STRATEGY FORMULATION and IMPLEMENTATION

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1、Prepared by:GREGAR DONAVEN E. VALDEHUEZA, MBALourdes College InstructorCorporationTextile UnitsChemicals UnitAuto Parts UnitFinanceR & DManufacturingMarketingCorporate-Level Strategy:What business are we in?Business-Level Strategy:How do we compete?Functional-Level Strategy:How do we support the bus

2、iness-level strategy?CorporationTextile UnitsFinanceR & DManufacturingMarketingCorporate-Level Strategy:What business are we in?Business-Level Strategy:How do we compete?Functional-Level Strategy:How do we support the business-level strategy?Scan External Environment: National GlobalIdentify Strateg

3、ic Factors: Opportunities ThreatScan Internal Environment: Core Competence Synergy Value CreationIdentify Strategic Factors: Strengths WeaknessesDefine New: Mission Goals Grand StrategyFormulate Strategy: Corporate Business FunctionalEvaluate Current: Mission Goals StrategiesSWOTImplement Strategy v

4、ia Changes in: Leadership / Culture Structure Human Resources Information and Control SystemRivalry among CompetitorsThreat of Substitute ProductsPotential New EntrantsBargaining Power of BuyersBargaining Power of SuppliersInternet tends to increase bargaining power of suppliersInternet reduces barr

5、iers to entryInternet blurs differences among competitorsInternet creates new substitution threatsInternet shifts greater power to end consumers Organizational CombinationStrategic AlliancesAcquisitionsMergersJoint VenturesStrategic Business PartneringPreferred Supplier ArrangementsHighDEGREEOFCOLLA

6、BORATIONLowSTRUCTURAL DESIGN Design organization chart Create teams Determine centralization Arrange facilities, task designLEADERSHIP Use persuasion Motivate employees Shape culture/valuesHUMAN RESOURCES Recruit/select employees Manage transfers/promotions/training Direct layoffs/recallsINFORMATION AND CONTROL SYSTEMS Revise pay, reward system Change budget allocations Implement information systems Apply rules and proceduresOrganizationEnvironmentStrategyPerformance

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