Strategic Positioning

Topics: Strategic management, Management, Strategic planning Pages: 11 (3502 words) Published: April 19, 2013
Strategic positioning
Strategic positioning is the positioning of an organization (unit) in the future, while taking into account the volatile environment, plus the systematic recognition of that positioning. The strategic positioning of an organization includes the planning of the desired future position of the organization. On the basis of present and foreseeable progress, and the making of plans to realize that positioning. The strategic positioning method is devised from the business world. The method is targeted at ensuring the functioning of the organization. The strategy determines the contents and the character of the organization's activities. Terms, such as legitimacy, survival, market positioning, relationship with environment and choice for a certain work area, come up in this context. Subjects, which have been developed reasonably well in literature on strategic management, include information gathering techniques, examination techniques and planning schemes. There are no such methods have been devised for exploring the future: Various questions must be asked with strategic positioning: * How does the future look like?

* How could the organization be roughly positioned in the future? * How are things in the organization at present?
* How can opportunities be grabbed and how can threats be met? * How can this be put into practice in a logical way?
Strategic positioning includes the following steps:
* The future
* Information collection
* Analysis
* Choice of strategy
* Implementation
1. The future
Future plans are based on the past and present. The waves of the future are always interpreted on the basis of the wavelets which are foreseeable in the present. Trend research according to Naisbitt (shifts in the basically closed news circuit) is based on small shifts which define future developments. If we can control today's trends, we may perhaps use them into the future. It is important for everybody to map the non-changing developments which are related to the own organization. A first exploration of the strategic positioning can be constituted by extrapolating the trends and by gearing them to the field in which the own organization operates. 2. Information collection

Information collection includes internal research and external research. Internal research
Where does our organization stand? What internal factors are important for survival and for failure or success, both in a positive and in a negative sense? It is better to draw up a list of own relevant criteria, which are applicable to the department you are working in. This will help determine the strength and weaknesses of your own organization. External research

What pressures from outside can be highly importance to the realization of the organization's objectives? or what external critical factors are there? Standard lists of such factors are available but the organization should draw its own relevant criteria, which do not only belong to the sector but also, for instance, to region-specific developments. This will explain the threats and opportunities of the organization. Future opportunities and threats are also calculated occasionally by making use of extrapolation (trend curves or mathematical models) or by consulting experts in a systemized way. Or by devising one or more empirically founded, plausible constructions of the anticipated developments (scenarios). 3. Analysis

One can make an analysis of the strategic position by comparing the data of the internal and external researches with each other. A widely used method is the SWOT analysis. Four lists of factors are drawn up: Strong, Weak Opportunity and Threat. This is usually used in a group meeting of members of the organization. Another method is the Product/Market Matrix. Questions raised with this method are: Can you, going away from the existing product range, think of new applications (markets)? And can you supply markets...
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