Discuss and Respond

Response 1

Class,

Being that this module’s discussion in part is to dissect the functional, business, and corporate levels of strategy and per usual, effectively apply the understanding in a real world environment i.e., our current professions. I thought it make sense to associate the levels of strategy in the corporate world to those in the military, specifically the Air Force (AF). Fortunately, the functional, business, and corporate strategy have a similar translation in AF doctrine: tactical, operational, and strategic. In short, the tactical level defines how the branch creates operational effects, while the operational identifies what coarse of action, for what duration and in what order, finally the strategic level details the why (Air Force, 2021). The convergence of all three create synchronized impacts across the levels of war as it pertains to air power.

The synergistic effects across all three levels are much like what commercial businesses are looking to achieve such that the strategies at each level reinforce the tier before it and push towards the strategic mapping at the highest corporate level. General Mills “accelerate” strategy focuses development of its competitive advantage where it leans on building its brand, unquenched thirst of innovation, scale and sustaining its positive influence on the planet (Siemon, 2021). These are GM’s top tiered visions for why the company does what it does the where and how. GM’s approach shapes the business’ ability to generate profitability and growth by zeroing in on geographical and product prioritization  within its current portfolio (Siemon, 2021). Building the brand is achieved through increasing its footprint and value where it can organically increase net sales. Afterall, the feel good mission aside… businesses are established to generate financial gain.

It is my opinion that GM employs Porter’s differentiation strategy. GM’s where to play strategy shaped by geographical and product prioritization is only established through good research and innovation techniques found akin to a successful differentiation strategy. Additionally, GM seeks to scale competitively through data analytics (a.k.a. research) to enhance capabilities across the enterprise. GM being in the food space relies on its agility to generate new and exciting products that appeal to its target audiences, but not only that, it wants its consumer base to experience the difference the corporation makes to the communities its involved with. This being a pseudo form of marketing that helps establish the larger benefits of buying the company’s products and brand image that your customers value (Mind Tools, n.d.). GM is firmly planted in Porter’s differentiation strategy with a supporting actor of cost leadership where like most companies it looks to reduce costs holistically and simultaneously increase market share.

 

Reference:

Air Force. (2021, March 10). Air Force Doctrine Publication 1. U.S. [PDF]. Air Force Doctrine > Home. https://www.doctrine.af.mil/Portals/61/documents/AFDP_1/AFDP-1.pdf

Mind Tools. (n.d.). Porter's generic strategies: Choosing your route to success. Management Training and Leadership Training - Online. https://www.mindtools.com/pages/article/newSTR_82.htm

Siemon, J. (2021, February 16). General mills outlines “Accelerate” growth strategy at 2021 CAGNY conference. https://www.businesswire.com/news/home/20210216005260/en/General-Mills-Outlines-%E2%80%9CAccelerate%E2%80%9D-Growth-Strategy-at-2021-CAGNY-Conference

Response 2

 Looking at the corporate-level strategies for General Mills Inc. (GIS), we look at long-term goals to include horizontal/vertical integration, acquisitions, mergers, diversification, and alliances (Luca, n.d.). GIS continues to focus through their Global Growth Framework and Fiscal 2020 priorities. The Global Growth Framework lays out the pursuant of sustainable and profitable growth while effectively competing with every platform and brand, accelerating differential growth platforms and portfolios, and reshaping through acquisitions and divestitures (General Mills, 2019). Fiscal 2020 priorities were to enhance organic lines, continue to grow the pet segment, maintain margins, and meet the leverage target of 3.5 times net debt to adjusted EBITDA (General Mills, 2019). These priorities show that GIS is following the generic Porter Strategy of Cost Leadership. Cost Leadership shows that the company is a low-cost producer at a given level of quality improving process efficiencies through vertical integration, which smaller or newer companies may have trouble competing at this level (Competitive Advantage, 2010). Upstream activities include securing sustainable sourcing of raw materials, locking in pricing with smallholder farmers while working with industry groups such as Field to Market helping sustain crop growth (General Mills, n.d.). GIS expertise in the industry along with their efficient manufacturing processes and distribution channel aid the company at meeting their mission, vision and goals for future growth and sustainment. 

Competitive advantage. (2010). QuickMBA. Retrieved from http://www.quickmba.com/strategy/competitive-advantage/

 

General Mills: A U.S.-based food company. We serve the world by making food people love, providing quality brands in more than 100 countries on six continents. (n.d.). Retrieved from  https://www.generalmills.com/en/company/purpose

 

Luca, A. (n.d.). Strategic Choices. [PowerPoint slides]. Retrieved from https://tlc.trident.edu/content/enforced/161051-MGT599-2021JUL05FT-1/Strategic%20Choices.ppt?_&d2lSessionVal=jccmy8Q5aVw0B5z0jjmAAFz09&ou=161051

 

Porter's generic strategies. (2007). QuickMBA. Retrieved from http://www.quickmba.com/strategy/generic.shtml

less