Tag Archives: Positioning
In the 1970's, many large firms adopted a formalised top-down strategic planning model. Under this model, strategic planning became a deliberate process in which top executives periodically would formulate the firm's strategy, then communicate it down the organisation for implementation.
This process is most applicable to strategic management at the business unit level of the organisation.
For large corporations, strategy at the corporate level is more concerned with managing a portfolio of businesses.
For example, corporate level strategy involves decisions about which business units to grow, resource allocation among the business units, taking advantage of synergies among the business units, and mergers and acquisitions. In the process outlined here, "company" or "firm" will be used to denote a single business firm or a single business unit of a diversified firm.
This resource takes you step by step through the model.
Click on the following link to find out more: Strategic Planning Process Model
This is the third in a series of papers by Peter Hyde and Bill Williamson exploring the power of organisational values and their potential influence - positive and negative - on an organisation’s ability to sustain its performance over time.
The paper concludes that '...the core values of your organisation exist whether or not you or your predecessors have made them explicit.
They are bound into the fabric of your organisation....they will be revealed and reinforced by behaviours; traditions; rituals; and myth telling which have come to define ‘the way we do things around here’.
To read the report in full: Click Here
Although there are countless organisational models, this paper describes one particular approach–the congruence model of organisational behaviour.
First developed by David A Nadler and M L Tushman in the early 1980s, it has been found to be particularly useful in helping leaders to understand and analyse their organisations’ performance.
This approach has been developed and refined over nearly three decades of academic research and practical application in scores of major companies.
It doesn’t provide any pat answers or pre-packaged solutions to the perplexing issues of large-scale change. Instead, it is a useful tool that helps leaders understand the interplay of forces that shape the performance of each organisation, and starts them down the path of working with their own people to design and implement solutions to their organisation’s unique problems.
This paper, shared by Stanford University, describes the congruence model and suggests how it can provide a starting point for large-scale change.
The Chartered Institute of Management Accountants (CIMA) produce a range of 'Topic Gateways' which are intended as a refresher or introduction to topics of interest to their member
s and others involved in the practical application of finance within organisations.
This Topic Gateway explores a range of analysis tools include SWOT and PEST analysis, Porter’s Five Forces and Value Chain Analysis etc.
To download this Topic Gateway Click Here
Porter's Five Forces model, named after Michael E. Porter, identifies and analyses five competitive forces that shape every industry, and helps determine an industry's weaknesses and strengths.
These forces are:
1. Competition in the industry;
2. Potential of new entrants into the industry;
3. Power of suppliers;
4. Power of customers;
5. Threat of substitute products.
Frequently used to identify an industry's structure to determine corporate strategy, Porter's model can be applied to any segment of the economy to search for profitability and attractiveness.
To read more click on the following link: Five Forces Model
The balanced scorecard was initiated by two researchers from Harvard Business School by Robert. S. Kaplan and David. P. Norton in the early 1990’s.
It was designed and developed for measuring strategic performance and management structure of an organisation.
The Harvard Business Review define the balanced scorecard in the following way:
“The balanced scorecard retains traditional financial measures. But financial measures tell the story of past events, an adequate story for industrial age companies for which investments in long-term capabilities and customer relationships were not critical for success. These financial measures are inadequate, however, for guiding and evaluating the journey that information age companies must make to create future value through investment in customers, suppliers, employees, processes, technology, and innovation.”
To find out more about how to develop your own balanced scorecard Click Here
When new to a leadership role it can sometimes be a challenge to understand what your more experienced colleagues are talking about!
This glossary gives you an explanation of some of the most common words used when leaders are discussing strategy and other key business processes.
As you hear your colleagues using any of the words or phrases within this glossary, make a note of what they were talking about at the time and how that word or phrase is used / interpreted within your organisation - going forward, t may help you to engage in more meaningful conversations with your new colleagues.