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Hierarchy of Strategic Intent
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Vision
Mission
Goals
Objectives
Plans Greatestin number
Fewest innumber
Mostspecific
MostIntegrative
Miller - 1998
Values
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Vision
Vision statement answers the question:
What do we want to become?
Components of a vision
Core ideology Core values companys essential tenets
Core purpose companys reason for being
Envisioned future
10-30 year BHAG aid long term vision
Vivid description
A Clear Vision statement provides foundation forcomprehensive mission statement
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Mission
Why the organization exists, or the purpose
What differentiates the organization from others,or the identity; and
The basic beliefs, values, and philosophy of theorganization
Business definition
Key elements: Obligations the firm holds to its
stakeholders; The scope of the business; Sourcesof competitive advantage; The organizationsview of the future.
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Values
commonly held beliefs, mindsets, and
assumptions that shape how work is done in
an organization
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Values: TCIL
To excel in providing communication solutions
globally by anticipating opportunities in
technology. The company also specifies the
TCIL Waywhich the company employees
pride as the reason why TCIL is such a high
performer, in spite of being a Public Sector
Undertaking (PSU)
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Goals
Financial & non-financial
Stretched goals
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Objectives
Provide the measurable parameters for
monitoring/evaluating the performance of the
organization
Time dimension
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Plans
Indicate the specific actions that will be taken
by the organization in order to achieve the
objectives.
Specify the roles members of the organization
will perform, the resource allocation across
different organizational sub-units and
departments, and prioritize and schedule thevarious activities.
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Hierarchy of Strategic IntentStatement of Firms Strategic Intent
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Economic
Logic
Arenas
Staging
Differentiators
Vehicles
Hambrick and Fredrickson (2001)
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Arenas
Where will be active? (and with how much
emphasis)
Which product category?
Which market segment?
Which geographic segment?
Which core technology?
Which value-creation stages?
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Differentiators
How will we win?
Image?
Customization?
Price?
Styling?
Product reliability?
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Vehicles
How will we get there?
Internal development?
Joint ventures? Licensing?
Acquisitions?
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Staging
What will be our speed and sequence of
moves?
Speed of expansion
Sequence of initiatives
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Economic logic
How will we obtain our results?
Low cost through scale, scope & replication
advantage
Premium price due to unmatchable service,
proprietary product features
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SFM-2010 16@ Ashok K. Sar
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Next Class
SpryLab
Segmenting, value propositionsFig. 1-9
Scope, CompetenciesTable 1-8 Define MissionTable 9
Set strategic agendaTable 10
Goals & Objectives Table 13 & 14