management assumptions
about numerous events
selected, it is implemented over time so
that have not yet
as to guide a firm within a rapidly changing
occurred.
environment.
O
Traditional approaches to control seek to
compare actual results against a
standard. The work is done, the manager
evaluates the work and uses the
evaluation as input to control future
efforts. While this approach is not
useless, it is inappropriate as a means to
control a strategy.
Techniques of Strategy Evaluation

Assessing Internal
Forces
Strategy evaluation should begin with an examination
of the internal forces that will influence you company's
ability to follow the strategic plan.

Your evaluation should consider the value of company

resources such as physical assets, proprietary
information, access to capital, your labor force, and
your management.
 Techniques of Strategy Evaluation
Assessing External
Forces

The next technique for strategy evaluation is to

consider the external forces that will influence your
company's ability to complete its mission. The primary
external force your company must face are you
customers. Customers purchasing the products and
services your company produces will determine the
success of your company. Is your company meeting the
expectations of your customer base? Those are the
quesntion you need to constantly ask yourself
 Measuring Performance Results

The strategy evaluation process will help you

determine if the objectives you have developed are
leading the company to meet its mission and goals.
Begin this evaluation technique reviewing the
company's mission statement and annual plan. Look to
see if the results the company has achieved match
these.
 Correcting
Performance
Problems
After your evaluation has considered all of the company's performance
data, the next step is determine what corrective measures should be
taken to insure company operations are correctly aligned with the
strategic plan. Many times, making corrections to strategic operations
will requires changes, according to Westwood College. You must ensure
the company will be able to meet all of its short and long term strategic
goals.
1
2 3

This might require You should also try This might require you to
re-assessing goals to understand why create new strategy
or looking for certain objectives evaluation techniques,
reasons why they are being met. such as a SWOT analysis.
are not being met.
 Effective meetings, project
meeting, project reporting,
negotiation
Status review meetings are regularly scheduled events to exchange
information about the project.

On most projects, status review meetings will be held at various

frequencies and on different levels.

For example, the project management team can meet weekly by itself
and monthly with the customer.
 Effective meetings, project meeting,
project reporting, negotiation
Indeed, virtually all project managers are familiar with the status meeting. This is
one tool that the project manager uses to “check in” on the project. Typically, the
project manager wants to assess the status of each of the following elements
during a status meeting:
Task updates
Schedule status update (Are we behind or ahead of schedule?)
Budget status update (Are we under or over budget?)
Quality/scope status update (Are we maintaining desired scope/quality levels?)
Current or anticipated issues (e.g., changes, risks, resource issues, client satisfaction
issues, vendor issues, etc.)
Next steps of the project.
Defensive
Strategies
 What is Defensive
Strategy?
A defensive strategy is a marketing tool that management uses
to defend their business from potential competitors. In other
words, it’s a battleground where you have to fight and protect
your market share by keeping your customers happy and
stabilizing your profit.

1 2 In simple words, we can say that a

You have to be familiar with the
defensive strategy is about
market in order to defend your
capitalizing on your strengths and
business. You should also know
competitive advantages to push the
when to expand your business
competitors.
in the new market.
APPROACHES TO
DEFENSIVE STRATEGY
ACTIVE
APPROACH
The purpose of the active approach is to block the
competitors that are planning to steal your market share.
Here in the active approach, you increase the marketing
and promotional activities of your product, cut down the
price, and provide discounts to reduce the sales of your
competitors.

All in one place.

APPROACHES TO
DEFENSIVE STRATEGY
PASSIVE
APPROACH
The goal of passive is to stop the competitor from taking
away your customers and market share. But it’s a bit relaxed
approach. In the passive approach, you take these steps and
they’re as follows;

New Product Innovation. Your focus is on the development and

launching of the new product so that you could win back the
customers.
Company Expansion. Here your focus is on enlarging your
business and company into the new markets. The market
expansion would attract and bring new customers.
Reconnect with Old Customers. You contact and retarget your old
customers in order to increase your sale.
 Types of Defensive Strategies
with examples
Joint Venture
A joint venture is when two businesses and
companies formally decide to cooperate in order to
achieve certain common goals. The objectives of a
joint venture may vary from business to business and
market to market.
Retrenchment
Retrenchment is also an aggressive strategy
where you take a bold decision of reducing
businesses’ operations and expenses. The
retrenchment strategy helps businesses and
companies in the defensive strategy in
terms of cutting down the price and offering
discounts and incentives to the customers.
Divestiture
Divestiture is a type of retrenchment strategy where
you re-examine the asset of your business and
company. If the assets aren’t serving anymore, then
you sell them off. It helps businesses to reduce their
expenses.
 Dismissal & redundancy

Redundancy happens in the case where the services of an

employee are no longer required by the business.
This can happen for example if the organisation has
purchased new machinery to carry out part of the
production process and no longer needs human labour to
do the task so the employee is asked to leave.
 Dismissal & redundancy
Dismissal, on the other hand, is when an employee is
asked to leave the workplace for misconduct or for
breaching company rules and policies. This can be
explained using an example. Imagine if a worker has been
caught stealing, then, in that case, the company can
dismiss them for breaking the law. Another word which is
often used by people to explain this term is an employee
being "fired". The two words mean the same thing but in
the business environment, the term "dismissal" is more
appropriate and more respectful.
THANK
YOU