工商管理專業(yè)MBALectureStrategicThinkingLecturetwo

1、LECTURE TWODR ITA ODONOVANStrategic ThinkingSome Basic Concepts2 Thinking is a key component of cognition. When we think, we perceive, classify, manipulate and combine information At the end of the process, we know something we did not know before ( it is possible this new knowledge is incorrect Nee

2、d to remember we think not by language alone, we think in shapes, imagesSome things that we do when thinking3 We classify according to characteristics We use prior learnt knowledge about objects or situations We use concepts, concepts are categories of objects, actions, or states of being that share

3、 some common attributes e.g. : “ Youth is a care free time” Generalisations using one particular example to generalise to all.Some things we do when thinking4 Formal Concepts: these are defined just like a dictionary does so it has rules about membership and non membership. e.g. A bird has wings we

4、cannot include a dog in the category. The formal concept is organised in a hierarchy of concepts Natural concepts are based on our own perceptions and interactions with things in the world.Hierarchical Concepts in memory5Level OneLevel Two Level O AnimalSkin, eats breathesMoves aroundFishFins, swims

5、BirdWingsflySalmonPink edibleSharkBitesdangerousOstrichLong legsCanarySingsyellow basic level, subordinate, super ordinate concepts6Level of Concept Examples Super ordinateBasicSub ordinateFruitOrangesCoxVegetablesApplesRussettFishPeachesGranny SmithMeatPearsDeliciousCerealsBananasBramleyDeductive R

6、easoning7 Deductive Reasoning consists of inferring specific instances from general principles or rules e.g. Kiran is taller than SunielSophia is shorter than SunielTherefore Kiran is taller than SophiaOr All mammals have furA bat is a mammalTherefore a bat has fur. Inductive Reasoning8 Inductive re

7、asoning is the opposite of deductive reasoning. It consists of inferring general principles or rules from specific facts. Inductive reasoning requires us to test facts or hypothesesInductive reasoning: Example9Your job is to determine which of the hidden parts of these cards you need to see in order

8、 to answer the following question decisivelyFor these cards is it true that if there is a vowel on one side there is an even number on the other side?You have only one opportunity to make this decision; you must not assume that you can inspect the cards one at a time. Name those cards which it is ab

9、solutely essential to see(a) (b) (c) (d)AD47Other Concepts to be aware of for thinking 10 Failure to utilise a comparison group Control group for comparison Confirmation Bias: we tend to seek evidence that confirms our hypothesis. Think about the number of rules that could explain this series of num

10、bers. Test your hypotheses. 246 Remember if there is an exception the rule is wrong.Tension between logical thought and creativity11 Creativity almost as many definitions and theories as intelligence. Common sense approach says that writing a novel, creating a work art, creating new products , inven

11、ting new ways of doing things all may be defined as creative. Note all these views imply that creativity is defined by the form of end product.Useful approach from Individual Learning perspective12 Sternberg and Lubart (1991) three features of creativity:1. Domain related skills, abilities the perso

12、n has in their domain and knowledge of domain2. Creativity relevant processes- the personality, cognitive style or other individual differences which promote creativity3. Intrinsic motivation for the task and which can be influenced by the individuals environmentBasic Design School Model13External a

13、ppraisal Internal Appraisal Threats and strengths and Opportuntiies weaknesses ofIn the environment organisation Key Success Distinctive Factors Competences CreationOfStrategyEvaluationand ChoiceOf StrategyImplementation of strategySocialresponsibilityManagerialvaluesDesign School and element of pos

14、ition school14 Model Places primary emphasis on: External appraisal of environment: position schoolSWOT analysisConsider technological, social, political, economic aspects of companys environment Internal appraisal of situationsStrengths and weaknesses of organisationRaises the questions of : can an

15、 organisation know itself, linked to idea that organisation develops own habits culture , question is evidence from product and sales more dependable. Environmental Variables Check list15 Societal Changes : Customer perspectives change, product demand or design Governmental Changes: new legislation

16、Economic Changes: interest rates; exchange rates, real personal income changes Competitive Changes: adoption new technologies; new competitors, price changes, new products Supplier Changes: change in input costs; supply change, changes in number of suppliers Market Changes: new use of products, new

17、markets; product obsolisenceStrengths & Weaknesses Checklist16 Marketing: product quality & differentiation, market share & research, pricing policies, distribution channels, promotional programmes, customer services, advertising Research and Development: R &D capabilities in product

18、 and process Management Information System: speed, responsiveness, quality, expanability, user-orientated system Management Team: skills, value congruence, team spirit, experience, coordination Operations: control of raw materials & quality & inventory, production cost structure & capaci

19、ty, energy efficient, facilities and equipment Finance: financial & operating leverage, balance sheet ratios, stockholder relations,tax situation Human Resources: Employee capabilities, morale , development and turnover, personnel systems.Design School Check list17 From Diagram on slide 13: you

20、will see that strategies must be evaluated and one chosen.Consistency: the strategy must not present mutually inconsistent goals and policiesConsonance: the strategy must represent an adaptive response to the external environment and to the critical changes occurring within it.Advantage: the strateg

21、y must provide for the creation/maintenance of competitive advantage in the selected area of activityFeasibility: The strategy must neither overtax available resources nor create unsolvable sub problemsLets look at this from a different perspective: Entrepreneurial18 Here the emphasis is on the lead

22、er and on mental states such as: judgement, intuition, wisdom, experience, insight. Vision and perspective are key ideas here ( remember the working definition of creativity by Sternberg and Lubart (1991) SLIDE 12 Vision serves as both an inspiration and a sense of what needs to be done a guiding id

23、ea. Entrepreneurial concept comes for economics in particular Joseph Schumpeter (1950) Schumpeter was concerned with how organisations keep surviving in changing situations. He was concerned with how the leader created ideas, new ways of doing things: within this he introduced the notion of creative

24、 destruction Schumpeter was aware that economists like to deal with such things as money, machinery, land. He was concerned with things that are less tangible.Entrepreneurial School19 Schumpeter held the view:That entrepreneurs have not accumulated any kind of goods, nor created original means of pr

25、oduction but have employed existing means of production differently, more appropriately, more advantageously. They have carried out new combinations. And their profit, the surplus to which no liability corresponds, is an entrepreneurial profit. The key thing here is is doing things in new ways and t

26、he capitalist bore the risk. Importantly Schumpeter thought that once the founder /leader ceased to innovate he/she was no longer an entrepreneur. Richard Branson is someone who fits the idea of an Entrpreneur.Summary of key points of Entrepreneurship20 Strategy exists in the mind of the leader as p

27、erspective, this is a long term direction, a vision of the organisations future. The process of strategy formation is semiconscious at best, rooted in leaders experience and intuition, the strategy may be conceived or adopted from others, but the Leader will internalise it in his or her own behaviou

28、r. The Leader promotes the vision single-mindedly, maintained close personal control of implementation The strategic vision is thus malleable, the strategy can be deliberate and emergent, deliberate in vision and emergent is how it unfolds. The organisation is equally malleable, responsive to the le

29、aders directives, many of the procedures and power relationships are suspended to allow leader to manoeuvre Entrepreneurial strategy tends to form of a niche, one or more positions in market protected form the forces of outright competitionReflections of an Entrepreneur21 “The biggest risk any of us

30、 take is to invest money in a business we do not know. Very few businesses that Virgin has set up have been completely new fields” “I have not depended on others to do surveys or market research, or to develop grand strategies. I have taken the view that the risk to the company is best reduced by my

31、 own involvement in the nitty gritty of the new business” “There is always another deal. Deals are like London buses- theres always another one coming along” “as businesses grow, watch out for management loosing touch with the basicsnormally the customer” “pursue a buy, dont make a strategy “ “Havin

32、g evaluated an investment.and having decided to make an investment, dont pussyfoot around. Go for it”References22 Sternberg, R.J. and Lubart, T.I. ( 1991) An investment theory of Creativity and its development. Human Development, Vol32, pp1-31. Chapter Two in Bob de Wit and Ron Meyer Strategy Proces

33、s. Content, Context An international Perspective Richard Rumelt (1997) “ The evaluation of Business Strategy” in H. Mintzberg and J.B.Quinn, The strategy Process, 3rd edition, ( Engelwood Cliffs,NJ: Prentice Hall 1997). Power, D.J. Gannon,M.J. McGinnis,M.A. & Schweiger, D.M. “Strategic Managemen

34、t Skills”.( Reading.M.A: Addison- Wesley;1986).Exercise Lecture Two23 Essential Reading: Chapter Two in De Wit and Meyer . Exercise Part One Group A Reading 2.1. The concept of corporate strategy Group B. Reading 2.2 The mind of the strategist Group C. Reading 2.3. Strategy as Design. Group D Readin

35、g 2.4. Decision-making: Its not what you think. Each Group to write a summary of the key points of their reading. Part Two: Each Group presents their findings to the whole group in presentation format. Some things we do when thinking24 Formal Concepts: these are defined just like a dictionary does s

36、o it has rules about membership and non membership. e.g. A bird has wings we cannot include a dog in the category. The formal concept is organised in a hierarchy of concepts Natural concepts are based on our own perceptions and interactions with things in the world. basic level, subordinate, super o

37、rdinate concepts25Level of Concept Examples Super ordinateBasicSub ordinateFruitOrangesCoxVegetablesApplesRussettFishPeachesGranny SmithMeatPearsDeliciousCerealsBananasBramleyUseful approach from Individual Learning perspective26 Sternberg and Lubart (1991) three features of creativity:1. Domain rel

38、ated skills, abilities the person has in their domain and knowledge of domain2. Creativity relevant processes- the personality, cognitive style or other individual differences which promote creativity3. Intrinsic motivation for the task and which can be influenced by the individuals environmentDesig

39、n School and element of position school27 Model Places primary emphasis on: External appraisal of environment: position schoolSWOT analysisConsider technological, social, political, economic aspects of companys environment Internal appraisal of situationsStrengths and weaknesses of organisationRaises the questions of : can an organisation know itself, linked to idea that organi