Chapter 1 - Strategic management (parts 16-22)

Question 1

The strategy consideration for public sector orgs

Answer 1

Focus on the three Es
Economy (inputs)
Effectiveness (Outputs)
Efficiency (link between inputs and outputs)

Question 2

The strategy consideration for not-for-profit orgs

Answer 2

Competitive element (charities compete for donations)

Question 3

Mintzberg’s organigram - name 5 parts and example of each

Answer 3

Strategic apex - BOD
Middle line - middle managers (seek autonomy)
Operating core - sales team (seek autonomy and mutual working)
Technostructure - paralegal team
Support staff - finance, admin

Question 4

Positioning view - how does it see competitive advantage being gained?
OUTSIDE-IN VIEW

Answer 4

Differentiating product/services
Lower costs
High market share

Question 5

Resource-based view - how does it see competitive advantage being gained?
INSIDE-OUT VIEW

Answer 5

one or more unique competence/asset for competitive advantage

Question 6

What are Jay Barney’s VRIN characteristics?

Answer 6

Variety
Rarity
Inimitability
Non-substitutability

Question 7

What 5 dynamic and internal capabilities are required for resource based management?

Answer 7

Ability to innovate
Efficient processes
Speed of decision-making
Agility
Knowledge management
Learning from experience

Question 8

What are Drucker’s 5 fundamental questions which should drive an orgs strategy?

Answer 8

Mission?
Who is Customer?
What does Customer Value?
Our Results?
Our Plan?

Question 9

What are the 3 basic groups of stakeholders and give example of each

Answer 9

Internal - directors, employees
Connected - shareholders, lenders, suppliers, customers
External - government, pressure groups, local community

Question 10

Describe mendelow’s matrix

Answer 10

Minimal effort - low power, low interest
Keep informed - low power, high interest
Keep satisfied - high power, low interest
Key players - high power, high interest

Question 11

Name the 8 elements of Bowman’s strategic clock

Answer 11

Low price - low added value
Low price (relatively low price to market to sell high vol)
Hybrid
Differentiation
Focused differentiation
Risky, high margin (increased price - standard product)
Monopoly pricing (high price - low value)
Loss of market share (low value - standard price)

Note: last 3 points not sustainable in competitive market

Question 12

Name the 10 parts of Mintzberg’s strategy safari

Answer 12

Design school
Planning school
Positioning school
Environmental school
Cognitive school
Entrepreneurial school
Power school
Cultural school
Learning school
Configuration school