Discuss the primary internal organizational considerations for the development of a strategic plan.
considerations for the development of a strategic plan
Purpose of Assignment and note this is a continue for your assignment company for last week must be the same company you submitted.
Students gain experience conducting an internal and external environmental analysis for their proposed new division and its business model. They will also gain valuable experience in conducting a SWOTT analysis for their proposed division.
Resources: Strategic Planning Outline
Conduct an internal and external environmental analysis for your proposed new division and its business model.
Develop a SWOTT table summarizing your findings. Your environmental analysis should consider, at a minimum, the factors below.
- For each factor, identify the one primary strength, weakness, opportunity, threat, and trend, and include it in your table.
- Include the SWOTT table in your submission.
- External forces and trends considerations:
- Industry Changes
- Legal and regulatory
- Competitive analysis
- Internal forces and trends considerations:
- Processes and systems
- Strategic capabilities
- Intellectual property
- External forces and trends considerations:
Compose a maximum of 1,400-word synopsis in which you analyze relevant forces and trends from the list above. Your analysis must include the following:
- Identify economic, legal, and regulatory forces and trends.
- Critique how well the organization adapts to change.
- Analyze and explain the supply chain of the new division of the existing business. Share your plans to develop and leverage core competencies and resources within the supply chain in an effort to make a positive impact on the business model and the various stakeholders.
- Discuss the primary internal organizational considerations for the development of a strategic plan.
- Identify the major issues and/or opportunities the company faces based on your analysis.
Format your assignment consistent with APA guidelines
Strategic Planning Outline
I. Title Page
II. Table of Contents
III. Executive Summary
IV. Strategic Plan Part 1: New Business Division of an Existing Company; Vision, Mission, and Value Proposition
V. Strategic Plan Part 2: SWOTT Analysis – Internal and External Environmental Analysis; Primary Internal Considerations for the Development of a Strategic Plan.
VI. Strategic Plan Part 3: Assumptions, Risk and Change Management Plan; Summary of Strategic Objectives; Corporate Social Responsibility: Balanced Score Card and its impact on stakeholders; the Communication Plan
VII. Strategies and Tactics Section
IX. Reference Page
Answer each Question with 150 + word.
1 What are the main factors that make up an effective strategic objective?
2 Striving to be the industry’s overall low cost provider is a powerful competitive approach in markets with many price sensitive buyers. A company achieves low cost leadership when it becomes the industry’s lowest cost provider rather than just being one of perhaps several competitors with comparatively low costs. A low cost provider’s strategic target is to have lower costs than rivals on products of comparable quality. In striving for a cost advantages over rivals, company managers must take care to incorporate features and services that buyers consider essential. For maximum effectiveness, a low cost provider needs to pursue cost saving approaches that are difficult for rival to copy. When it is relatively easy or inexpensive for rivals to imitate the low cost firm’s method, the cost advantage evaporates quickly. Successful low cost leaders are exceptionally good at finding ways to drive cost out of their businesses and still provide a product or service that buyers find acceptable.
QUESTION – Can you name any low-cost providers, and how did they achieve their low-cost advantage?
3 Outsourcing occurs when a firm decides to utilize other firms to perform value-creating activities that were previously performed in-house. It may be a new activity that the firm is perfectly capable of doing but chooses to have someone else perform for cost or quality reasons. Outsourcing can be to either a domestic or foreign firm.
a. Offshoring takes place when a firm decides to shift an activity that they were performing in a domestic location to a foreign location.
b. Often, offshoring and outsourcing go together; that is, a firm may outsource an activity to a foreign supplier, thereby causing the work to be offshored as well.
QUESTION – What are your thoughts on Outsourcing and Offshoring?
4 There are five distinct competitive strategy approaches:
a. A low-cost provider strategy – striving to achieve lower overall costs than rivals and appealing to a broad spectrum of customers, usually by underpricing rivals.
b. A broad differentiation strategy – seeking to differentiate the company’s product offering from rivals’ in ways that will appeal to a broad spectrum of buyers.
c. A best-cost provider strategy – giving customers more value for their money by incorporating good-to-excellent product attributes at a lower cost than rivals; the target is to have the lowest (best) costs and prices compared to rivals offering products with comparable attributes.
d. A focused (or market niche) strategy based on low costs – concentrating on a narrow buyer segment and out competing rivals by having lower costs than rivals and thus being able to serve niche members at a lower price.
e. A focused (or market niche) strategy based on differentiation – concentrating on a narrow buyer segment and out competing rivals by offering niche members customized attributes that meet their tastes and requirements better than rivals’ products.
QUESTION -How does a company’s product (or service) mix influence which competitive strategy (or strategies) it selects? Would a manufacturer approach selecting its competitive strategy differently from a consulting company?
5 Do you think there’s an interaction between a company’s mission statement and which of Porter’s 5 generic strategies the company selects as its competitive advantage