Strategic context for Business Analysis Flashcards
What is the purpose of an organisations vision ?
Defines the target state of the organisation without regard to how this will be achieved
The target state is realised through the completion of the _________
Mission
What does VMOST stand for ?
Vision, Mission, Objectives, Strategy, Tactics
VMOST provides an approach for the development and assessment of ____
Strategy
What does each element in VMOST address ?
Vision: Defines the target state for the organisation without regard to how this be achieved
Mission: Describes what the organisation does or will do
Objectives: Specific objectives or outcomes the organisation wants to achieve
Strategy: Long term approach that is going to be taken by the organisation to achieve ‘vision’, ‘mission’ and ‘objective’
Tactics: Specific and detailed mean by which stratgey should be executed
What does each element in VMOST address ?
Vision: Defines the target state for the organisation without regard to how this be achieved
Mission: Describes what the organisation does or will do
Objectives: Specific objectives or outcomes the organisation wants to achieve
Strategy: Long term approach that is going to be taken by the organisation to achieve ‘vision’, ‘mission’ and ‘objective’
Tactics: Specific and detailed mean by which strategy should be executed
What’s the purpose of VMOST ?
Assess the internal strategic environment
What is a resource audit ?
A technique used to investigate both tangible and intangible resources
List the elements of Resource audit ?
Physical
Financial
Human
Know how
Reputation
What can physical resources include ? and what questions can be asked to assess the degree of strengths and weaknesses ?
- Buildings
- Land
- Machinery
- Physical computer equipment
- Vehicles
- Are physical resources appropriate and fit for purpose ?
- Do physical resources impede or constrain the organisation in meeting strategic goals and objectives?
- Are the costs for development and maintenance of physical resource appropriate ?
What can Financial resources include ? and what questions can be asked to assess the degree of strengths and weaknesses ?
- All financial assets and liabilities
- Cash flow
- Profitability
- Credit rating
- Overdraft and loan facilities
- Ability to generate capital
How strong is the overall financial position of the organisation ?
What is the balance of assets and liabilities for the organisation ?
Are income streams growing or declining ?
Are costs growing or declining ?
How strong is the cash flow position of the organisation ?
Is the organisation able to raise finance through borrowing ?
What can Human resources include ? and what questions can be asked to assess the degree of strengths and weaknesses ?
- Leadership and management
- Full and part time employees
- Temporary workers
Are the human resources willing and able to execute against strategic objectives ?
How strong are the succession plans within the organisation ?
How adaptable and skilled are the human resources of the organisation ?
Where are the human resources geographically ?
How motivated are the human resources within the organisation ?
What can Know-how include ? and what questions can be asked to assess the degree of strengths and weaknesses ?
- Patents, copyright and other intellectual property
- Knowledge resources (operating procedures, processes, internal knowledge repositories)
- Knowledge of supplier and customer preferences
- Acquisition, retention and analysis of data
How strong is the know-how of the organisation?
Is know how documented and retrievable ?
Is the organisation reliant on the know-how of key individuals? What is the risk associated with this?
What unique abilities does the organisation have?
What abilities do the suppliers and customers of the organisation have?
What can reputation include ? and what questions can be asked to assess the degree of strengths and weaknesses ?
- Reputation of brand organisation owns
- Organisation reputation as an employer
- Organisation reputation as a partner, supplier or customer
- Organisation reputation as a supplier of goods and services
- Benchmark information, accreditation’s and awards
- Level of goodwill towards organisation from potential/customers
What is the reputation of the organisation?
What positive or negative reviews of the organisation are available?
What feedback do regulators, partners, suppliers, customers or employees provide
about the organisation?
What do competitors say about the organisation?
What do regulators say about the organisation?
What benchmarking information is available about the organisation?
Has the organisation obtained any accreditation’s or awards?
What does SWOT stand for ?
Strengths, Weaknesses, Opportunities and Threats
Which aspects of SWOT is internal or external ?
Internal: Strength and weaknesses
External: Opportunities and threats
What are the porters five forces ?
- Threat of new entrants
- Bargaining power of buyers
- Threat of substitute products or services
- Bargaining power of suppliers
- Industry competitors
What four performance areas are measured in a Balanced scorecard ?
- Financial
- Internal business process
- Learning and growth
- Customer
What do each of these areas refer to ?
Financial: Financial performance (Profitability , liquidity, turnover, share price)
Internal business process: process performance (error/defect rates, lead time, performance against service level agreements, Process variability)
Learning and growth: Investment in organisation for future learning and growth
Customers: Measures relating to customer (complaints recommendations, loyalty, customer feedback ratings, reviews)
What is the purpose of BSC ?
Provides a means to assess the breadth and balance of goals and objectives that the organisation uses to measure strategic performance
What are CSF ?
Critical success factors are qualitative descriptions of the critical factors that must be in place for the organisation to achieve defined objectives
What are KPI’s ?
Key performance indicators are quantitative measurements of performance that track the achievement of the of CSF’s
What are targets ?
Specific and provide an objective measurement of performance against objectives or KPI’s
What is an objective ?
Specific objectives or outcomes that the organisation wants to achieve
Used to guide and measure progress towards the organisations Vision and completion of the Mission
