Competitive and Strategic Analysis
1. On Functional Strategy – Pertaining to your CEO Project Company
a. Among the various functional divisions of the firm, identify the most burning issue whereby your functional strategy (marketing, financial, operational, etc.) impacts the overall corporate AND business strategies. Explain in detail.
i. More directly, select from two functional areas and discuss the following:
1. Identify the function’s essential goal
2. What resources must be employed to effectively realize this goal
3.What measures will indicate whether your functional strategy has produced the required results
• Among the various functional divisions of the firm, identify the most burning issue whereby your functional strategy (Marketing, financial, operational, etc.) impacts the overall corporate AND business strategies. Explain in detail.
• More Directly, select from two functional areas and discuss the following:
• Identify the function’s essential goal
• What resources must be employed to effectively realize this goal
• What measures will indicate whether your functional strategy has produced the required results
• Step 1 – Definitions
• Define What a Corporate Strategy is
• Define What a Business Strategy is
• Define What a Functional Strategy is
• Step 2 – Answering the Question (four parts)
• This question is basically a question of alignment, select from 2 functional areas and discuss:
• 1) How does your Functional Strategy help achieve your Business Strategies and Corporate Strategies?
• 2) What is your Functional Strategy’s Goal
• Refer back to Strategic Alternatives when you changed your Functional Strategies, what was the goal?
• 3) What Resources are required to achieve this goal?
• Refer to your Corporate Resource
• Refer to your Job Creation
• Refer to your Corporate Structure
• Resource required = Total Resource demanded – Resource on hand
• 4) How do you measure the success of your goal?
• Balanced Scorecard under Measure
• TIPS
• The KEYWORD is “YOUR.” This question does not refer to the Current Strategic Posture, this question refers to your strategy under the section Strategic Alternatives
2. On Strategy Implementation –
We discussed at length the idea of Six Sigma as a way to create synergy across the organization, to increase the probability of mission buy-in as well as the effective alignment of resources, and, most fundamentally, the production of near perfect output of product and service. Discuss the following in detail:
a. What does Six Sigma mean to someone like Jack Welch? Be detailed in your response.
i. Provide an example how GE uses the concept to improve performance. Pull from Winning to support your answer.
ii. What is one strength and weakness of this widely subscribed philosophy?
b. Lastly, pertaining to your CEO company, identify the ONE burning issue that is a prime candidate for
continuous improvement – that one thing holding the firm back from implementing good strategy.
• We discussed at length the idea of Six Sigma as a way to create synergy across the organization, to increase the probability of mission buy-in as well as the effective alignment of resources, and, most fundamentally, the production of near perfect output of product and service. Discuss the following in detail:
• What does Six Sigma mean to someone like Jack Welch? Be detailed in your response
• Provide an example how GE uses the concept to improve performance. Pull from Winning to support your answer.
• What is one strength and weakness of this widely subscribed philosophy?
• Lastly, pertaining to your CEO company, identify the ONE burning issue that is a prime candidate for continuous improvement – that one thing holding the firm back from implementing good strategy
• Step 1 – Definition
• Define Six Sigma P289
• Define
• Measure
• Analyze
• Improve
• Control
• (explain each of the above steps)
• Step 2 – Jack Welch’s Definition
• Company who’s management understands that variation is evil
• Serving customers with what they want, when they want it, is the winning game
• Six Sigma companies can not get more valuation unless they produce results
• You gain more of a customer’s mind.
• You’ll have it in your bones to get outside your internal focus to your external focus.
• Everything you do internally will be thought up as how it will impact the customer.
• Step 3 – Example of GE
• Heavy emphasis on training the workforce. Trains more than any other company.
• 100 hours alone are spent on training Six Sigma methodologies.
• Certification of individuals’ command of Six Sigma methods at relevant skill level (White Belt, Green Belt, Black Belt, Master Black Belt)
• Step 4 – Strength and Weakness of six sigma
• Proven Success (S)
• Reduces Variation (S)
• Complicated (W)
• Expensive (W)
• Step 5 – Identify what is a good strategy
• A good strategy is not filled with fluff and has a strong focus with coordinated actions
• Step 6 – One issue your company needs improving
3. On Evaluation and Control
Referring to the Balanced Scorecard’s key measurement concepts, illustrate and discuss the following:
a. Using the traditional model from Kaplan and Norton customize your team company?s BSC model by identifying and completing ONE objective you will „measure? for each scorecard component. Discuss in
detail.
b. Additionally, provide a basic, yet customized, illustrative model of your BSC to complement your response.
• Referring to the Balanced Scorecard’s key measurement concepts, illustrate and discuss the following:
• Using the traditional model from Kaplan and Norton customize your team company’s BSC model by identifying and completing ONE objective you will ‘measure’ for each scorecard component. Discuss in detail
• Additionally, provide a basic, yet customized, illustrative model of your BSC to complement your response
• Step 1 – Definition
• What is a Balanced Scorecard?
• Step 2 – Complete One Objective
• This includes (Financial, Customer, Internal, and Learning) x (Objective, Measure, Targets, Initiatives)
• Step 3 – Draw the Balanced Framework
• Do not draw the whole framework
• Only draw the Framework you used to complete Step2
• Explain in detail how one step helps accomplish the next
4. On Good Strategy/Bad Strategy
Richard Rumeltsays “good strategy is coherent action backed up by an argument, an effective mixture of thought and action with a basic underlying structure called the kernel.”
a. Referring to your CEO company, identify and discuss the three elements of the kernel of your strategy – that is, the strategy to overcome your most urgent obstacle to attain your most essential advantage.
b. Lastly, Rumelt?s underlying objective in his book is to explain the difference between good strategy and bad strategy and why it matters. So – what?s the difference? Provide an example of how your CEO company has
a. Executed both a good and bad strategy and the implications.
• Richard Rumeltsays “good strategy is coherent action backed up by an argument, an effective mixture of thought and action with a basic underlying structure called the kernel.”
• Referring to your CEO company, identify and discuss the three elements of the kernel of your strategy – that is, the strategy to overcome your most urgent obstacle to attain your most essential advantage
• Lastly, Rumelt’s underlying objective in his book is to explain the different between good strategy and bad strategy and why it matters. So – what’s the difference? Provide an example of how your CEO company has executed both a good and bad strategy and the implications
• Step 1 – Definition
• Define Kernel
• Diagnosis – What is wrong?
• Guiding Policy – How do we fix it?
• Coherent Actions – Steps needed to fix it.
• Step 2 – Identify the Kernel of your Strategy
• You created a strategy (TOWS Matrix – Strategy to overcome your most urgent obstacle to attain your most essential advantage)
• What was wrong with the company previously that required your change? (IFAS, EFAS, SFAS)
• How do you fix it? i.e. Your Recommendation in Strategic Alternatives. Why was this the best way to fix the problem? (TOWS)
• Steps needed to fix it. i.e. Your Action Plan. The programs and procedures you created.
• Step 3 – Good Strategy/Bad Strategy
• What is the difference between a good and a bad strategy?
• Bad Strategy
• Fluff
• Failure to face the challenge
• Mistaking goals for strategy
• Bad strategic objectives
• Good Strategy
• Define Kernel in detail
• What a good strategy has are coherent actions
• Most companies stop at guiding policy
• Strategy is about action
• Step 4 – Example of both Good and Bad Strategy in your company and the results/conclusion