Strategic Management Effectiveness: the basis for determining success 1 Session 3 Effectiveness: the basis for determining success Agenda:  Organizational effectiveness Concepts and issues with each Application to Amazon  A brand called you Ideas Ideas you might apply

Strategic ManagementEffectiveness: the basis for determining success 2 Assignment for session 3  Reading Packet 1: Organizational effectiveness--the basis for deciding A brand called you article A brand called you  Prepare to discuss the following based on the readings and Amazon article (available online through course web site). (Quiz likely) 1. What is organizational effectiveness and how can it be measured? 2. Is Amazon effective? Justify your response using the organizational effectiveness concepts in the reading. 3. What does the Brand Called You article suggest you do to further your career?

Strategic ManagementEffectiveness: the basis for determining success 3 What is organizational effectiveness (O/E)?  The basis for determining success  Approaches to evaluating O/E Goal— degree to which an organization achieves its goals, or attains its desired state Internal process— internal health and efficiency Resource-based— effectiveness in obtaining and using resources (inputs) Stakeholders—degree to which stakeholders are satisfied

Strategic ManagementEffectiveness: the basis for determining success 4 Applying O/E approaches O/E Approach Are they Effective Rate O/E (1-10, 10=high ) Justification for rating 1 Goal approach 2 Resource-based approach 3 Internal process approach 4 Stakeholder approach

Strategic ManagementEffectiveness: the basis for determining success 5 Is Amazon’s strategy a good fit for improving O/E?

Strategic ManagementEffectiveness: the basis for determining success 6 Is Amazon achieving organizational effectiveness (O/E)?  Using O/E concepts rate Amazon’s performance on a 1-10 scale. Justify your responses  Overall, has Amazon achieved organizational effectiveness? Why or why not?  Have Amazon’s strategies changed appropriately over time? Corporate Business functional

Strategic ManagementEffectiveness: the basis for determining success 7 So, is Amazon effective?  Yes, because  No, because

Strategic ManagementEffectiveness: the basis for determining success 8 Recap  O/E is an valuable concept for Organizations Teams Individuals  Evaluation is complex There are multiple ways to evaluate O/E Conclusions from each may differ Overall conclusion requires judgment

Strategic ManagementEffectiveness: the basis for determining success 9 Thought questions for exam prep  Since the different approaches to evaluating O/E often lead to different conclusions, what is the value of this set of concepts?  What should be the role of O/E in strategic management

Strategic ManagementEffectiveness: the basis for determining success10 What does “A brand called you” suggest about Your expectations of yourself Your teammates What you will commit to do for the team

Strategic ManagementEffectiveness: the basis for determining success11 Thoughts on team building Thoughts from Tom Peters, A brand called you

Strategic ManagementEffectiveness: the basis for determining success12 Key thoughts from a Brand called YOU We now live in a project world. Loyalty is as important as ever Not blind loyalty to the company, but rather Loyalty to colleagues, your team, your customers, and yourself Takeaway: Contribute value, develop influence, and build your brand.

Strategic ManagementEffectiveness: the basis for determining success13 Building your brand Focus on value you provide. Reach out.

Strategic ManagementEffectiveness: the basis for determining success14 Building your brand: Focus on value! Your most important job is to be head marketer for the brand called YOU Figure out how you can deliver value to the team Add remarkable, measurable, distinguished, distinctive value Be relentlessly focused on what you do that adds value Reach out to every opportunity…and make a noteworthy contribution to your team’s success Takeaway: Everything you do, or choose not to do, communicates the value and character of your brand.

Strategic ManagementEffectiveness: the basis for determining success15 Building your brand: Reach out! Sign up for extra tasks to introduce yourself, showcase your skills, or work on new ones Everything you do, or choose not to do, communicates the value and character of your brand Nurture your network of colleagues Seek out challenging, provocative projects; volunteer to do the difficult tasks Act like a credible leader

Strategic ManagementEffectiveness: the basis for determining success16 Building an effective team by agreeing on expectations, tracking performance, and dealing with issues To assure that each team of us contributes to an effective team, we agree to these performance standards. Performance Area Performance Element to be Measured Expected Performance Results to be tracked Task completionOn time completion of tasks Always distributes completed tasks to team members before due time % of expectations met, or # of misses Example row

Strategic ManagementEffectiveness: the basis for determining success17 Thoughts from “A Brand Called You” for building your team Identify what makes your product or service different from competitors Identify qualities or characteristics that make you distinctive Provide substantive contribution with style, e.g., demonstrate a command of technology, keep your contributions short and to the point Ask for, insist on, honest, helpful feedback on your performance: It’s the only way to know what you would be worth on the open market.

Strategic ManagementEffectiveness: the basis for determining success18 Thoughts from “A Brand Called You” for building your team Be a great teammate and a supportive colleague. Be an exceptional expert about something that has real value. Be a broad gauged visionary—a leader, a teacher, a far sighted “imaginer” Be obsessed with pragmatic outcomes

Strategic ManagementEffectiveness: the basis for determining success19 Assignment for Session 4 H&W Ch 3, Section 3.1 and 3.2; Ch 5, Section 5.4; Ch 6, pp Southwest Airlines article (available online through course web site) Prepare to discuss the following based on the readings and the company articles assigned to date. (Quiz possible) 1. Which environmental variables (Fig. 3-1) are most significant for each company? 2. Which societal variables (Table 3.1) are most significant for each company? 3. Which forces in Porter's model are most important for each company? 4. Which generic strategy (Figure 5.3) is each company following? 5. How would you answer the 3 questions on Directional Strategy in the middle of H&W p. 91 for any one of the companies?