Means of Competitive Advantage
Industry & Market Definition (Core Business / Overlapping Areas) STEP (External Environment):
• Social • Technol. • Economic • Political
(demand, mood, hostility) (innovation, (r)evolution) (recession, interest, consumption) (govt. Regulation, comissions)
Broad Scope
Cost
Narrow
5-Forces (Attractiveness / Profitability):
Differentiation
Focus
Focus
Porter Competitive Positioning Model
Basis of Competitive Advantage
• Substitute Products (price/quality ratio, needs matching, switch willingness)
{
Cost
by Dr Colin Combe and Morgan (“strategic-logic”) Howe
• New Entrants Threats (econ. of scale, start-up capital, product differ. & loyalty)
• Bargaining Power
The “Strategic Logic” Strategy
Differentiation
Leadership
Buyer
(switching costs, backwards integration)
Supplier
(infrastructure and technology provider)
• Low Cost Strategy: Economies of Scale / Efficiency / Cost Control • Differentiation Strategy: Design / Creativity / Quality /
M
• Rivalry & Competition (none, fierce, mono-/oligo-/polypol)
External Analysis
Marketing / Customer Service Stuck in the Middle
Current Strategies Mission statement Aim & Vision Corporate Objectives Business-Level Objectives Functional / Indirect Objectives
SWOT
Core Competencies Extend of Integration
Strategic Options
Key Strategic Issues
Opportunities Threats
Competitive Position
Strength Weakness
Implementation
The Strategic Logic of the Key Issues (current/new products/markets), being dynamised for the Future!
Important Aspects that require Discussion & Decision by Mgmt to secure Future!
Extend of Change Incremental Strategic Directions
Collaboration
Ansoff’s Product/Market Matrix
Internal Analysis
Current Objectives Stakeholder Analysis
Resources / Products / Finances
Level of Interest
• Primary Activities:
–
inbound logs – ops – outbound logs – sales/marketing/promo – services • Support Activities (design, technology, infrastructure, HR-mgmt) &
–
(Cultural Web / Cultural Paradigm): • “The Way we do Things here!”
• System (closed, open, fixed, flexible)
Minimal
Keep
Efforts
Informed
Power
Structure
(Organisational Architecture):
(campus, history, outings, uniforms)
Market
+
New
Coerce
Product Penetration
Keep
Key
Satisfied
Players
Market Development
Forced Evolutin
M
(Un)related Diversification
Dictatorial Transformation
Mismatch • Lack of Communication • Poor Plannung • Restraining Forces
Methods of Development
• No Participation => Change Agent / Education !
• External Development: Horizontal / Vertical Backward / Forward via =>
} Integration
Strategic Alliance
• Organisation (flat, byzantine, meritocratic, silo-like, fiefdoms)
License / Franchise / Subcontract
• Strategies (articulated, vague, (un)conscious process of thought,
Joint Venture
top-level-controlled, use transformation of skills & knowledge)
Evolution
Step Charismatic Transformation
Development
• Internal Development
• Views ( / , humano-/org.-centric) • Mgmt Style (dominant, empower., clear, opaque) • Staff (collective, kitting, self-mgmt, multifunct. teams) • Power (autocratic, egalitarian) • Symbols, Stories, Rituals, Routines
+
New
Current
(segm/geo)
Value Chain (parallel? / under stress?):
Culture
Current
Participative
M&A / Network of Alliances
