IeMBA Strategy - Strategy 1.0 JC Spender www.jcspender.com
strategizing getting to CDG taxi airport bus Metro RER Strategizing - thinking through a practical campaign to achieve one’s objective. Cost or time - or certainty of getting there? Risk. How to deal with what you don’t know. you don’t know what’s best 4 Oct 2012 STMT 621 Strat 1.0
business strategy 1.0 firm environment measure run the numbers ‘fit’ 4 Oct 2012 STMT 621 Strat 1.0
business strategy 1.0 - the firm presuming ‘the firm’- ? neo-classical economic model machine model components - core competencies, KSFs measurement, analysis, benchmarking task = resource allocation but what is the firm ? 4 Oct 2012 STMT 621 Strat 1.0
business strategy 1.0 - the environment market for product / services ? market segments, market share, penetration competitors suppliers labor market regulation surprises the environment ? 4 Oct 2012 STMT 621 Strat 1.0
business strategy 2.0 ‘map’ firm and environment decide what can be left out understand what is ‘hidden’ in the map 4 Oct 2012 STMT 621 Strat 1.0
SWOT strengths weaknesses opportunities threats 4 Oct 2012 STMT 621 Strat 1.0
BCG matrix cash cow star dog ?? market share & profitability hi market share & profitability dog $$ ?? hi growth potential dispose 4 Oct 2012 STMT 621 Strat 1.0
Ansoff business unit risk danger – boring current products current markets new markets new products strategic choices danger – high risk 4 Oct 2012 STMT 621 Strat 1.0
firm environment SWOT Chandler & fit industry nation context-measures firm 4 Oct 2012 STMT 621 Strat 1.0
GE / McKinsey business portfolio industry attractiveness Hi BUILD HOLD Lo HARVEST measurement, unit independence, static environment, cash orientation, position in industry Lo Hi business unit competitive advantage 4 Oct 2012 STMT 621 Strat 1.0
Bartlett & Ghoshal’s matrix multinational transnational local responsiveness international global global integration 4 Oct 2012 STMT 621 Strat 1.0
but is this real-world strategizing ? pick a model of the firm & its environment the strategist’s contribution anticipate the outcome simple, eh? (as Canadians say) 4 Oct 2012 STMT 621 Strat 1.0