“Analysis Is the Critical Starting Point of Strategic Thinking” – Kenichi Ohmae. What Variables Interfere so Often with Our Ability to Start the Analysis Aspect of Strategic Thinking? How Important Is the Analysis?

Topics: Strategy, Thought, Strategic management Pages: 4 (985 words) Published: December 15, 2009
Week 3 – DQ 1
“Analysis is the critical starting point of strategic thinking” – Kenichi Ohmae. What variables interfere so often with our ability to start the analysis aspect of strategic thinking? How important is the analysis? What techniques have you employed or seen successfully employed that may help provide the opportunity to start the analysis?

Strategic thinking is defined as the management’s vision of the company; what it should look like in the future. It is the vision that drives the direction, nature and focus of the business. Strategic planning focuses on the ‘how’ aspects; How the organization is going to achieve that vision.

Factors Influencing Analysis of Strategic Thinking
It is important to recognize that strategy always begin with analysis. The strategist analyzes the factors, with the intention of separating them and reassembles them in an order that maximize the firm’s advantage.

The following factors listed might influence the analysis of strategic thinking.

1. Different perceptions of Organization’s Vision
The management in an organization might be familiar with their corporate vision. Yet, when asked to describe, different individuals hold different perceptions of how their organization will be like in the future. Hence, the vision is as clear as well as fuzzy. This means that although the management team knows the vision well like the back of their hands, but the images which are pictured in the minds of the individuals are different. (The power of strategic thinking, Michael Robert)

2. Strategy Vs Operations
There is only a thin line separating strategy and operations. As mentioned, strategy is governed by the CEO’s or owner’s vision of what he wants the company to be like. “Berkshire is my painting, so it should look the way I want it to look.” (Warren Buffett, founder of Berkshire) Operations issues include analyzing and counter react to the external environment such as customer’s demand; etc....

References: The power of strategic thinking, Michael Robert
The Mind of a Strategist, Kenichi Ohmae
Harvard Business Review, Michael E Porter, Nov-Dec 1996
Warren Buffett, founder of Berkshire
Kaufman, 1992
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