Reference no: EM133520919

Homework: Strategic Management Project

Project Overview

This course requires you to construct a detailed and well-thought-out analysis of a business by employing all the relevant strategic tools studied in the course, which will be supplemented by significant research.

This course is designed to help you develop strategic skills that can be used in management. The process of strategic planning is an iterative cycle of research involving critical analysis and the use of your research to end with clear strategic choices with detailed implementation steps and consequences anticipated from a successful implementation. The most tangible output is the strategic plan. Accordingly, the assessment of the final project will be heavily dependent on the quality of the strategic thinking articulated in the plan. You will need to use research on the company, its industry, and the competition to create a quality strategic plan. It is critical that you fully understand each of the tools presented in your textbook and use those tools to determine the best approach for achieving sustainable competitive advantage based on your research.

Tips for Selecting an Organization

It is important that you select an organization that is interesting to you (or the team) and in need of change. Public companies are preferred for these plans, as SEC filings and investment analyses are available through research. Large, diversified companies can be difficult for the purposes of this course (unless their diversification is relatively narrow). Large organizations (e.g., GE) may file consolidated reports, and you may not have access to dis-aggregated information on the division that you are analyzing.

Do not underestimate the degree to which you will need to be an expert in the selected industry and related areas. It is impossible to create a strategy without understanding the terms, technologies, market changes, and the competition.

You may select any form of organization including profit, non-profit, and government organizations. However, please take into consideration that within these various organizations the strategic thinking can be quite different, and some can pose challenges for the planner. Most organizations have some type of customer base and opportunities for improvement. Charitable organizations compete against other non-profits for time and money. Educational organizations compete for students. Regulated utilities compete for customers among themselves (e.g., gas versus electric) and in conjunction with governments to attract new industry.

Strategic Paper

I. Executive summary (compiled with concise and critical elements from the detailed work)

1. While done as a last step, this goes in front of the report, after the table of contents.

2. A final and all-encompassing analysis is presented, along with the recommendations that you would make to the firm's board of directors

3. This includes identifying what you recommend and briefly outlining alternatives considered, key implementation steps, and the potential impact of the implementations on the company's financial performance and competitive position

II. Introduction of the company (limit to a maximum of three single-spaced pages)

1. Description of the firm and its products

2. Company history (brief history, critical events, competitors, leadership), including strategic elements of its history and the competition

3. Assessment of mission and vision

III. External assessment

1. PESTEL Model with strategic implications

2. Five Forces Model and implications for strategy

3. Overall analysis of external environment and implications for your strategic decisions

IV. Internal assessment

1. VRIO Framework and strategic implications

2. Value Chain Analysis and implications

1. Financial ratio analysis with key conclusions and implications for strategic choice (See the text for important financial ratios)

2. Current strategy and competitive advantage/disadvantage (see core competencies)

3. Evaluation of current organizational structure

4. SWOT matrix with strategic implications for the company

5. Recommended changes (if needed) to the structure, culture (including values), processes, rewards, or technology

6. Overall analysis of internal capabilities and implications of your strategic choices

V. Strategic analysis and formation

1. Business level strategy choices considered

2. Evaluation of strategies and objectives to achieve competitive advantage

3. Anticipated competitive responses to choices considered

VI. Strategic Choice

1. Conduct evaluation of alternative strategies and detailed description of selected strategy. Clear description of the selected strategy (e.g., Cost, Differentiated, Integrated)

2. Use of vertical or horizontal integration

3. Make/Buy Decisions

4. BCG matrix and implications for investment or divestiture

5. Use of mergers or acquisitions

6. Description of your innovation approach

7. Global implications of your strategy

VII. Implementation

1. Description of how you would implement your strategies

2. Clear description of organizational structure as a result of your strategy

3. Role of Corporate Governance, culture, and values including behavioral expectations for the workplace, for customers, for the community and changes needed in Human Resource Policies and Practices.

4. Milestones (steps for each major initiative with its timeline)

5. Specific results you want to achieve including market, financial, and product or service goals

6. Financial projection (minimum three years). You must align investments with the P&L and Balance Sheet.