Chapter 9 - Strategy & Performance Excellence Flashcards
A _________ is the pattern of decisions that determines and reveals an organization’s goals, policies, and plans to meet the needs of its stakeholders.
strategy
________________ is the process of envisioning the organization’s future and developing the necessary goals, objectives, and action plans to achieve that future.
Strategic planning
Example of Strategic Planning: CARGILL CORN MILLING (4)
- Where to play
- How to play
- What resources are needed to play
- When to play
Which customers? Which segments? Which geographies? Which products? Where on the value chain?
Where to play
How much focus on each decision of where to play versus the other? What degree of strategic alliance at each step of the value chain? What value proposition to each customer segment?
How to play
What capabilities do we need? What processes do we need? What is the ideal organizational structure? What skills do we need?
What resources are needed to play
When is the right time to make our move?
When to play
(T or F) One of the key practices for a strategic focus on performance excellence is to understand the organization’s operating environment and its key relationships with customers, suppliers, partners, and stakeholders.
True
Understand the competitive environment, the principal factors that determine success, the organization’s core competencies, and strategic challenges—___________, _____________, and ______________-related—associated with organizational sustainability.
business; operational; human resource
(T or F) Gather and analyze relevant data and information pertaining to such factors as the organizations strengths, weaknesses, opportunities, and threats; emerging trends in technology, markets, customer preferences, competitions, and the regulatory environment; long-term organizational sustainability; and the ability to execute strategic plans.
True
(T or F) Develop and refine a systematic approach for conducting strategic planning and setting strategic objectives, including identifying blind spots, leveraging strengths, and addressing challenges over appropriate time horizons.
True
(T or F) Develop and align short-term action plans with long-term strategic objectives, ensure adequate resources and the ability to sustain outcomes, assess financial and other risks associated with the plans, and communicate them throughout the organization.
True
(T or F) Derive human resource plans required to accomplish longer-term strategic objectives and shorter-term action plans that address the potential impacts on the workforce and potential changes to workforce capability and capacity needs.
True
(T or F) Identify key measures or indicators for tracking progress on action plans, ensure that the measurement system reinforces organizational alignment, and project performance of these key measures compared with competitors or comparable organizations to identify gaps and opportunities.
True
Determine the organization’s core competencies, and understand how they relate to the mission, competitive environment, and strategic _____________.
objectives
View the work performed within the organization as a ____________, and make rational decisions about the mix of internal and external work processes that can best achieve the organization’s mission.
system
The goal of __________________ is envisioning the future for purposes of decision making and resource allocation.
strategy development
_____________ strategy development requires a systematic process that involves participation by all necessary stakeholders, ensures that relevant and important data and information are captured and analyzed, addresses both short- and long-term time horizons, addresses key strategic challenges, and leads to innovation and sustainability.
Effective
Effective strategy development requires a _____________ process that involves participation by all necessary stakeholders, ensures that relevant and important data and information are captured and analyzed, addresses both short- and long-term time horizons, addresses key strategic challenges, and leads to innovation and sustainability.
systematic
Effective strategy development requires a systematic process that involves participation by all necessary stakeholders, ensures that relevant and important data and information are captured and analyzed, addresses both short- and long-term time horizons, addresses key strategic challenges, and leads to _____________ and _________________.
innovation; sustainability
STRATEGIC PLANNING PROCESS AT EASTMAN CHEMICAL COMPANY (FIGURE 11.1)
See Chapter 09 Page 8
STRATEGIC PLANNING PROCESS AT PARK PLACE LEXUS (FIGURE 11.2)
See Chapter 09 Page 9
The ____________ of a firm defines its reason for existence.
mission
Mission answers the question: _________________
“Why are we in business?”
MISSION EXAMPLES
________________: Innovative approaches … practical results … outstanding service.
________________: To improve the health of communities.
(1) Freese and Nichols
(2) Premier, Inc.
Benefits of Mission (3)
- guides the development of strategies
- establishes the context within which daily operating decisions are made and sets limits on available strategic options
- governs the trade-offs among the various performance measures and between short- and long-term goals
The ________ describes where the organization is headed and what it intends to be.
vision
Vision is a statement of the ________ that would not happen by itself.
future
A good vision statement should be ______, ________, ______, and ____________ to an organization’s employees.
brief; focused; clear; inspirational
VISION EXAMPLES
___________: Premier’s Owners will be the leading health care systems in their markets, and, with them, Premier will be a major influence in reshaping health care.
______________: Be the firm of choice for clients and employees.
(1) Premier, Inc.
(2) Freese and Nichols