Welcome to Business Strategy and Policy

1
Welcome toBusiness Strategy and Policy

• John A. Hengeveld
• week 1

2
Introduction and Logistics

• Class Syllabus and Schedule Review
• Case Writeup and Presentation Criteria
• Strategy and its Role in Companies
• Breaking into teams
• Some review of basic strategy concepts
• Any questions??

3
Class Syllabus Schedule Review

• See schedule attached to syllabus

4
Course Goals restated

• To create strategy to compete and win.
• To successfully implement strategic change
  through appropriate use of policy and process.
• To be able to critically judge new management
  insight as the next best thing rolls into town.
• To be able to apply all of this to cases in
  distinct industries and competitive situations.

5
Management by Best Seller
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Case Writeup Criteria

• Picture yourself a consultant
• Written report with recommendation and backup
  detail and analysis.
• Except Dont be afraid to critique past actions
  which led to the current situation.

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Written Grading standard

• Organization of report 15
• Writing correctness 10
• Goes Beyond the Obvious 10 depth
• Recommendation
• Aptness 20
• Persuasion 15
• Analysis
• Business Situation Analysis 10
• Identification/Justification Criteria for
  decision 10
• Analysis of Alternatives and Rationale for
  recommendation 10

8
Case Presentation Criteria

• Clearly demonstrate an understanding of the
  issues of the case and the business situation
  facing the key figures 30
• Make a clear prescription or recommendation which
  addresses the real problems. 30
• Defend your position against questions 30
• Style (professional quality, well presented,
  keeps the class awake) 10

9
Breaking into Teams

• Introduce yourself very briefly
• Name
• Academic Focus and Skill areas
• Specific interests

10
Some very quick Review..

• If its not review for you slow me down

11
The Porter Value Chain
Firm Infrastructure
Service
12
Types of Resources

• Tangible
• Financial
• Physical
• Intangible
• Technology
• Reputation
• Culture
• Human
• Specialized Skills and Knowledge
• Communication and Interactive abilities
• Motivation

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Appraising Resources
10
Superfluous Strengths
Key Strengths
Relative Strength
Key Weaknesses
Zone of Irrelevance
1
1
Strategic Importance
10
14
Appraising the Capabilities of a Business
School
(illustrative only)
C1 Alumni relations C2 Student placement C3
Teaching C4.Administration C5 Course devlpmnt C6
Student recruitment C7 Research C8 Corporate
relations C9 Marketing C10 IT C11 PR C12 HRM
Superfluous strengths
Key strengths
Superior
Relative Strength
Parity
Inconsequential weaknesses
12
11
Key weaknesses
Deficient
Not important
Critically important
Importance
15
Essential Step Get to Action
Plan Leverage
Divestiture??
Most CRITICAL ZONE OF ACTION
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Essential Step Get to Action
Move UP
MOVE LEFT
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Discussion 1 The nature of Profit

• What is profit? How do you think about and
  strategically manage profit?
• How does the way you think about profit impact
  how a firm grows?

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The Customer Value Model of Profit

• Words are important, they create action
• Suitable for Technology Firms
• Watch the White board.

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Profit Potential of Resources
The ProfitEarning Potentialof a Resourceor
Capability
From Grant Contemporary Strategy Analysis,
Blackwell, 1998
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Class Goal

• Enable the student to analyze and implement
  suitable management strategies, processes and
  policies fit to the industry, technology and
  strategies required for competitive success

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3 types of learning

• Conceptual I understand the theory
• Situational if this occurs, do that
• Developmental understand the systemic issues in
  such a thorough way that one is able to generate
  NEW interventions under new experiences.

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For Thursday

• Get the Books (3!)
• Competing on the Edge
• The Innovators Solution
• Good to Great
• Get the Course Packet
• Make sure it says HENGEVELD on it
• Read articles as shown on timeline