chapter 1 – Introducing the concepts

1. chapter 1 – Introducing the concepts Katie Ficken Ryan Lacy Kelsey Combest Taylor Stevenson STRATEGIC MANAGEMENT IN ACTION

2. Learning Outcomes • Why strategic management is important • What strategic management is • Who’s involved with strategic management • Three important factors impacting strategic management today

3. Why Strategic Management is Important • Everyone in an organization plays a role in managing strategically. • Strategic management can make a difference in how well an organization performs; helps deal with continually changing situations; and helps in coordinating various divisions, functions, and work activities.

4. What Strategic Management Is • The Basics of Strategy and Strategic Management • Strategies: an organization’s goal-directed plans and actions that align its capabilities and resources with the opportunities and threats in its environment. • Strategic management: a process of analyzing the current situation, developing appropriate strategies, putting those strategies into action, and evaluating and changing those strategies as needed. • Strategic management is interdisciplinary, has an external and internal focus, and involves future direction.

5. What Strategic Management Is • The Strategic Management Process

6. What Strategic Management Is • The Strategic Management Process • Situation Analysis – scanning and evaluating the current organizational context & external environment. • Strategy Formulation – developing and then choosing the appropriate strategies. • Functional strategies (operational strategies) • Competitive strategies (business strategies) • Corporate strategies

7. What Strategic Management Is • The Strategic Management Process • Strategy Implementation – putting the various strategies into action. • Strategy Evaluation – evaluating both the outcomes of the strategies and how they’ve been implemented, and making modifications as needed.

8. Who’s Involved With Strategic Management • Three main groups who play key roles in the strategic management process: • The Board of Directors – an elected group that represents a company’s shareholders. • Bill Campbell • Steve Jobs • Al Gore

9. Who’s Involved With Strategic Management • Top Management Team – typically the chief executive officer (CEO) and other executive or senior managers such as a chief operating officer (COO), chief financial officer (CFO), chief information officer (CIO), and others. • Steve Jobs, CEO • Timothy Cook, COO • Peter Oppenheimer, CFO • Other Mangers & Organizational Employees – individuals that put the strategies into action and evaluate them.

10. Who’s Involved With Strategic Management • Top management’s role involves strategic leadership: the ability to anticipate, envision, maintain flexibility, think strategically, and work with others in the organization to initiate change that will create a viable and valuable future for the organization.

11. Important Factors Impacting Strategic Management Today • The Global Economy & Globalization • Corporate Governance • E-business

12. Apple, Inc. 2009 Sales iPods 19% of total sales iPhones 30% of total sales

13. Takeaways • Why is strategic management important? • It allows individuals to work more effectively and helps improve organizational performance. • What is strategic management? • The process of analyzing the current situation, developing appropriate strategies, putting those strategies into action, and evaluating and changing those strategies as needed. • Who is involved with strategic management? • Everyone!

14. References • “Apple, Inc.” Hoover's Company Records.  1 September 2010 Hoover's Company Records, ProQuest. Web.  4 Sep. 2010 • www.apple.com • "A Strategic Analysis of Apple Corporation". http://www.scribd.com/doc/11983566/A-Strategic-Analysis-of-Apple-Corporation.