Business Strategy & Policy
Course Code: MGT 301 Credits: 03
Number of sessions: 45 Marks: 100
Introduction: The course gives an understanding of how business strategies and policies are framed in organizations and objectives set. The increasing importance of systematic planning in every organization with considerable understanding of external and internal environments and their alignment is crucial for long term survival and growth. The understanding of systematic methods of decision making or strategies can imbibe a scientific temper and help them to become more systematic and rational decision-makers, a must for any manager.
Learning Objectives: The course helps in understanding the concepts of strategic management, strategic management process and analyzing business environment and also business organizations. It also throws light in the process of formulating corporate level, business level and functional level strategies. The implications of implementing such strategies and their impact on the internal and external environment are also analyzed.
Learning Outcome: The students will have better understanding of the rationale based on which strategies are formulated and how they need to be implemented. A more focused approach to organizational issues and the ability to develop a scientific approach to problem solving with systematic planning.
Unit 1: To understand the concepts of Strategic Management
1.1 Evolution of Business Strategy --- Ansoff’s, Mintzberg, Peter Drucker’s, Michael Porter.
1.2 Components, levels of Strategic Planning, making Strategic decisions, characteristics and perspectives.
1.3 Strategic Management Process, Strategic Decision Making, Strategic Management model and limitations.
1.4 Strategic Decision Making and Developing Strategic Perspectives.
1.5 Process of Strategic Management and Models of Strategic Decision Making.
Unit 2: To understand how to formulate a Strategy.
2.1 Vision & Mission Statements, Goals, Philosophy, Public Image, Self Concept, Social Responsibility.
2.2 Stakeholder Approach to Social Responsibility and External Environment of Business.
2.3 Analyzing the External Environment – Social, Political, Economic, Legal and Operating.
2.4 Industry Level Analysis - Porter Five Forces Model, SWOT Analysis, TOWS Analysis and Ansoff’s Matrix.
2.5 Structural Analysis, Competitive Strategy and formulating Strategy.
Unit 3: To understand how to analyze Business Organizations and Organizational Culture.
3.1 Internal analysis of the company – Value Chain Analysis.
3.2 Internal strategy and internal analysis – the Analysis process.
3.3 Human side of enterprise and quantitative approaches for evaluating internal factors.
3.4 Company Culture and Values, McKinsey 7s framework, Beliefs and Values.
3.5 Culture and strategy, power, authority, changing culture, aspects and determinants of culture.
Unit 4: To understand formulating Strategy, Strategic Analysis & Choice.
4.1 The need for Objectives, The nature of Objectives, levels and hierarchy of Objectives.
4.2 Grand strategies, Growth strategies, retrenchment strategies, and Profitability sets.
4.3 Strategic alternatives, suitability, feasibility and Strategic analysis at corporate level – BCG and GE Nine Cell.
4.4 Strategic analysis at business unit level - SWOT, behavioral considerations and attitude towards risk, Power and Authority.
4.5 Managing Change – Technical, Political and Social reasons.
Unit 5: To understand Strategy implementation and principles of Competitive Advantage.
5.1 Operationalizing the Strategy – Annual objectives, Functional Strategies and Policies.
5.2 Strategy & Structure – Simple, Functional, Organizational, Divisional, SBU and style of management.
5.3 Resource Management & Control – Corporate resource planning & growth, efficiency & effectiveness, Zero – Base Budgeting (ZBB).
5.4 Concept of Core Competency and how to compete for the future.
5.5 Reengineering & Restructuring.
Course Work/ Assignments
Presentation, Case Let Studies, Written Assignments
Suggested Readings
1. Business Policy and Strategic Management, Jauch, Gupta and Glueck/ Frank Bros and Co.
2. The Competitive Strategy: Techniques for Analyzing Industries and Competitors, Michael Porter / Simon & Schuster.
3. Competing for the Future, Prahalad and Hamel/ TMH
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- Teacher: sudip bhattacharjee