People Flashcards
what is the role of strategy in a business?
One that aligns all functions in an org to “row together” toward defining the organization’s goals and direction.
what are the three levels of strategy?
Organizational level which involves a general vision of the future
The business unit level where the focus is on how and where the organization will focus to create value for its shareholders. The focus is on the business units such as sectors, divisions, regions, and product units.
Operational level (finiance, manufacturing, R&D, marketing, HR, and so on)
What are Porter’s primary and secondary activities?
Porter identified two categories of activities: primary and secondary. Primary activities are core functions for the enterprise, creating and delivering products and services for customers. Secondary activities support the primary activities and are common to many organizations.
not all businesses will find this value chain concept realistic bc their business does not control the entire chain of production and distribution.
What are the four parts of the strategy process?
Formulation of the strategy
Development of the strategy
Implementation stage
Evaluation stage
when should gathering data be done
Prior to and during the creation of the strategic plan and continue thru implementation and the monitoring process of the staregic plan.
Tell me what PESTLE analysis stands for and why it is helpful to use.
Political
Economic
Social
Technological
Legal
Environmental
This is an environmental scanning technique that helps businesses assess particular factors that may have an impact on their operations. It can help look at external factors.
regarding industry analysis and teh industry lifeccyle what are the four recognized phases of a business or industry?
Introduction: beginning of the org. entrepreneurial phase where everything is new. policies and systems are being created as they are needed.
Growth: it starts to grow which is influenced by all the factors we have employed in the SWOT and PESTLE analysis.
Maturity: the org is comfy with its size , its influence, and its income. policies and procedures are well documented at this phase
Decline systems have gotten surpassed by technological advances, and products and services have become passe. W/o updates to its core reasons for being the org will ultimately ceases to exist.
what are Porter’s Five Forces?
- Competitive rivalry
. It considers the number of existing competitors and what each one can do. Rivalry competition is high when there are just a few businesses selling a product or service, when the industry is growing and when consumers can easily switch to a competitor’s offering for little cost. When rivalry competition is high, advertising and price wars ensue, which can hurt a business’s bottom line. - The bargaining power of suppliers
This force analyzes how much power a business’s supplier has and how much control it has over the potential to raise its prices, which, in turn, lowers a business’s profitability. It also assesses the number of suppliers of raw materials and other resources that are available. The fewer supplier there are, the more power they have. Businesses are in a better position when there are multiple suppliers. - The bargaining power of customers
This force examines the power of the consumer, and their effect on pricing and quality. Consumers have power when they are fewer in number but there are plentiful sellers and it’s easy for consumers to switch. Conversely, buying power is low when consumers purchase products in small amounts and the seller’s product is very different from that of its competitors. - The threat of new entrants
This force considers how easy or difficult it is for competitors to join the marketplace. The easier it is for a new competitor to gain entry, the greater the risk is of an established business’s market share being depleted. Barriers to entry include absolute cost advantages, access to inputs, economies of scale, and strong brand identity. - The threat of substitute products or services
This force studies how easy it is for consumers to switch from a business’s product or service to that of a competitor. It examines the number of competitors, how their prices and quality compare to the business being examined, and how much of a profit those competitors are earning, which would determine if they can lower their costs even more. The threat of substitutes is informed by switching costs, both immediate and long-term, as well as consumers’ inclination to change.
What is a centralized organizational structure?
A centralized organizational structure relies heavily on top-down decision-making. One person or an executive team is responsible for approving all relevant decisions, which they communicate through various levels of management
What does a SMARTER goal entail?
S - Specific
They need to provide you with clarity and a concise aim as to where you are going with your objective.
What do I want to achieve?
Is anyone else involved?
Is it likely I will face any challenges and what may these challenges be?
How will I achieve this?
M - Measurable
Giving yourself a metric to work alongside makes achieving your goals easier. You can create a timeline and benchmark your progress along it to see if you are meeting your goals in time or not. Ask yourself:
Do I have a timeline?
When do I want to achieve this goal?
How will I know when I have accomplished this goal?
A - Achievable
Are your goals realistic? Is it feasible for you to achieve them in the given timeframe? We like to think that we can achieve big targets, but sometimes this just isn’t the case. Make your goals big enough to push yourself when trying to achieve them. But don’t make them unachievable.
Is this goal realistic?
R - Relevant
Your goals should be relevant. Every goal should have a reason behind it. Smaller goals should link to the larger picture and most should align to team, departmental or organizational objectives.
Do my goals align to the team, department and organizational targets?
Is the task worthwhile?
T - Timely
Make sure you set deadlines to your goals. It is harder to achieve timely goals without one. You may want to extend this to have a timeline of deadlines. Breaking down your superordinate goal into smaller ones so you can track your progress along the way.
When is my task deadline?
Should I create a timeline? If so, what are my smaller goals?
What can I achieve in 6 months?
E – Evaluate!
As opposed to winging it and hoping that by the end of the process you have achieved your goals, continuously evaluate your goals all the way along the process. This can differ by person. Some people may want to evaluate the progress of their goal daily, some weekly and some bi-monthly. Whatever you prefer, make sure you are continuously evaluating your goals to help make sure you achieve them. This goal links very well with timely, in that you have a timeline-based approach to goal setting.
It also means evaluating your performance at the end of the process so that you can learn from your mistakes and optimize your next goal setting process.
Evaluating your goals will help you stay focused all the way along the process.
R – Readjust!
Ever been faced with a continuous problem in the workplace, are you hitting the wall? Well this letter is here to help you. If you are facing a continuous problem with your goals, it’s time to take a step back and re-adjust.
difference between a strategy and an action plan?
A strategy is a statement of how we are going to get things done. It is less specific than an action plan (which answers the who, what, and when).
What are 6 ways to differentiate your product or service?
Product (features, performance, durability, reliability, warranty)
Service (ordering ease, delivery, installation, customer training)
Channel (coverage, expertise, performance)
Relationship (competence, courtesy, credibility, reliability, responsiveness, communication)
Reputation (perception, communication, advertising)
price (by customer, quantity, by segment)
what are Porters Competitive Strategies?
Cost Leadership (reducing costs and lowering prices)
Differentiation (making your product different and charging a premium for it)
Focus (niche markets, you understand the dynamics and customers and offer uniquely low-cost or well-specified products for the market….in turn grow a loyal customer base. This makes the market segment less attractive to competitors)
What is the difference between a merger and acquisition?
A merger is a legal consolidation of 2 entities into 1 entity, whereas an acquisition occurs when one entity takes ownership of another’s stock, equity, interests, or assets.
What is divesture?
This is the opposite of a merger. you can break off pieces of an org and can lave the remainder of the company in a healthier and better place. splitting up a company can be equally painful and complicated.
what are the 5 key emotional intelligence skills associated w/successful leadership characteristics?
Self-awareness- the leader knows how they feel and how their emotions and actions affect ppl around them.
self-regulation- staying in control and regulating your actions and communications.
Motivation-working consistently towards goals and have high standards for the quality of their work
empathy-
social skills- they are great communicators, they are open to hearing bad or good news. they inspire people with a vision and can manage change or resolve conflicts diplomatically.
what is dispersed leadership
this is sometimes called emergent leadership …..leader emerge as part of a group and this is bc of their expertise or experience to lead and influence the group working on the task . this is typically no a person who is given authority by way of title. this is someone the group has chosen to follow. this is becoming more popular.
