第一章战略管理概述

Ch1-1Chapter1

TheNatureofStrategicManagementStrategicManagement:

Concepts&Cases11thEditionFredDavid

Ch1-2OriginofstrategyCh1-3Inputs

Process(TransformationActivities)OutputsProducts&servicesFinancialresultsInformationHumanresults(Asystem)ExternalEnvironmentInternalEnvironmentCorporate&environmentsEmployees`workactivitiesManagementactivitiesTechnologyandoperationsmethodsHumanresourcesNonhumanresourcesRawmaterialsCapitalTechnologyInformationIndustrial

environmentCh1-4ChapterobjectiveDescribethestrategicmanagementprocessExplaintheneedforintegratinganalysisandintuitioninstrategicmanagementDefinekeytermsinstrategicmanagement

Ch1-5HistoricaldevelopmentofstrategicmanagementAnsofffeltthatmanagementcouldusethesestrategiestosystematicallyprepareforfutureopportunitiesandchallenges.Ch1-81980sthedevelopmentofmodernstrategymanagementMichaelEugenePorter（M．E．Porter）MichaelPorteristheauthorof18booksandnumerousarticlesincludingCompetitiveStrategy,CompetitiveAdvantage,CompetitiveAdvantageofNations,

MichaelPorter’scorefieldiscompetitionandcompanystrategy.Heisgenerallyrecognizedasthefatherofthemodernstrategyfield,andhisideasaretaughtinvirtuallyeverybusinessschoolintheworld.1980sthedevelopmentofmodernstrategymanagementPorter'sstrategicsystemconsistsprimarilyof:Porter'sFiveForcesAnalysisstrategicgroups(alsocalledstrategicsets)thevaluechainthegenericstrategiesofcostleadership,productdifferentiation,andfocusthemarketpositioningstrategiesofvarietybased,needsbased,andaccessbasedmarketpositionsglobalstrategyPorter'sclustersofcompetenceforregionaleconomicdevelopmentDiamondmodelCh1-9HistoricaldevelopmentofstrategicmanagementI/OViewIndustrialOrganizationView

TheIndustrialOrganizationapproachtocompetitiveadvantageadvocatesthatexternal(industry)factorsaremoreimportantthaninternalfactorsinafirmachievingcompetitiveadvantage.Ch1-10Ch1-11Historicaldevelopmentofstrategicmanagement

CompetitivePositioningApproach（outside-in）Thefirstfundamentaldeterminantofafirm’sprofitabilityisindustryattractiveness.Competitivestrategymustgrowoutofasophisticatedunderstandingoftherulesofcompetitionthatdetermineanindustry’sattractivenessBydeterminingtherelative‘power’ofeachoffiveforces,anorganizationcanidentifyhowtopositionitselftotakeadvantageofopportunitiesandovercomeorcircumventthreatsCh1-12HistoricaldevelopmentofstrategicmanagementCriticismsofcompetitivepositioningapproachMichaelPorter‘smodelsfocusonthecompany’sexternalcompetitiveenvironment，anddonotattempttolookinsidethecompanyHistoricaldevelopmentofstrategicmanagement-1990sCh1-13Ch1-14Historicaldevelopmentofstrategicmanagement-1990sGaryHamel,C.K.PrahaladCorecompetence：theoneortwokeythingsthatyourcompanydoesbetterthanthecompetition

CAarisesfromanorganization’sinternallydevelopedcorecompetenceratherthanfromitsenvironmentJohnKayBorrowingfromGaryHamelandMichaelPorter,Kayclaimsthattheroleofstrategicmanagementistoidentifyyourcorecompetencies,andthenassembleacollectionofassetsthatwillincreasevalueaddedandprovideacompetitiveadvantage.Heclaimsthatthereare3typesofcapabilitiesthatcandothis:innovation,reputation,andorganizationalstructure

Valuableresources/competences:rare;hardtoimitate;noteasilysubstitutableCh1-15HistoricaldevelopmentofstrategicmanagementResource-basedview

(1995，DavidJ.Collins,CynthiaA.Motgomery:Resources-basedviewofthefirm.Afirm'suniqueresourcesandcapabilitiesprovidethebasisforastrategy)ThestrategychosenshouldallowthefirmtobestexploititscorecompetenciesrelativetoopportunitiesintheexternalenvironmentHistoricaldevelopmentofstrategicmanagementTheevaluationofvalueshouldnotbelimitedtotheinsideofacompanybutshouldputthecompanyintoitsindustrialenvironment.Thevaluableresourcesownedbyanindividualcompanycanbefoundbycomparingthecompany’sresourceswiththatofothercompanies.Theresourcesmentionedhererefertothecombinationofvariouskeyfactors,whichcanhelpthecompanyrealizeitsstrategicgoalsduringtheprocessofthecompanyservingthesocietywithproductsorservices.Companiescanberegardedasdifferentcombinationsofvariousresources.Sincethesecombinationsdifferfromonetoanother,thereareNOtwocompaniesthatarecompletelysameintheworld.Onlywhenacompanyownstheresourcesthatsuititspurposedbusinessesmostcanwesayithasthemostvaluableresources.Acompany’scompetitiveadvantageisdeterminedbythevaluableresourcesithas.Ch1-16ItisnotaquestionofwhetherexternalorinternalfactorsaremoreimportantingainingandmaintainingCA.Effectiveintegrationandunderstandingofbothexternalandinternalfactors,especiallyunderstandingtherelationshipsamongthem,willbethekeytosecuringandkeepingacompetitiveadvantage.Ch1-17Ch1-18StrategicManagementachievesafirm’ssuccessthroughintegration––

ManagementMISProduction/OperationsFinance/AccountingMarketingResearch&DevelopmentAlthoughthestrategic-managementprocessisoverseenbystrategists,successrequiresthatmanagersandemployeesfromallfunctionalareasworktogethertoprovideideasandinformation.Ch1-19Ch1-20

ExternalAuditInternalAuditLong-TermObjectivesGenerate,Evaluate,SelectStrategiesImplementStrategies:MgmtIssuesImplementStrategies:Marketing,Fin/Acct,R&D,CISMeasure&EvaluatePerformanceControl&continuousimprovementVision&MissionComprehensivestrategicmanagementmodelStrategyEvaluationStrategyImplementationStrategyFormulationCh1-21Dynamic&ContinuousMoreformalinlargerorganizationsStrategicManagementModel

StrategicManagementProcess

Ch1-22

Vision&MissionStrategyFormulationExternalOpportunities&ThreatsInternalStrengths&WeaknessesLong-TermObjectivesAlternativeStrategiesStrategySelectionCh1-23

StrategyImplementationAnnualObjectivesPoliciesEmployeeMotivationResourceAllocationCh1-24

StrategyEvaluationInternalReviewExternalReviewPerformanceMetricsCorrectiveActionsCh1-25

ThestrategicmanagementprocessattemptstoorganizequantitativeandqualitativeinformationunderconditionsofuncertaintyIntegratingIntuitionandAnalysisCh1-26

Intuitionisbasedon:PastexperiencesJudgmentFeelingsIntegratingIntuitionandAnalysis

Intuitionis

usefulfordecisionmakingin:ConditionsofgreatuncertaintyConditionswithlittleprecedentCh1-27

OrganizationsmustmonitoreventsOn-goingprocessInternalandexternaleventsTimelychangesAdaptingtoChangeCh1-28

1.Adaptingtochangeinexternaltrends,internalcapabilitiesandresourcesAchievingSustainedCompetitiveAdvantage

2.Effectivelyformulating,implementing&evaluatingstrategiesCh1-29KeyTermsVariousJobTitles:

ChiefExecutiveOfficer(CEO)ChiefStrategyOfficer(CSO)PresidentOwnerBoardChairExecutiveDirector

Strategists–Firm’ssuccess/failure

Ch1-30VisionStatement–

Whatdowewanttobecome?MissionStatement– Whatisourbusiness?KeyTermsCh1-31LargelybeyondthecontrolofasingleorganizationKeyTerms

OpportunitiesandThreats(External)

Ch1-32ProcessofconductingresearchandgatheringandassimilatingexternalinformationKeyTerms

Opportunities&Threats

EnvironmentalScanning(IndustryAnalysis)

Ch1-33BasicTenetofStrategicManagementKeyTerms

Opportunities&ThreatsStrategyFormulation

TakeadvantageofExternalOpportunities

Avoid/minimizeimpactofExternalThreatsCh1-34ControllableactivitiesperformedespeciallywellorpoorlyKeyTerms

Strengths&Weaknesses(Internal)

Ch1-35AssessingtheInternalEnvironmentKeyTerms

Strengths&WeaknessesInternalFactorsPerformanceMetricsFinancialRatiosIndustryAveragesSurveyDataCh1-36Mission-drivenpursuitofspecifiedresultsmorethanoneyearoutKeyTerms

Long-termObjectives

Ch1-37Long-termObjectivesKeyTermsEssentialforensuringthefirm’ssuccessProvidedirectionAidinevaluationCreatesynergyFocuscoordinationBasisforplanning,motivating,and

controllingCh1-38Meansbywhichlong-termobjectivesareachievedKeyTerms

Strategies

Ch1-39StrategiesKeyTermsSomeExamplesGeographicexpansionDiversificationAcquisitionMarketpenetrationRetrenchmentLiquidationJointventureCh1-40

Mintzberg’sfivePs

InhisarticleFivePsforstrategy,Mintzbergarguesastrategycanbe:Aplan-ittendstoimplysomethingthatisintentionallyputintrainanditsprogressismonitoredfromthestarttoapredeterminedfinish.Aploy-

amanoeuvreintendedtooutwitanopponentorcompetitor.Apatternofbehaviourisoneinwhichprogressismadebyadoptingaconsistentformofbehaviour.Aposition

inrespecttoothersintheenvironment

Aperspective

changingtheculture(thebeliefsandthefeel,thewayoflookingattheworld)ofthemembersofanorganizationItisimportantNOTtoseeanyofthesefivePsinisolationsfromtheothersHenryMintzbergMcGilluniversityinMontrealCh1-41DeliberateandEmergentStrategyDeliberatestrategy(orcalledplannedorprescriptivestrategy)ispreconceived,premeditated,andusuallymonitoredandcontrolledfromstarttofinish.Ithasaspecificobjective.Emergentstrategyhasno

priorintentionsorspecificobjective.Itmaybeaseffectiveasdeliberatestrategy.Byexploring,learningandpiecingtogetheraconsistentpatternofbehaviourovertime,anorganizationmayarriveatthesamepositionasifithadplannedeverythingindetail.Ch1-42Short-termmilestonesthatfirmsmustachievetoattainlong-termobjectivesKeyTerms

AnnualObjectives

Ch1-43MeansbywhichannualobjectiveswillbeachievedKeyTerms

Policies

Ch1-44StrategicBusinessUnitAstrategicbusinessunitisasemi-autonomousunitwithinanorganization.Itisusuallyresponsibleforitsownbudgeting,newproductdecisions,hiringdecisions,andpricesetting.AnSBUistreatedasaninternalprofitcentrebycorporateheadquarters.EachSBUisresponsiblefordevelopingitsbusinessstrategies,strategiesthatmustbeintunewithbroadercorporatestrategies.Ch1-45LevelsofstrategyLevelofaggregationNetworkLevelCorporateLevelBusinessLevelFunctionalLevelLeveloforganizationAlliance/PartnershipAlliance/GroupOperatingunitFunctionaldepartmentCh1-46NetworkstrategyManybusinessesoperatewithinanetworkofsuppliers,distributors,customersandsometimes,competitorsCollaborativeadvantagethroughnetworks,strategicalliancesandjointventurescanbeimportantsourceofCACh1-47LevelsofstrategyCorporatestrategy

appliestothewholeenterprise,morevalueoriented,moreconceptualandlessconcreteInmultibusiness,itdefinesthebusinessesinwhichacompanywillcompeteandfocusesresourcestoconvertdistinctivecompetenceintocompetitiveadvantageCh1-48Businessstrategy(competitivestrategy)isthedeterminationofhowacompanywillcompeteinagivenbusinessandpositionitselfamongitscompetitorsCh1-49Operationalstrategy

isconcernedwiththeshortertermobjectivesofthebusinessandwithitsdaytodaymanagementwhichsupportsbusinessstrategyandcorporatestrategyCh1-50

Art&scienceofformulating,implementing,andevaluating,cross-functionaldecisionsthatenableanorganizationtoachieveitsobjectives

StrategicManagement–DefinedbyF.R.DavidCh1-51ApproachestostrategicmanagementPrescriptive-planning,predictive,structuredstrategiesmustbeintentionallydesignedandexecutedtodeliberatelyfine-tuneandcontroltheorganization’sfuturebehaviorEmergent-rapidchange,unpredictable,unstructured,trialandadaptation–incrementalism：notquestioningthevalueofplanningandcontrolasameansformanagingsomeorganizationalprocesses,butstrategyformationisnotoneofthem,planningandcontrolarevaluableforroutineactivitiesbutnotsuitablefordoingnewthings,forexample,innovationCh1-52Ourapproach-assumptions1:strategyisbothplannedandemergent.2:competitiveadvantagefrombothinternalcompetences&changesinbusinessenvironment.3:itisimportanttodistinguishbetweenindustriesandmarkets4:competitiveadvantage-fromorganisationallearning,competitive&collaborativebehaviour5:thecomplexityandunpredictabilityofbusiness&environment-learningorganisationsCh1-53BenefitsofStrategicManagement

FinancialBenefits

ImprovementinsalesImprovementinprofitabilityProductivityimprovementCh1-54BenefitsofStrategicManagement

Non-FinancialBenefits

ImprovedunderstandingofcompetitorsstrategiesEnhancedawarenessofthreatsReducedresist