-refer to the Added file for thorough instructions
Michelle_Michy
178356723_Introduction_to_Strategy_5.pptxIntroduction to Strategy
Which of these is an example of strategy? Why?
“Our strategy is to be the low-cost leader”
“We’re pursuing a global strategy”
“The company’s strategy is to integrate a set of regional acquisitions”
“Our strategy is to provide unrivaled customer service”
“Our strategic intent is to be the first-mover”
“Our strategy is to move from defense to industrial applications”
What is strategy (cont’d)?
Common use of the term ‘strategy’
Functional level – marketing strategy, hr strategy, strategic finance; catchall term
Adherence to particular ‘strategic’ frameworks
Two problems exist:
Create a narrow, piecemeal conception
View strategy within the confines of a particular model
Both create: strategic fragmentation, narrow focus on threads or parts of strategy, confusion, lack of integration
What is strategy (cont’d)?
Take a step back…the leader’s challenge is to think about the whole: orchestration and comprehensiveness
Strategy: central, integrated, externally oriented concept of how an organization will achieve its objectives
An integrated set of choices
Contains several inter-related parts
What is strategy (cont’d)?
Parts of Strategy
Five elements:
Arenas: where will be active?
Vehicles: how will we get there?
Differentiators: how will we win?
Staging: what will the speed and sequencing of our moves?
Economic logic: how will we obtain our returns?
Parts of strategy (cont’d)
All five need to be intentionally considered, require investments and preparation, and need to align and support one another
Once all five elements have been specified:
Design supporting activities
Ensure all activities reinforce one another, are consistent
Test for integration and comprehensiveness
