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Chapter01
1.
1: Introducing Strategy
2.
Learning Outcomes (1)
Understand the characteristics of strategic decisions and what is meant by strategy and strategic management, distinguishing them from operational management Understand how strategic priorities vary by level: corporate, business, and operational Understand the basic vocabulary of strategy Exploring Corporate Strategy 8e, © Pearson Education 2008 1-2
3.
Learning Outcomes (2)
Understand the three key elements of the Exploring Corporate Strategy strategic management model Understand the kinds of people involved in strategy – managers, in-house specialists and strategy consultants – and the work they do Exploring Corporate Strategy 8e, © Pearson Education 2008 1-3
4.
What is Strategy?
Strategy is the direction and scope of an organisation over the long term, which achieves advantage in a changing environment through its configuration of resources and competences with the aim of fulfilling stakeholder expectations. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-4
5.
Characteristics of Strategic
Decisions Long-term direction Scope of an organisation’s activities Competitive advantage Strategic fit with business environment Organisation resources and competences Values and expectations of power players Exploring Corporate Strategy 8e, © Pearson Education 2008 1-5
6.
Implications of Strategic
Decisions Complexity Uncertainty Operational decisions Integration Relationships and networks Change Exploring Corporate Strategy 8e, © Pearson Education 2008 1-6
7.
Levels of Strategy
Corporate-level strategy Business-level strategy Operational strategy Exploring Corporate Strategy 8e, © Pearson Education 2008 1-7
8.
What is a
Strategic Business Unit? A strategic business unit (SBU) is a part of an organisation for which there is a distinct external market for goods or services that is different from another SBU. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-8
9.
Vocabulary of Strategy
Mission Vision Goal Objective Strategic capability Strategies Business model Control Exploring Corporate Strategy 8e, © Pearson Education 2008 1-9
10.
Vocabulary of Strategy:
Nokia Vision/Mission Connecting is about helping people feel close to what matters. Wherever, whenever, Nokia believes in communicating, sharing, and in the awesome potential in connecting the 2 billion who do with the 4 billion who don’t. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-10
11.
Vocabulary of Strategy:
Kingston University Mission To promote participation in higher education, which it regards as a democratic entitlement; to strive for excellence in learning, teaching, and research; to realise the creative potential and fire the imagination of all its members; and to equip its students to make effective contributions to society and the economy. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-11
12.
What is Strategic
Management? Strategic management includes understanding the strategic position of a organisation, making strategic choices for the future, and managing strategy in action. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-12
13.
Exhibit 1.3 The
Exploring Corporate Strategy Model Exploring Corporate Strategy 8e, © Pearson Education 2008 1-13
14.
What is Strategic
Position? Strategic position is concerned with the impact on strategy of the external environment, an organisation’s strategic capability and the expectations and influence of stakeholders. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-14
15.
Strategic Position Environment
The Strategic Position Capability Purpose Culture Exploring Corporate Strategy 8e, © Pearson Education 2008 1-15
16.
What are Strategic
Choices? Strategic choices involve understanding the underlying bases for future strategy at both the business unit and corporate levels and the options for developing strategy in terms of both the directions and methods of development. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-16
17.
Strategic Choices Business-level
Strategic Choices Corporate-level Innovation International Evaluation Exploring Corporate Strategy 8e, © Pearson Education 2008 1-17
18.
What is Strategy
in Action? Strategy in action is concerned with ensuring that strategies are working in practice. Exploring Corporate Strategy 8e, © Pearson Education 2008 1-18
19.
Strategy in Action
Processes Structuring Resourcing Strategy in Action Changing Practice Exploring Corporate Strategy 8e, © Pearson Education 2008 1-19
20.
Research Approaches to
Strategy Content Process Exploring Corporate Strategy 8e, © Pearson Education 2008 1-20
21.
Perspectives on Strategy
Complexity Theory Discourse Strategy-as-Practice Exploring Corporate Strategy 8e, © Pearson Education 2008 1-21
22.
Strategy Lenses Strategy
as design Strategy as experience Strategy as ideas Strategy as discourse Exploring Corporate Strategy 8e, © Pearson Education 2008 1-22
23.
Exhibit 1.i Design
Lens Exploring Corporate Strategy 8e, © Pearson Education 2008 1-23
24.
Exhibit 1.ii Experience
Lens Exploring Corporate Strategy 8e, © Pearson Education 2008 1-24
25.
Exhibit I.iv Idea
Lens Exploring Corporate Strategy 8e, © Pearson Education 2008 1-25
26.
Exhibit I.v Discourse
Lens Exploring Corporate Strategy 8e, © Pearson Education 2008 1-26
27.
Case Example: Electrolux
Review the strategic choices Electrolux has? Exploring Corporate Strategy 8e, © Pearson Education 2008 1-27
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