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Management Practice 4
Module 2: Strategic planning
Module 2: Strategic planning ,[object Object],[object Object],[object Object],[object Object]
The strategic planning model
The organisation has to know ,[object Object],[object Object],[object Object]
An organisation has to have a clear understanding of: ,[object Object],[object Object],[object Object],[object Object],[object Object]
The strategic planning model
Step 1: Creating a vision for the organisation ,[object Object]
McDonald’s Corporation vision ,[object Object]
The strategic planning model
Step 2: Develop a clear Mission Statement ,[object Object],[object Object]
McDonalds Corporation Mission Statement ,[object Object]
The strategic planning model
Step 3: Conduct a SWOT analysis ,[object Object],[object Object]
SWOT Analysis
1. ANALYSE THE BUSINESS STRATEGY OF AN ORGANISATION ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The strategic planning model
1.1 Identifying business objectives
Activity 1 ,[object Object]
McDonald’s business objectives ,[object Object],[object Object],[object Object],[object Object]
Activity 2 ,[object Object]
1.2 Measuring the achievement of business objectives ,[object Object]
Activity 3 ,[object Object]
Activity 3
Activity 3
Performance standards must also adhere to certain criteria ,[object Object],[object Object],[object Object],[object Object]
Types of standards
1.3 Analysing the business strategy of an organisation
The strategic planning model
1.3.1 Develop a strategy
McDonald’s Europe: Environmental Impact
McDonald’s Europe: Packaging materials used
McDonald’s Europe: Types of packaging used
Activity 4 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Strategic process ,[object Object],[object Object],[object Object],[object Object]
1.4 How strategy assists in achieving business objectives ,[object Object],[object Object],[object Object]
Linking strategies to business objectives
Extracts from McDonald’s 2006 Annual Report ,[object Object]
Extracts from McDonald’s 2006 Annual Report ,[object Object]
McDonald’s ‘Plan to win’ strategy
1.5 How consistent are business objectives with the organisation’s code of conduct in terms of ethics?
What is a ‘code of conduct’? ,[object Object],[object Object],[object Object]
A code of conduct should: ,[object Object],[object Object],[object Object],[object Object]
Old Mutual’s Code of Conduct ,[object Object]
What are ethics? ,[object Object]
Activity 5 ,[object Object]
Comparing business objectives with the code of conduct
McDonald’s code of conduct
Activity 6 ,[object Object],[object Object],[object Object],[object Object],[object Object]
1.6 Communicating a business strategy to business units ,[object Object],[object Object],[object Object],[object Object],[object Object]
McDonald’s global market
How do they communicate strategy? ,[object Object],[object Object],[object Object]
Communicating a business strategy to business unit
Employees must understand: ,[object Object],[object Object],[object Object]
1.7  Interpreting communications from senior management  about the business strategy to business units and then reporting back on the response of the unit
Activity 7 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
Linking business unit objectives to company strategy
Reporting back on a strategy in phases
1.8  Discussing the perceived problems and threats  to  the  organisation  and opportunities  for  the  organisation  ,[object Object],[object Object],[object Object],[object Object]
Activity 8 ,[object Object],[object Object]
Threats and opportunities ,[object Object],[object Object],[object Object],[object Object],[object Object]
Activity 9 ,[object Object],[object Object],[object Object],[object Object],[object Object]
Integrating the communication process within the organisation ,[object Object],[object Object],[object Object],[object Object]
Activity 10 ,[object Object],[object Object],[object Object]
Meeting tool #1: Planning checklist for managers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Venue planning checklist
Participant panning checklist
Meeting tool #2: The meeting agenda ,[object Object]
Meeting agenda template
Meeting tool #3: Meeting rules ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Meeting tool #4: The Action Plan ,[object Object],[object Object],[object Object],[object Object],[object Object]
2. ALIGN A BUSINESS UNIT WITH THE BUSINESS STRATEGY ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
2.1 The role of business units in supporting the business strategy ,[object Object],[object Object]
Case study: Lionel’s cost-saving objective ,[object Object],[object Object],[object Object],[object Object]
2.2 The consequences for the organisation if the business unit fails to deliver ,[object Object],[object Object],[object Object],[object Object]
Activity 11 ,[object Object]
Factors that prevent a business unit from assisting the business in realising strategy objectives Strategy factor What could prevent the business unit from achieving the strategy? People Lack of training Poor selection of employees Products Product quality Meeting customer needs Places Location Décor Prices Profit margins Managing costs Promotion Advertising Merchandising
2.4 Steps taken to minimise negative impact ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Activity 12 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
2.6 The financial implications of providing resources to align a business unit to the business strategy ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
3. IDENTIFY THE FACTORS AFFECTING THE PERFORMANCE OF THE BUSINESS ,[object Object],[object Object],[object Object],[object Object],[object Object]
3.1  Analysing  the strengths, weaknesses, opportunities and threats (SWOT) of a business ,[object Object],[object Object],[object Object],[object Object]
SWOT Analysis
The formal SWOT analysis process
Examples of factors emerging from this process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
3.2 Report on the SWOT Analysis of a business in writing
Activity 13 ,[object Object],[object Object],[object Object],[object Object]
 
Present the analysis  of the social, technical, economic,  environmental and political factors affecting a specific  business in the form of a report

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NCV 4 Management Practice Hands-On Support Slide Show - Module 2

Editor's Notes

  1. McDonald’s value statement can be found here: http://www.crmcdonalds.com/publish/csr/home/about/values.html
  2. A good activity here would be to get learners to conduct a SWOT analysis, for either a similar restaurant branch eg. Nando’s or an entirely different industry.
  3. Activity: Research any company that has been forced to close down as a result of bad ethical practices. What were the practices that were unethical? How do you think the company could have avoided it. The company can be South African or can be international. Some examples of this include: Masterbond Fidentia Enron WorldCom Barings Leisurenet Rand Gold and exploration
  4. Activity : In groups, draft what you think would be an appropriate code of conduct for a company like McDonalds. Remember, that the code of conduct has to apply to everyone in the company.
  5. A good ethical test is: “How would I feel if my action was put on the front page of a newspaper?”