8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 1/42
Converting Strategy Into
Corporate Plans
Unit 8
Trimester 6
1
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 2/42
Operational Strategy
Please refer earlier ppt.
2
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 3/42
3
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 4/42
Marketing Strategy
³You¶re headed in the right direction when you
realize the customer viewpoint is more important
than the company viewpoint. It¶s more productive
to learn from your customers than about them´.
John Romero
John Romer o is a Casino Marketing Consultant, Writer
and Lecturer specializing in direct mail, databasebuilding, floor pr omotions and direct response
advertising f or gaming clients in the US and abr oad.
4
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 5/42
Marketing strategy is essentially a patter n or plan
that integrates an or ganization's major goals,
policies, and action sequences in a cohesive wholeto achieve a 360 degree customer success.
Marketing strategies are generally concer ned
with f our Ps: product strategies, pricing strategies,
promotional strategies, and placement strategies.
5
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 6/42
Marketing strategy is a pr ocess that allows an or ganization to concentrate limited resources on thegreatest opportunities to increase sales and achieve
a sustainable competitive advantage. Marketing strategies are developed as multi-year
plans, with a tactical plan detailing specific actions
to be accomplished in the current year. Marketing strategies are dynamic and interactive.
They are partially planned and partially unplanned.
6
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 7/42
Marketing strategy involves careful scanning of theinter nal and exter nal envir onments.
Inter nal envir onmental factors include the marketing
mix, plus perf or mance analysis and strategicconstraints.
Exter nal envir onmental factors include customer analysis, competitor analysis, tar get market analysis,elements of the technological, economic, cultural or political/legal envir onment .
Marketing strategy is often in line with acompany's mission statement.
7
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 8/42
A good marketing strategy will also have a plan that
monitor pr ogress and a set of contingencies if
pr oblems arise in the implementation of the plan. Marketing strategies differ depending on the unique
situation of the individual business.
Some commonly used strategies are based on
1. Market dominance (leader, challenger,
f ollower,nicher)
8
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 9/42
2. Generic strategies based on pr oductdifferentiation, cost leadership, marketsegmentation.
3.Innovation strategies based on cutting edgetechnology and business innovation. (Pioneers,close f ollowers, late f ollowers)
4. Gr owth strategies based on ³how the fir m should gr ow´ (horizontal integration, vertical integration,
diversification, intensification).
9
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 10/42
Product Strategy:
1. Product position Strategy
Placing a brand/pr oduct in the market where it will havea favorable reception compared to competing brands.
2.Product re-positioning Strategy
Reviewing the current position of the pr oduct and itsmarketing mix and seeking a new position f or it that
seems more appr opriate.
10
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 11/42
3.Product Scope Strategy
This strategy deals with the perspectives of the
pr oduct mix of the company which may be singlepr oduct strategy (tr y and be the market leader),
multiple pr oduct strategy (pr oducts that complement
each other)or system of pr oducts strategy (have an
understanding of customer needs and uses of thepr oducts)
11
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 12/42
4.Product Design Strategy
Degree of standar dization of a pr oduct (standar d
pr oduct, customized pr oduct, standar d pr oduct with modifications, this combines the strategies of the
other two pr oduct design strategies.
12
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 13/42
5.New Product Strategy
Intr oducing a new pr oduct in its existing pr oduct line
thr ough pr oduct impr ovement/modification, pr oductimitation or pr oduct innovation.
13
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 14/42
Promotion Strategy
1.Pr omotion Mix Strategy ( a judicious mix of different kinds of pr omotion
2.Media Selection Strategy(choosing the channelsthr ough which messages concer ning pr oduct/ser vice inf or mation is transmitted to the
tar get audience. 3. Advertising Copy Strategy (designing the
appr opriate ad content f or the desired audience)
14
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 15/42
Place/Distribution Strategy
Intensive distribution, exclusive distribution,
selective distribution. You can employ two or more different channels f or
distribution of goods and ser vices.
These can be complementar y or competitivechannels.
15
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 16/42
Pricing Strategy
Pricing Strategy f or a new pr oduct
Pricing Strategy f or an established pr oduct Pricing Flexibility Strategy
Price Leadership Strategy
16
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 17/42
Pricing Strategy for a new product
Skimming (setting a relatively high price f or a new
pr oduct in its intr oduction stage of the PLC) Penetration (setting a relatively low price f or a new
pr oduct in its intr oduction stage of the PLC)
17
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 18/42
Pricing Strategy for an established product
Maintaining the price (to maintain positing in themarket place)
Reducing the price (to meet or beat competition or to respond to a customer need that has been created by a change in the market envir onment)
Increasing the price (to maintain pr ofitability during inflation, or to take advantage of pr oduct differencesor to segment the current ser ved market)
18
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 19/42
Pricing Flexibility Strategy
One price (same price to all customers under similar circumstances and f or same quantities, thisis done to simplif y pricing and maintain goodwill )
Flexible pricing (char ging different prices to differentcustomers f or the same pr oduct and quantity. To
maximize short ter m pr ofits, depending on competitive conditions and how much the customer is willing to pay)
19
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 20/42
Price Leadership Strategy
This strategy is used by the leading fir m in an industr y in making a major price move and othersf ollow suit.
The objective of this strategy is to gain contr ol of pricing decisions within an industr y in or der to
support the leading fir m¶s own marketing strategy (i.e. create barriers to entr y, increase pr ofit mar gin etc.)
20
Marketing Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 21/42
21
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 22/42
Push-Pull Strategy
Pr omotional strategies to get your pr oduct or ser vice to market can be r oughly divided into two separatecamps.
A push promotional strategy involves taking thepr oduct directly to the customer via whatever means to ensure the customer is aware of your brand at the pointof purchase.
Taking the pr oduct to the customer.
22
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 23/42
The ter m 'push strategy' describes the work amanufacturer of a pr oduct needs to perf or m to get thepr oduct to the customer.
This may involve setting up distribution channels and persuading middle men and retailers to stock your pr oduct.
The push technique can work particularly well f or lower value items such as fast moving consumer goods(FMCGs), when customers are standing at the shelf ready to dr op an item into their baskets and are ready to make their decision on the spot.
23
Push-Pull Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 24/42
This ter m now br oadly encompasses most directpr omotional techniques such as encouraging retailersto stock your pr oduct, designing point of sale materials
or even selling face to face. New businesses often adopt a push strategy f or their
pr oducts in or der to generate exposure and a retailchannel.
Once your brand has been established, this can beintegrated with a pull strategy.
24
Push-Pull Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 25/42
Examples of push tactics
Trade show pr omotions to encourage retailer demand
Direct selling to customers in showr ooms or face to
face Negotiation with retailers to stock your pr oduct
Efficient supply chain allowing retailers an efficientsupply
Packaging design to encourage purchase Point of sale displays
25
Push-Pull Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 26/42
Getting the customer to come to you.
´Pull strategyµ refers to the customer actively seeking out your
pr oduct and retailers placing or ders f or stock due to direct
consumer demand. A pull strategy requires a highly visible brand which can be
developed thr ough mass media advertising or similar tactics.
If customers want a pr oduct, the retailers will stock it - supply and
demand in its purest f or m and this is the basis of a pull strategy. Create the demand, and the supply channels will almost look after
themselves.
26
Push-Pull Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 27/42
Examples of pull tactics
Advertising and mass media pr omotion
Wor d of mouth referrals
Customer relationship management
Sales pr omotions and discounts
27
Push-Pull Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 28/42
A successful strategy will usually have elements of
both the push and pull pr omotional methods.
If you are starting a new business and intend to sella pr oduct thr ough retailers you'll certainly need to
persuade outlets to purchase and stock your
pr oduct.
You will also need to raise brand awareness and
start building valuable wor d of mouth referrals.
28
Push-Pull Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 29/42
Human Resource Strategy
29
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 30/42
HR strategy is linked to business strategy and facilitates the or ganization to achieve its objectivesby building people capabilities.
It is linked to the Vision, Mission and overallbusiness strategy of the or ganization.
How companies treat employees, particularly
thr ough theH
R practices they use, can ultimately impact fir m perf or mance, either positively or negatively
30
Human Resource Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 31/42
HR Strategy is the system of human resource
practices f or a particular job or collection of jobs
aimed at the best employee perf or mance possible
to meet the fir m¶s ultimate goals.
Human Resource Strategy, f ocuses on choices and
actions concer ning the management of people
within the or ganization.
31
Human Resource Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 32/42
Or ganizations are likely to have human resourcepractices that fit with their competitive businessstrategies.
Or ganizations whose human resource strategiesmatch their competitive strategies do indeed perf or m better.
32
Human Resource Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 33/42
There are f our human resource strategies
commonly used by or ganizations.
± Loyal Soldier
± Bargain Laborer
± Committed Expert
± FreeAgent
33
Human Resource Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 34/42
Loyal Soldier HR Strategy
The Loyal Soldier label emphasizes hiring and retaining loyal employees who do whatever the company asks of them.
Or ganizations with this strategy design work so that
employees have br oad r oles and perf or m a variety of different tasks. People are recruited and hired because they fit the
or ganization culture and because of their potential to become loyal employees.
Eff orts are made to satisf y the needs of employees and build a str ong bond that reduces the likelihood of employee tur nover.
34
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 35/42
Or ganizations hire people early in their careers and pr ovide them with extensive training in a number of different skills.
Careers often include a number of ver y different
positions, with pr omotions often made into positionsthat are not closely related to previous experiences. Perf or mance appraisals are designed to facilitate
cooperation rather than competition. Compensation includes long-ter m incentives and
benefits and is often linked to the overall perf or manceof the or ganization.
Unions, frequently help build feelings of unity.
35
Loyal Soldier HR Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 36/42
Bargain Laborer HR Strategy
The emphasis of this strategy is obtaining employees who do not demand high wages.
Or ganizations with this strategy design work so thatmanagers can tightly contr ol employee eff orts.
Each employee is given clearly defined tasks that can belear ned easily. People are recruited and hired to perf or m simple tasks that do not require clearly developed skills.
Little attention is paid to meeting the long-ter m needs of employees.
Or ganizations with this human resource strategy don¶tpr ovide careers with clear paths f or pr omotion and advancement.
36
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 37/42
Perf or mance appraisal f ocuses on day-to-day feedback and rarely incorporates f or mal measures.
Training is mostly limited to on-the-job techniques
that teach specific methods f or completing particular tasks.
Compensation is frequently based on hours worked,and benefits and long-ter m incentives are minimal.
The lack of consistency among employees tends to make unions somewhat rare.
37
Bargain Laborer HR Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 38/42
Committed Expert HR
Strategy The primar y objective of this strategy is to hire and retain employees who specialize in perf or ming certain tasks.
Or ganizations using this strategy design work so thatemployees have a great deal of freedom to innovate and to impr ove methods of completing tasks.
People are recruited and hired because of their potential fitwith the or ganizational culture, as well as their aptitude f or becoming experts in particular areas.
These or ganizations hire people early in their careers and train them to be experts in specific fields, such as accounting or sales.
38
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 39/42
Perf or mance appraisals are designed to balancecooperation and competition among employees.
Careers generally include numer ous pr omotionsinto similar jobs with increasing responsibility.
Employees receive long-ter m training that helpsthem develop str ong expertise.
Compensation is relatively high and usually includes a good benefits package that tiesemployees to the or ganization.
39
Committed Expert HR
Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 40/42
Free Agent HR Strategy
The main emphasis associated with this strategy is hiring people who have critical skills but who are not necessarily expected to remain with the or ganization f or a long period of time.
Work is designed so that employees have extensive responsibility
within specific areas and substantial freedom to decide how to go about their work.
Long-ter m commitments are avoided, and no eff orts are made to encourage str ong attachments between employees and theor ganization.
People are recruited because they already have the skills and experience that they need to perf or m specific jobs.
They are not led to expect long-ter m careers in the or ganization.Higher-level positions are frequently given to people fr om outside theor ganization.
40
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 41/42
Perf or mance appraisal f ocuses on outcomes and results.
Training is rare.
Short-ter m compensation is usually high, which isnecessar y if the or ganization is to obtain people with top skills.
Pay is linked specifically to individual perf or manceresults.
Benefits and long-ter m compensation packages, which tie employees to the or ganization, are avoided.
Unions are rarely seen in these or ganizations.
41
Free Agent HR Strategy
8/2/2019 Converting Strategy Into Corporate Plans
http://slidepdf.com/reader/full/converting-strategy-into-corporate-plans 42/42
HR Strategy
Recruitment
SelectionTraining
Development
Performance
Management
Rewards
Communication
What
Employees
Have
Skills,
Abilities,Competencies
What
Employees
FeelMotivation
Commitment
Engagement
What
Employees
DoTask,
Discretionary,
Counterproductive
Behavior,
Attendance,
Turnover
Customer
Outcomes
Satisfaction
Retention
Operational
Outcomes
Productivity
Quality
Shrinkage
Accidents
Financial
Outcomes
Expenses
Revenues
Profits
HR Strategy and
Performance