Professional Documents
Culture Documents
Chapter 01 Introduction
Chapter 01 Introduction
1–2
Five Tasks of Strategic Management
Crafting Strategies
Corrective Adjustments
1–3
1–4
“Without a strategy the
organization is like a ship without
a rudder, going around in circles.”
Joel Ross and Michael Kami
“Quote”
Why Do Some Companies Success While
Others Fail?
1–8
WHAT IS STRATEGY ABOUT?
1–10
WHAT DO WE MEAN BY STRATEGY ?
1–11
STRATEGY is about Competing Differently
1–12
Understanding Company Strategy --
What to Look For
Diversification
Actions to Strengthen Responses to
Resources & Capabilities Changing Conditions
1–14
WHY CRAFTING AND EXECUTING
STRATEGY ARE IMPORTANT TASKS
♦ Strategy provides:
● A prescription for doing business.
● A road map to competitive advantage.
● A game plan for pleasing customers.
● A formula for attaining long-term standout
marketplace performance.
♦ Competitive Advantage
● If a company’s strategies result in superior
performance, it is said to have a
competitive advantage.
1–18
The Quest for Competitive Advantage
♦ Competitive Advantage
1–19
The Quest for Competitive Advantage
1–20
The Quest for Competitive Advantage
1–21
STRATEGIC APPROACH CHOICES
1–22
GAINING SUSTAINABLE COMPETITIVE
ADVANTAGE
1–23
Why a Firm’s Strategy Evolves over Time
1–24
The Evolving Nature of a Firm’s Strategy
1–25
Planned, Deliberate, Emergent
and Realized Strategies
Figure 1.6
Operational
Level
Realized Business
Strategy $$$? Model
Proactive
Value
(deliberate)
Proposition
strategy
Reactive
(emergent) Profit Formula
strategy
1–33
Business Model Elements (cont’d)
1–34
IS OUR STRATEGY A WINNER?
- External Fit
The Strategic - Internal Fit
Fit Test - Dynamic Fit
1–35
Strategy in Nonprofit Enterprises
Nonprofit entities such as government
agencies, universities, and charities:
• Are not in business to make a profit
• Should use their resources efficiently
and effectively
• Set performance goals unique to the
organization
• Set strategies to achieve goals and compete
with other nonprofits for scarce resources
A successful strategy gives potential
donors a compelling message as to
why they should contribute.
Copyright © Houghton Mifflin Company. All rights reserved. 1 | 36
THANK YOU
1–37