MGMT 339 Ch. B4

• Situational Analysis
• Alternative Goals and Plans
• Goal and Plan Evaluation
• Goal and Plan Selection
• Implementation
• Monitor and Control

ask Choi!!!!!!!!!

• Plans are the actions or means managers intend to use to
• achieve organizational goals

they are the targets or ends the manager wants to reach.

• Mission Statement - External
• Strategic - Senior Management. Organization as a whole
• Tactical - Middle Management. Major divisions, functions
• Operational - Lower Management. Departments, individuals

Slide 5

• SMART
• Specific - Employees can determine if they are working towards those goals
• Measurable - Goal should quantify the desired results
• Attainable (but challenging) - Employees need to recognize that they can attain the goals they are responsible for
• Relevant - Each goal should contribute to the organization's overall mission.
• Time-bound - Target date for completion

• Single-use...not likely repeated in future
• Standing...ongoing
• Contingency...Plan B

• A set of procedures for making decisions about the organization's long-term goals and strategies
• Top-Level

• A set of procedures for translating broad strategic goals and plans into specific actions to be taken within parts of the organization. such as a functional area like marketing.
• Middle-Level

• The process of identifying the specific short-term procedures and processes required at lower levels of the organization.
• Frontline

• Establishment of mission, vision, and goals
• Analysis of external opportunities and threats
• Analysis of internal strengths and weaknesses (resources & Core Competencies)
• SWOT (Strengths, weaknesses, opportunities, and threats) analysis and strategy formulation.
• Strategy implementation
• Strategic control

It is something a company does especially well relative to its competitors.

• Valuable
• Rare
• Difficult to imitate
• Well Organized

A comparison of strengths, weaknesses, opportunities, and threats that helps executives formulate strategy.

• It summarizes the relevant and important facts from their external and internal analyses
• Identify primary and secondary strategic issues of organization
• They can formulate a strategy on SWOT. take advantage of opp., capitalize on strengths, neutralize weakness and countering threats.

identifies a set of businesses, markets, or industries in which an organization competes and the distribution of resources among those entities

• Concentration
• Vertical integration
• Concentric diversification
• Conglomerate diversification

single business competes in single industry. ex: food-retailing Kroger.

The acquisition or development of new businesses that produce parts or components of the organization's product.

• Ex: Tire company buys out another company to produce its tires.
• Ex: Coca cola company has bottles made from an outside company

A strategy used to add new businesses that produce related products or are involved in related markets and activities.

Ex: Restaurant bus. moves outside of state into airline catering, hotels, and fast food.

*businesses are related, the products, markets, technologies, or capabilities used in one business can be transferred to another.*

A strategy used to add new businesses that produce unrelated products or are involved in UNRELATED markets and activities.

Ex: GE electric diversified to industries as health, finance, insurance, truck and air transportation and media.

Pursue - to minimize risks due to market fluctuations in one industry

• 3 ways
• 1. Differentiation Strategy- Be unique in the industry/market that customers value
• 2. Low-Cost Strategy- focus on efficiency and price
• 3. Functional Strategy - Organizational
• slide 42

• 1. Define strategic tasks
• 2. Assess organization capabilities
• 3. Develop an implementation agenda
• 4. Create an implementation plan