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IKEA Strategic Management Project
Part 2
MGT427 – Spring 2019
College of Business
Effat University, Jeddah.
Done By:
Rawan Nadeem
Walaa Barayan
Omniah Qurun
Yusra Al Krait
Waad Al Sobhi
Relam Al Qarni
Outline :
• Strategic Alternatives and Recommendations Based on SWOT
o Objective and Mission
o Linking objectives to the mission
o Strategic alternatives and options
o Recommended strategies and areas of improvement
• Implementation
o Requirements
o Challenges
• Evaluation and Control
• Current Mission:
To create a better everyday life for the many people
• Current objectives:
To offer a wide range of home furnishing items of good design and function, excellent
quality and durability, at prices so low that the majority of people can afford to buy
them
• IKEA uses SWOT analysis to help it reach its objectives.
Objective and Mission :
SWOT
SWOT (Cont.)
Strategic Alternatives
• Strategies for their people
• Growth
• Sustainability
• Customers
• Cost
Recommendations Based on SWOT
• Focus on sustainability.
• Consider development and training employee.
• Expanding its market around Saudi Arabia
• Keep providing good quality and low price of
products.
Requirements
Employees Growth
Customers
Satisfaction
Lower cost
Challenges
• Aligning team members.
• Resistance to Change.
• Implementing strategy involves change.
• Allocating the right resources at the right place
and time.
Overcoming the Challenges
• Allocate clear and detailed responsibilities and accountability.
• Identify key performance measures and actions to be taken to
achieve the strategic objective.
• Create an information system to record the progress.
• Clarify all strategies to the employees.
• Allocate resources based on value contribution.
Evaluation and Control
• Tools That used to Keep Everything in Control:
o Sales Tree
o Brand
o Employees
• Key Performance Indicators (KPI):
o This method support IKEA to evaluate and estimate the progress of its vision and
long-term goals through determining objectives and controlling progress to
accomplish it.
o This guideline determines the social and environment requirements that IKEA look
about it from its suppliers.
o They mentioned that their KPI categories generally covered targets.
o At the end, they stated that IKEA always want to focus on everything, because all
are important.
IKEA STRATEGIC MANAGEMENT

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IKEA STRATEGIC MANAGEMENT

  • 1. IKEA Strategic Management Project Part 2 MGT427 – Spring 2019 College of Business Effat University, Jeddah. Done By: Rawan Nadeem Walaa Barayan Omniah Qurun Yusra Al Krait Waad Al Sobhi Relam Al Qarni
  • 2. Outline : • Strategic Alternatives and Recommendations Based on SWOT o Objective and Mission o Linking objectives to the mission o Strategic alternatives and options o Recommended strategies and areas of improvement • Implementation o Requirements o Challenges • Evaluation and Control
  • 3. • Current Mission: To create a better everyday life for the many people • Current objectives: To offer a wide range of home furnishing items of good design and function, excellent quality and durability, at prices so low that the majority of people can afford to buy them • IKEA uses SWOT analysis to help it reach its objectives. Objective and Mission :
  • 6. Strategic Alternatives • Strategies for their people • Growth • Sustainability • Customers • Cost
  • 7. Recommendations Based on SWOT • Focus on sustainability. • Consider development and training employee. • Expanding its market around Saudi Arabia • Keep providing good quality and low price of products.
  • 9. Challenges • Aligning team members. • Resistance to Change. • Implementing strategy involves change. • Allocating the right resources at the right place and time.
  • 10. Overcoming the Challenges • Allocate clear and detailed responsibilities and accountability. • Identify key performance measures and actions to be taken to achieve the strategic objective. • Create an information system to record the progress. • Clarify all strategies to the employees. • Allocate resources based on value contribution.
  • 11. Evaluation and Control • Tools That used to Keep Everything in Control: o Sales Tree o Brand o Employees • Key Performance Indicators (KPI): o This method support IKEA to evaluate and estimate the progress of its vision and long-term goals through determining objectives and controlling progress to accomplish it. o This guideline determines the social and environment requirements that IKEA look about it from its suppliers. o They mentioned that their KPI categories generally covered targets. o At the end, they stated that IKEA always want to focus on everything, because all are important.