Chapter 1 : Operations Flashcards
Learns about the purpose or intent of strategic planning process and key features of strategic planning
What is the 5 step of Strategic planning process
- Identity the organisation’s mission and objectives
- Environmental scan
- Strategic formulation
- Strategic implementation
- Evaluation and control
What is the purpose of intent of strategic planning process
- Establish overall goals for a business and develops plan to achieve
- deciding on the direction to take the business, according to its priorities
- goal set are implemented and communicated to all staffs to for best chance of success
- strategic plans need controlled through regular monitoring
- evaluating strategic plans help keep the goals achievable and changed can take place if needed
- assists managers to assess should expand business
Why strategic planning is important to grow a business
- Taking risk when deciding to grow
- sp helps to reduce and manage the risk
- identity where a company wants to take their business and how
Why is establish mission and objectives is important
- outlines purpose of going business , what it wants achieve and how it is different to competitors
- communicates to all stakeholders to the core purpose and values of the company
Goals =
expression of strategic intent
SMART procees can be used
goals for long term
Objectives
give more detail to the goals
include KPIs to measure progress towards their goals
achieve in short and medium term
What is environmental scan
situational analysis, a scan that researches and analyses the business environment to identify and anticipate factors that will affect business growth and success
What include in Internal
- culture
- employees
- management style
- business form
What include in Operating
- competitiors
- customers
- suppliers
- local community
What include in Macro
external
- Laws and regulations
- technology
- economy
- social trends
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What PEST analysis is used to analyse?
macro environment
What PEST include
Political legal factors
Economic factors
Socio-cultural factors
Technological factors
What’s Porters Five Forces explains
an industry’s level of competition
strength shows how easy or difficult to compete in a market
What’s are the five forces in Porter’s Force analysis
*Powers of buyers
* Power of Suppliers
* Threats of new entrants
* Threat of Substitutes
* Level of competition
Swot Analysis
used to gather and categorize information about a business opportunity,new market, strategy formulation or change.
