INTRODUCTION OF

STRATEGIC
MANAGEMENT
Referensi
• Fred R David, Strategic Management Concepts and cases, 15th Edition,
Pearson, 2015 (Buku Wajib)
• Arthur A. Thomson / Margaret A. Peteraf / John E. Gamble / A. J.
Strickland III, Crafting and Executing Strategy, 18th Edition, McGraw
Hill, 2012 (Buku Pelengkap)
What is a Strategy ?
The history of strategic planning began in the military, The word
strategy comes from the Greek “Strategos” it is combine of Stratos
(the army) and ago (to lead)
Strategy is the science of planning and directing large-scale military
operation, of maneuvering force into the most advantageous position
prior to actual engagement with the enemy.

Both Business and Military is to gain “Competitive Advantage”, they

try to use their own strength to exploit competitor’s weaknesses.
 Six Dimension of Strategy
1. Strategy as a Coherent, Unifying, and Integrative Patterns of Decisions.
2. Strategy as a means of Establishing an Organization’s Purpose in terms of its Long
Term Objectives.
3. Strategy as a Definition of a Firm’s Competitive Domain
4. Strategy as a Response to External Opportunity and Threats, and to Internal
Strength and Weaknesses as a Means of Achieving Competitive Advantage.
5. Strategy as a Logical System for Differentiating Managerial Task at Corporate,
Business, and Functional Level.
6. Strategy as a Definition of the Economic and Noneconomic Contribution the Firm
Intend to Make to its Stakeholders
Defining Strategic Management
1. Strategy as a Coherent, Unifying, and Integrative Patterns of
Decisions.
2. Strategy as a means of Establishing an Organization’s Purpose
in terms of its Long Term Objectives.
3. Strategy as a Definition of a Firm’s Competitive Domain
4. Strategy as a Response to External Opportunity and Threats,
and to Internal Strength and Weaknesses as a Means of
Achieving Competitive Advantage.
5. Strategy as a Logical System for Differentiating Managerial
Task at Corporate, Business, and Functional Level.
6. Strategy as a Definition of the Economic and Noneconomic
Contribution the Firm Intend to Make to its Stakeholders
Stages of Strategic Management
Strategic management process consist of 3 stages :
strategy formulation,
strategy implementation and
strategy evaluation.
Risks of Strategic Management

Time that managers spend may

have negative impact on
operational responsibility

The formulators should be

intimately involved in its
implementation

Strategic managers must be

trained to anticipate and respond
to disappointment of
participating subordinates
 1. Lack of knowledge or experiences in strategic
planning
2. Poor reward structure
3. Firefighting
4. Waste of time
5. Too expensive
6. Laziness
Why Some Firms Do Not 7. Content with success
Strategic Planning 8. Fear of failure
9. Overconfidence
10. Prior bad experience
11. Self-interest
12. Fear of the unknown
13. Hones difference of opinion
14. Suspicion
Pitfall of Strategic Planning
• Using strategic planning to gain
control over decision and resources
• Doing strategic planning only to
satisfy accreditation or regulatory
requirement
• Too hastily moving from mission
development to strategy formulation
• Failing to communicate the plan to
employees, who continue working in
the dark
• Top manager making many intuitive
decision that conflict with the formal
plan
• Top managers not actively supporting the
strategic planning
• Failing to use plans as a standard for
measuring perf’
• Delegating planning to “planner” rather than
involving all manager
• Failing to involve key employees in all phases
of planning
• Failing to create a collaborative climate
supportive of change
• Viewing planning as unnecessary or
unimportant
• Being so formal in planning that flexibility
and creativity are stifled
Guidelines of Strategic Planning
Should be :
• People more than paper process
• A learning process for all
• Word supported by number rather
than number supported by word
• Simple and non rutine
• Vary assignment, team –membership
meeting format, even calendar
• Challenge the assumption
• Welcome bad news
• Welcome open mindset
Should not be :
• Bureaucratic mechanism
• Ritualistic, stilted, or orchestrated
• Too formal, predictable, or rigid
• Contain jargon, or arcane planning language
• Formal system of control
• Disregard qualitative information
• Controlled by “technician”
Do not pursue too many strategies at once
Continually strengthen the “good ethics is good
business” policy
Key Terms
• Competitive Advantage
• Strategist
• Vision & Mission Statement
• Key Terms in • External Opportunities & Threats
Strategic • Internal Strength & Weaknesses
Management
• Long-term Objective
• Strategies
• Annual Objective
• Policies
 Strategic Management Model
Strategy Formulation
Perform External
Strategy Implementation
Audit
Strategy Evaluation

Implement
Generate, Implement Measure,
Develop Vision & Establish Long-term Strategies Mkt,
Evaluate, Choose Strategies Mgt’ Evaluate
Mission Statement Objective Fin, R&D, Performance
Strategies Issues
Prod/Op, MIS

Perform Internal
Audit
A Company’s Strategy-Making Hierarchy
Corporate Strategy
The companywide game plan for
managing a set of business

Business Strategy
• How to strengthen market position and build competitive advantage.
• Actions to build competitive capabilities

Functional-Area Strategies
• Add relevant detail to the how of overall business strategy
• Provide a game plan for managing a particular activity in ways that support the overall business

Operating Strategies Within Each Business

• Add details and completeness to business and functional strategy
• Provide a game plan for managing specific lower-echelon activities with strategic significance
Corporate Strategy Relationship in Single Business

Top Management
Corporate Strategy
Middle &
Supervisory
Management

Production – Financial Personal – Labor

Marketing Operation
Policies and relation Policies
Accounting R & D Policies
Policies & Plan Management Policies & Plans and Plans
Policies & Plans Plans & Plans
Corporate Strategy Relationship in Multi Business
Corporate
Corporate Strategy Management

SBU Top Management

SBU-1 SBU-2 SBU-3
Strategy Strategy Strategy

Middle &
Supervisory
Management

Production – Financial Personal – Labor

Marketing Operation Accounting R & D Policies
Policies & Plan Management Policies and relation Policies
Policies & Plans
& Plans and Plans
Policies & Plans Plans
Mekanisme Tugas Kelompok
1. Tetapkan adrress milis kelas, digunakan untuk komunikasi dengan dosen antara
lain penyampaian materi kuliah dari dosen kepada mahasiswa, pengumpulan
tugas dari mahasiswa kepada dosen, dan komunikasi lainnya. Adress email dosen
: 087821682826. “imtromadhan@gmail.com
2. Tetapkan seorang ketua kelas.
3. Satu kelas dibagi dalam 6 kelompok.
4. Setiap kelompok akan mendapatkan Case yang harus dianalisis.
1. Aneka Tambang (Persero) Tbk 15. Astra International Tbk
2. PT Tiphone Mobile Indonesia Tbk 16. Indofood CBP Sukses Makmur Tbk
3. Medco Energi Internasional Tbk 17. MNC Sky Vision Tbk
4. Tigaraksa Satria Tbk COWELL 18. Tempo Inti Media Tbk
DEVELOPMENT Tbk
5. Agung Podomoro Land Tbk 19. Ciputra Development Tbk
6. Hero Supermarket Tbk 20. ALAM SUTERA REALTY Tbk
7. Mustika Ratu Tbk 21. Indocement Tunggal Prakarsa Tbk
8. PT Telekomunikasi Indonesia (Persero) Tbk 22. Metrodata Electronics Tbk
9. Alkindo Naratama Tbk 23. Trikomsel Oke Tbk
10. PT Bank MNC Internasional Tbk. 24. PT Dwi Aneka Jaya Kemasindo Tbk.
11. Indosat Tbk 25. PT Blue Bird Tbk
12. Plaza Indonesia Realty Tbk 26. Jasa Marga Tbk
13. Ultra Jaya Milk Industry Tbk 27. Nippon Indosari Corpindo Tbk
14. Intiland Development Tbk 28. Waskita Karya (Persero) Tbk Elnusa Tbk
Tugas-1
1. Mencari Annual Report pada WEB site perusahaan masing masing untuk
didiskusikan pada pertemuan berikut.
2. Mengenal Annual Report :
a) Apakah lengkap sejak awal IPO
b) Apakah pernah berganti nama / kepemilikan
c) Isi Annual Report
3. Pelajari Industrinya mulai dari kompetitor langsung / tidak langsung
4. Pelajari time line atau sejarah perusahaan tersebut
5. Mengenal perusahaan melalui WEB site :
1. About Us
2. Pelajari Investor relationship
3. Variabel performansi pada annual report
4. Perubahan2 penting setiap quarter pada tahu berjalan