Examples of “Good” Strategic Management - 1293 Words

EXAMPLES OF â€Å"GOOD† STRATEGIC MANAGEMENT Disney In 1984, Disney’s stock price had been flat for a decade. Earnings per share were only $0.06. Disney had profits that year of $242 million. By this point in time Disney had become primarily a theme park company. Seventy seven percent of its profits came from theme park operations that year. Twenty two percent of profits came from consumer products (licensing Mickey Mouse, Donald Duck, etc.). Only one percent of profits came from filmed entertainment in 1984. Indeed, Disney had become a different company from what Walt Disney and his brother Roy O. Disney left behind. In 1971 when Roy O. Disney died (he became CEO when Walt died in 1966), 50% of the company’s profits came from filmed†¦show more content†¦He knew the liquid soap would be easy to manufacture and that he could buy the pumps from one or both of the two existing pump manufacturers. Procter amp; Gamble, and probably others, would have quickly imitated his product and most likely driven him out of busi ness. These other manufacturers were many times larger than Minnetonka. However, Taylor engaged in a form of internal analysis by recognizing that even though these larger companies had a resource advantage when it came to manufacturing and marketing the liquid soap, they had no advantage when it came to the pump bottles. He recognized that if he bought all the pump bottle production of the two manufacturers he would have an advantage over firms much larger than Minnetonka. Taylor bought all the pumps the two manufacturers could produce in a year. He paid more for these orders of pumps than Minnetonka was worth at the time. The strategy worked. He had a 12-18 month lead over his much larger competitors in which he was able to establish the Softsoap brand and capture market share. (Brandenburger amp; Nalebuff, 1995, The Right Game: Use Game Theory to Shape Strategy, Harvard Business Review.) Amazon and the Publishing Industry The book publishing industry traditionally was characterized by a long value chain. The publisher contracted with authors to write books and entered into agreements with commercial printers (such as R.R. Donnelley and Quebecor) to print the books. Books were distributed toShow MoreRelatedManagement History And How The Theories Fit Today Essay1497 Words   |  6 PagesManagement history and how the theories fit in modern society? Choose 3 classical ones. Administrative management by Henry Fayol, scientific management by Frederick Taylor and bureaucratic management by Max Weber were all developed long time ago in the management development history. However, they still have significant influences over the management today and managers today could still apply these ideas to their workplace. This essay is to discuss what these theories are and how they are appliedRead MoreThe Value Of Good Management1664 Words   |  7 Pagesget tougher. In the development of companies, good management play an important role in a company achieving success, which means making a correct decision in order to achieve a particular purpose, plan, organize, direct, operate and control process. The purpose of good management is efficiency and benefit. The key of management is people and the principle of management is to organization, organization s centre is people. The essence of good management is the collection of various kinds of resources;Read MoreStrategic Management : Objectives And Objectives1343 Words   |  6 Pages1. How is strategic management defined in the text, and what are its four key attributes? 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The management is linked to processes andRead MoreBest Practices of Strategic Management: Innovation in Web Research1585 Words   |  6 PagesBest Practice Strategic Management Innovation Web Research Introduction As explained by Hill Jones (2012), strategic management entail the process of implementing ways that would help an organization achieve its long term goals. Hill Jones (2012) adds that organizations would be unable to attain their projected goals if they do not employ proper ways for strategic management. Through strategic management, companies strive to create ways that can create a balance between the external and internalRead MoreStrategy And Forms Of Planning1506 Words   |  7 Pageswill go into detail all while providing easy-to-comprehend examples. The result should be an understanding of strategy, how it is formed and implemented as well as, its influences in the work place. Strategy and Forms of Planning Strategic planning is the process of determining a company’s future direction, performance targets, and strategy (Bethel, pg. 18. 2011). There are three stages to forming a strategic plan: Developing a strategic vision, setting objectives and crafting a strategy (BethelRead MoreStrategic Management : Strategy Formulation And Strategy Implementation896 Words   |  4 Pages Introduction to strategic management: Strategic management is the procedure or path which was established by their managers in any particular organization’s or company for their Long-term direction and also built the comprehensive performance objectives, upskilled strategies to succeed these objectives in the light of all the applicable inner and outer circumstances, and implement to perform the selected procedure plans. Company itself an entity having certain limitations and boundaries as perRead MoreThe Tools of Strategic Analysis1545 Words   |  7 PagesChapter 1 What is Strategy and the Strategic Management Process? Copyright  © 2012 Pearson Education, Inc. publishing as Prentice Hall. 1-1 The Tools of Strategic Analysis Walt Disney Company 1984 Profits: $242 Million Theme Park Operations: 77 percent of profits Consumer Products: 22 percent of profits Filmed Entertainment: 1 percent of profits Copyright  © 2012 Pearson Education, Inc. publishing as Prentice Hall 1-2 The Tools of Strategic Analysis Walt Disney Company HiredRead MoreThe Strategic Human Resource Management1254 Words   |  6 PagesINTRODUCTION Proactive management of the employees of a company or organization. Strategic human resource management includes typical human resource components such as hiring, discipline, and payroll, and also involves working with employees in a collaborative manner to boost retention, improve the quality of the work experience, and maximize the mutual benefit of employment for both the employee and the employer. The strategic human resource management was excellent as all employees reported highRead MoreStrategic Thinking with Hrm1401 Words   |  6 PagesDiscuss why human resource management (HRM) is essential to strategic thinking, and identify several key aspects of strategic HRM. Introduction â€Å"Corporations began viewing employees as assets rather than as cogs in machine. ‘Human resources management’, consequently, became the dominant term for the function—the ASPA even changing its name to SHRM in 1998. (SHRM)† The realisation from organisations that their most prised and valuable asset is their employees. This lead to development and integration