Professional Documents
Culture Documents
Ch 9-1
Strategic Management
Process Model
Ch 9-2
Ch 9-3
Ch 9-4
Ch 9-5
Ch 9-6
Ch 9-7
Consonance
Feasibility
Advantage
Ch 9-8
Consistency
Strategy should not present inconsistent goals and policies. There is
inconsistency when:
Persistence of issues-based (not personality-based) conflicts
Success for one department means failure for another
Policy problems are frequently referred to the top for resolution
Consonance
Need for strategies to examine sets of trends rather than a single trend
Need a holistic view (internal and external environments)
Feasibility
Neither overtax resources or create unsolvable sub-problems
Can it be done with the given or available resources?
Advantage
Creation or maintenance of competitive advantage
If it doesn't create a competitive advantage then whats the point?
Ch 9-9
Ch 9-10
Ch 9-11
Result
No
No
No
Take corrective
actions
Yes
Yes
Yes
Corrective actions
Yes
Yes
No
Corrective actions
Yes
No
Yes
Corrective actions
Yes
No
No
Corrective actions
No
Yes
Yes
Corrective actions
Yes
Corrective actions
Ch 9-12
Yes
Continue present
No
Yes
Copyright 2007 Prentice Hall
No
No
Ch 9-13
Ch 9-14
Ch 9-15
Evaluation Framework
Yes
NO
Measure Firm Performance
Ratios and stated objectives
Differences?
Take
Corrective
Actions
Yes
NO
Continue
present
course
Copyright 2007
Prentice
Hall
Ch 9-16
Ch 9-17
Financial Ratios
Ch 9-18
Ch 9-19
Ch 9-20
Ch 9-21
Balanced Scorecard
Area of Objectives
Measure or Target
Time Expectation
Primary Responsibility
Customers
1
2
Managers/Employees
1
2
Operations/Processes
1
2
Community/Social Responsibility
1
2
Business Ethics/Natural Environment
1
2
Financial
1
2
Ch 9-22
Economical
Meaningful
Generates useful information
Timely information
Provides accurate picture of events
Ch 9-23
Have major
changes
occurred in the
firms external
strategic
position?
No
No
No
Corrective actions
Yes
Yes
Yes
Corrective actions
Yes
Yes
No
Corrective actions
Yes
No
Yes
Corrective actions
Yes
No
No
Corrective actions
No
Yes
Yes
Corrective actions
No
Yes
No
Corrective actions
No
No
Yes
Continue course
Result
Ch 9-24
If our sales objectives are not reached, what actions should firm
take to avoid losses?
If demand for new product exceeds plans, what actions should firm
take to meet higher demand?
Ch 9-25
Ch 9-26
Ch 9-27