First thing, the leaders must understand what strategy means. A strategy defines as an integrated set of actions that aimed at increasing the long term well-being and strength of the enterprise. There are three context of strategy. The context strategies are business strategy, information system strategy (IS), and information technology strategy (IT). Focus on technology strategy does not lead to success even though now days the information technology become popular among people in the worlds.
Conclusion Nowadays, I think the remaining weapon can be competitive in the world only organization, because those traditional competitive factors, such as cost, technology, distribution, manufacturing and product features, sooner or later can be replicated, they can not guarantee that who are the winner. In the new economy, the victory will come from organizational skills, including speed, responsiveness, agility, learning ability and quality of
For a business to be able to survive in a very inconsistent environment, management must implement the direction for the firm. To successfully change direction, management needs the full support of the stakeholders whose actions could affect the firm and also to understand how the firm would affect the stakeholders. The stakeholder-based approach works in conjunction with the traditional aim of “maximisation of the shareholder’s wealth”. The aim of the stakeholder-based approach is to provide a strategic framework to the company. This framework allows enough flexibility to deal with changes in the environment without managers having the need to regularly adopt new strategic measures.
From a strategic viewpoint, these commodities no longer matter which gave Carr the impetus to think that, with or without IT an organisation can still be very competitive. However, a well drafted organization’s strategic and implementation processes put in place that acknowledges the correlation between a business plan and a technological framework can enable a firm to be more competitive. As once said by Michael Porter, ‘’IT (internet) is really essential now than before for companies to out-smart their competitors through strategy’’. A statement that contradicts this school of taught which says that "internet has a negative impact on business strategies by rendering them obsolete’’. The supporter of the school other school of taught Robert
Based on Mistry’s (2009) management project, it can be seen through that 3Cs analysis is good at the first step in determining vision, mission and strategy based on the current business situation during the strategy planning framework of NoNi AP, which is, functioning as a marketing, selling and management control company. Besides that, 3Cs framework has been adopted during the analysing process of the present situation based on judgment in order to examine the sales growth of NoNi AP. However, 3Cs analysis has failed to be chosen as the suitable strategic framework for NoNi AP. In Mistry’s opinion, this powerful and analytical tool is good in analysing strategic situations, but, it is not giving a clear guideline on how to arrive at the strategic direction for an organization. Indeed, it provides only narrow fractional concepts of strategy that do not provide any guideline on how to form the
First, a sourcing strategy aligns an organization’s overall business strategy with the sourcing objectives. For example, it does not benefit an organization to select a supplier for a multiple- year agreement based on superior manufacturing capabilities and local presence if the organization is evaluating global outsourcing operations in support of business growth and cost competitive objectives. Second, when properly defined, a sourcing strategy assists an organization by gaining a true understanding of its requirements, knowing how it must map to the existing supply market, and then develop a plan for both short and long-term sourcing objectives. Having a clearly defined sourcing strategy will significantly improve both the quality of the results and the speed required to achieve an organization’s sourcing objectives. Because Strategic Sourcing is so comprehensive, there is a high probability that the criticality and scope of Strategic Sourcing ends up involving much more.
RESULTS/FINDINGS Competitive advantage arises when a firm creates value for its customers by emphasizing the importance of differentiation, which consists of offering a product considered as being unique, seeing a particular product market as more effective or efficient than its competitions, and cost leadership. By utilizing these generic strategies against industry’s external environmental determinants, management can affect a firm’s performance. On the contrary, a resource-based view suggests that a firm can sustain its competitive advantage through the alignment of internally consistent bundles of HRM strategies/implementation to its overall business strategy and desired performance, to develop critical resources or competencies. This
Competitive advantage is a determining factor of the firm’s success. Barney (1991) defines competitive advantages as the degree to which a firm has reduced costs, exploited opportunities and neutralized threats. Competitive advantage is the ability of an organization to manage it differently by their competitors (Kotler, 2000). An organisation gains competitive advantage when it is implementing a value creating strategy not simultaneously being implemented by any current or potential competitor (Barney, 1991). Competitive advantage of a business entails its ability to outperform its competitors.
Threat of new substitute -> Till now there is no threat of substitute. Internal Resources SWOT - In this Strength and weakness is the internal factors of the business and opportunity and threat is the external factor for the business. Strength Strengths are the features of one 's business which allow you to work more effectively than competitors. Your specialist technical knowledge could be your
Only those companies that embrace knowledge as the most important resource can expect to be better positioned than the competition. The ability to think quickly, the ability to collect and channel the knowledge available within the collective and thus consolidate that knowledge in the right way is a list of skills required of today 's managers. The concept of ‘intelligent organization’ is based on knowledge that is deposited in the minds of talented individuals. Such knowledge, in the theory, is called tacit knowledge. "Tacit knowledge cannot be bought in the market in a form that would be appropriate for direct use" (Zack, 1999. p.128).