PES INSTITUTE OF TECHNOLOGY BANGALORE SOUTH CAMPUS Dept. of MBA

PES INSTITUTE OF TECHNOLOGY BANGALORE SOUTH CAMPUS Dept. of MBA Lesson Plan Semester II Subject Code : 16MBA25 Total no of Lectures: 56 Subject Title : Strategic Management IA Marks: 20 Type : Core Credits: 4 Faculty Name : Ravi Urs D Exam Hours: 03 No of Lecture Hours / Week : 03 Exam Marks: 80 Practical Component Hour : 02 Ratio of theory to problems: 100 : 0 Pre-Requisite: Mention the pre-requisite course code if required Course Objectives: 1. To provide insights into the core concepts of strategic management. 2. To evaluate various business strategies in dynamic market environments. 3. To gain insights into various strategic management models

Module No Session No. Student Learning Evaluation Technique Cumulative Coverage Course Outcomes: At the end of the course students will be able to: 1. Formulate a strategic plan that operationalizes the goals and objectives of the firm. 2. Use management concepts to analyze complex business situations 3. Associate with various Strategic Management models for Business situations 4. Ability to evaluate and critique theories and models in corporate environment. Table - 1 Session Plan Contents Pedagogical Tools Presentation /Practical Component Assignments / additional work I 1 Course Outline: Meaning and Nature of Strategic Management concept of Strategic Management Test I get clear idea about the concept of Strategic Management, its nature and purpose. 2 Course Outline: Importance and relevance of Strategic Management 14% Importance and relevance of Strategic Management.

get clear idea about the Importance and relevance of Strategic Management. 3-4 Course Outline: Characteristics of Strategic Management Characteristics of Strategic Management. get clear idea about the Characteristics of Strategic Management. 5 Practical Class: Creating groups and asking them to come up with a business idea. 6 Course Outline: The Strategic Management Process Strategic Management Process Presentation Test I get clear idea about the Strategic Management Process 7-8 Course Outline: Relationship between a Company s Strategy and its Business model Table 3 Relationship between a company s Strategy and its Business model get clear idea about the Relationship between a Company s

Module No Session No. Student Learning Evaluation Technique Cumulative Coverage Strategy and its Business model. Pedagogical Tools Presentation /Practical Component Assignments / additional work II 9 Course Outline: Strategy formulation - Developing Strategic Vision and Mission for a company Strategy formulation - Developing Strategic Vision and Mission for a company Test I 30% 10 get clear idea about the Strategy formulation - Developing Strategic Vision and Mission for a company Practical Class: The groups have to give a vision and mission to their idea. Presentation Test I 11 Course Outline: Setting Objectives Strategic objectives Course Objective: Students will be made to understand how to develop strategic objectives Test I get clear idea about the Setting Objectives Strategic objectives 12 Course Outline: Setting Objectives Financial Objectives Test I

Module No Session No. Student Learning Evaluation Technique Cumulative Coverage Setting Objectives Financial Objectives 13 get clear idea about the Setting Objectives Financial Objectives Course Outline: Balanced Score Card Balanced Score Card Test I 14 get clear idea about the Balanced Score Card Course Outline: Company Goals and Company Philosophy Company Goals and Company Philosophy Test I get clear idea about the Company Goals and Company Philosophy Contents Pedagogical Tools Presentation /Practical Component Assignments / additional work 15 Practical Class: The groups have to set financial and strategic goals to their idea. Presentation Course Outline: The Hierarchy of

16 Strategic Intent The Hierarchy of Strategic Intent Test I 17 get clear idea about the Hierarchy of Strategic Intent Course Outline: Merging the Strategic Vision, Objectives and Strategy into a Strategic Plan Merging the Strategic Vision, Objectives and Strategy into a Strategic Plan Table 3 Test I 39% III 18 get clear idea about the Merging the Strategic Vision, Objectives and Strategy into a Strategic Plan Course Outline: Analyzing a company s external environment The strategically relevant components of a company s external environment Analyzing a company s external environment The strategically relevant components of a company s external environment get clear idea about the Analyzing a company s external environment The strategically relevant components of a company s

Module No Session No. Student Learning Evaluation Technique Cumulative Coverage 19 external environment. Course Outline: Industry Analysis - Porter s dominant economic features. Industry Analysis - Porter s dominant economic features. get clear idea about the Industry Analysis - Porter s dominant economic features. Contents Pedagogical Tools Presentation /Practical Component Assignments / additional work 20 Course Outline: Competitive Environment - Analysis Porter s five force model Competitive Environment - Analysis Porter s five force model get clear idea about the Competitive Environment - Analysis Porter s five force model 21-22 Course Outline: Industry driving forces Industry driving forces 62%

get clear idea about the Industry driving forces 23 Course Outline: Key success factors concepts and implementation. Key success factors concepts and implementation. Table 3 get clear idea about the Key success factors concepts and implementation. IV 24 Course Outline: Analyzing a company s resources and competitive position Analyzing a company s resources and competitive position get clear idea about the Analyzing a company s resources and competitive position 25 Course Outline: Analysis of the company s present strategies, SWOT analysis Analysis of the company s present strategies, SWOT analysis get clear idea about the Analysis of the company s present strategies, SWOT analysis

Module No Session No. Student Learning Evaluation Technique Cumulative Coverage 26 Course Outline: Value chain analysis Value chain analysis get clear idea about the Value chain analysis 27 Course Outline: Benchmarking. Benchmarking. get clear idea about Benchmarking. Contents Pedagogical Tools Presentation /Practical Component Assignments / additional work 28 Practical Component: The group has to do a SWOT analysis of their idea Presentation 29 Course Outline: Generic competitive strategies, Low cost provider strategy students to learn about Generic competitive strategies, beginning with Low cost provider strategy 78% be able to create and implement a Low cost provider strategy

30 Course Outline: Differentiation strategy, Best cost provider strategy students to learn about Differentiation strategy and Best cost provider strategy be able to create and implement Differentiation strategy and Best cost provider strategy 31 Course Outline: Focused strategy students to learn about Focused strategy be able to create and implement Focused strategy 32 Course Outline: Practical class Course Objective: To check the ability of students to create a competitive strategy be able to create a competitive strategy 33 Course Outline: Strategic alliances, collaborative partnerships students to understand about Strategic alliances and collaborative partnerships

Module No Session No. Student Learning Evaluation Technique Cumulative Coverage be able to forge successful Strategic alliances and collaborative partnerships Contents Pedagogical Tools Presentation /Practical Component Assignments / additional work 34 Course Outline: Merger and acquisition strategies students to understand about Merger and acquisition strategies 92% be able to successfully do Merger and acquisitions 35 Course Outline: Joint Ventures Strategies Outsourcing Strategies students to understand about Joint Ventures Strategies and Outsourcing Strategies be able to successfully forge Joint Ventures and do Outsourcing 36 Course Outline: International Business level strategies students to understand about International Business level strategies

be able to successfully forge International Business level strategies 37 Course Outline: Practical Class Course Objective: To check the ability of students to plan the alliances and partnerships Table 3 be able to create alliances and partnerships V 38 Course Outline: Business planning in different environments: Entrepreneurial Level Business planning I 100% students to understand about Entrepreneurial Level Business planning be able to successfully create Entrepreneurial Level Business planning 39 Course Outline: Multi stage wealth creation model for entrepreneurs students to understand about Multi stage wealth creation model for entrepreneurs I be able to successfully use Multi

stage wealth creation model 40 Course Outline: Planning for large and diversified companies students to understand about Planning for large and diversified companies I be able to successfully Plan for large and diversified companies 41 Course Outline: Brief overview of Innovation, integration students to understand about Innovation and integration I be able to successfully do Innovation and integration 42 Course Outline: Practical Class Course Objective: To check the ability of students to plan for innovation I be able to plan for innovation 43 Course Outline: Diversification, Turnaround Strategies students to understand about Diversification and Turnaround

Strategies be able to successfully create and implement Diversification and Turnaround Strategies 44 Course Outline: BCG matrix students to understand about BC G matrix I be able to successfully create and implement BCG matrix 45 Course Outline: GE nine cell planning grid students to understand about GE nine cell planning grid Table 3 I be able to successfully create and implement GE nine cell planning grid VI 46 Course Outline: Strategy implementation Operationalizing strategy I students to understand about Strategy implementation and Operationalizing strategy be able to successfully have operationalizing strategy

47 Course Outline: Practical Class Course Objective: To check the ability of students to implement GE nine cell grid for a company I be able to implement GE nine cell grid for a company 48 Course Outline: Annual objectives students to understand about Annual objectives I be able to successfully create Annual objectives 49 Course Outline: Developing functional strategies students to understand about Developing functional strategies I be able to successfully develop functional strategies 50 Course Outline: Developing and communicating concise policies students to understand about Developing and communicating concise policies I be able to successfully develop and

communicate concise policies 51 Course Outline: Institutionalizing the strategy, structure students to understand about Institutionalizing the strategy and about the role of structure I be able to successfully institutionalize a strategy and create an organizational structure 52 Course Outline: Leadership and culture students to understand about Leadership and culture I be able to be a successful Leader and create a suitable culture 53 Course Outline: Strategic control guiding and evaluating strategies students to understand about Strategic control guiding and evaluating strategies I be able to successfully implement Strategic control guides and evaluation strategies 54 Course Outline: Establishing strategic controls and Operational I

control systems students to understand about Establishing strategic controls and Operational control systems be able to successfully establish strategic controls and Operational control systems 55 Course Outline: Monitoring performance and evaluating deviations I students to understand about Monitoring performance and evaluating deviations be able to successfully monitor performance and evaluate deviations 56 Course Outline: Challenges of implementation students the challenges that any implementation will face Table 3 I Course Outcome: Students will be able to successfully implement their strategies Syllabus Review A complete revision through the presentation by the students based on the presentation topics

Table 2 Practical Component S.No. Mod. No. Presentation Topics 1-17 I & II 18-23 III 24 37 IV 38 45 V Design vision, mission and objectives for Groffy; Strategic Intent; Strategic long term objectives (for 5 years) Write the substitute products and mention the switching costs; Mention the barriers for entering the following businesses; For the following scenarios specify if buyer or seller is powerful and give the reason; Mention the driving forces for the following industries; Mention the Key Success Factors for the following industries Do SWOT analysis for the following organizations; Which companies in the world would you benchmark against for the following processes; What type of generic strategy would you adopt for the following product categories. Justify your decision; Give three examples for Strategic Alliance, Joint Venture, Outsourcing, Acquisition, Merger; What type of focused strategy would you adopt for the following brands/industries? Justify your decision Creating a GE nine cell matrix for Tata Sons 46-56 VI Finding examples where strategy has failed due to implementation mistakes Table 3 Assignments & Additional Work S.No. Mod. No. Assignment Topic

1 to 56 I to VI Assignment 1: Module 1 questions with answers Assignment 2: Module 2 questions with answers Assignment 3: Module 3 questions with answers Assignment 4: Module 4 questions with answers Assignment 5: Module 5 questions with answers Assignment 6: Module 6 questions with answers Question Bank contents will be divided as an assignment topics to the students Table 4 Case Study Topics S.No. Mod. No. Particulars 1-30 I VI Case study will be given to the students for presentation based on previous year question papers problems 1 Question Paper, VTU, June / July 2015 2 Question Paper, VTU, December 2011, 12, 13, 14 3 Question Paper, VTU, June / July 2011, 12, 13, 14

Table 5 References & Additional Readings S.No. Mod. No. Particulars 1 I VI Strategic Management: A South-Asian Perspective With Course Material Michael A.Hitt/ R.Duane Ireland/ Robert E.Hoskisson/ S.Manikutty Edition:9th, Cengage Learning 2 Crafting and Executing Strategy, Arthur A. Thompson Jr.,A J Strickland III, John E Gamble,18/e, Tata McGraw Hill, 2012. 3 Strategic Management - Analysis, Implementation, Control, Nag A,1/e,Vikas,2011. 4 Strategic Management -An Integrated Approach, Charles W. L. Hill, Gareth R. Jones, Cengage Learning. 5 Business Policy and Strategic Management, Subba Rao P,HPH. 6 Strategic Management, Kachru U, Excel BOOKS,2009. 7 Strategic Management: Concepts and Cases, David R, 14/e, PHI. 8 Strategic Management: Building and Sustaining Competitive Advantage, Robert A. Pitts & David Lei, 4/e, Cengage Learning. 9 Competitive Advantage, Michael E Porter, FreePress NY 10 Essentials of Strategic Management, Hunger, J. David, 5/e, Pearson. 11 Strategic Management, Saroj Datta, Jaico Publishing House, 2011. 12 Contemporary Strategic Management, Grant, 7/e, Wiley India, 2012 11 13 Strategic Management-The Indian Context, R. Srinivasan, 4th edition, PHI

Table 6 IA Pattern Test Marks Practical / Presentations Assignments / Seminars 10 5 5 For Internal Evaluation T1 marks and the best out of remaining two will be considered. 1 st Test is mandatory. Question Bank 16MBA25: Strategic Management 2 Marks Questions: Module 1 1. What is a strategy? 2. What are the sources available to know the strategy of a company? 3. What are the four most frequently used strategic approaches? 4. What is the relationship between a company s strategy and its business model? 5. What are the three questions to be asked to choose the right strategy? Module 2 1. What is crafting a strategy?

2. What is executing a strategy? 3. What is a strategic vision? 4. What is the difference between a strategic vision and mission? 5. What is a company value? 6. Why should everybody commit to the strategy of a company? 7. How can we breakdown resistance to a new strategic vision? 8. What is a strategic inflexion point? 9. What is the purpose of setting strategic objectives? 10. What are the characteristics of an objective and how are they used to achieve the objectives? 11. What are the two important performance yardsticks for setting objectives and why? 12. What are leading and lagging indicators? 13. Explain the need for objectives at all organizations level? 14. Why is it necessary to involve people from all levels in an organization to craft a strategy? 15. What is a corporate strategy? 16. What is a business strategy? 17. What is a functional area strategy? 18. What is a operating strategy? 19. What is implementing and executing a strategy? Module 3 1. What is a macro environment? 2. How can strategy be affected by an industry s dominant economic features? 3. What are the five factors of the Porter s model? 4. Why is rivalry among competing sellers the most important of the five-force s in Porter s model? 5. What are the classifications of rivalry among industry competitors? 6. What are the factors that affect the industry because of potential entry of new competitors? 7. How to evaluate the potential threat of a new entrant? 8. Explain how seller-supplier partnerships can create competitive pressure? 9. How can buyer bargaining power create competitive pressures? 10. How can seller-buyer partnerships create competitive pressures? 11. What is a driving force? 12. How is globalization a driving force?

13. How can reduction in uncertainty and business risk be a driving force? Module 4 1. What is a success factor? 2. What is SWOT analysis? 3. What is a competence? 4. What is a core competence? 5. What is a distinctive competence? 6. What are the four tests to measure the competitive power of a company strength? 7. What is a company weakness? 8. What is benchmarking? 9. What are the five generic competitive strategies? 10. What is a competitive strategy? 11. What is a low-cost provider strategy? 12. What are the options available for translating a low-cost advantage into profit performance? 13. What are the two major avenues for activating cost advantage? 14. What is a differentiation strategy? 15. What is a differentiation strategy? 16. What are the advantages of differentiation? 17. What is a perceived value? What is its importance? 18. What is a best-cost provider strategy? 19. What is the risk in a best-cost provider strategy? 20. What is a focused or a market niche strategy? 21. Explain the risks of a focused strategy? 22. What is a strategic alliance? 23. Why is it dangerous to rely heavily on alliances? 24. What are the pitfalls of outsourcing? Module 5 1. What are Grand Strategies? 2. What are the two forms of retrenchment in Turnaround long-term objective? 3. What is a turnaround situation in Turnaround long-term objective?

4. What is situation severity in Turnaround long-term objective? 5. What is retrenchment phase in Turnaround long-term objective? 6. What is recovery phase in Turnaround long-term objective? 7. What strategies that can be followed in a stagnant or declining industry? 8. What are the most common strategic mistakes done in a stagnant or declining industry? 9. What are the characteristics of a fragmented industry? 10. What are the characteristics of a company which is a industry leader? 11. What are the limitations of a GE nine cell planning grid? 12. Explain the two kinds of diversification. Module 6 1. What is Operationalizing a strategy? 2. What are the four important things to be done in Operationalizing a strategy? 3. What are Functional Strategies? 4. What are the differences between Business strategies and functional tactics? 5. What are the three basic levers through which the managers can implement strategy? 6. What is a virtual organization? 7. What is a Web-based organization? 8. Why is leadership important? 9. What are the three activities that help organizational leadership to embrace change? 10. What are the advantages of policies? 11. What is the role of culture in strategy implementation? 12. What is Strategic control? 13. What are the four basic types of strategic controls? 14. What are the two basic types of implementation control? 15. What are the four common steps to be taken by operational control systems in all post-action controls? 6 Marks Questions: Module 1 1. Strategy is partly proactive and partly reactive. Justify. 2. Why is good entrepreneurship needed to craft a good strategy?

3. Why should a strategy be ethical? 4. Explain the best ways to choose the right strategy? Module 2 1. What are the advantages of crafting a strategy? 2. What are the phases in crafting and executing a strategy? 3. What are the advantages of a strategic vision? 4. What are the external factors to be considered for creating a strategic vision? 5. What are the internal factors to be considered for creating a strategic vision? 6. What are the common shortcomings in company vision statements? 7. How are the vision and values of a company linked? 8. What are the affects of a clear vision statement? 9. Explain the Balanced Scorecard Approach to setting strategic objectives? 10. Why is it necessary to set both short-term and long-term objectives? 11. What are the differences in creating a strategy in a small firm and a multi-product, multi-geographical company? 12. How is crafting a strategy done in a multi-product, multi-geography company? 13. Explain the importance of initiating corrective and adjustment steps in strategy crafting and implementation. Module 3 1. What are the questions to be asked to know a company s industry and competitive environment? 2. What features define the industry s dominant economic features? 3. Explain how supplier bargaining power can create competitive pressures. 4. In what circumstances can a buyer gain bargaining power? 5. How to use an industry s key success factors in crafting a strategy? Module 4 1. Explain the difference between a competence, core competence and a distinctive competence. 2. Explain how to test the competitive power of a company s strength. 3. How to identify a company s market opportunity? 4. How can we identify a company s future profitability? 5. Explain the concept of a company value chain. 6. How can data be developed to measure a company s cost competitiveness? 7. How can we translate advantages of value chain activities into a competitive advantage? 8. How can cost of key resource inputs be controlled? 9. What are the factors that are important to get success in achieving low-cost leadership? 10. Explain when does a low-cost provider strategy works best.

11. What are the pitfalls of a low-cost provider strategy? 12. What are the various differentiation themes available? 13. What are the points in the value chain where we can create the differentiating attributes? 14. When do differentiation strategies work best? 15. Explain the pitfalls of a differentiation strategy. 16. Explain focused low-cost strategy. 17. Explain focused differentiation strategy. 18. Why do alliances break? 19. What are the advantages of outsourcing? Module 5 1. What are the seven areas in which long term objectives have to be established? 2. What are the seven most important qualities to be present in long-term objectives? 3. Explain Innovation as a long term objective for grand strategy. 4. Explain Horizontal and Vertical integration as long term objectives for grand strategy. 5. Explain Concentric and Conglomerate diversification as long term objectives for grand strategy. 6. Explain retrenchment and recovery phases in Turnaround long-term objective? 7. What are the characteristics of a turbulent, high-velocity market? 8. What are the strategies available for coping with rapid changes in markets? 9. What are the characters of an maturing industry? 10. What strategic moves can be adopted for maturing industries? 11. What can be the strategic pitfalls in an maturing industry? 12. What are the characteristics of a stagnant or declining industry? 13. What are the Strategic options available for a fragmented industry? 14. What are the Strategic approaches available for runner-up companies? 15. How to plot the information on a GE nine cell planning grid? 16. What are the strategic implications of a GE nine cell planning grid? Module 6 1. What are annual or short term objectives? 2. What are the benefits of short-term objectives and action plans? 3. What are the advantages of Developing and communicating concise policies? 4. What are the advantages of Creating policies that empower? 5. What are the advantages of Formal, written policies? 6. Mention the different types of structures that suit diffrent strategies.

7. What are the steps pursued by companies that have successfully reengineered their operations around strategically critical business processes? 8. What are the issues to be addressed by the organizational leadership to overcome resistance to change? 9. What are the questions that help in monitoring the success of a strategy? 10. What is the significance of Strategic Surveillance as a type of strategic control? 11. What are the four perspectives suggested by Balanced scorecard approach to develop metrics and analyze it? 8 Marks Questions: Module 1 1. How can we identify the strategy of a company? 2. How can you explain that a company s strategy emerges incrementally and then evolves over time? 3. Why is it important for a strategy to be ethically correct? 4. What is Strategic Management Process? Module 2 1. Why is it important to craft and execute a strategy? 2. Write a note on developing strategic vision. 3. Explain the characteristics of an effectively worded vision statement. 4. Explain the importance of communicating the strategic vision. 5. What are the commonly used financial and strategic objectives? 6. What is a strategic intent? What are its uses? 7. A top-down rather than a bottom-up objective setting is effective. Explain. 8. Explain strategy making pyramid. 9. What is a strategic plan? How is it created? 10. How is a strategy implemented? Module 3 1. How to profile an industry s dominant economic features? 2. What are the weapons available for companies for battling rivals and attracting buyers? 3. What are the factors that influence the tempo of rivalry among industry competitors?

4. What are the common barriers that a new competitor faces in the industry? 5. Explain the importance of competitive pressures from the sellers of substitute products. 6. What are the factors that determine if any supplier in an industry is in a position to the exert bargaining power? 7. Explain the process to determine whether the collective strength of the five factors can promote profitability? 8. Explain the most common driving forces in an industry. 9. Explain the indicators of how well a company s strategy is working? Module 4 1. How can we identify a company s competitive strength? 2. How can we know what the SWOT analysis of a company means? 3. How can we know the implications SWOT analysis has on a company s strategic actions? 4. Why does the value chain system among a group of companies in a industry differ? 5. What is the value chain system for an entire industry? 6. Explain the concept of benchmarking the cost of key value chain activities? 7. Explain the major cost drivers in a company s cost of value chain. 8. Explain how the company can use revamping of the value chain to achieve cost advantage. 9. How can a company achieve a differentiation based competitive advantage? 10. When s a focused strategy attractive? 11. How are strategic alliances helpful? 12. What are the objectives that drive mergers and acquisitions? 13. What are the outsourcing advantages? Module 5 1. Explain Turnaround as a long-term objective in a grand strategy? 2. What are the Challenges when competing in emerging industries? 3. What are the Strategic avenues available for competing in an emerging market? 4. What is the best payoff strategy between altering offensive and defensive strategies and fast -obsolescing strategy? 5. What are the changes we can see in an industry as it enters the mature stage?

6. What are the strategies available for sustaining rapid company growth? 7. Explain in detail the strategies that can be followed by a company which is a industry leader? 8. Explain in detail the GE nine cell planning grid? Module 6 1. What are the qualities of effective short-term objectives? 2. What are the useful guidelines and approaches to arrive at a suitable organizational structure? 3. Write a note on Premise control. 4. Write a note on Implementation control. 5. What are the challenges in implementing a strategy?