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StrategicManagementinAction8StrategicManagementinOtherOrganizationTypesStrategicManagementinActionLearningObjectives
1.
Differentiatebetweenasmallbusinessandanentrepreneurialventure.
2.
Explainwhysmallbusinessesandentrepreneurialventuresareimportant.
3.
Describehowthestrategicmanagementprocessisusedinsmallbusinessesandentrepreneurialventures.
4.
Discussthespecialstrategicissuesfacingsmallbusinessesandentrepreneurialventures.(continuedonnextslide)LearningObjectives1. DifferLearningObjectives
5.
Definenot-for-profitorganizationandpublic-sectororganization.
6.
Describethevarioustypesofnot-for-profitorganizations.
7.
Describehowthestrategicmanagementprocessisusedinnot-for-profitandpublic-sectororganizations.
8.
Discussthespecialstrategicissuesfacingnot-for-profitandpublic-sectororganizations.
9.
Describetheuniquestrategiesdevelopedbynot-for-profitorganizations.LearningObjectives5. DefineSMALLBUSINESSESAND
ENTREPRENEURIALVENTURESTable8-1CharacteristicsofSmallBusinessversusEntrepreneurialVenture
SmallBusiness EntrepreneurialVenture
?
?
?
?
?
?
?
?
Independentlyowned,operated,andfinancedFewerthan100employees Doesn’temphasizeneworinnovativepracticesLittleimpactonindustryInnovativestrategicpractices StrategicgoalsareprofitabilityandgrowthSeeksoutnewopportunities WillingnesstotakerisksSMALLBUSINESSESAND
ENTREPRENWhyAreTheseTypesof
OrganizationsImportant?WheretheNewJobsAreFigure8-1NumberofJobsCreated*6.05.04.03.02.01.0OrganizationSize
1–4 5–19 20–99 100–499 employees employees employees employees5,8102,2741,4172,326*Inthousandsfrom1992–1996.WhyAreTheseTypesof
OrganizTheStrategicManagementProcessin
SmallBusinesses&EntrepreneurialVenturesStrategicManagementProcess
?
?
?
?
?
Valueofstrategicplanning
Theoverallapproachtothestrategicplanningprocess
Externalandinternalenvironmentalanalysis
Strategychoices
StrategyevaluationandcontrolTheStrategicManagementProceStrategyEvaluationandControlStrategicManagementProcessforSmallBusinessesandEntrepreneurialVenturesFigure8-2MissionStatementSituationAnalysis?InternalSsandWs?ExternalOsandTs?CompetitiveAdvantage(s)StrategyFormulation?Functional?Competitive}BusinessPlan?Broad,OverallStrategyImplementation?Resources?Capabilities?Budgets?Structure?CultureStrategyEvaluation?PerformanceMeasures?CompaniontoGoals?ComparisontoCompetitorsStrategyEvaluationandControSpecificStrategicIssuesFacing
SmallBusinesses&EntrepreneurialVenturesSpecificStrategicIssues
?
?
?
Global-internationalopportunitiesandchallenges
Humanresourcesmanagementissues
InnovationandflexibilityconsiderationsSpecificStrategicIssuesFaciNOT-FOR-PROFITAND
PUBLIC-SECTORORGANIZATIONSWhatAreNot-for-profitOrganizationsandWhatArePublic-SectorOrganizations?
?
?
Not-for-Profit(NFP) Anorganizationthatprovidessomeserviceorgood withnointentionofearningaprofit
PublicSector AnNFPcreated,funded,andregulatedby thepublicsectororgovernmentNOT-FOR-PROFITAND
PUBLIC-SECTWhatAreNot-for-ProfitOrganizationsand
WhatArePublic-SectorOrganizations?Not-for-ProfitOrganizationCharitableReligiousSocialServicePublicSectorAssociationsHealthServiceCulturalCause-RelatedFoundationsEducationalTypesofNot-for-ProfitOrganizationsFigure8-4WhatAreNot-for-ProfitOrganiWhatAreNot-for-ProfitOrganizationsand
WhatArePublic-SectorOrganizations?Public-SectorOrganizationGovernmentalUnitsPoliceProtectionPavedRoadsandOtherTransportationNeedsRecreationFacilitiesCareandHelpforNeedyandDisabledCitizensLawsandRegulationstoProtectandEnhanceLifeWhatAreNot-for-ProfitOrganiWhatAreNot-for-ProfitOrganizationsand
WhatArePublic-SectorOrganizations?EconomicContributionsofNot-for-ProfitandPublic-SectorOrganizationsFigure8-5Employment(1999Figures) Number(inthousands) PercentofTotalEmploymentGrossDomesticProduct(1997Figures) Amount PercentofTotalGDP
PublicSector Not-for-Profits
20,161 15.7%
10,200 6.9%
$1.02Trillion 12.7%
$621.4Billion 6.2%WhatAreNot-for-ProfitOrganiTheStrategicManagementProcessin
Not-for-Profit&Public-SectorOrganizationsTheStrategicManagementProcessInvolves
?
?
?
Externalandinternalenvironmentalanalysis
Strategychoices
StrategyevaluationandcontrolTheStrategicManagementProceSpecificStrategicIssuesFacing
Not-for-Profit&Public-SectorOrganizationsSpecificStrategicIssues
?
?
?
Misperceptionaboutthe usefulnessofstrategicmanagement
Multiplestakeholders
UniquestrategiesdevelopedbyNFP organizationsSpecificStrategicIssuesFaciUniqueStrategies
DevelopedbyNFPOrganizationsCause-RelatedMarketing
?
?
?
?
?
Fundsagoodcause BenefitsNFPsthroughpublicexposureandcorporatedonations Enhancestheimageofthesupportingcompany Designedforthestrategicadvantageofthesponsoringcorporation BenefitsNFPsfromthemarketinglinkUniqueStrategies
DevelopedbyUniqueStrategies
DevelopedbyNFPOrganizationsTypesofNFPMarketingAlliancesFigure8-6NFPOrganizationTransaction-BasedPromotionsJointIssuePromotionsLicensingUniqueStrategies
DevelopedbyUniqueStrategies
DevelopedbyNFPOrganizationsStrategicPiggybacking
?
?
SpecialOlympicsorganizationsellingclothing SymphonysellingcookbookstosupplementrevenueUniqueStrategies
DevelopedbyChapterEight?QuestionsChapterEight?QuestionsStrategicManagementinAction8StrategicManagementinOtherOrganizationTypesStrategicManagementinActionLearningObjectives
1.
Differentiatebetweenasmallbusinessandanentrepreneurialventure.
2.
Explainwhysmallbusinessesandentrepreneurialventuresareimportant.
3.
Describehowthestrategicmanagementprocessisusedinsmallbusinessesandentrepreneurialventures.
4.
Discussthespecialstrategicissuesfacingsmallbusinessesandentrepreneurialventures.(continuedonnextslide)LearningObjectives1. DifferLearningObjectives
5.
Definenot-for-profitorganizationandpublic-sectororganization.
6.
Describethevarioustypesofnot-for-profitorganizations.
7.
Describehowthestrategicmanagementprocessisusedinnot-for-profitandpublic-sectororganizations.
8.
Discussthespecialstrategicissuesfacingnot-for-profitandpublic-sectororganizations.
9.
Describetheuniquestrategiesdevelopedbynot-for-profitorganizations.LearningObjectives5. DefineSMALLBUSINESSESAND
ENTREPRENEURIALVENTURESTable8-1CharacteristicsofSmallBusinessversusEntrepreneurialVenture
SmallBusiness EntrepreneurialVenture
?
?
?
?
?
?
?
?
Independentlyowned,operated,andfinancedFewerthan100employees Doesn’temphasizeneworinnovativepracticesLittleimpactonindustryInnovativestrategicpractices StrategicgoalsareprofitabilityandgrowthSeeksoutnewopportunities WillingnesstotakerisksSMALLBUSINESSESAND
ENTREPRENWhyAreTheseTypesof
OrganizationsImportant?WheretheNewJobsAreFigure8-1NumberofJobsCreated*6.05.04.03.02.01.0OrganizationSize
1–4 5–19 20–99 100–499 employees employees employees employees5,8102,2741,4172,326*Inthousandsfrom1992–1996.WhyAreTheseTypesof
OrganizTheStrategicManagementProcessin
SmallBusinesses&EntrepreneurialVenturesStrategicManagementProcess
?
?
?
?
?
Valueofstrategicplanning
Theoverallapproachtothestrategicplanningprocess
Externalandinternalenvironmentalanalysis
Strategychoices
StrategyevaluationandcontrolTheStrategicManagementProceStrategyEvaluationandControlStrategicManagementProcessforSmallBusinessesandEntrepreneurialVenturesFigure8-2MissionStatementSituationAnalysis?InternalSsandWs?ExternalOsandTs?CompetitiveAdvantage(s)StrategyFormulation?Functional?Competitive}BusinessPlan?Broad,OverallStrategyImplementation?Resources?Capabilities?Budgets?Structure?CultureStrategyEvaluation?PerformanceMeasures?CompaniontoGoals?ComparisontoCompetitorsStrategyEvaluationandControSpecificStrategicIssuesFacing
SmallBusinesses&EntrepreneurialVenturesSpecificStrategicIssues
?
?
?
Global-internationalopportunitiesandchallenges
Humanresourcesmanagementissues
InnovationandflexibilityconsiderationsSpecificStrategicIssuesFaciNOT-FOR-PROFITAND
PUBLIC-SECTORORGANIZATIONSWhatAreNot-for-profitOrganizationsandWhatArePublic-SectorOrganizations?
?
?
Not-for-Profit(NFP) Anorganizationthatprovidessomeserviceorgood withnointentionofearningaprofit
PublicSector AnNFPcreated,funded,andregulatedby thepublicsectororgovernmentNOT-FOR-PROFITAND
PUBLIC-SECTWhatAreNot-for-ProfitOrganizationsand
WhatArePublic-SectorOrganizations?Not-for-ProfitOrganizationCharitableReligiousSocialServicePublicSectorAssociationsHealthServiceCulturalCause-RelatedFoundationsEducationalTypesofNot-for-ProfitOrganizationsFigure8-4WhatAreNot-for-ProfitOrganiWhatAreNot-for-ProfitOrganizationsand
WhatArePublic-SectorOrganizations?Public-SectorOrganizationGovernmentalUnitsPoliceProtectionPavedRoadsandOtherTransportationNeedsRecreationFacilitiesCareandHelpforNeedyandDisabledCitizensLawsandRegulationstoProtectandEnhanceLifeWhatAreNot-for-ProfitOrganiWhatAreNot-for-ProfitOrganizationsand
WhatArePublic-SectorOrganizations?EconomicContributionsofNot-for-ProfitandPublic-SectorOrganizationsFigure8-5Employment(1999Figures) Number(inthousands) PercentofTotalEmploymentGrossDomesticProduct(1997Figures) Amount PercentofTotalGDP
PublicSector Not-for-Profits
20,161 15.7%
10,200 6.9%
$1.02Trillion 12.7%
$621.4Billion 6.2%WhatAreNot-for-ProfitOrganiTheStrategicManagementProcessin
Not-for-Profit&Public-SectorOrganizationsTheStrategicManagementProcessInvolves
?
?
?
Externalandinternalenvironmentalanalysis
Strategychoices
Strategyevaluatio
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