summary of Business strategy: A guide to Effective Decision making.

Topics: Decision making, Strategic management, Decision theory Pages: 9 (2591 words) Published: October 27, 2013


ESSAY

SUMMARY OF CHAPTER 2, 3, 4, 8, 12
Business strategy: A guide to Effective Decision making.
Kourdi, Jeremy

Introduction
Strategies decisions depends highly on perceptions, people’s attitudes and assumptions, therefore they are rarely straightforward or simple. Strategic decisions determine the direction as well as success of an organization, which is why it is essential for decision-makers to understand the decision-making process in order to make the right decisions. Chapter 2, 3, and 4 focus on introducing forces which will form a decision, including ideas, developments and potential pitfalls. In chapter 4, a practical and useful framework is also created to guide step by step in a decision-making process. Chapter 8 outlines insights and techniques for implementing and improving decisions in order to have a competitive strategy. Chapter 12 introduces forces which will have affection in sales, marketing and brand management decisions. It is necessary to understand the decision-making process and other involved factors to be able to create a practical and competitive strategy. Right decisions will make a huge impact on company’s directions as well as success in the future. Chapter 2: Ideas at Work

Setting a strategy has always been complex due to the changes that company has to face over time. There are several factors that will affect the decision making process. Decision-making approaches

The classical administrator
The classical administrator, which was founded by Henri Fayol, has become the most traditional model of the decision-makers or strategists. A set of common activities and principles of managements was developed and divided into five sections: planning, organizing, commanding, coordinating and controlling. Planning involves setting the goals of the organization and developing an action plan for future success. Organizing involves structuring the organization and using necessary resources to achieve these aims. Commanding makes sure the optimum return from people, which is usually considered the most expensive component of a business. Coordinating involves focusing on people’s effort to achieve the goals. Control makes sure that everything is going according to plan, making adjustment when necessary to ensure success. The design planner

When the strategy is planned, the techniques of the classical administrator would be used to implement the strategy. Design planning will help the implementation process and it requires expertise in two areas: Analyzing and anticipating the future environment, techniques and models. Be aware of the external opportunities and threats; internal strengths and weaknesses. The role player

The role player involves in the strategic decision-maker’s job as a reflective and analyzing planner and controller, to make sure the plan is realistic and practical. The competitive positioner
It is crucial for competitive positioner to understand the power of the external environment in order to achieve competitive advantage. Customers and suppliers, substitute products, present and potential competitors are considered competitive forces. The competitive positioned should be able to eliminate barriers to enter its market, set a competitive prices, reduce operating costs and be aware of its rivals. The visionary transformer

Vision is one of the fundamental tools to make a strategic decision, and it should focus on answering the following questions: Where in the market should the organization position itself? Brand positioning?

How should the organization achieve its goal?
However, visions should be achievable and visionary transformers should be able to ensure that they are achieved. The self-organizer
The self-organizer needs the ability to network, innovate and collaborate with people to achieve the organization’s goal. The turnaround strategist
The turnaround strategist focuses on turning around the performance of an organization once a...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Unit 6 Business Decision Making Essay
  • Business Strategy and the Importance of Data-Driven Decision Making Essay
  • Essay about Business Decision Making
  • business decision making Essay
  • Business Strategy Study Guide Essay
  • Business Strategy of Amazon: A Summary Essay
  • Business Strategy Essay
  • Essay on business strategy

Become a StudyMode Member

Sign Up - It's Free
General Discussions | Organic food | Spirit Warrior Episode 2 English Dubbed