Levels of Strategy Planning

Levels of Strategy Planning
• •

The process of developing and maintaining a fit between a compan y’s goals and capabilities and its changing marketing opportunities It involves:
– – – – Defining company vision/mission Specifying objectives Designing portfolio of products/businesses Coordinating functional strategies

Three Levels of Strategy in an Organization
Corporate strategy Corporate strategy
••Vision Vision ••Corporate goals Corporate goals ••Philosophy and culture Philosophy and culture

Business unit strategy Business unit strategy
••Mission Mission ••Business goals Business goals ••Competencies Competencies

Functional strategy
Information systems Finance Research & development

Manufacturing Human resources

Marketing

1

Components of Strategy
• Scope
• Breadth of strategic domain: number and types of industries, product lines, market segments. Reflects company mission and strategic intent (vs. Strategic fit) • MCI... Core business (long distance), Contiguous business (fastest growing sector communications related products: wireless paging, Internet, local service), Content (invested $2 billion in News Corp): Vision of Bert Roberts, Chai rman • MMM • PCL • EllisDon • Mattamy

Components of Strategy
• Goals and Objectives
• Desired level of accomplishment on one or more performance dimen sions and the growth vector Allocation of human, financial and other resources across businesses, markets, etc. What are the distinctive competencies or strengths relative to competitors? MMM PCL EllisDon Mattamy Improving overall efficiency and effectiveness by exploiting syn ergies across businesses and product markets

• •

Resource deployments
• • • • • •

Identification of a sustainable competitive advantage

•

Synergy
•

2

Market Oriented Vision / Missions
PRODUCT-ORIENTED VISION/MISSION STATEMENTS MARKET-ORIENTED VISION/MISSION STATEMENTS
We sell lifestyle and self expression; success and status; memories, hopes... [continues]

Read full essay