EXAMPLE OF STUDENT-WRITTEN
(San Miguel Corporation and
A. Soriano Corporation)
I. CURRENT SITUATION
A. Current Performance
According to Soriano, the companies had developed their budgeting and long-range planning system several year earlier but, despite the many advantages these gave them, they still were not satisfied with their ability to respond to the rapid changes in the environment around them. They, therefor, search for a process that would enable them to upgrade their planning capability. B. Strategic Posture
San Miguel Corporation, Inc. is committed to the empowerment of San Miguel host communities and various stockholders by harnessing corporate social responsibility among the various San Miguel businesses in pursuing mutually beneficial program that lead to self-reliance and sustainability. 2. Vission
To be constantly aware of the aspiration of the people and of the nation, and to ensure that San Miguel continues to make a major contribution toward the achievements of these aspiration. To manufacture, distribute and sell throughout the Philippines food products, beverages, product and animal feeds, being ready at all time to add, modify or discontinue product in accordance with changes in the market. To diversity into fields which will ensure optimum utilization of management resource and substantial contribution to corporate profit. To seek and developed export markets for new product as well as for those already being produce by the corporation. To generate a return on funds employed sufficient to ensure an adequate rate of growth for the corporation, and to provide satisfactory returns to stockholders. To provide an environment which is conductive to the development of the individual and which encourage employees to realized their full capabilities. 3. Objectives
To assess the attractiveness of each specific BUSINESS FAMILY and BUSINESS ELEMENT as well as the organization competitive strength in each of these business. 4. Strategies
Strengthen and maintain the dominant position held up in the market by its various products. By involving itself in faster growing industries which boost the margin by delivering 15% return in equity annually. SMC is capitalizing on its unique strength in brands and distribution to wave its product more deeply into the fabric of everyday life.
II. STRATEGIC MANAGERS
A. Board of Directors
1. Andres Soriano, Jr.
2. ANSCOR Group – 24,00 employees
3. SMC – 19,00 employees
B. Top Management
1. Not only examined the validity of the objectives submitted by each team, but also considered the fit of these business objectives in portfolio. 2. The CEO in particular must be fully comfortable with an supportive of such new planning approach. 3. In the ANSCOR group and SMC the chairman of the board was firmly involved from the beginning. 4. Can push the organization to face up to some narrowing down to difficult strategic option open to each business 5. Willingness to face critical issues and the reconciliation of view point are essential to make sure that there is sufficient agreement on the key issue presented
III. EXTERNAL ENVIRONMENT
A. Societal Environment
a. Philippines economic freedom score 58.2, making is economy the 97 freest. 2. Technological
a. High skilled IT workers and high in technology.
b. Technology allows producing product at the cheaper price. 3. Political-Legal
a. Political and market factors worked in favour of the company. b. Asian Free Trade Area (AFTA)
c. TAX incentives
a. Company is a true blend of culture
b. History of American rule and contact with merchants
B. Task Environment
1. For large complex organization, such as the ANSCOR Group and the SMC, the task of coping with change becomes exceedingly challenging.
IV. INTERNAL ENVIRONMENT
A. Corporate Structure
1. The company’s operation extend beyond its...
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