Key Theories

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SWOTAnalysis

Analyses Strategic position.

Internal External

Strengths Opportunities

Positive
Leverage
use
Seize
against others
Arising Chances

Weaknesses Threats

Negative Mitigate Act


Potential liabilities of businesscontrol
Out

Pro-clearly displays inso to help


inform secisions
con-Ooesn'tprovide actual
strategies
Financial ratios

GroSSProfitGroSS profit <100


Margin Revenue

Operating =Operating profit


Profit X100
Margin Revenue

Net
profitNet
profit
x100
Margin Revenue
Current
Assets
Current ratio
liabilities
current (Ratio: π
Acit test
current
assets-stock Ratiois
-

ratio
-

ROCE Operating profit


:

X 100
Siotal
equity Non-Current
in
+

Non-current liabilities
hearing (total equity NonCurrent
= -

<100
(
+

Liabilities
Financial ratios

Receivables we
receivables
XSS
Gays Turnover

PayableTrade payables
x3US
Gays cost of SaleS

cost
Inventory
turnover
I
of sales

Average stock

Investment
appraisal

ARR Average Yearly


=
Profit
<100
Cost of investment

Average yearly totalprofit


Progit
-

sears
Blake
Monton Grid
care sor
people
Country Team

&
Club
Management Leader

Middle
of the
roaf

Imporishes Produce
On

Management Perish

care for

productivity
SoSE
HRM
Hard HRM
& Norton's balances
Kaplane
Scorecart
erroriti
onthe
e
Maslow's Hierarchy of Needs

Autonomy
Ego self-actualisation
Feedback
Esteem too progression
Love and community
belonging eclonging
Safety Needs Job
security
Physiological Needs Food & water

Herzberg's two-factor
theory
Motivators Hygienes
-
Achievement -supervision
-

Recognition
-

Relationships
-

Responsibility
-

Salary
company and
Growth pig
I
-

-
Advancement -
Work
conditions
-

The job itself -


Renumeration
Hygiene factors are Neetch for
Work. Motivators are able to
Motivate.
Hackman & Oldhams model
of job
design
Core job Critical
Characteristic) Psychological Outcomes
States
Skill Experienced High
variety internal
Taskidentity meaningfulness
of
Work
Task
Significance Work motivation

Experientat High
responsibility quality
Autonomy for the
Work
08 outcomes
Work performance

High
Feetback
knowledgeresultwith
actual
of
satisfaction
work
of
work
activities
SchmistContinuum of

Leadership
Manager -utonomy
on
centered
of
worker Subordinate
Level centered

TeLL seLL Hands-off


Autocratic Democratic
Laissez-faire
Boston Matrit

1
High Cash
Cow Star

Market
Share Question

Oog Mark

Low I
Low Market Hig L
growth
AnSo88's Matrix
Products
Existing New

Product
Market
W Development Development

E strategy strategy

Market riversification
i Penetration
Strategy
Strategy
Porter's Generic Strategies
Markets where businesses
Compete
Niche/narrow
sip
*

socasasio
i cost focus

Disserentiation Differentiation
Focus
Bowman's clock
Strategic
differentiation
High 4
Hybriz Focusses
3
Shifferent

:
intea
-

Low Risi

or
price
Marging
Low
price +
Lowashes ↑Monopoly
& value Loss8S pricing
Lowyou market share

price High
Product Lifecycle
units
Extension
SoLf
Maturity
-strategies
- Growth
Introduction
recline

Time
CarroLLs (SR

-*
Philanphropical

Ethical
Legal
Economi Cat

Eckington's Tripple Bottom Line

Profit

People


planet

Sustainable
Stakeholder Mapping
= keep
Manage
informer
fr closely

s Monitor
keep
informer
! Low
Power High
Lewin's force field Model

storagecases
in
the
Kotter & Schlesingers
reasons for resistance
self interest
Wistering views
&
Misunderstanding Sear

Prefer the status quo

Overcoming resistance change


to

Education & communication


Facilitation & Support/training
involvement
Participation &
& bargaining
Negotiation&
Manipulation Co-option
Explicit & implicit coercion
Handy's I classes of culture

Power culture
Control radiates from a sew

in the centre. Low bureaucracy.


Autocratic.
Role Culture
Control derive from position,
authority is delegates. Hierarchial
bureaucracy. How expect
power.
TaskCulture
Control Gerives
from expertise in
a task
team. Power lies in each

group.
Person Culture
People believe they are superior to

the business (e.g. Lawyers). Power


lies in each individual.
HofStede's National Cultures:

Individualism vs collectivism
Heroes US teams

Power distance
ristance from decision
making
Short-term vs
Long-term
PLCVS ITO

Masculinity vs Femininity
Hard
HR/Analytical vs SodtHR/evaluative
Uncertainty avoidance
Avoiding
risk

restraint
Indulgence vs

Perks is Autonomy
Porter's 5 forces
of competitive
Threat rivalry
·

Market structure
Threat
Low
Monopoly
MiG Ouopoly
High Oligopoly
Threat
of substitutes

Many Subs -
High threat

fewer subs - Less threat


Threat
of new entrantS

Replicability -Scale Expertise


-
-

-Barriers to Brand recognition


entry
-

Intellectual
property
-

Threat
of
of
buyer power
Customers
Number
Fewer
High Marry-how threat
threat

Monopsony power
Threat of
supplier power
Fewer suppliers- Higher threat
More Supplier ofLower threat
Greiner's Model growth
of

Eco
-- or o
<
&

·
so =--00:I ->

o 105425:2200
8202:5
⑨14
-
m
O GhoShah
Bartlett

Izz--
o ↑Ef
or

--
-&
= Ev-
ous
o
No
28. A

== o
Market mapp
ing
High
price

Conservative -

Innovative

Low
price

STP-segmentation, targeting, positioning

SegmentTargetPosition
The Mix
Marketing
Process Place
Product People
Promotion Physical environment
price

Inventory Control Chart


Max.
1 Stock
order Lever
quantity
Stock
Level Re-order
Level

f V

See
leat
time

Time
scientific decision
making
Set
objectives -> Gather
Lata
↑ M
Review
Analyse
Lata


Implement
- Select
Bartlett & Ghoshan

High Global Transnational


cost strategy strategy
pressures
International Multihomestic

Low
strategy strategy
Low pressure for High
Local responsiveness
Strategic drift

Environmental

range
Incremental Strategic Flux
transform
Change Grist change
or

semise
Time

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