1. Welcome to Strategic Management
BMGT 682
Welcome to
Strategic Management
My name is Ray Van Ness
Please call me “Ray”
1 min

2. Greetings & Introductions
Please take a minute
and introduce yourself
To the people sitting around you
AND
Say hello to old friends
Greetings & Introductions
1 min

3. My background…
… the prism through which all information I give you is filtered
ACCOUNTANT to EXECUTIVE to ENTREPRENEUR to PROFESSOR
20+ years in business followed by 30+ years of teaching:
Started as as general accountant
…then…
Traveling Internal Auditor for International shoe manufacturing Corp.
Cost Accountant in steel industry
Corporate Controller in photographic industry
Vice President of Finance, elected to board of directors, later elected as
Executive VP, then President & CEO, in photographic and graphic arts industry
Entrepreneur: Purchased multiple growth oriented corporations
Later sold businesses, retired for a few days and began another career as an
educator
Here I am, 30 + years into my teaching career 
2 mins

4. What is this “MANAGEMENT” course about?
It is – More about PROCESS and Less about NEW CONTENT
You are encouraged to focus on thinking and acting in unique ways…
Dare to challenge the status quo and still be likeable…

5. This course will be conducted as a Professional Development Workshop
How will Your Course
be conducted?
This course will be conducted as a
Professional Development Workshop
It will be EXPERIENTIAL with competing OPINIONS and energetic
DISCUSSIONS and you should expect to experience CREATIVE TENSION
Strategic Concepts will be presented by you
Case Studies will be presented by you
Merger Activities & Strategic Debates will be by you
2 mins

6. What is this “MANAGEMENT” course about?
It is about:
1. ASSESSING corporate strengths, weaknesses, opportunities and threats.
2. CONTEMPLATING effective corporate strategies for capitalizing on strengths to take advantage of opportunities and minimizing weaknesses and threats.
3. TEAM WORK ABILITY
4. PEOPLE SENSITIVITY SKILLS
5. CRITICAL THINKING SKILLS
6. COMMUNICATION SKILLS
Practice communicating financial information
Practice communicating strategies
Practice capturing and maintaining the attention of others
7. POWERS OF PERSUASION SKILLS
Effective managers must develop strong persuasion skills
Aristotle, the Greek philosopher, identified three methods of persuasion and effective managers have mastered each:
Logos = Persuasion by REASONING
Pathos = Persuasion by EMOTIONAL APPEAL
Ethos = Persuasion by CHARACTER
You are encouraged to practice each of these persuasion skills

7. Course Purposes and Objectives
CRITICAL THINKING
To create an environment that supports critical thinking and encourages
creative problem solving
CREATIVE TENSION
To provide an environment where differing opinions are seen as a valuable and productive source for CREATIVE TENSION.
Thought: You learn more from the person who disagrees with you than from the one who agrees.
SKILLS & TOOLS
To add to your arsenal of management skills and abilities.
PEER LEARNING
To support and encourage the process of peer-to-peer (coworker) learning.
Thought: Asking for and listening to opinions of coworkers offers not only a rich opportunity for learning but also the likely benefit of endearment.
EFFECTIVE EXPRESSION & PERSUASION
To encourage and support the practice of expressing appropriate personal opinions, thoughts, concerns, and ideas in a persuasive manner.
2 mins

8. Syllabus: Distribution & Discussion
Syllabus -- click
2 mins

9. (Leader will earn 200 bonus points)
Formation of 6 Teams
The Professor has divided the class into 6 distinct Teams
Teams will elect A Team Leader
(Leader will earn 200 bonus points)
2 mins

10. Elect your team officers
Take a Break – and --
2 mins
Elect your team officers

11. Team Assignments (see syllabus)
Team 6: You will be presenting Chapter 2: Charting A Company’s Direction. Power Points are on the course website to help you with your planning. Select a MAXIMUM of 20 slides for your presentation.
Team 1: You will be presenting Case 10: Chipotle –
SEE pages of your SYLLABUS for directions.
Teams 2, 3, 4, & 5: Read Chapter 2 in the text AND read Case 10 – page C-140)
2 mins
Members of teams 6 and 1 please see me immediately after class

12. Thoughts about Strategy
Brief points…
Thoughts about Strategy
2 mins

13. Strategic Questions 1. What’s the company’s present situation?
2. Where does the company need to go from here?
3. How should it get there?
A company’s answer to “How it will we get there?” is its strategy
2 mins

14. Strategy… Strategies can be:
Consists of Management’s competitive moves and business approaches
Combines planning, decision-making, and actions
Strategies can be:
OFFENSIVE (primary goal: grow market share; pressure competitors)
CONSERVATIVE (primary goal: avoid risks; minimize confrontations with strong competitors)

15. Strategy is reflected in “actions” rather than words”

16. The HOWs That Define a Firm's Strategy
How to grow the business
How to please customers
How to outcompete rivals
How to manage each functional division (R&D, production, marketing, HR, finance, and so on)
How to respond to changing market conditions
How to achieve a competitive advantage and targeted levels of performance
Strategy is HOW to . . .

17. (Antique Car parts companies)
Four Strategic Approaches to Building Sustainable Competitive Advantage
Successful firms develop bases for competitive advantage
1. Cost leadership (Advantage: Known for low prices)
(Wal-Mart)
2. Differentiation (Advantage: Distinctive, desirable features to product or service) (Harley-Davidson)
3. Narrow market niche (Advantage: able to satisfy the need and desires of customers within a micro market)
(Antique Car parts companies)
4. Developing superior expertise and resources (Advantage: able to make it difficult for competitors to replicate products or services)
(Microsoft)
2 and 4 are very closely related

18. Evolution of strategies is powered by:
Strategies are always works in progress…
Evolution of strategies is powered by:
Shifting market conditions
Technological breakthroughs
New actions by competitors
Evolving customer preferences
Emerging market opportunities
Creative thinking
Crisis situations
Company strategies are generally partly Proactive and partly Reactive

19. Strategies planners ask:
Is our current path INEFFECTIVE? Do we have a corporate culture RESISTANT to CHANGE? Do we need to be more FLEXIBLE? Do we need to be more ADAPTIVE? Do we need to be more INNOVATIVE? Do we need to be more COMPETITIVELY AGGRESSIVE?
In summary,
Strategic planners think, plan, and act…. Now it’s your turn…

20. Movie, Meeting, Closing comments
Brief Movie
(2) Closing comments
(3) Professor meeting with Team 6 and Team 1
2 mins