The Value of Strategic Management Audiobook

All posts tagged The Value of Strategic Management Audiobook

Accelerated Learning Business Tools

Published September 11, 2014 by Mayrbear's Lair

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For more information on Media Magic, our digital publications, or to purchase any of our accelerated learning Business Life titles, please visit our website at: Media Magic Publishing.

Making Strategy

Published September 8, 2014 by Mayrbear's Lair

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It today’s global marketplace, people that are interested in performing at optimum levels must comprehend the strategic decisions companies make. Coulter (2010) explained that corporations implement strategic management to motivate top performances and achieve greater outcomes (Coulter, 2010). A statement like “making strategy, once an event, is now a continuous process,” illustrates the complexities involved in the process of strategic organizational management.

In my publication, TheValue of Strategic Management (2014), I disclosed that strategies were originally developed as military plans to attain victory against opponents. In this regard strategies were set up as objectives to out maneuver and defeat enemies, therefore, developing strategies were identified as planned events with focused goals (Berry, 2014). However, in today’s corporate climate strategies are developed, adopted, and incorporated on a more regular basis to keep up with evolving trends and market fluctuations in a highly competitive arena. In other words, in order for companies to survive today’s global economy, they must continue to observe, assess, and reshape their strategies to remain profitable and competitive.

google headquarters

Google is a leader in the global market place because of the effective strategies they incorporate into the manufacturing and marketing of their products. Porter (2008) postulates that competition is a main component that can help determine whether a firm will achieve success or failure in its efforts. It helps determine the effectiveness of a company’s activities that contributes to such components like innovations, trends, a cohesive culture, or efficient implementation. Competitive strategy helps establish a company’s sustainability and profitability by maintaining strength in spite of the changes in the market (Porter, 2008). One strategy Google incorporates that has helped sustained its top position is their consistency in delivering superior products. In doing so, they force competitors to raise the bar to stay in the game. 

Google-Products-and-Services oil

The innovative product strategies the Google Corporation implements is clearly top rate, however, because of the ever changing market they continue to evolve their products and strategies to stay ahead of their competition. Porter (2011) suggests that companies like Google achieve operational effectiveness because they perform better in developing, producing, selling and delivering their products. This is a strategic component that gives them the competitive edge. However, to achieve effective strategic positioning their strengths lie in performing differently than their competitors by creating unique products which not only sets them aside but also raises the bar in their industry (Porter, 2011). However, Apple and Microsoft have introduced their own unique products and apps allowing consumers a wider range of innovative tools to choose from. In the meantime, as long as Google continues to evolve their strategies and keep up with the changing marketplace, they will continue to experience growth with successful outcomes.

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Everything that can be counted does not necessarily count; everything that counts cannot necessarily be counted. – Albert Einstein

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For more information on Media Magic, our digital publications, or to purchase any of our accelerated learning Business Life titles, please visit our website at: Media Magic Publishing.

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Lippincott Room at Princeton University Press

References:

Berry, M. A. (2014). The Value of Strategic Management. USA: Amazon Digital Services, Inc.

Coulter, M. (2010). Strategic management in action (5th ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Porter, M. (2008). Competitive Advantage: Creating and sustaining superior performance. New York, NY: Simon and Schuster Digital Sales Inc.

Porter, M. (2011). HBR’s 10 must reads on strategy. Boston, MA: Harvard Business Review Press.

Failure Management

Published September 5, 2014 by Mayrbear's Lair

failure

One thing we are not prepared for in life, nor is this topic generally taught in most academic institutions, is how to deal with failure. Maxwell (2000) points out that people in school are trained for success and as a result, most of us have an unrealistic perception of what failure looks like, let alone how to deal with it. The truth is, we should also receive training for failure as this a far more common occurrence (Maxwell, 2000). In fact, taking into consideration that 1% of the population holds all the wealth, we can say that poverty is more prevalent than wealth and disappointment transpires far more often than not. Just ask all the teams that did not make it to the Super Bowl or any of the athletes that have ever competed at the Olympic Games who did not walk away with a medal. Given these statistics, it makes sense that the odds are in favor of our failing more often than not. When you think about it, that’s a pretty grim perspective. However, acknowledging this element can be helpful to leaders in a business arena. For instance, one survey from professionals that help companies in trouble, pointed out that components like inadequate leadership and poor planning are two of many reasons why some companies fail. This is valuable information that can help key decision makers create more effective strategies.

inadequate leadership

To address the first reason for business failures – the inadequate leadership factor, key decision makers must first understand what the magical component is that makes one person stand out from others. In other words, to address poor leadership issues, one must first comprehend the components that differentiate an average person from a top performer. Coulter (2010) points out, for instance, that effective leaders develop strategies that will: (a) move the company forward, (b) maintain the company’s position in the marketplace, or (c) reverse an organization’s shortcomings to lead them to successful outcomes (Coulter, 2010).

But why are some leaders effective while others fall short? Celebrated soccer player Kyle Rote is quoted to have said that there are many roads to success, but that the path to failure is a person’s inability to look beyond those failures. In other words, the difference between an average performer and a top performer is how they perceive failure in addition to how they deal with it. For example, a person that has the ability to learn from their failures is more likely to achieve successful outcomes, than one who allows failure to deter them from moving forward or making another attempt.

challenge to opportunity

A leader that is a high achiever tends to view negative outcomes differently. This is the kind of leader that will approach a challenge as an opportunity to learn and grow rather than blame mistakes on someone or something else. A leader that blames others is missing an important opportunity to discover a new strategy and is more likely to repeat their mistakes. In addition, an inadequate leader most likely does not expect to fail again, once they resolve an issue. As a result, if and when it occurs again they are not prepared. Therefore, a strategy for company owners and shareholders would be to recruit top performers in leadership positions that possess some of following characteristics: (a) individuals that take responsibility for errors and shortcomings rather than blaming it elsewhere, (b) they learn from their mistakes, (c) they understand that failure is part of the process that leads to progress, (d) they challenge outdated assumptions, (e) they are not afraid of risks, and most important, (f) they persevere (Maxwell, 2000). These components can help key decision makers engage in better leadership choices to reduce chances of errors that can occur from inadequate leadership issues.

POOR_PLANNING

Another reason why businesses fail is because of poor planning. However, upon closer examination, we will also discover that businesses do not only fail because of poor planning, failure also occurs because the plans were not executed to their fullest potential. Carroll and Mui (2008) revealed, for instance, that corporate America has spent hundreds of billions of dollars producing epic business failures. In fact, many executives in top management positions cringe at the word failure. As a result they rarely learn from failed outcomes and in most cases, focus the blame elsewhere. Take for example the mortgage and loan crisis of 2008 that repeated earlier financial crises. This is a strong indicator that business institutions continue to repeat the same or similar errors. The statistics are quite sobering in fact because they reveal that since 1981, 423 US companies with assets of more than $500 million filed for bankruptcy. In addition, their combined assets at the time totaled more than – are you ready for this – $1.5 trillion! Their combined annual revenue was almost $830 billion; and in fact, some of these corporations filed bankruptcy multiple times! This tells us that companies are not even learning from other companies’ mistakes (Carroll & Mui, 2008).

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So what is the reason for all these burnouts? Carroll and Mui suggest the culprit is poor execution of strategic plans. For instance, in a battlefield, most leaders reveal that a battle plan rarely survives first contact. This is because they can only engage in so much planning before just moving forward. Executives could stand to learn from this fact. Planning and execution are significant, but what is equally if not more important, is creating a plan with good strategic actions that will produce effective results.

ChargeofthelightBrigade

Take for example the famous incident that occurred at the Charge of the Light Brigade, the British Cavalry so named because they were optimized for fast mobility. The English troops were led by Lord Cardigan against Russian soldiers in October of 1854 during the Battle of Balaclava. According to reports, faulty intelligence affected the orders given to the cavalry that contributed to the disastrous decision to charge the Russians who were equipped with a considerable amount of artillery in the Crimean War. The British executed their strategy as planned, however, because the strategic move was based on false data, their campaign was ineffective. Once the charge was set in motion, there was no way to avoid the disaster they encountered and as Alfred Lord Tennyson wrote in his famous poem, the soldiers walked into the valley of death. In other words, their failure did not result from poor planning, it resulted because of incorrect information that was used to devise the plans. This is how inaccurate information can result in disastrous outcomes. In fact, in a business context, Carroll and Mui further postulate that 46% of company failures can be avoided if leaders are more aware of the pitfalls they may face. Other failures can also be avoided if companies are able to detect the warning signs.

Available Now Value Audiobook Ad

My ebook, The Value of Strategic Management, just released on audiobook, provides insights to effective leadership skills and examines strategies that top performers implement to manage an organization more efficiently. In short, the best strategy leaders can use to avoid failures that result from poor planning is to understand that poor planning can result from a lack of accurate data in the construction and execution of the strategic planning process. Although we acknowledge that there are many factors that can contribute to a business failing to achieve their desired outcomes, the key lies in a firm’s abilities to not only acknowledge their mistakes, but take responsibility and accountability for them and use their experience with failure as an opportunity to learn and avoid repeating the same patterns thereafter.

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“There is only one thing that makes a dream impossible to achieve: the fear of failure.”  –  Paulo Coelho

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For more information on Media Magic, our digital publications, or to purchase any of our accelerated learning Business Life titles, please visit our website at: Media Magic Publishing.

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References:

Carroll, P., & Mui, C. (2008). Billion dollar lessons. New York, NY: Penguin Group.

Coulter, M. (2010). Strategic management in action (5th ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Maxwell, J. (2000). Failing forward. Nashville, TN: Thomas Nelson, Inc.