Strategic Plan and Self-Reflection Summary
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Module5OverviewBUS499Part2.docxModule 5 Overview, Part 2
· Work individually to gather information to identify problems and develop a plan for implementing solutions to those problems.
· Develop a business strategic plan which integrates the information and analysis gathered in Modules 1 through 5, culminating in a document.
In Module 5, Part 1 you learned about ethical corporate leadership. You also learned about what leaders do to set strategic direction, design effective organizations, and shape a high-performing culture while serving the best interests of multiple stakeholders. Building an ethical and learning organization was also covered.
In this second part of Module 5 you will compile your strategic business plan based on the work done in Modules 1 through 5.
The strategic plan that you create should emphasize the implementation and communication of the business plan and the ways to overcome resistance or barriers to change.
You will submit a Microsoft PowerPoint presentation to the facilitator and reflect on your educational experience and future plans.
Business Plan—Final Project Activity
The business plan you will submit for Harley-Davidson should be thorough. It should represent your idea of the best way this dominant firm can continue to grow as well as build and maintain sustainable competitive advantage.
The assignment is the culmination of the work you have completed in this class.
This module you will draft an implementation and communication plan to make sure you have buy-in throughout the organization and that key metrics are developed to measure success. This will ensure that you analyze resistance to change and plan for how to overcome resistance.
Let's take a look at what the business plan should include.
Business Plan Guidelines
What Is a Business Plan?
A business plan is a document that defines a company's expected course of action for a specified period.
The plan includes a detailed analysis of risks and uncertainties.
The plan projects future opportunities for the organization and maps the financial, operations, marketing, and organizational initiatives and action plans that can enable the organization to achieve its goals.
Purpose of a Business Plan
A business plan aims to chart the future of the firm by identifying the subsequent strategic steps the firm should take. A well-executed plan uncovers opportunities that match the firm's resources and capabilities.
Compiling Data in a Business Plan
You are now aware of the sections of a business plan.
In addition, by analyzing the last four modules' assignments, you should have most of the data you need for the plan.
Next, you synthesize what you learned and formalize it into a plan.
The recommendations are important; however, the action steps that the leaders take to communicate the plan to the entire organization are also essential. Typically for communication, multiple channels are used including face-to-face meetings, Web-casts, and written communication.
Often, the key messages and initiatives are under communicated. The key messages should be first communicated to the key influencers who have the power to ensure that the plan and the changes it implies are either accepted or rejected.
Also, the key messages should be consistent across stakeholders providing the "right" amount of detail for each group.
Implementation is where the proverbial "rubber hits the road." This implies that the real worth of a plan—how effective it is—is known only after the plan is implemented.
To continue the metaphor, implementation is also where many firms "get a flat tire or worse." This means that many business plans that look great on paper may not be effective when actually implemented.
Planning for implementation ought to start in the formulation phase. The planning should start with an assessment of the firm's capacity to execute the initiates. Scaling back may be needed to build the capacity to successfully implement the plan.
Good luck for your business plan compilation!
Summarizing the Course
From Module 1 through Module 5 you learned about the three phases of strategy making.
Each phase is characterized by a unique set of activities described in simple terms as:
1. Strategy Analysis: It is characterized by research and analysis in the external environment and internal company situation.
2. Strategy Formulation: It uses the relevant information to design and develop a set of strategic actions charting the future of the organization.
3. Strategy Implementation: It helps the organization to focus on achieving results through execution, measurement, and revision if needed.
Through these phases, the ultimate goal is to identify the "market space" where the firm can successfully compete while achieving its mission, vision, and goals.
In the preceding modules you also learned that firms, whether intentionally or unintentionally, foster a culture unique to the firm in terms of values, beliefs, norms, behavior, and rewards, to name a few.
This culture, too, shapes the strategy and the thought process of all members of the firm. The culture shapes the relationship with stakeholders and embodies what the firm stands for and how it functions.
You covered a large amount of business ground in this course. I hope that the content and assignments have honed your business judgment and helped you think in terms of how firms can ensure growth by formulating and implementing strategies and by building and sustaining competitive advantage.
Course Summary Continued
Companies that prosper are the ones where all employees—not just the leaders—understand the strategy, the goals, and the business model and are aligned around the vision and the mission.
In organizations such as these, all members are aware that the "whole is greater than the sum of it parts."
The synergy, sharing, and learning are prevalent across departments and across business units. Collaboration and cross-functional problem-solving are used because, in most companies, the performance gaps are spread across multiple departments or functional areas of the business.
Importance of Corporate Culture
Culture in businesses that perform well supports excellence. In such businesses culture is employee-centered internally and customer-centered externally.
Business Policy and Strategic Decisions BUS499
Revision Questionnaire
Q: What are the three steps in the strategic management process?
A: The three steps in the strategic management process are strategy analysis, strategy formulation, and strategy implementation.
Q: Which are the two types of business environments that need to be analyzed during the strategy analysis stage?
A: The two types of business environments to be analyzed during the strategy analysis stage are the internal environment and the external environment. Q: What are the stages of the industry life cycle? A: The stages of the industry life cycle are as follows:
Introduction
Growth
Maturity
Decline
Q: What does SWOT stand for and how is it related to strategy analysis?
A: SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. Analyzing the strengths, weaknesses, opportunities, and threats of an organization and its competition is part of the strategy analysis process.
Q. What is an organization’s value chain?
A: An organization’s value chain includes: ? Primary activities
o Inbound logistics
o Operations
o Outbound logistics
o Marketing and sales
o Service
Secondary activities
o Firm infrastructure
o Human resources management
o Technology development
o Procurement Page
2 of 2 Revision Questionnaire Answers
© 2006 Argosy University
Q. What is the importance of an organization’s value chain?
A: A value chain is important because it identifies the areas where an organization can build core competencies. Leaders can identify where to place each important activity in the value chain so that the activity is cost effective while quality is maintained.
Q: Which part of the SWOT analysis occurs during an internal analysis, and which part occurs during an external analysis?
A: An internal analysis discusses the strengths and weaknesses; an external analysis discusses the opportunities and threats.
Q: At which levels does strategy formulation take place?
A: The two levels at which strategy formulation takes place are:
Business-unit level
Corporate level
Q: What are the three business-unit-level generic strategies that Michael Porter presented?
A: The three business-unit-level generic strategies that Michael Porter presented are:
Overall cost leadership
Differentiation
Focus
Q: What are the two ways by which corporations can diversify? A: Corporations can diversify in the following two ways:
Related diversification
Unrelated diversification
Q: What are the corporate-level diversification strategies?
A: Related or unrelated diversifications are carried out in three ways:
Mergers and acquisitions
Strategic alliances and joint ventures, which may morph into acquisitions after proving their viability and potential
Internal growth
Q: What are the key ingredients for successful implementation of strategies? A: The key ingredients for successful implementation of strategies are:
People
Leadership
Ethics
Organizational objectives
Summary, Part 2
This module you learned about how to compile a strategic business plan. You learned about the various important components that a business plan should incorporate. You also learned about the importance and purpose of a business plan.
