190331 - In-House Presentation - After Course Activities.pptx

190331 - In-House Presentation - After Course Activities.pptx

1. Strategy & Business Planning After Course Activities - In-house presentation March 30, 2019

2. Knowledge Transfer Area for Improvement

3. Mintzberg’s 5 P’s of Strategy Developing a Better Strategy Mintzberg’s 5 Ps of Strategy is a model to which can help the organizations develop its strategy by examining it from five different perspectives. Each ‘P’ throws light on what strategy means from a different perspective. The idea is that by defining the strategy from five perspectives the organization get a more robust strategy than using a couple of sentences to define it. The purpose is to get the organization from where they are now to where they want to be. Specific tactics to try and outsmart or disrupt what competitors are doing. Looking at what kind of behaviour patterns have worked for the organization in the past, and deciding which of these patterns should be continued or enhanced. Tells the organization where it sit on the playing field relative to the competitors. Looks at shaping the personality and culture of the organization.

4. Quality standards Developing a Better Strategy Consistency Strategy must not present mutually inconsistent goals and policies Consonance The Strategy must represent an adaptive response to the external environment and to the critical changes occurring within it Advantage A Strategy must provide for the creation and/or maintenance of competitive advantage in a selected area of the activity Feasibility A Strategy must neither overtax available resources nor create unsolvable sub-problems

5. Mission Statement Corporate Identity The mission is a brief statement, typically one or two sentences, that defines why the organization exists, especially what it offers to its customers and clients Impact The change that will be created = The core purpose or the main reason why the organization was set up Mission How the change will be created = The organization’s commitment or promise to the stakeholders

6. Vision Statement Corporate Identity A vision statement is a short statement to define the core ideas shaping and directing your business. It’s a description of the long-term changes the company wants to achieve with its work, either by providing products or services What does the business do ? It Should create a message that can answer the following questions How are you planning to achieve it? How do you help people ? What are you trying to achieve ? The way this organization should look like in the future (10:30 years from now) Or The desirable Future, the way the organization wants to be

7. Values Statement Corporate Identity Core values are the essential and enduring tenets of an organization. A small set of timeless guiding principles. Organizations’ Maturity Levels: Explain the values Feel the values Live by the values

8. It looks at how the organization is fulfilling its mission Internal Environment Scanning For this purpose; the internal environment scanning analyse the organization’s business model in terms of: The Value Formula: Values offered to the customers Solutions used to offer the value Resources Processes Capabilities The Profit Formula: Revenue model: price x volume Cost structure: Direct costs Indirect costs Economies of scale Margin model: The contribution needed from each transaction to achieve desired profits Resource velocity: How well the organization needs to utilize resources to support the expected volume and achieve the anticipated profits VSCAP Model Used to identify Strength and Weaknesses

9. It looks at the organization’s macro and micro environment which are uncontrollable factors External Environment Scanning Micro Environment Analysis – Porter’s 5 Forces Model Macro Environment Analysis – PESTEL Used to identify Opportunities and Threats

10. It is a planning process that allows the organizations to overcome challenges and determine what new leads to pursue. SWOT Analysis Opportunities Weaknesses Strength Impact Objective(s) aim to preserve and maximize Strength, eliminate and reduce Weaknesses Threats Weaknesses Strength Impact Objective(s) aim to preserve and maximize Strength, eliminate and reduce Weaknesses

11. It is a planning process that allows the organizations to overcome challenges and determine what new leads to pursue. Objectives Defined Quality Criteria The main idea of a strategy map is that each strategic objective in your balanced scorecard is represented by a shape

12. Business Planning Strategy should communicated to all departments and the strategic objectives should be cascaded at department levels in order to: Set Strategic and Operational objectives for each department Align departments’ objectives with the strategic objectives Identify the departments’ initiatives that put the strategy into practice Same Objectives & Same KPIs Same Objectives & Same KPI + Specific KPI(s) Same Objectives & Specific KPI(s) Or Or

13. Knowledge Transfer Area for Improvement

14. Area for Improvement Initiative # 1: Develop the corporate identity Actions to be made Conduct workshop Write draft statements for mission, vision and values to be revised Write the final approved statements Issue/needs addressed Develop the corporate identity Needed resources Company's owner, Company's team (as the company size about 10 employees) Persons involved Managing Director Initiative # 2: Conduct VSCAP Actions to be made Identify the value and the solution provided Identify the process, assets, and capabilities Set the profit formula Issue/needs addressed Conduct the internal environment analysis Needed resources Company's owner, Company's team (as the company size about 10 employees) Persons involved Managing Director Initiative # 3: Conduct the external environment analysis Actions to be made Conduct PESTEL analysis Conduct the micro environment analysis (Porter's model) Conduct SWOT analysis Set the strategic Objectives Issue/needs addressed Conduct the external environment analysis Needed resources Company's owner, Company's team (as the company size about 10 employees) Persons involved Managing Director