Strategic evaluation and control - Wikispaces：戰(zhàn)略評(píng)價(jià)與控制- wiki空間

1、Strategic evaluation and control2Strategy ReviewThe firms internal and external environments are dynamic. Therefore, the best conceived and implemented strategies become obsolete!3Strategy ReviewStrategy Evaluationthe 3 BasicsExamining the underlying basis of the firms strategyComparing actual to ex

2、pected resultsTaking corrective action to address performance gaps4Strategy ReviewEffective Strategy EvaluationAdequate and timely feedbackThe cornerstone of effective evaluation5Strategy ReviewStrategy EvaluationMust have bothShort- & long-term focus6Strategy ReviewFour Criteria (Richard Rumelt):Co

3、nsistencyConsonance=fit or harmonyFeasibilityAdvantage7ConsistencyIf policy problems/issues continue to be brought to the top for resolution, then strategies may be inconsistent.If success for one department means failure for another department, then strategies may be inconsistent.If managerial prob

4、lems continue despite changes in personnel and are issue based, then strategies may be inconsistent.A strategy should not present inconsistent goals and policies8ConsonanceDifficult in matching key internal and external factors in formulation of strategy.Most trends are the result of interactions am

5、ong other trends.Strategy must represent an adaptive response to the external environment and critical changes occurring within it.Strategists need to examine sets of trends as well as individual trends in evaluating strategies.9FeasibilityImportant to examine whether in the past the organization ha

6、s demonstrated the capabilities, abilities, competencies, skills, and talents to carry out strategy.Limitation on strategic choice imposed by individual and organizational capabilities must be considered.Can the strategy be attempted within the physical, human and financial resources of the enterpri

7、se?Strategy must neither overtax available resources nor create unsolvable subproblems.10Strategy ReviewIncrease in environments complexityDifficulty in predicting the future with accuracyIncreasing number of variablesContemporary StrategyEvaluationDifficulties11Strategy ReviewRate of obsolescence o

8、f even the best plansIncrease in domestic and world events Decreasing time span for which planning can be done with any certaintyContemporary StrategyEvaluationDifficulties12Strategy ReviewProcess of Evaluating Strategies:Should initiate managerial questioning of expectations and assumptionsShould t

9、rigger a review of objectives and valuesShould stimulate creativity in generating alternatives and criteria of evaluation13Evaluation FrameworkI. Review Underlying Bases Continue present courseII. Measure Firm PerformanceIII.Take Corrective ActionsDifferences?Differences?YesNOYesNO14I. Review Bases

10、of StrategyDevelop a Revised Evaluation Framework Matrix:How have competitors reacted to our strategies?How have competitors strategies changed?Have major competitors strengths and weaknesses changed?15I. Review Bases of StrategyWhy are competitors making certain strategic changes?Why are some compe

11、titors strategies more successful than others?How satisfied are our competitors with their present market positions and profitability?16I. Review Bases of StrategyHow far can our major competitors be pushed before retaliating?How could we more effectively cooperate with our competitors?17I. Review B

12、ases of StrategyKey Questions in Evaluating Strategy:Are our internal strengths still strengths?Have we added other internal strengths?Are our internal weaknesses still weaknesses?18I. Review Bases of StrategyDo we now have other internal weaknesses?Are our external opportunities still opportunities

13、?Are there now external opportunities?19I. Review Bases of StrategyAre our external threats still threats?Are there now other external threats?Are we vulnerable to a hostile takeover?20II. Measure PerformanceCompare the firms performance over different time periods.Compare the firms performance to c

14、ompetitors.Compare the firms performance to industry averages.21II. Measure PerformanceQuantitative Analysis:Return on investmentReturn on equityProfit marginMarket shareDebt to equityEarnings per shareSales growthAsset growth22II. Measure PerformanceQualitative Analysis:Is the strategy internally c

15、onsistent?Is the strategy consistent with the environment?Is the strategy appropriate in view of available resources?Does the strategy involve an acceptable degree of risk?23II. Measure PerformanceQualitative Analysis:Does the strategy have an appropriate time framework?Is the strategy workable?24II

16、I. Take Corrective ActionMaking changes to reposition a firm competitively for the future25Strategy-Evaluation Assessment MatrixContinue courseYesNoNoCorrective actionsNoYesNoCorrective actionsYesYesNoCorrective actionsNoNoYesCorrective actionsYesNoYesCorrective actionsNoYesYesCorrective actionsYesY

17、esYesCorrective actionsNoNoNoResultHas the firm progressed satisfactorily toward achieving its stated objectives?Have major changes occurred in the firms external strategic position?Have major changes occurred in the firms internal strategic position?26Strategy ReviewCharacteristics of an effective

18、systemEvaluation activities must be economical.Evaluation activities must be meaningful.27Strategy ReviewCharacteristics of an effective systemEvaluation activities must provide timely information.Evaluation system should be designed to provide a true picture of what is happening.28Strategy ReviewCh

19、aracteristics of an effective systemInformation derived from evaluation process should facilitate action.Evaluation process should not dominate decisions.29Strategy ReviewContingency PlanningIdentify both beneficial and unfavorable events that could possibly derail the strategy or strategies.Specify

20、 trigger points. Calculate about when contingent events are likely to occur.30Strategy ReviewContingency PlanningAssess the impact of each contingent event. Estimate the potential benefit or harm of each contingent event.Develop contingency plans. Insure that they are compatible with current strategy and are economically feasible.31Strategy ReviewContingency PlanningAssess the counterimpact of each contingency plan. This quant