Youth Involvement in an Innovative Coconut Value Chain by Mwalimu Menza
2 strategic models
1. 1
Dr.L.Prakash Sai
The East India Company
Establishment: 1600 (by Queen Elizabeth)
Entitlement: Monopoly over the East Indies trade until 1783
Dissolution: 1874.
Bengal Famine
East India Docks, London
Robert Clive Warren Hastings
The East Offering Her riches to
Britannia (1778)
3. 3
T
A
R
G
E
T
STRATEGIC ADVANTAGE
Cost-Centered Services
Market
Segment
Unique Service Offerings
All
Customers
Cost Leadership Differentiation
Cost Focus Differentiation Focus
IT Industry:
Generic Strategies
Prahalad‟s Core Competence
Strategic
Intent
CORE
COMPETENCE
STRATEGIC ARCHITECTURE
Honda:
Engines
Black & Decker:
200-600W electric motors
4. 4
Value
Disciplines Operational Excellence
Product Leadership Customer Intimacy
Dell
Fedex
Wal-Mart
South West Airlines
3M
Disney
Microsoft
Sony
IBM
Home Depot
Nordstorm
Four Seasons Hotel
Product
Differentiation
Operational
Competence
Customer
Responsive
“Best Total
Cost”
“Best Total
Solution”
“Best
Product”
Business Ecosystem
Competing Organizations having shared product
and service attributes, business processes, and
organizational arrangements
Stakeholders, including Investors and
Owners, Trade Associations, Labor Unions
Govt.Agencies and other
Regulatory Organizations
CORE
CONTRI-
BUTIONS
Direct
Suppliers
Distribution
Channels
Suppliers of Complementary
Products and Services
Direct
Customers
Suppliers of
My Suppliers
Standards Bodies
Customers of
My Customers
EXTENDED
ENTERPRISE
BUSINESS
ECOSYSTEM
CORE
BUSINESS
5. 5
The Value Net
COMPETITORS
CUSTOMERS
COMPANY COMPLEMENTORS
SUPPLIERS
South West Airlines
American Airlines
Delta
Hertz (rental car)
MCI (telecom)
Boeing
Peanuts
Business Travelers
Leisure Travelers
Strategy is the art of creating value.
It provides the intellectual frameworks, conceptual
models, and governing ideas that allow a company‟s
managers to identify opportunities for bringing value to
customers and for delivering that value at a profit.
In this respect, strategy is the way a company defines
its business and links together the only resources that
really matter in today‟s economy: knowledge and
relationships or an organization‟s competencies and
customers.
Source Normann, R. and Ramirez, R., “From Value Chain
to Value Constellation: Designing Interactive Strategy,”
Harvard Business Review, July-August 1993, p.65.
6. 6
TOP 25 MANAGEMENT TOOLS
* Added in 2013
Source: Bain & Company, 2013
TOP 10 MANAGEMENT TOOLS (comparison)
Source: Bain & Company, 2013
7. 7
Source: Bain & Company, 2013
“What is your organization‟s most important
priority over the next three years?”
Top 10 Management Tools most used)
Source: Bain & Company, 2013
*(t) tied
8. 8
Usage and Satisfaction
(on a scale of 1 to 5)
Source: Bain & Company, 2013
Source: Bain & Company, 2013
Tool Usage & Overall Satisfaction
Change Management
Strategic Planning
Mission and Vision
CRM
9. 9
Survey Insights
Source: Bain & Company, 2013
Bain research has provided a number of important insights:
Overall satisfaction with tools is moderately positive, but the rates of
usage, ease of implementation, effectiveness, strengths and
weaknesses vary widely
Management tools are much more effective when they are part of a
major organization effort
Managers who bounce randomly from tool to tool undermine
employees‟ confidence
Hyperbole surrounding the trendiest of tools often leads to unrealistic
expectations and disappointing results
Decision makers achieve better results by championing realistic
strategies and viewing tools simply as a means to a strategic goal
No tool is a cure-all
„Root-Branch‟ Corporate Strategy Framework
Rajnish Karki, “Corporate Strategy of Indian Organizations: The „Root-
Branch‟ Framework”, Vikalpa, Vol. 29, No. 3, July – September, 2004.
10. 10
Reliance became the first „Fortune Global 500‟ Indian private sector
company in 2002. Founded by Dhirubhai Ambani, the company started as
a manufacturer of synthetic textiles in 1966 and integrated backward first
into yarn and fibre manufacture.
All the capacities were of globally efficient scale and the trend continued
with facilities for commodity plastics like PVC, polypropylene, and
polyethylene; petrochemical cracker complex; and, finally, the 27 MT oil
refinery.
From an earlier strategy of backward integration till mid-1990s, Reliance
started moving into related and unrelated areas in newly opened sectors
and will continue to diversify in the coming decade by leveraging its
standing and resources. “It continues to be more of a task-based
organization, an anomaly given the size, and will need to evolve into a
role-based organization and further on into an institution.”
Reliance IndustriesIndia Diversified
Reliance Industries
- An update
Antilla ($2Bn.)
11. 11
India‟s private sector leader in telecommunications industry.
Incorporated in 1985 by Sunil Bharti Mittal, to manufacture electronic
push button phones.
Bharti Cellular formed in 1992 to offer cellular services and, in 1998, it
became the first private fixed-line service provider in India.
In the 1990s, Bharti focused on the deregulated telecom sector and
formed joint ventures with foreign firms for finances and technology but
got out of all of them over the years and then mobilized finances from
international investors in late 1990s onwards and from IPO in mid-2002.
“In the coming decade, Bharti will continue to focus on telecom as there
is a lot of ground yet to be covered. And from being driven by
entrepreneurs, it will move further in its efforts to build an organization
and institution.”
Bharti TelecomIndia Focused
Bharti Telecom
- An Update
Airtel across 20 countries
Pioneered business strategy of outsourcing all of its business operations except
marketing, sales and finance
Its network - base stations, microwave links, etc. - is maintained by Ericsson
and Nokia Siemens Network
Business support is provided by IBM,
Transmission towers are maintained by another company (Bharti Infratel)
Built the 'minutes factory' model of low cost and high volumes.
Ericsson agreed for the first time to be paid by the minute for installation and
maintenance of their equipment rather than being paid up front, which allowed
Airtel to provide low call rates of 1/minute
12. 12
Ranbaxy was started by Ranbir Singh and Gurbax Singh in 1937 as a distributor
for a Japanese company Shionogi. India‟s largest pharmaceutical company and
ranks among world‟s top 100 with overseas sales more than 70 per cent.
It was incorporated in 1961 by Dr.Parvinder Singh. Its initial technology
orientation was born out of necessity when its long-term distributor agreement for
an Italian pharmaceuticals company was cancelled and it was forced to
manufacture its own products and develop process expertise.
In 1993, it committed itself to becoming a truly international research-based
pharmaceutical company and started to focus on international markets and on
developing new chemical entities.
“The vision and approach of the founder continue to guide the company which will
continue its globalization process in the coming decade.”
RanbaxyGlobal Focused
Ranbaxy
- An update
Japanese pharmaceutical company Daiichi Sankyo acquired a controlling share in
2008 (with a deal valued at about US$4.6 bn.).
Ranbaxy exports its products to 125 countries with ground operations in 43 and
manufacturing facilities in 8 countries.
In 1998, Ranbaxy entered USA, and now it is the biggest market for Ranbaxy,
accounting for 28% of sales in 2005.
During 2004-2005, Dinesh Thakur and Rajinder Kumar, two Indian employees of
Ranbaxy, blew the whistle on Ranbaxy's fabrication of drug test reports. Thakur
contacted the FDA in USA, which started investigating his claims.
In May 2013 the US fined the company US$500 million after found guilty of
misrepresenting clinical generic drug data and selling adulterated drugs to USA.
Malvinder Singh, CEO (2004)
13. 13
Corporate Foresight
“Maturity levels of corporate foresight systems” by Hans Georg, Rene Rohrbeck and Katharina (2009).
Corporate Foresight Model
“Maturity levels of corporate foresight systems” by Hans Georg, Rene Rohrbeck and Katharina (2009).
14. 14
“Maturity levels of corporate foresight systems” by Hans Georg, Rene Rohrbeck and Katharina (2009).
There are three kinds of companies:
those who make things happen;
those who watch things happen;
and those who wonder what’s happened.
- Anonymous
“Strategic Management and Business Policy”
Thomas Wheelen and David Hunger
“Strategic Management: Theory & Applications”
Adrian Haberberg and Alison Rieple