PURPOSE
The overall objective of this module is to introduce Honours students to the topic of strategic management. The focus, more specifically, is on how to craft and execute a strategy for any organisation. The following secondary objectives are identified:
• To conceptualise strategy and its importance
• To clarify the strategic management process.
• To highlight the steps in evaluating an organisation’s external environment.
• To provide an overview of how to evaluate an organisation’s resources and competitive position.
• To differentiate between five generic competitive strategies.
• To consider various strategy options for: new ways of operating and changing scope of operations; international growth; diversification and sustainability.
• To highlight aspects of configuring the organisation as part of strategy delivery
• To provide an overview of corporate culture and leadership as keys to good strategy execution.
CORE CONTENT AND LEARNING OUTCOMES
What is strategy and why is it important?
• Strategy and the quest for competitive advantage.
• Relationship between a company’s strategy and business model.
• What makes a good strategy?
• 6 D’s of strategic management.
Leading the process of crafting and executing strategy.
• Steps in strategy making and execution process.
Evaluating an organisation’s external environment.
• Strategically relevant components of external environment.
• Thinking strategically about company’s industry and competitive environment.
Evaluating a company’s resources and competitive position.
• How well is the present strategy working?
• How strong is the company’s competitive position?
The five generic competitive strategies.
• Low-cost provider strategies; Broad differentiation strategies; Best-cost provider strategies; Focused low cost and Focused differentiation strategy.
Strategies for changing the game – new ways of operating and altering the scope of
Operations.
• Offensive and defensive strategies.
• Horizontal merger and acquisition strategies.
• Vertical integration strategies.
• Outsourcing strategies.
• Strategic alliances and partnerships.
Strategies for international growth.
• Reasons for entering international markets.
• Multi-domestic competition and globalisation.
• Strategic options for entering international markets.
• Three strategic approaches for competing internationally.
• Profit sanctuaries.
Strategies for managing a group of businesses.
• Strategies for entering new businesses.
• Types of diversification.
Strategies for sustainability – people, planet and profit.
• Business ethics.
• Corporate social responsibility strategies and actions.
Configuring the organisation.
• Framework for executing strategy.
• Building an organisation capable of strategy execution.
• Strategy execution and structure.
• Staffing the organisation.
• Systems for strategy execution.
• Organisational processes, policies and procedures.
• Configuration and alignment.
Corporate culture and leadership.
• Instilling an organisational culture conducive to strategy execution.
• Leading the strategy execution process.
Evaluation criteria
100% Continuous assessment:
The weights of the various continuous assessments done for this module throughout the semester are indicated in the study guide.
MODERATION
External.
Prerequisites
None.