Slides 2 Flashcards
What are the trategic principles of strategic management? (5)
- Strategy effects direction and scope of an organization’s activities
- Strategy involved matching an organization’s activities with the environment
- Strategy requires matching an organizations activities with its resource capacities
- The substance of strategy is influenced by the views and expectations of key stakeholders
- Strategic decisions influence the long-term direction of the organization
What is strategy?
The process of determining the direction and scope of an organization, considering its capabilities and the environment in which it operates
What is planning
The process of documenting strategic decisions in a step-by-step manner
What is strategic management?
The process through which organizations analyze and learn from their internal and external environments, establish stratetic direction, create strategies that are intended to help achieve established goals, and execute those strategies, all in an effort to satisfy key organizational stakeholders
What is a strategic plan?
The culmination of the strategic management process; a document that maps where you are, where you want to go, and how you are going to get there
What key aspects improve the strategic plan?
- Speaking about short, medium, AND long term futures
- Stimulate strategic dialogue; not the same questions every year
- Engage the broad organization in their strategic development efforts
- Invest in execution and monotoring
What is the stakeholder theory?
It suggests that priorities, values, and interests of all stakeholdes are intrinsically valuable and should be considered
What does SWOT stand for?
Strengths
Weaknesses
Opportunities
Threats
What does analyzing one’s strengths entail?
Asking questions such as:
What are you good at?
What advantages do you have regarding resources?
Which resource gives you a competitive advantage?
Which resources help you sustain an advantage?
What does analyzing one’s weaknesses entail?
Asking questions such as:
What you improve?
What aspects of your resources cause losses or negative performance compared to your competitors?
What is your organizational capacity?
What does analyzing one’s opportunities entail?
What aspects, changes, or trends in the external environment could provide opportunities to gain or sustain a competitive advantage?
What does analyzing one’s threats entail?
What aspects, changes, or trends in the external environment could threaten your organization’s competitive advantage?
What parts of SWOT are internal analysis?
Strengths and Weaknesses
What parts of SWOT are external analysis?
Opportunities and Threats
What are tangible resources?
Resources that can be measure
