8th edition Steven P. Robbins Mary Coulter
PowerPoint Presentation by Charlie CookCopyright © 2005 Prentice Hall, Inc. All rights reserved.
LEARNING OUTLINEFollow this Learning Outline as you read and study this chapter.
The Importance of Strategic Management Define strategic management. Explain why strategic management is important. Discuss what studies of the effectiveness of strategic management have shown.
The Strategic Management Process List six steps in the strategic management process. Explain why it’s important to know an organization’s mission. Describe what managers do when they do external and internal analyses. Explain the role of resources, capabilities, and core competencies in the internal analysis.Copyright © 2005 Prentice Hall, Inc. All rights reserved. 8–2
L E A R N I N G O U T L I N E (cont’d)Follow this Learning Outline as you read and study this chapter.
The Strategic Management Process (cont’d) Define strengths, weaknesses, opportunities, and threats. Discuss what happens during strategy formulation, implementation, and evaluation.
Types of Organizational Strategies Tell what strategies each level of management is typically responsible for. Describe the three major types of corporate strategies. Explain the three growth strategies. Discuss when organizations might pursue a stability strategy. Describe two renewal strategies.Copyright © 2005 Prentice Hall, Inc. All rights reserved. 8–3
L E A R N I N G O U T L I N E (cont’d)Follow this Learning Outline as you read and study this chapter.
Types of Organizational Strategies (cont’d) Discuss the BCG matrix and how it’s used. Define SBUs and business-level strategies. Describe the role of competitive advantage in businesslevel strategies. Explain Porter’s five forces model. Describe three generic competitive strategies. Tell what it means to be stuck in the middle. Define functional-level strategies.
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–4
L E A R N I N G O U T L I N E (cont’d)Follow this Learning Outline as you read and study this chapter.
Strategic Management in Today’s Environment (cont’d) Discuss the implications of dynamic and uncertain environments on organizational strategy. Explain the rule of three and its significance to strategic management. Describe strategies applying e-business techniques. Explain what strategies organization might use to become more customer oriented. Describe innovation strategies organizations might use.
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–5
Strategic Management The set of managerial decisions and actions that determines the long-run performance of an organization.
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–6
Why Strategic Management Is Important1. It results in higher organizational performance. 2. It requir
es that managers examine and adapt to business environment changes. 3. It coordinates diverse organizational units, helping them focus on organizational goals.
4. It is very much involved in the managerial decision-making process.
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–7
Strategic Management Process Step 1: Identifying the organization’s current mission, objectives, and strategies Mission: the firm’s reason for being The
scope of its products and services performance targets
Goals: the foundation for further planning Measurable
Step 2: Conducting an external analysis The environmental scanning of specific and general environments Focuses
on identifying opportunities and threats8–8
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
Strategic Management Process (cont’d) Step 3: Conducting an internal analysis Assessing organizational resources, capabilities, activities, and culture: Strengths
(core competencies) create value for the customer and strengthen the competitive position of the firm. Weaknesses (things done poorly or not at all) can place the firm at a competitive disadvantage.
Steps 2 and 3 combined are called a SWOT analysis. (Strengths, Weaknesses, Opportunities, and Threats)
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–9
Strategic Management Process (cont’d) Step 4: Formulating strategies Develop and evaluate strategic alternatives Select appropriate strategies for all levels in the organization that provide relative advantage over competitors Match organizational strengths to environmental opportunities
Correct weaknesses and guard against threats
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–10
Strategic Management Process (cont’d) Step 5: Implementing strategies Implementation: effectively fitting organizational structure and activities to the environment The environment dictates the chosen strategy; effective strategy implementation requires an organizational structure matched to its requirements.
Step 6: Evaluating Results How effective have strategies been? What adjustments, if any, are necessary?
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–11
Organizational Strategies Corporate Strategies Top management’s overall plan for the entire organization and its strategic business units
Types of Corporate Strategies Growth: expansion into new products and markets Stability: maintenance of the status quo Renewal: redirection of the firm into new markets
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–12
Corporate-Level Strategies Growth Strategy Seeking to increase the organization’s business by expansion into new products and markets.
Types of Growth Strategies Concentration Vertical integration Horizontal integration Diversification
Copyrig
ht © 2005 Prentice Hall, Inc. All rights reserved.
8–13
Growth Strategies Concentration Focusing on a primary line of business and increasing the number of products offered or markets served.
Vertical Integration Backward vertical integration: attempting to gain control of inputs (become a self-supplier). Forward vertical integration: attempting to gain control of output through control of the distribution channel and/or provide customer service activities (eliminating intermediaries).
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–14
Growth Strategies (cont’d) Horizontal Integration Combining operations with another competitor in the same industry to increase competitive strengths and lower competition among industry rivals.
Related Diversification Expanding by merging with or acquiring firms in different, but related industries that are “strategic fits”.
Unrelated Diversification Growing by merging with or acquiring firms in unrelated industries where higher financial returns are possible.Copyright © 2005 Prentice Hall, Inc. All rights reserved. 8–15
Growth Strategies (cont’d) Stability Strategy A strategy that seeks to maintain the status quo to deal with the uncertainty of a dynamic environment, when the industry is experiencing slow- or no-growth conditions, or if the owners of the firm elect not to grow for personal reasons.
Copyright © 2005 Prentice Hall, Inc. All rights reserved.
8–16
，请把【付款记录详情】截图给客服，同时把您购买的文章【网址】发给客服。客服会在24小时内把文档发送给您。
