Académique Documents
Professionnel Documents
Culture Documents
Objectives Resources
Skills Opportunities
Market-Oriented Strategic
Planning
Objectives Resources
Profit
and
Growth
Skills Opportunities
Corporate Headquarters
Planning
• Define the corporate mission
• Establish strategic business units (SBUs)
• Assign resources to SBUs
• Plan new business, downsize older
businesses
Strategic-Planning, Implementation,
and Control Process
?
10%-
8%- Cash cow Dogs
6%- 8
4%-
2%- 6
0
7
10x 4x 2x 1.5x 1x .5x .4x .3x .2x .1x
Relative Market Share
Market Attractiveness: Competitive-
Position Portfolio Classification
BUSINESS STRENGTH
Strong Medium Weak
1.00
MARKET ATTRACTIVENESS
Hydraulic Aerospace
pumps fittings
3.67
Clutches
Fuel
pumps
Flexible
2.33 diaphragms
Relief
valve
1.00
Invest/grow Selectivity/earnings Harvest/divest
The Strategic-Planning Gap
Desired
sales
Diversification growth
Strategic-
planning
Integrative growth gap
Sales
Intensive growth
Current
portfolio
0 5 10
Time (years)
Three Intensive Growth Strategies:
Ansoff’s Product/Market Expansion
Grid
Existing New
products products
New 2. Market
markets development 4. Diversification
Opportunity Matrix
2. Company develops a
High 1 2 device for measuring the
energy efficiency of any
lighting system
3. Company develops a
device for measuring
illumination level
Low 3 4 4. Company develops a
software program to teach
lighting fundamentals to TV
studio personnel
Threat Matrix
2. Major prolonged
High 1 2 economic depression
3. Higher costs
4. Legislation to reduce
number of TV studio
licenses
Low 3 4
The McKinsey 7-S Framework
Structure
Strategy Systems
Shared
values
Skills Style
Staff
The Value-Delivery Process
(a) Traditional physical process sequence
Make the product Sell the product
Design Procure Make Price Sell Advertise/
product promote Distribute Service
st at ng
environment environment
n
em io
sy rm eti
st in g
em g
fo rk
in Ma Product
tio nd
en ion g
n
ta a
M ga yst
em at tin
or s
ar ni em
Promotion
pl niz ke
ke za
im ga ar
tin tio
Political/ or M Social/
g n
legal cultural
environment environment
Competitors
Review
• Corporate and division strategic planing
• Business unit planning
• The marketing process
• Product level planning
• The marketing plan