chapter eleven : Managing Internal Operations

MANAGING INTERNAL OPERATIONS ? Managers implementing and executing a new or different strategy must identify the resource requirements of each new strategic initiative and then consider whether the current pattern of resource allocation and the budgets of the various sub units are suitable.

i think this is only for chapter eleven. as a conclusion, the more that organizational units use best practices in performing their work, the closer a company comes to achieving effective and efficient strategy execution.

that's all for this entry. maybe this is LAST entry that i write. ASSALAMUALAIKUM :)

chapter ten : BUILDING AN ORGANIZATION CAPABLE OF GOOD STRATEGY EXECUTION

BEFORE YOU START EXPLORE THIS CHAPTER, YOU MUST FOCUS TO THIS VIDEO ! THIS IS VERY IMPORTANT ! FOCUS, FOCUS ANDDDDD FOCUS ! DON'T SKIP TO WATCH THIS VIDEO OKAY ?! KEEP CALM AND JUST FOCUS :)

Employee Value Proposition Video - How to Attract and Retain the Best People

A high turnover rate can be very costly to a business. So how do you prevent your business from being a revolving door? How do you hire and retain capable employees? An employer needs an effective retention strategy in order to combat the costly turnover cycle. We are going consider the following three ways that employers can retain their employees:

The Hiring & Interviewing Process

The Training Process

Maintaining Employee Morale

By giving due attention to the hiring & training process, and by working hard to maintain employee morale this will go along way in preventing a high employee turnover rate. The employee retention strategy that you implement will go along way in ensuring success.

To increase the effectiveness of new business ideas, you need to have efficient business implementation strategies. Formulating creative business ideas does you little good if you do not have a plan in place to properly execute them. In addition, a business's organizational structure is strengthened when management spends time analyzing different ways to efficiently put new plans into place.

Strategic implementation put simply is the process that puts plans and strategies into action to reach goals. A strategic plan is a written document that lays out the plans of the business to reach goals, but will sit forgotten without strategic implementation. The implementation makes the company’s plans happen.

i think that's all for this entry. this chapter is VERY EASY to UNDERSTAND. when you watch video about How to Attract and Retain the Best People, you will understand about this chapter. ASSALAMUALAIKUM :)

tired of writing :(

no lecture :)

26 NOVEMBER 2013

chapter eight : corporate strategy :)

" Make it a habit to tell people thank you. To express your appreciation, sincerely and without the expectation of anything in return. Truly appreciate those around you, and you'll soon find many others around you. Truly appreciate life, and you'll find that you have more of it "  
RALPH MARSTON 

miss ummi REMIND all student to always say THANK YOU to everyone. THANK YOU ! THANK YOU ! THANK YOU FOR EVERYTHING :)

let's continue to the main point. this is about CORPORATE STRATEGY. for this entry, we will learn about strategy in multi-business enterprise, which are called diversified enterprises. diversification is a corporate strategy to increase sales volume from new products and new markets. diversification can be expanding into a new segment of an industry that the business is already in or investing in a promising business outside of the scope of the existing business. 

JOHNSON & JOHNSON is a diversified company. instead of developing a business strategy for one industry, they need to develop business strategy for each different industry that they operate in. this is often entrusted to the heads of each individual business.

DIVERSIFIED COMPANY STRATEGY

1) PICKING NEW INDUSTRIES

2) PICKING BUSINESSES WITH VALUE-CHAIN MATCHUPS

3) ESTABLISHING INVESTMENT PRIORITIES

4) ENHANCING PERFORMANCE OF THE CORPORATION

McDonald's starting of McCafe is an excellent example of diversification. By starting McCafe, McDonald's is offering new products that were not available in traditional McDonald's stores. McCafe specializes in serving cafes, which attracts customers that usually don't come to McDonald's to eat fastfood. McCafe is also not only a product development. McCafe has its own section of the store and clearly distinguishes itself from the traditional McDonald store. The store has modern, yet relaxing mood. This is important to attract new market segments, probably customers that go to cafe not to satisfy hunger, but possibly to take a sip of coffee and chat in a relaxing environment. Thus, McDonald's McCafe serves as an example performing diversification by developing both new products and new markets. 

L'OREAL is example for related business. Have competitively valuable cross-business value chain and resource matchups. Related Diversification is the most popular distinction between the different types of diversification and is made with regard to how close the field of diversification is to the field of the existing business activities

TABUNG HAJI is example for unrelated business. Have dissimilar value chains and resource requirements, with no competitively important cross-business relationships at the value chain level. unrelated diversification which refers to the manufacture of diverse products which have no relation to each other.

Synergy is the interaction of multiple elements in a system to produce an effect different from or greater than the sum of their individual effects. The term synergy comes from the Greek word synergia συνέργια from synergos, συνεργός, meaning "working together". returns for the entire company exceed what each individual business could achieve on its own ( 1+1=3 ). must still pass the 1+1=3 test to provide value to shareholders.

as a CONCLUSION, Corporate level strategy involves making decisions about which businesses to own and invest in (portfolio strategy) and how to manage or parent the businesses (management/parenting strategy).

that's all for this entry. see you in the next entry. ASSALAMUALAIKUM :)