Master of Business Administration- MBA Semester 4 MB0052 Strategic Management and Business Policy (Book ID: B1699)

Q1. Explain the corporate strategy in different types of organization. Ans. Corporate Strategy This is regarding the general function and scope of the business to meet the stakeholders expectations. As it is significantly influenced by the investors in the business, it is also called the critical level strategy. Corporate strategy performs the following functions: It provides a dual approach to problem solving. Firstly, it exploits the most effective means to overcome difficulties and face competition. Secondly it assists in the deployment of scarce resources among critical activities. It focuses attention upon changes in the organizational set up, administration of organizational process affecting behavior and the development of effective leadership. It offers a technique to manage changes. The management is totally prepared to anticipate, respond and influence to look at changes. It also offers a different way of thinking. It furnishes the management with a perspective whereby, the latter gives equal importance to present and future opportunities. It provides the management with a mechanism to with a highly complex environment characterized by diversity of cultural, social, political and competitive forces.

Kinds of Corporate Strategy There are four grand strategic alternatives. They are Stability Expansion Retrenchment Any combination of these three. These strategic alternatives are also called as grand strategies. Brief descriptions about them are as follows:a) Stability Strategy It is adopted by an organization when it attempts to improve functional performance. They are further classified as follows: b) No change strategy Profit strategy Pause/Proceed with caution strategy Expansion Strategy: It is followed when an organization aims at high growth.

Q2. What is the role consultants play in the strategic planning and management process of a company? Is it an essential role? ANS. The term Strategic planning came into existence which is currently being used to describe a phase of strategic decision-making. Strategic management model is generally known as strategic planning model. A strategic planning model is selected to devise and implement the strategic management plan of a particular organization. However, it has been proved that no strategic planning model is perfect.
Consultants play a unique role in driving successful change in organizations across the globe. Not only do they support the specific solution development and expertise, and sometimes the project management support, but they are often times a key player in the change management activities that support project implementation.

In a broad sense, the strategic planning consultant will endeavor to clarify an organization s objectives and the outcomes required for all key stakeholders including customers, shareholders, staff and community. The strategic plan will be formulated within a given framework of corporate policies and procedures and against economic and regulatory backdrops. The process requires a blend of skills:

Relentless focus on clarity of corporate objectives Vision and imagination to consider and select the most appropriate approaches to achieve these objectives Pragmatic planning and organization skills to create the financial, risk management and operational plans that will organize and focus the resources needed to execute the strategic plan Proven experience in business model design to be able to give clear direction on the blueprint for the business that will be required in order that the strategy can be realized and the 3-5 year business plans achieved

Strategic planning consultants will typically call on a range of individuals to bring supplementary expertise with depth of experience in particular areas for example: economic, financial, risk management, marketing, enterprise resource planning, supply chain management. information technology and human resources.

Yes it, is essential role cause it helps in achieving the ultimate goal of business.

Q3. What is strategic audit? Explain its relevance to corporate strategy and corporate governance. Ans. Internal audits serve various purposes. Some audits assess compliance with laws and regulations. Others measure compliance with the organizations internal policies and procedures. A strategic audit helps small-business owners assess whether internal processes move the needle toward their strategic goals. Based on audit results, management adjusts operations to maximize progress toward the goals.
The starting point for each strategy discussion is an audit examining the current situation systematically and in its entirety. Numerous clients from nearly every industry sector trust in our company's experience and international network of experts when they plan to evaluate their current strategy.

Corporate governance is a term that refers broadly to the rules, processes, or laws by which businesses are operated, regulated, and controlled. The term can refer to internal factors defined by the officers, stockholders or constitution of a corporation, as well as to external forces such as consumer groups, clients, and government regulations.
Q4. What is Corporate Social Responsibility(CSR) ? Which are the issues involved in analysis of CSR? Name three companies with high CSR rating.

Ans Corporate initiative to assess and take responsibility for the company's effects
on the environment and impact on social welfare. The term generally applies to company efforts that go beyond what may be required by regulators or environmental protection groups. Corporate social responsibility may also be referred to as "corporate citizenship" and can involve incurring short-term costs that do not provide an immediate financial benefit to the company, but instead promote positive social and environmental change.