.
        .
        .
        .
        .
        .
        .
        .
        .
        .




              Schurz
     ...
.
    .
    .
    .
    .
    .
    .
    .
    .
    .


Schurz Communications and
NASA: Defining Business
Objectives and...
Dryden's Mission Statement

Conduct safe and timely flight research for discovery, technology development, and technology ...
.
.
.
.
.
.
.
.
.
.

    Shurz Communications and the National Aeronautics and Space Agency (NASA)
provide us with an oppo...
In order to judge whether or not these examples of organizational strategic
thought can be improved we must strive to unde...
.
.
.
.
.
.
.
.
.
.
    1. Do we properly understand our company's market position, resources, and
        key leverage po...
top level mission and working your way down to a strategy for non-profits (Rangan).
Other business leaders prefer to focus...
.
.
.
.
.
.
.
.
.
.
    The cornerstone of many business strategies revolve around pricing which can be
a good indicator o...
People are more often beings who all see the inter-relations within the various
components of a business strategy accordin...
.
.
.
.
.
.
.
.
.
.

"While academics and consultants keep focusing on these narrow
perspectives, business managers will b...
Asides from providing students with an easy definition as a starting point to be
able to understand the concepts of strate...
.
        .
        .
        .
        .
        .
        .
        .
        .
BIBLIOGRAPHY
        .
I. Works Cited

 ...
Grove, Andy. Only the Paranoid Survive. Simon and Schuster, 1995

Gates, Bill. Business at the Speed ot Thought. Warner Bo...
Upcoming SlideShare
Loading in …5
×

Mgt599 mod1case

574 views

Published on

Edgardo Donovan (a.k.a. Eddie Donovan) is a CIO for the Department of Defense. Previously, Edgardo was the Director of Web Marketing/Design in Dublin, Ireland for the financial services division of First-e Group PLC one of Europe's largest e-Banks valued at 1.6 billion euros at the time.

Published in: Technology, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
574
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
2
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Mgt599 mod1case

  1. 1. . . . . . . . . . . Schurz Communications and NASA: Defining . . . Business Objectives . . . . . . . and Mission Statement Development Edgardo Donovan Touro University International MKT 599 – Strategic Management Dr. Charul Shah Module 1 – Case Analysis Monday, January 23, 2006
  2. 2. . . . . . . . . . . Schurz Communications and NASA: Defining Business Objectives and Mission Statement Development Ex. 1 – Strategic Planning (CartoonStock.com) 2
  3. 3. Dryden's Mission Statement Conduct safe and timely flight research for discovery, technology development, and technology transfer for U.S. Aeronautics and Space Preeminence. Mission Elements: • Conduct aeronautical flight research in support of global civil aviation, revolutionary technology leaps, and access to space • Support development and operations of the Space Shuttle and future access-to-space vehicles • Conduct airborne science mission and flight operations • Develop piloted and uninhabited aircraft testbeds for research and science missions Ex. 2 – Mission Statement/Elements (NASA.gov) Ex. 3 – Mission Statement (Schurz.com) 3
  4. 4. . . . . . . . . . . Shurz Communications and the National Aeronautics and Space Agency (NASA) provide us with an opportunity to study two different objective oriented organizational mindsets through their respective mission/strategic objectives and to attempt to define strategic management in a broad sense. Shurz Communications represents the mission statement of a medium size privately owned company that has been operating for some time, has a long-term commitment to a set group of customers, and is committed to improving its bottom line by leveraging synergistic product offerings wherever possible. NASA represents a large government agency with a multi-billion dollar budget, a considerable bureaucracy, a long standing series of core competencies, and a mission determined mainly by the defense, scientific, and political needs of the US government. The Shurz mission statement comes across as vague given that its objectives could probably apply to any private commercial organization. Although it outlines the business focus of the company I have the feeling that this is more of an externally projected statement rather than an employee motivational or evangelization marketing tool. The NASA mission statement demonstrates characteristics not uncommon for large government agencies. Rather than an attempt to tailor the mission according to a particular market, favorable operating conditions, and core competencies of the agency it outlines a specific mission which is meant to be taken from the top and implemented downwards (Rangan). 4
  5. 5. In order to judge whether or not these examples of organizational strategic thought can be improved we must strive to understand why they were written that way by analyzing all past, present, and future factors that could possibly influence success or failure of these entities. Clearly this could be a never-ending task so one must work with the time available and without the years of experience gained by corporate managers as trustees of their organization’s success. However, one can only hope similarly as many strategic consultants do to perhaps provide a fresh external perspective less constrained by the full immersion related pressures experienced by top management. In layman's terms strategic planning vis-à-vis running an organization is the thought processes related to figuring out the best course of action while ensuring that strategic planning get properly executed. Ideally they are two synergistic components of an ever-present daily mental discipline. This mental discipline can be transformed into a methodology if the organization is large and complex enough to demand it as long as it is used as a means to an end towards operating success and not vice-versa. Theoretically, thorough strategic planning would entail analyzing all past, present, and future factors that could possibly influence success or failure of an organization (Kotelnikov). In reality, people responsible with managing an organization try to leverage their limited past experience, try to be knowledgeable of the present, and hope for the best as they hesitantly try to make limited predictions about the near-future. Some typical questions they may ask themselves may be: 5
  6. 6. . . . . . . . . . . 1. Do we properly understand our company's market position, resources, and key leverage points? 2. If yes, in what new markets or existing markets can we profitably increase market share or mind share? 3. Once we have isolated the proper markets, can we construct a detailed customer profile? 4. Once that is done, can we interview potential users to understand their expectations and priorities so that we can begin developing appropriate design parameters? 5. If expectations seem reasonable, can we gain build a durable competitive advantage through the deployment of a properly targeted product/service? 6. If so, do we have the financial, time, and talent resources towards accomplishing this goal? 7. If not, do we have the means to acquire missing resources? 8. If yes, are there any precedents that can help us estimate risk? 9. Are we willing to incur the risk involved? The benchmarks for success are different in every organization. Therefore, the characteristics of what constitute best practices will vary. Some of the seemingly more cynical business strategists of our time such as Andy Grove and Bill Gates believe that only paranoid business leaders survive and have sometimes likened business to warfare where destruction of the enemy’s ability to wage war is paramount. They seem to believe that one of the most effective ways to appropriate a bigger piece of the micro-economic business demand curve is to financially destroy your competitors so as to force demand to be fulfilled through the surviving companies (Grove/Wallace). Alternatively in the non-profit sector where the organizational goal is to accomplish a set mission it may be advisable to start from a 6
  7. 7. top level mission and working your way down to a strategy for non-profits (Rangan). Other business leaders prefer to focus their mission on a set of non market related core values such as Michael Dell who always professed the mantra of establishing direct relationships with customers so as to better serve their needs while avoiding the formation of an inefficient bureaucracy (Dell). The discipline strategic planning is deeply integrated with a myriad of fields that are commonly associated with the development of a viable short-to-long term business plan. Trend forecasting is heavily relied upon in the early planning stages as a way of understanding consumer culture so that a company has the best chance of attempting to satisfy consumer tastes rather than trying to adapt the latter to their business strategy thus avoiding instances of organizational marketing/ product myopia. Once a viable demand is assessed, usually through a combination of focus groups and historical customer adoption rates of similar products or services, an extensive analysis of industry barriers to entry is performed. Barriers to entry could be high labor costs in a particular manufacturing country, overwhelming market share from competing forces, cannibalization risks, etc. If the risks or barriers to entry are deemed to be surmountable a further study of the competitive arena may be conducted in order to prepare for scenarios in which competition would try to stifle the success of the venture in an attempt to protect their own market share. Usually once the risks analyzed above are agreed to be acceptable a company will usually mobilize towards creating an operational plan that would coordinate an integrated approach from a product positioning, supply chain management, and advertising perspective. 7
  8. 8. . . . . . . . . . . The cornerstone of many business strategies revolve around pricing which can be a good indicator of whether an organization is attempting to mount a low-pricing early adopter approach designed to sell to a small but trend-setting customer base, a guerilla pricing approach designed to pick off customers currently not the focus of larger competitors, a flanking approach designed to price a product designed top win away large chunks of second-tier customers from a larger competitor, or a full frontal assault designed to compete both in price and quality usually at some economic loss so as to win away large portions of an industry leaders customer base. (Trout/Reis) Ex.4 – Strategy Matrix (Kotelnikov) 8
  9. 9. People are more often beings who all see the inter-relations within the various components of a business strategy according to their own world view and often through the prism of the corporate culture they work in. This is reflected even in academia where just in the US there are over ten different schools of thought related to strategic management among prominent business schools (Kotelnikov). In the same manner that it is impossible to predict a demand curve for a particular product or service there is no industry wide methodology that companies use to make strategic considerations within the larger context of their overall business plan. Ex. 5 – Differing Strategic Objectives (CartoonStock.com) 9
  10. 10. . . . . . . . . . . "While academics and consultants keep focusing on these narrow perspectives, business managers will be better served if they strive to see the wider picture. Think of growing your business as growing a perfect human being – in all his or her complexity and integrity. Think of this human being as a multi-skilled sportsman who is to win various competitions, both individually - a 100 m sprint run, a tennis tournament, and a chess match – and as a team player – a relay-race, safari rally, and football. He is also to live a harmonious family, social and cultural life, grow his children and support his elders... Clearly, narrow strategies aimed at perfecting different functions of this person – body-building, thinking-building, or personality- building – would not create a perfect man. The same is also correct for the business strategy development in the new era of systemic innovation where good in parts is no good at all. The old linear and static approaches might work well for the old era of slow, linear and incremental change. The emerging era of rapid, systemic and radical change requires more flexible, systemic and dynamic approaches to strategy formulation. (Kotelnikov) Some of those who disagree with me believe that defining strategic management in such wide parameters as I have done defeats the purpose and that this concept must be defined within a standard, focused, and more rigid methodology that can be summarized in three steps (Dess). To some a mission statement can only be a short, succinct statement declaring what business you're in and who your customer is. By offering this focus, it provides direction for future corporate development (Birnbaum). 10
  11. 11. Asides from providing students with an easy definition as a starting point to be able to understand the concepts of strategic management and mission statements restricting strategic management to a focused three point methodology does very little in helping us understand why organizations do what they do or provide us with a practical standard methodology for the conduct of all organizational affairs. This is proven when we observe that similarly to people all organizations behave in a unique way and that methodologies must be adapted to the culture of each organization in order to have the best chance to succeed. Even if we were to think of strategic planning as an adherence to universal values that are widely recognized to foster success such as perseverance, vision, customer service, profitability, and efficiency we would not be able to account for the successful organizations engaged in strategic planning on a daily basis lacking some of the latter qualities. Thorough strategic planning and management are not always directly proportional to commercial success. The former cannot ever be considered a scientific process because it will never be able to account the role timing and chance play in business affairs. Organizations are run by people who sometimes behave illogically or achieve success by accident or fail despite proper planning and flawless execution. Shurz Communications and the National Aeronautics and Space Agency (NASA) provide us with an opportunity to study two different objective oriented organizational mindsets and to attempt to define strategic management in a broad sense. These organizations manifest two different strategic mindsets through their respective mission statement and strategic objectives. The former represents the mission statement of a medium size privately owned company that has been operating for some time, has a long-term commitment to a set group of customers, and is committed to improving its bottom line by leveraging synergistic product offerings wherever possible. The latter represents a large government agency with a multi-billion dollar budget, a considerable bureaucracy, a long standing series of core competencies, and a mission determined mainly by the defense, scientific, and political needs of the US government. 11
  12. 12. . . . . . . . . . BIBLIOGRAPHY . I. Works Cited NASA. Dryden's Mission Statement. NASA.gov, 2006 CartoonStock.com. Strategic Planning. CartoonStock.com, 2006 CartoonStock.com. Differing Strategic Objectives. CartoonStock.com, 2006 NASA. Logo NASA.gov, 2006 Schurz Communications. Logo Schurz.com, 2006 Birnbaum, Bill. Mission Statement Fundamentals. BirnbaumAssociates.com, 2006 Kotelnikov, Vadim. Ten Major Strategic Management Schools: A Comparative Analysis. 1000ventures.com, 2006. Grove, Andy. Only the Paranoid Survive. Simon and Schuster, 1995 Wallace, James – Erickson, Jim. Hard Drive – Bill Gates and the Making of the Microsoft Empire. Harper Collins, 1993 Ries, Al – Trout, Jack. Marketing Warfare. Bantam Books, 1978 Dell, Michael. Direct from Dell. Harper Business, 1999 II. Works Consulted Kotelnikov, Vadim. Ten Major Strategic Management Schools: A Comparative Analysis. 1000ventures.com, 2006. Grant, Lorrie. Wal-Mart doesn't plan to toy much with prices ; Last year's cuts hurt other retailers and left giant thinking it slashed too much. USA Today, 2004. Foust, Dean. Things Go Better With...Juice; Coke's new CEO will have to move quickly to catch up in noncarbonated drinks. Business Week, 2004. Brady, Diane. A Thousand And One Noshes; How Pepsi deftly adapts products to changing consumer tastes. Business Week, 2004. CartoonStock.com. Strategic Planning. CartoonStock.com, 2006 CartoonStock.com. Differing Strategic Objectives. CartoonStock.com, 2006 NASA. Logo NASA.gov, 2006 Schurz Communications. Logo Schurz.com, 2006 Sloan, Alfred. My Years at General Motors. Doubleday, 1963 12
  13. 13. Grove, Andy. Only the Paranoid Survive. Simon and Schuster, 1995 Gates, Bill. Business at the Speed ot Thought. Warner Books, 1999 Wallace, James – Erickson, Jim. Hard Drive – Bill Gates and the Making of the Microsoft Empire. Harper Collins, 1993 Cobbold, Ian – Lawrie, Gavin – Issa, Khalil. Designing a strategic management system using the third-generation balanced scorecard: A case study. International Journal of Productivity and Performance Management, 2004 Rangan, Kasturi. Lofty Missions, Down-to-Earth Plans. Harvard Business Review, 2004 Mintzberg, Henry. The fall and rise of strategic planning. Harvard Business Review, 1994 Dess, Gregory. Strategic Management . McGraw-Hill, 2005 NASA. Strategic Management Process. NASA.gov, 2006 Schurz Publications. Strategic Goals. Schurz.com, 2006 Ries, Al – Trout, Jack. Marketing Warfare. Bantam Books, 1978 NASA. Dryden's Mission Statement. NASA.gov, 2006 Rangan, Kasturi. Case Study of Writing Business Objectives: Wiping Up the Credit. Harvard Business Review, 2004 Birnbaum, Bill. Mission Statement Fundamentals. BirnbaumAssociates.com, 2006 Donovan, Edgardo. Full-Life-Cycle Web Presence Management. EddieDonovan.com, 2006 Donovan, Edgardo. Front End Web Development Process. EddieDonovan.com, 2006 Dell, Michael. Direct from Dell. Harper Business, 1999 13

×