Transcript Strategic Management Process, Strategic Planning

Jessica Burns, Mike Baker, John Klinger
Strategic Management
 Definition- the art and science of formulating,
implementing, and evaluating cross-functional
decisions that enable an organization to achieve its
objectives
Stages of Strategic Management
 Formulating- developing a vision and mission
statement, identifying an organization’s external
opportunities and threats, determining internal
strengths and weaknesses, establishing long-term
objectives, generating alternative strategies, and
choosing strategies to pursue
Stages of Strategic Management
 Implementation- establish annual objectives, devise
policies, motivate employees, and allocate resources so
formulated strategies can be executed.
 Evaluation-final stage, includes 3 fundamental
activities
 Reviewing external and internal factors as bases for
current strategies
 Measuring performance
 Taking corrective actions
Strategic Planning
 Definition- an organization’s process of defining its
strategy, or direction, and making decisions on
allocating its resources to pursue this strategy
SWOT Analysis
 Tool used to evaluate internal strengths and
weaknesses and external opportunities and threats
 Used in strategic planning
Uncle Sam’s Pizza
 1432 Locus Lane
State College, PA
Small family based pizza shop located in downtown
State College Pennsylvania dedicated to providing the
best service and food at low prices
Uncle Sam’s Pizza
 Vision statement- to be recognized as a leader in our industry by
communicating accurate information and providing exceptional
service
 Mission Statement- Our commitment to exceptional customer
service and maximization of profits will be managed closely. By
investing in technology and our diverse work force, we will be
recognized for our strong financial performance and our
commitment to our customers and employees. Our management
team will regularly review our existing products and services as
well as new ventures to ensure that we are maximizing the
potential of our company. Our leadership team will be dedicated
to seven core values: entrepreneurial culture, integrity, diversity,
innovation, respect, efficiency, and community
Objectives/Goals
 Provide exceptional customer service
 Timely delivery of products
 Maintain low cost of production
 Follow newest technology available
SWOT
 Strengths
 Convenience
 Customer service
 Location
 Pricing
 Weaknesses
 Time/cost
 Employee training
 Limited expansion
 Competition
SWOT
 Opportunities
 Open more locations
 Re-evaluate operations
 Evaluate technological advances
 Threats
 Competition-low barriers to entry, many other shops
around
 Small company- difficult to compete with large
companies
 Small profit margins
Strategies
 Strong marketing and advertising
 Hire, train and motivate employees to provide
exceptional service
 Willingness to be flexible
 Purchase only the best products
 Capture market share by gaining customer loyalty
Evaluation
 Financial evaluation
 Product evaluation
 Employee evaluations
 Customer surveys
 Compare performance with similar sized pizza shops