The Strategic Position
What is strategy?
Long Term Direction
This “long term” will depend on the different organisations and the different industries.
It is not the same for all.
However, it will be at least a year and is difficult to change once the path has been chosen.
The direction will depend on the desired position within their environment. Niche? Traditional?
This, in turn, will depend on the external conditions of the organisation
Gives an Advantage to the stakeholders
Meaning it builds upon what the organisation is good at and utilises its strengths.
However, this all must be in a direction that is agreeable and acceptable to its stakeholders.
Their influence is very important in deciding upon strategy.
This, therefore, is looking within, rather than outside as above, the organisation.
Let’s now quickly look at some words you need to get used to from the very beginning…
Tailoring the strategy to take advantage of the environment’s opportunities
Stretching competencies to create new opportunities
eg. Apple - computers to music to phones to iPads to TVs?
Logistics of buying and servicing - Ikea buildings and processes, Amazon ease of purchase
Major resource control
Operational changes - different markets and cultures
Beliefs of those with most influence