MindMap Gallery Chapter 6 Strategic Management
Principles of Management, edited by Yan Mingjian, Chapter 6 Strategic Management, the knowledge points include overview of strategic management, strategic management process, strategic management levels, analysis of internal conditions of enterprises, and entrepreneurs. The strategic management level includes an overview of strategic management, the company's strategic framework, and the construction management level. The analysis of internal conditions of the enterprise includes enterprise resources, enterprise core capabilities, and factors affecting enterprise strategic choices.
Edited at 2023-02-01 21:13:01El cáncer de pulmón es un tumor maligno que se origina en la mucosa bronquial o las glándulas de los pulmones. Es uno de los tumores malignos con mayor morbilidad y mortalidad y mayor amenaza para la salud y la vida humana.
La diabetes es una enfermedad crónica con hiperglucemia como signo principal. Es causada principalmente por una disminución en la secreción de insulina causada por una disfunción de las células de los islotes pancreáticos, o porque el cuerpo es insensible a la acción de la insulina (es decir, resistencia a la insulina), o ambas cosas. la glucosa en la sangre es ineficaz para ser utilizada y almacenada.
El sistema digestivo es uno de los nueve sistemas principales del cuerpo humano y es el principal responsable de la ingesta, digestión, absorción y excreción de los alimentos. Consta de dos partes principales: el tracto digestivo y las glándulas digestivas.
El cáncer de pulmón es un tumor maligno que se origina en la mucosa bronquial o las glándulas de los pulmones. Es uno de los tumores malignos con mayor morbilidad y mortalidad y mayor amenaza para la salud y la vida humana.
La diabetes es una enfermedad crónica con hiperglucemia como signo principal. Es causada principalmente por una disminución en la secreción de insulina causada por una disfunción de las células de los islotes pancreáticos, o porque el cuerpo es insensible a la acción de la insulina (es decir, resistencia a la insulina), o ambas cosas. la glucosa en la sangre es ineficaz para ser utilizada y almacenada.
El sistema digestivo es uno de los nueve sistemas principales del cuerpo humano y es el principal responsable de la ingesta, digestión, absorción y excreción de los alimentos. Consta de dos partes principales: el tracto digestivo y las glándulas digestivas.
Chapter 6 Strategic Management
Strategic Management Overview
strategic management definition
Definition of strategy: A comprehensive plan to achieve organizational goals.
Definition of strategic management: An approach to meeting business opportunities and challenges—a comprehensive and ongoing process designed to develop and implement effective strategies.
effective formal strategy
Distinctive competence
The organization does a particular job particularly well
Scope of strategy
That is, the competitive sphere of influence, the range of the market in which organizations compete.
Resource deployment
How to allocate your resources among various competitive areas
Characteristics of corporate strategy
•Overall
•Long term
•Instructional
•Competitiveness
•Risk
•Innovative
•relative stability
•Corporate strategy must be compatible with corporate management model
•Corporate strategy should be consistent with tactics, strategies, methods and means
strategic management process
(1) Mission and vision statement
Our Mission
That is, the business philosophy answers “What is the reason for the organization’s existence?”
corporate vision
Entrepreneurs' vision for the future of their business. is the answer to “What kind of company do we want to be?”
(2) Strategic environment analysis
Macro environment
pest analysis method
microenvironment
Porter's five forces competition model
Discover opportunities and threats
Analyze the organization's resources
Identify (organizational) strengths and weaknesses
SWOT analysis
(3) Re-evaluate the purpose and goals of the organization
Whether corrections and adjustments are needed
(4) Develop strategies
(5) Implement strategy
(6) Evaluation results
strategic management level
Overview of strategic management levels
corporate level strategy
General manager
functional strategy
department
business level strategy
have different businesses
corporate level strategic framework
stability strategy
When the organization's performance is satisfactory and the environment appears to remain stable
growth strategy
direct expansion
Vertical (forward, backward) integration
Backward integration: acquiring suppliers
horizontal integration
M&A in the same industry
Diversification (related, unrelated)
Merger and acquisition of different industries or businesses
austerity strategy
Reduce the scale of operations or diversify the scope of operations
Build corporate-level strategy
single product strategy
Refers to manufacturing only one product or providing only one service and selling it only in a single geographical market.
Advantages: It is helpful to reduce the market introduction cost of new products and reduce product costs; it is helpful to strengthen the brand effect and increase the value of the brand; the management fee is relatively low and the operation is simple.
Disadvantages: Increased product market risk; unable to meet the needs of different consumer groups.
Related diversification strategies
It refers to a development strategy in which an enterprise operates two or more products or services with different basic economic purposes at the same time. (different businesses in related industries)
Relevance basis for implementing related diversification:
◆Similar technologies
◆Common distribution and marketing skills
◆Common brand name and goodwill
◆Common customers
Advantage: ◆Can accurately target a certain market segment, meet the special needs of the market, shape product personality, and gain the trust and brand loyalty of this market ◆Reduce the mutual adverse effects between products and use diversification strategies to avoid the risk of corporate crisis caused by failure to promote a certain product in the market or quality problems. ◆Can occupy different market segments and increase market share ◆It can promote competition within the enterprise and improve overall efficiency.
Disadvantages: high cost, difficult management, etc.
unrelated diversification strategy
It means that the enterprise operates multiple businesses that have no logical relationship with each other. (Different industries and different businesses)
Advantage: ◆Diversify business risks ◆Enables enterprises to quickly take advantage of various market opportunities and move to more effective industries to improve the overall profitability and flexibility of the enterprise ◆Expand space for corporate growth and development
Disadvantages: ◆Enterprise resources are dispersed ◆Management becomes more difficult ◆Increase in operating expenses
Tools for managing diversity—the BCG Matrix
business level strategy
Determine how the organization should compete in each cause
Porter's five forces competition model
Porter's general competitive strategy
Cost leadership strategy
Seeking high efficiency in production, marketing and other operational areas, keeping manufacturing expenses as low as possible, and companies looking for ways to cut costs; but the quality of products and services must not be inferior to competitors, and at least be acceptable to consumers .
Differentiation Strategy
It is an enterprise that provides distinctive products or services, is unique in the industry, establishes differentiated competitive advantages, and consolidates its position in the same industry with unique advantages.
Focus on strategy
It is a company that focuses on a certain customer group or a special market segment.
Mills and Snow model
(1)Explorer Used in dynamic environments, pursuing innovation and flexibility.
(2)Defender Used in a stable environment to produce a limited set of products for a narrow market segment.
(3)Analyst By seeking activity and stability, risks are minimized and profit opportunities are maximized.
(4)Reactor (unable to succeed) Reactors are unable to make consistent and decisive commitments in any given situation.
Based on product life cycle strategy
Introduction period
Expand the market
growth period
Penetrate the market
mature stage
keep the market
Recession
Exit the market or increase productivity
Analysis of internal conditions of the enterprise
Enterprise resources
tangible resources
Assets can generally be viewed from financial statements
intangible resources
The company’s operating capabilities, technical know-how and corporate image
human Resources
Enterprise core capabilities
Components of core competencies
(1) Research and development capabilities (R&D)
(2)Continuous innovation ability
(3) The ability to transform scientific and technological achievements into productivity
(4) Organization and coordination ability
(5)Adaptability
Factors influencing corporate strategic choices
The dependence of enterprises on the external environment
Manager’s attitude towards risk
The impact of a company’s past strategies
power relations in business
Impact of middle managers and functions
entrepreneur
definition of entrepreneur
A process in which individuals pursue opportunities and satisfy needs through innovation, regardless of the resources available at hand
Characteristics of Entrepreneurs
They tend to take sole responsibility for solving problems, setting goals and achieving goals through hard work; they advocate independence and particularly do not like to be controlled by others; although they are not afraid of taking risks, they will never take risks blindly, and they are more willing to take risks that they Believe that you can control the risk of the outcome.