Frameworks (e.g. 'S'-curve indication industry maturity), models (e.g. Porter's Five Forces model), techniques (e.g. Key Success Factor analysis in combination with competitor analysis) of strategic analysis. Real business situations are highly complex, hence we will never get the "complete" picture (no such luck, unfortunately!). Even, if we did, the picture would be short-lived given the rapid pace of change in the external environmental. Hence the best we can strive to achieve is the emergence of patterns - enough pieces of thepuzzle, as it were, to get an idea of the bigger picture so that we can proceed with identifying possible options. It is important to note that there will be no single 'right' answer; there may possibly be a number of options. The second important task of strategic direction is then to generate, evaluate and ultimately select an appropriate strategic option from a set of options that present themselves. For this, you will also need to fall back on techniques that will have been introduced in the course - e.g. the Feasibility- Desirability- Suitability approach - ideally extended to include a first-level semi-quantitative ranking.
In essence, this covers the Strategic Direction part of the IMP. Assessment Notes: In order to do well on this part (which accounts for approximately 40% of the overall Project) you will have demonstrated your ability to:
- identify and articulate the managerial problem or challenge in question
- carry out a good issues-based problem analysis on this problem
- Select and apply - judiciously; 'less' is sometimes 'more'! - appropriate tools of strategic analysis
- show how the part-insights (individual pieces of the puzzle) generated by individual tools of analysis coalesce to form an integrated, bigger picture
- derive options and high-level managerial implications from the overall strategic analysis
- derive and articulate appropriate, concrete and realistic managerial actions on the basis of the insights generated; preferably prioritised (what 2 or 3 actions would your boss be best advised to undertake for maximum impact; and with what probability of success?)
- assess risk and impact for the organisation (and in the broader sense, stakeholders) resulting from the proposed action Students typically lose marks by failing to:
- clearly establish, from the outset, the business case and strategic rationale in the context of the specific management challenge in question; i.e. failing to identify and address (a) what's in it (value proposition), (b) for whom (stakeholders), and (c) why (business rationale)?
- provide a well-structured strategic analysis based on an insight-driven approach as opposed to a tools-driven approach to resolving the key strategic questions under scrutiny;
- develop strategically relevant insights on the basis of an integration of insights gained from the appropriate application of suitable tools and instruments of strategic analysis
- discuss practical implications of the recommended actions and an assessment of potential impact on the organisation (reality check); i.e. identifying potential obstacles that relate to the specific context of the firm; identifying early wins