Assignment:
Please reword these paragraphs in your own words DO NOT COPY from any websites or use the same exact words as in these paragraphs.
Strategic Management:
o 1- Corporate governance is strategic control in its broadest perspective where the participants are the shareholders, the CEO leading management, and the board of directors. The strategic control of corporate governance determines the direction and performance of the organization. When an effective corporate governance is administered, the organization will have good financial performance. The idea is that the shareholder interests and the managerial interests should be aligned so that everyone is playing on the same team with the same goals and objectives. The board of directors should be committed and involved and the managerial team should receive the appropriate incentives and rewards to commit to the organization and its vision, mission, and values. From an external perspective, shareholder value needs to be maximized without harming other stakeholder groups.
References
Dess, G., Eisner, A., Lumpkin, G.T., & McNamara, G. (2014). Strategic management: Creating competitive advantages (7th ed). New York, NY: McGraw-Hill.
o 2- The implementation of strategies must be accomplished in a correct manner in order to effectively utilize the controlling factors of culture, rewards, and boundaries. The complexity and ever changing environments in today's global markets make it so that organizations must be flexible and able to respond quickly to any changes that come their way. Organizations must work towards creating strong and effective cultures by ensuring that their employees all know and share the values and beliefs of the company so that all work as one and are unified in their team spirit. To influence the culture, an organization can have rewards and incentives to motivate and control the workforce. Lastly, boundaries have to be set to ensure that any employees that do not go with the flow of the company's culture are focused back to the strategic priorities. Boundaries will also keep unethical or otherwise improper conduct specified so that all employees know the rules.
References
Dess, G., Eisner, A., Lumpkin, G.T., & McNamara, G. (2014). Strategic management: Creating competitive advantages (7th ed). New York, NY: McGraw-Hill.
o 3- There are two types of strategic control that can be employed; the traditional approach and the contemporary approach. The traditional approach involves the formulation of strategies and goal setting, the implementation of the strategies, and the measurement of performance against the predetermined goals, all conducted in that sequential order. The unpredictability, complexity, and generality of the competitive environments of today have made it to where the contemporary approach is becoming more prevalent. The contemporary approach is a live and more dynamic approach that helps the organization deal with the uncertainty of the business environments of today's global markets.
References
Dess, G., Eisner, A., Lumpkin, G.T., & McNamara, G. (2014). Strategic management: Creating competitive advantages (7th ed). New York, NY: McGraw-Hill.
Strategic Management: Ch. 13
o 4- Case analysis is a very good way for students to gain an understanding of what real-world strategic management looks and feels like. By conducting case analysis, students are able to live and experience actual situations and they are challenged to figure out what to do as if they were in the real world. To conduct case analysis, students need to become familiar with all the material involved in the case. After familiarizing themselves, they will need to start identifying problems in the case. One thing to keep in mind is that all cases are different and sometimes the problem is not obvious at all and will not become apparent until after the analysis. Next, strategic analyses will need to be performed once the issues are identified. Once the analysis is concluded, the problems should be identified if not identified earlier and the process can move on to the next step. The next step is to propose alternative solutions since no one solution is rarely the right solution or best way of handling the problem. The last step in the process is to make recommendations that the analysis supports. The recommendations should stem from the analysis and the analysis should stem from the problem identified so that a logical argument is formed.
References
Dess, G., Eisner, A., Lumpkin, G.T., & McNamara, G. (2014). Strategic management: Creating competitive advantages (7th ed). New York, NY: McGraw-Hill.
Keeping Control of Cash
5- From a business and financial perspective, I completely agree with Sir Peter Middleton in his comments and concepts of and about money. Businesses and any organization or individual that has made investments do so to get a return on their investment. Money makes money so you need to have it to make more of it. Governments are the same way because they need money to operate their economies. If they start running out of money and just print more, the value of their money will decrease and inflation will rise. Basically, if a government just prints more money, everything starts costing more making the additionally printed money worth nothing more. The lessons learned from all the examples given is that people, businesses, and governments need to keep a good handle on their money and ensure they either have it or have some way of getting it in a pinch. Businesses are in the business to make profits for their investors and owners. Keeping cash and ensuring that the cash generating mechanisms are working properly in any for profit organization is essential to the competitiveness and general health of the organization. Sir Peter Middleton makes a good suggestion when he states that "it doesn't matter how confused you are by what people say, what the numbers say or what you believe is happening, if you look at the cash that's coming in and going out of a country or a business, you always learn something valuable" (University of Phoenix, 2010).
Reference
University of Phoenix. (2010). Keeping Control Of Cash [Multimedia]. Retrieved from University of Phoenix, BUS/475 -- Integrated Business Topics course website.
Monitor Your Business Environment and Anticipate Change
6- The monitoring and control phase of a company's strategic planning efforts needs constant monitoring of both the internal and external environments that could potentially affect the organization. Organizations continuously scan the environmental factors to try to anticipate the changes that will affect the organization. This must be done so that the organization remains competitive and the customer gets the best value for their money. In order to remain fully aware of what is happening in the external environment, the whole management team has to be trained to work as a team and to be cognizant of the changes and directions that those changes start initiating in the environment. The voice of the customer needs to be listened to and appropriate strategic changes need to be implemented to lead the organization in the correct direction. Well-developed contingency plans need to be put in place to try to ensure that the organization has a proper response to whatever is being anticipated. By having those plans in place and properly executing them, the organization can have a fast start over their competition when changes do occur. The contingencies to plan for should be the most urgent, relevant, or that would cause the greatest disruption to the market and the ones that have the highest probability of occurring.
References
University of Phoenix. (2010). Monitor Your Business Environment And Anticipate Change [Multimedia]. Retrieved from University of Phoenix, BUS/475 -- Integrated Business Topics course website.
Please answer these posts like if you were talking to the individual face to face in person. Please use your own words and DO NOT use the same exact words as in the posts.
? 7- The economy is very important and most often it has been a false economy for the United States just like Sir Peter Middleton speaks of no cash in England. The Federal Reserve loans money to the United States government who then issues bonds to cover their spending. The bonds are sold in the open market in auctions to investors who believe in the United States AAA rating and the ability to make good on those bonds and to repay. Right, now in the United States has no investors and the Federal Reserve's our buying back the new bonds. This procedure is monetizing debt to help keep interest rates low or a false economy this in return they would have to raise them to attract investors. Today corporations live in a false economy with no cash like GM, Banks, and insurance companies for example when failure is rewarded and success is penalized. The middle class has had to work hard for any success for cash and then we get a new tax to pay for all the government bailouts. Sir Peter Middleton had mentioned that we developed various measures that were based on economic theory, which told us how to measure the impact of almost everything we did. In business the ( TANSTAAFL) " There isn't no such thing as a free lunch", this expresses the idea that even if something seems like it is free, there is always a cost, no matter how indirect or hidden. And you have to have cash, who is the one that has to pay.
8- I absolutely agree with Sir Peter Middleton. For a company to stay in business they must generate a profit. Without profit they will eventually go bankrupt. Sir Peter Middleton states that "If you're in difficulty, what you need to do is to look at the sources that are generating cash and look at where it's going; and you have to make sure you've got a cash surplus." My assumption is that business leadership should know where all of the cash flows are going both in and out. From here make the determination as to if there is a cash surplus. If there is not a cash surplus in a particular area, the process should be analyzed and changed to make it profitable. The morale of the story was that economies and businesses should keep control of their cash and rely on the actual numbers.