Strategic Management

Hikmawati Uliasri Nasution C1KO11O15 Assignment, for week 3

Introduction SWOT
SWOT analysis is an effective method used for strategic planning to identify potential, priorities and creating a common vision of achieving the development strategy for a company. This should answer the question Where are we? involving the analysis of the internal and external environment generally and specifically.

SWOT
Strengths and weaknesses of the organization, internal environment, are important for resources, programs and organization in key points such as (Catrinescu, 2002): sells/marketing/distribution, management system/survey report, production efficiency/capacity, products /quality/price.

The Strengths-WeaknessesOpportunities-Threats (SWOT) Matrix

The Strengths-Weaknesses-OpportunitiesThreats (SWOT) Matrix is an important matching tool that helps managers develop four types of strategies: 1. SO (strengths-opportunities) Strategies 2. WO (weaknesses-opportunities) Strategies 3. ST (strengths-threats) Strategies

Cont
4. and WT (weaknesses-threats) Strategies.3 Matching key external and internal factors is the most difficult part of developing a SWOT Matrix and requires good judgmentand there is no one best set of matches.

BCG Matrix for My University

Purpose Developing a BCG Matrix for many nonprofit organizations, including colleges and universities, is a useful exercise. Of course, there are no profits for each division or departmentand in some cases no revenues. However, you can be creative in performing a BCG Matrix.

Cont
For example, the pie slice in the circles can represent the number of majors receiving jobs upon graduation, the number of faculty teaching in that area, or some other variable that you believe is important to consider. The size of the circles can represent the number of students majoring in particular departments or areas.

Cont
Instructions : Step 1 On a separate sheet of paper, develop a BCG Matrix for your university. Include all academic schools, departments, or colleges. Step 2 Diagram your BCG Matrix on the blackboard. Step 3 Discuss differences among the BCG Matrices on the board.

The Grand Strategy Matrix

In addition to the SWOT Matrix, SPACE Matrix, BCG Matrix, and IE Matrix, the Grand Strategy Matrix has become a popular tool for formulating alternative strategies. All organizations can be positioned in one of the Grand Strategy Matrixs four strategy quadrants. A firms divisions likewise could be positioned.

Cont
Grand Strategy Matrix is based on two evaluative dimensions: competitive position market(industry) growth.

Cont

Cont
Firms located in Quadrant I of the Grand Strategy Matrix are in an excellent strategic position. Quadrant II need to evaluate their present approach to the marketplace seriously. Quadrant III organizations compete in slow-growth industries and have weak competitive positions.

Cont
Quadrant IV businesses have a strong competitive position but are in a slow growth industry.

General Electric
The GE matrix cross-references market attractiveness and business position using three criteria for each high, medium and low

Cont
The matrix differs in its complexity compared with the Boston Consulting Group matrix. Superimposed on the basic diagram are a number of circles. These circles are of variable size (see Figure 22).

Cont

References
Fred R. David, Strategic Management CONCEPTS AND CASES, THIRTEENTH EDITION, 2011 Management & Marketing (2009) Vol. 4, No. 3, pp. 97-110. http://www.palgrave.com/keyconcepts/pdfs /Strategic%20Management%2014039_21 350_10_G.pdf