Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify...

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Strategic Business Leader Revision Sdanvi Shi SBL Tutor Guru 29 th June

Transcript of Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify...

Page 1: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

Strategic Business Leader

Revision

Sdanvi Shi

SBL Tutor Guru

29th June

Page 2: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

Webinar agenda

1. Strategic choices and Environmental analysis

2. Ethics

3. Corporate governance, Internal control and Risk management

4. Financial analysis

5. Technology

6. Change management

Page 3: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

1. Strategic choices and environmental analysis

Portfolio analysis tool

1. Why?

2. what?

– Lifecycle analysis

– BCG matrix

– Public portfolio matrix

3. Extend?

– BCG matrix

– Public portfolio matrix

Question mark Stars Cash cow Dog

Introduction Growth Maturity Decline

Relative market share & Market growth rate

Ability& Need

Page 4: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

1. Strategic choices and environmental analysis

Ansoff Matrix (growth strategy)

1. Why?

– Direction of growth

2. what?

– Product

– Market

3. Extend?

– Identify

–Advantages and disadvantages

Market penetration

Market development & Product development

Diversification – related & unrelated

Adding new risk & risk spreading(extend)

Page 5: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

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1. Strategic choices and environmental analysis

Methods of development

1. What?

– Organic

– M&A

– Franchising

2. Extend?

–Advantages and disadvantages

Page 6: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

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1. Strategic choices and environmental analysis

Competitive advantages

1. what?

– Cost leadership

– Differentiation

– No frills/ hybrid(clock)

2. Extend?

– How to maintain

Page 7: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

1. Strategic choices and environmental analysisEnvironmental analysis

1. General business environment – PESTEL

2. National environment – Diamond

3. Industry environment – 5 forces

4. Internal environment – Value chain

5. SWOT

6. Evaluation of different options – SFA

Political Economic Social Technological Environmental Legal

Factor Demand Related industry Firm strategy, structure and rivalry Chance Government

Buyers Suppliers New entrants Substitutes Competition

Inbounds Operations Outbounds Marketing & sales Services

HR Technology Procurement Infrastructure

Page 8: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

1. The two basic issues in ethical decision-making are :

• The right motive

• The right action

2. Tucker’s 5 question model

3. Corporate codes of ethics / Professional codes of ethics

4. Corporate' social responsibilities

• CSR strategy

• Strategic CSR

5. Corporate citizenship: minimizing harm, maximizing benefit,

and being accountable and responsive to stakeholders.

2. Ethics

Profit Legal Fair Right Sustainability

Competence and due care Professional behaviour Integrity Confidentiality Objectivity

Page 9: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

6. Environmental report

• Sustainability

• GRI

• Purposes and benefits

7. TBL accounting – profit people planet

8. Integrated report

• Use of and dependence on different resources

• Value creation process

2. Ethics

Page 10: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

3. Corporate governance

1. Main management styles

• Autocratic

• Democratic

2. NED

• Roles and benefits

• Independence

3. Firm structure & Board structure

• Unitary and multi-tier

• Refer to case

Page 11: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

3. Corporate governance

4. Nomination committee

• Size

• Balance

• Diversify

• Succession and continuity

• Induction and leaving the board

5. Remuneration committee

• Policy setting

• Package setting

• Disclose

Talent management

• Attracting

• Subsequently identifying

• Coaching in management and leadership skills

• 以结果为导向的有效沟通

✓ With other 'talented' individuals

✓ With senior management and board level executives

✓ With key organizational customers

• CEO in the Talent management

✓ Lead the talent management

✓ Set the needs for talents

✓ Driving force in attracting talents

Page 12: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

3. Corporate governance

6. Audit committee

• All NED with at least one financial expert

• Internal audit – whether need to have one & annual review

• Risk committee: NEDs and EDs

7. Risk management

• Identify the risks

• Risk management – TARA & risk appetite

• Internal controls(preventing and detecting) – aims & factors to be considered & challenges

• ALARP

Scope, Authority, Resources and Independence

Page 13: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

4. Financial analysis1. NPV

• Discounted cash flow

2. Payback period

• Cash flow (ignore time value)

• Ignore cash flow after payback period

3. Funding

• Cash retained

• Debt

• Equity (Venture)

4. Forecasting

• Internal focus; historical data; limited data

5. Scepticism (assumptions)

Page 14: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

5. Technology

1. Big data

• 3Vs

• Cloud computing

• AI

• Benefits and challenges

2. Disruptive technology

• Fintech

• Cryptocurrency

• DLT

• Mobile technology

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© ACCA PUBLIC

5. Technology

3. E-procurement and E-marketing

• Automating

• Benefits and risks

4. E-marketing

• 6Is

• 7Ps

Page 16: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

6. Change management

1. Cultural web

2. Process redesign

• Complexity => automate or not

• Importance => outsource or not

• BPR(simplification, improvement)

3. Change management

• Prepare for change

• Implementing

• Not going back

symbol, story, organizational structure, power structure, control system, rituals and routines, paradigm

Off-the-shelf vs bespoke

Page 17: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

6. Change management

4. PID

• Elements

• Business case

• Post-implementation review

PID

Project objectives

Anticipated benefits

Scope

Deliverables/outcomes

Constraints

Key stakeholders

Project team roles

Risk assessment

Cost estimates

Performance measurements

Page 18: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

Any questions?

Page 19: Strategic Business Leader Revision · 4. Nomination committee • Size • Balance • Diversify • Succession and continuity • Induction and leaving the board 5. Remuneration

© ACCA PUBLIC

Thank you!