内容说明教案chap09strategy review,evaluation control

1、 2001 Prentice HallCh. 9-1Strategic ManagementConcepts & Cases8th editionFred R. DavidChapter 9:Strategy Review, Evaluation, & ControlPowerPoint Slides By:Anthony F. ChelteWestern New England College 2001 Prentice HallCh. 9-2Comprehensive Strategic Management ModelStrategy Review,Evaluation,&Control

2、Chapter 9Vision & Mission StatementsChapter 2ExternalAuditChapter 3InternalAuditChapter 4Strategies In ActionChapter 5Strategy Analysis &ChoiceChapter 6Implement Strategies:ManagementIssuesChapter 7ImplementStrategies:Marketing,Fin/Acct,R&D, CISChapter 8 2001 Prentice HallCh. 9-3Strategy Review“Comp

3、licated controls do not work. They confuse. They misdirect attention from what is to be controlled to the mechanics and methodology of the control.”Seymour Tilles 2001 Prentice HallCh. 9-4Strategy Review“Organizations are most vulnerable when they are at the peak of their success.”R.T. Lenz 2001 Pre

4、ntice HallCh. 9-5Strategy Review“While strategy is a word that is usually associated with the future, its link to the past is no less central. Life is lived forward but understood backward. Managers may live strategy in the future, but they understand it through the past.”Henry Mintzberg 2001 Prenti

5、ce HallCh. 9-6Strategy ReviewThe firms internal and external environments are dynamic. Therefore, the best conceived and implemented strategies e obsolete! 2001 Prentice HallCh. 9-7Strategy ReviewStrategy Evaluationthe 3 BasicsExamining the underlying basis of the firms strategyComparing actual to e

6、xpected resultsTaking corrective action to address performance gaps 2001 Prentice HallCh. 9-8Strategy ReviewEffective Strategy EvaluationAdequate and timely feedbackThe cornerstone of effective evaluation 2001 Prentice HallCh. 9-9Strategy ReviewStrategy EvaluationMust have bothShort- & long-term foc

7、us 2001 Prentice HallCh. 9-10Strategy ReviewFour Criteria (Richard Rumelt):ConsistencyConsonanceFeasibilityAdvantage 2001 Prentice HallCh. 9-11ConsistencyIf policy problems/issues continue to be brought to the top for resolution, then strategies may be inconsistent.If success for one department mean

8、s failure for another department, then strategies may be inconsistent.If managerial problems continue despite changes in personnel and are issue based, then strategies may be inconsistent.A strategy should not present inconsistent goals and policies 2001 Prentice HallCh. 9-12ConsonanceDifficult in m

9、atching key internal and external factors in formulation of strategy.Most trends are the result of interactions among other trends.Strategy must represent an adaptive response to the external environment and critical changes occurring within it.Strategists need to examine sets of trends as well as i

10、ndividual trends in evaluating strategies. 2001 Prentice HallCh. 9-13FeasibilityImportant to examine whether in the past the organization has demonstrated the capabilities, abilities, competencies, skills, and talents to carry out strategy.Limitation on strategic choice imposed by individual and org

11、anizational capabilities must be considered.Can the strategy be attempted within the physical, human and financial resources of the enterprise?Strategy must neither overtax available resources nor create unsolvable subproblems. 2001 Prentice HallCh. 9-14Strategy ReviewIncrease in environments comple

12、xityDifficulty in predicting the future with accuracyIncreasing number of variablesContemporary StrategyEvaluationDifficulties 2001 Prentice HallCh. 9-15Strategy ReviewRate of obsolescence of even the best plansIncrease in domestic and world events Decreasing time span for which planning can be done

13、 with any certaintyContemporary StrategyEvaluationDifficulties 2001 Prentice HallCh. 9-16Strategy ReviewProcess of Evaluating Strategies:Should initiate managerial questioning of expectations and assumptionsShould trigger a review of objectives and valuesShould stimulate creativity in generating alt

14、ernatives and criteria of evaluation 2001 Prentice HallCh. 9-17Evaluation FrameworkI. Review Underlying Bases Continue present courseII. Measure Firm PerformanceIII.Take Corrective ActionsDifferences?Differences?YesNOYesNO 2001 Prentice HallCh. 9-18I. Review Bases of StrategyDevelop a Revised EFE Ma

15、trix:How have competitors reacted to our strategies?How have competitors strategies changed?Have major competitors strengths and weaknesses changed? 2001 Prentice HallCh. 9-19I. Review Bases of StrategyWhy are competitors making certain strategic changes?Why are some competitors strategies more succ

16、essful than others?How satisfied are our competitors with their present market positions and profitability? 2001 Prentice HallCh. 9-20I. Review Bases of StrategyHow far can our major competitors be pushed before retaliating?How could we more effectively cooperate with our competitors? 2001 Prentice

17、HallCh. 9-21I. Review Bases of StrategyKey Questions in Evaluating Strategy:Are our internal strengths still strengths?Have we added other internal strengths?Are our internal weaknesses still weaknesses? 2001 Prentice HallCh. 9-22I. Review Bases of StrategyDo we now have other internal weaknesses?Ar

18、e our external opportunities still opportunities?Are there now external opportunities? 2001 Prentice HallCh. 9-23I. Review Bases of StrategyAre our external threats still threats?Are there now other external threats?Are we vulnerable to a hostile takeover? 2001 Prentice HallCh. 9-24II. Measure Perfo

19、rmanceCompare the firms performance over different time periods.Compare the firms performance to competitors.Compare the firms performance to industry averages. 2001 Prentice HallCh. 9-25II. Measure PerformanceQuantitative Analysis:Return on investmentReturn on equityProfit marginMarket shareDebt to

20、 equityEarnings per shareSales growthAsset growth 2001 Prentice HallCh. 9-26II. Measure PerformanceQualitative Analysis:Is the strategy internally consistent?Is the strategy consistent with the environment?Is the strategy appropriate in view of available resources?Does the strategy involve an accept

21、able degree of risk? 2001 Prentice HallCh. 9-27II. Measure PerformanceQualitative Analysis:Does the strategy have an appropriate time framework?Is the strategy workable? 2001 Prentice HallCh. 9-28III. Take Corrective ActionMaking changes to reposition a firm competitively for the future 2001 Prentic

22、e HallCh. 9-29Strategy-Evaluation Assessment MatrixContinue courseYesNoNoCorrective actionsNoYesNoCorrective actionsYesYesNoCorrective actionsNoNoYesCorrective actionsYesNoYesCorrective actionsNoYesYesCorrective actionsYesYesYesCorrective actionsNoNoNoResultHas the firm progressed satisfactorily tow

23、ard achieving its stated objectives?Have major changes occurred in the firms external strategic position?Have major changes occurred in the firms internal strategic position? 2001 Prentice HallCh. 9-30Strategy ReviewCharacteristics of an effective systemEvaluation activities must be economical.Evalu

24、ation activities must be meaningful. 2001 Prentice HallCh. 9-31Strategy ReviewCharacteristics of an effective systemEvaluation activities must provide timely information.Evaluation system should be designed to provide a true picture of what is happening. 2001 Prentice HallCh. 9-32Strategy ReviewChar

25、acteristics of an effective systemInformation derived from evaluation process should facilitate action.Evaluation process should not dominate decisions. 2001 Prentice HallCh. 9-33Strategy ReviewContingency PlanningIdentify both beneficial and unfavorable events that could possibly derail the strateg

26、y or strategies.Specify trigger points. Calculate about when contingent events are likely to occur. 2001 Prentice HallCh. 9-34Strategy ReviewContingency PlanningAssess the impact of each contingent event. Estimate the potential benefit or harm of each contingent event.Develop contingency plans. Insure that they are compatible with current strategy and are economically feasible. 200