Wheelen Smbp13 Ppt 10

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Strategic Management and Business Policy. 13e

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  • STRATEGIC MANAGEMENT & BUSINESS POLICY 13TH EDITIONTHOMAS L. WHEELEN J. DAVID HUNGER

  • Integration Managers

    Prepare a competitive profile of the company in terms of its strengths and weaknessesDraft a profile of what the ideal combined company should look likeDevelop action plans to close the gap between actual and idealEstablish training programs to unit the combined company and make it more competitive

  • Successful Integration Managers

    Deep knowledge of the acquiring companyFlexible management styleAbility to work in cross-functional teamsWillingness to work independentlySufficient emotional and cultural intelligence to work in a diverse environment

  • Staffing Follows Strategy

    Training and developmentExecutive typesDynamic industry expertAnalytical portfolio managerCautious profit plannerTurnaround specialistProfessional liquidator

  • Selection and Management Development

    Executive succession- replacing a key top manager

    Succession planningIdentifying candidates below the top layer of managementMeasuring internal candidates against external candidatesProviding financial incentives

  • Identifying Abilities and Potential

    Performance appraisal system identifies good performers with promotion potentialAssessment centers evaluates a persons suitability for an advanced positionJob rotation- ensures employees are gaining a mix of experience to prepare them for future responsibilities

  • Problems in Retrenchment

    Downsizing the planned eliminated of positions or jobsCan damage the learning capacity of an organization

  • Successful Downsizing

    Eliminate unnecessary work instead of making across the board cutsContract out work that others can do cheaperPlan for long-run efficienciesCommunicate the reasons for actionsInvest in the remaining employeesDevelop value added jobs to balance out job elimination

  • International Issues in Staffing

    Culture differencesManagement stylesHuman resource practicesSuboptimizationCommunication and coordinationLack of international management with experience

  • Implementation involves leading and coaching people to use their abilities and skills most effectively and efficiently to achieve organizational objectives

  • Managing Corporate Culture

    Strong cultures are resistant to changeOptimal culture supports mission and strategiesChange in strategy should be followed by change in culture

  • Accessing Strategy-Culture Compatibility

    Is the proposed strategy compatible with the companys current cultureCan the culture be easily modified to make it more compatible with the new strategyIs management willing and able to make major organizational changes and accept probable delays and a likely increase in costsIs management still committed to implementing the strategy

  • Managing Cultural Change Through Communication

    CEO and top management communicated the strategic vision throughout the organizationCurrent performance was compared to competition and constantly updatedVision was translated into key elements needed to accomplish the vision

  • Managing Diverse Cultures Following an Acquisition

    Methods of managing two different culturesIntegration- balanced give and take of culturesAssimilation- domination of one culture over the otherSeparation of the two culturesAssimilation- disintegration of one culture resulting from pressure form the other to impose its culture and practices

  • Action plan- what actions are going to be taken, by whom, during what time frame, and with what expected results

    Specific actions to be taken to make the program operationalDates to begin and end each actionPerson responsible for carrying out each actionPerson responsible for monitoring the timeliness and effectiveness of each actionExpected financial and physical consequences of each actionContingency plans

  • Importance of Action plans

    Serve as a link between strategy formulation and evaluation and controlSpecifies what needs to be done differently from current operationsEvaluation and control processes appraise performance and identify remedial actions

  • Management by Objectives (MBO)- encourages participative decision making through shared goal setting and performance assessment based on achieving stated objectives

    Establishing and communicating organizational objectivesSetting individual objectivesDeveloping an action plan to achieve objectivesPerformance review (periodic and annual)

  • Total Quality Management (TQM)- philosophy that is committed to customer satisfaction and continuous improvement

    ObjectivesBetter, less variable quality of the product and serviceQuicker less variable response in processes to customer needsGreater flexibility in adjusting to customers shifting requirementsLower cost through quality improvement and elimination of non-value added work

  • Essential Ingredients

    Intense focus on customer satisfactionInternal as well as external customersAccurate measurement of every critical variable in a companys operationsContinuous improvement of products and servicesNew work relationships based on trust and teamwork

  • Dimensions of National Culture

    Power distanceUncertainty avoidanceIndividualism-collectivismMasculinity-femininityLong-term orientation

  • What skills should a person have for managing a businessunit following a differentiation strategy? Why? What shoulda company do if no one is available internally and the company has a policy of promotion from within?When should someone form outside the company behired to manage the company or one of its business units?What are some ways to implement a retrenchmentstrategy without creating a lot of resentment and conflictwith labor unions?How can corporate culture be changes?Why is an understanding of national cultures important in strategic management?

  • PowerPoint created by:Ronald Heimler

    Dowling College- MBAGeorgetown University- BS Business AdministrationAdjunct Professor- LIM College, NYAdjunct Professor- Long Island University, NYLecturer- California State Polytechnic University, Pomona, CAPresident- Walter Heimler, Inc

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    Copyright 2012 Pearson Education, Inc. publishing as Prentice Hall