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STRATEGIES AND RESOURCES ALLOCATION Presentation Transcript

Slide 1 - DEVELOPMENT OF FUNCTIONAL STRATEGIES AND RESOURCES ALLOCATION (Strategic Management)
Slide 2 - Development of functional strategies strategies describe the means or methods for carrying out the organizational strategy. enables lower levels of management to know what they are supposed to do and encourages to higher their performance
Slide 3 - Difference between functional strategies and master strategies Functional strategies usually cover a much shorter time span than do master strategies are much more specific and action oriented than are master strategies require much more active participative by lower levels of management
Slide 4 - Developing a Marketing Strategy The basic role of marketing in an organization is to have the right products or service', in the right quantity at the right place at the right time Marketing strategy is concerned with matching existing or potential products or services with the needs of customers informing customers that the products or services exist
Slide 5 - Market penetration strategy Includes: The reaction of competitors The capacity of the market to increase usage or consumption and or the avaibility of new customers The costs involved in gaining customers from competition
Slide 6 - Market development strategy Involves: introducing the organization’s existing products or services to customers other than the ones it currently serves And includes The reaction of competitors Understanding the number, needs, and purchasing patterns of the new customers. Determining the organization’s adaptability to new markets. The impact of the new product or service on existing products or services
Slide 7 - The diversification marketing strategy Involves the offering of as new product or service to new customers It includes: Developing a considerable knowledge of the new customer’s needs Making certain that the organization has the human talent to serve the new customers
Slide 8 - The marketing mix Includes: Determining the exact type of product or service that is to be offered (product strategy) Deciding how the product or service is to be communicated to customers (channel strategy) Selecting the method for distributing the product or service to the customer (channel strategy) Establishing a price for the product or service price strategy
Slide 9 - Product positioning Determines where proposed and or present brands or product are in comparison to their competitors. Enables managers to decide whether they want to leave their present product and marketing mix alone or whether they want to reposition the product.
Slide 10 - Developing Finance/Accounting Strategy Concerned with two functions: The first function is concerned with recording, monitoring, and controlling the financial results of an organization's operations responsibility of the controller of an organization. The second function is concerned with acquiring funds to meet the current and future needs of an organization  responsibility of the treasurer of the organization.
Slide 11 - The activities of financial management can be grouped into five categories: Recordkeeping Allocating existing resources in the most efficient manner Determining the magnitude and characteristics of funds necessary to conduct the business operations Serving as an interface with creditors and stockholder Providing financial data to top management.
Slide 12 - Developing a Production/ Operations Strategy consists of the processes and activities necessary to transform various inputs into products or service A service operating System involves processing knowledge or skills into a product that is not physical in nature
Slide 13 - ppt slide no 13 content not found
Slide 14 - Developing a Research and Development Strategy An effective way to safeguard against either product or service or production technique obsolescence is through an organization's own research Basic research: Enlarge technical knowledge without having a specific application of the knowledge. Applied research. Enlarge technical knowledge but in such a manner that is useful. Development research. Use available knowledge in the introduction of new or improved products or services or production techniques.
Slide 15 - Developing a management information system strategy MIS is a formal system designed to provide information to managers in a systematic and integrated manner rather than in a sporadic and piecemeal manner. EDP refers to the hardware, software, and personnel that process data into information The personnel in an EDP system fall into three categories: Systems analysts design MISs. Programmers prepare computer programs based on the specifications of systems analysts. Operators run or operate the computer hardware.
Slide 16 - Developing a Human Resource/Personnel Strategy Includes Recruiting Selecting Training developing, and counseling employees developing compensation Systems developing disciplinary Systems acting as a liaison with unions and government organizations And handling other matters of employee well-being.
Slide 17 - Leadership: Managers must influence organization members to adopt the behaviors needed for strategy implementation Coordinating Functional Strategies Under MBO, “Management by objective” objectives are established for the organization as a whole, for functional areas within the organization, for departments within the functional areas, and finally for individuals within each department.
Slide 18 - Resources allocation Performance budgets: concerned with estimating the sales volume as well as the expense-and-profit level the firm should achieve over a specified budget period. they are also called operational. Resource Budgets: an estimate of the amount and type of resources required to attain the results desired by the performance or operational budget.
Slide 19 - Deployment of resources through budgeting One of the key methods used in the development of resources is the budget process. The preparation of a budget determines the level of resources that is to be allocated to each organizational unit. Each unit can be either strengthened or weakened depending on its level of allocation. The administration of the budget is also a key method of control in the strategy implementation process.
Slide 20 - Some of the methods employed in the “budgeting game”, as it is often called, have been described as follows: Flexible budgets Zero-base budgeting Program budgeting Product life-cycle budgeting
 

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