Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Jörg Freiling
freiling@uni-bremen.de
Concepts of Management
Jagiellonian University of Cracow
1st year, Business & Finance Management Program
Winter Term 2018/19
Overview
Basics of Management
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Basics of Management
Management – and its face(t)s
Content
Context Process
Management
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Context Dimension: Strategic Planning
SWOT Analysis
Products Technology
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Context Dimension: Techniques
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Content Dimension
- What is strategy?
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Content. Facet #1 – it’s all about goals
Chandler, A.D.:
"... the determination of the long run goals and objectives of an enterprise, and the adoption of
courses of action and the allocation of resources necessary for carrying out these goals."
Quinn, J.B.:
"A strategy is a pattern or a plan that integrates an organization's major goals, policies, and
action sequences into a cohesive whole. A well-formulated strategy helps to marshal and
allocate an organization's resources into a unique and viable posture based upon its relative
internal competences and shortcomings, anticipated changes in the environment, and
contingent moves by intelligent opponents."
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Goals…
Values and
Increasing Vision
concretization of the
goals means/ends
Corporate mission relationship
Operational goals
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Content. Facet #2 – it’s all about SCA
Ohmae, K.:
"What business strategy is all about is, in a word, competitive advantage. (...) The sole purpose
of strategic planning is to enable a company to gain, as efficiently as possible, a sustainable
edge over its competitors. Corporate strategy thus implies an attempt to alter a company's
strenghts relative to that of its competitors in the most efficient way."
Day/Wensley 1988, p. 1:
"Strategy is about seeking new edges in a market while slowing the erosion of present
advantages."
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Sustaining Competitive Advantage
economy technology
customer
preferences preferences
SCA
cost
corporation competitors
law society
environmental conditions
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Content. Facet #3 – it’s all about positioning
Porter, M.E. (1996, pp. 68, 70, 75): Three basic elements of strategy
(1) Positioning: "Strategy is the creation of a unique and valuable position, involving a different
set of activities. (...) The essence of strategic positioning is to choose activities that are
different from the rivals'."
(2) Trade-offs: "Strategy is making trade-offs in competing. The essence of strategy is
choosing what not to do. Without trade-offs, there would be no need for choice and thus no
need for strategy. Any good idea could and would be quickly imitated."
(3) Fit: "Strategy is creating a fit among a company's activities. The success of a strategy
depends on doing many things well - not just a few - and integrating among them. If there is no
fit among activities, there is no distinctive strategy and little sustainability."
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Productivity Frontier
13
Management Layers
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Business vs. Corporate Strategy (Grant, 1996)
Industry
attractiveness
Corporate
Rate of profit Which industries strategy
above the should we be in?
competitive
level
How do we make
money?
Competitive
advantage
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Process Dimension
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Linear Process Approach: Gulick‘s „POSDCORB“ Model
• P – Planning
• O – Organizing
• S – Staffing
• D – Directing
• CO – Coordinating
• R – Reporting
• B – Budgeting
Refines Process Approach: Stoner et al., 1995
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Strategy as Process
Deliberate Str.
Intended Realized
Strategy Strategy
Unrealized Emergent
Strategy Strategy
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Why did the emergent strategy perspective develop?
‘PLANNING` ‘CRAFTING`
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The VUCA World and Management
The Evolution of Strategic Management (Grant, 2000)
IMPLEMENT- Emphasis on The rise of Diversifi- Industry and Restructuring Virtual orga-
ATIONS financial corporate planning cation. market select- BPR. nization.
management departments Quest for ivity. Active Refocussing Alliances
& formal global asset Outsourcing competing
planning market share management for the future
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And what about the 2000’s and 2010’s?
- Strategic renewal
- Ambidexterity
- Entrepreneurship
- Business model innovation
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VUCA World – what does it mean?
OLD NEW
STABILITY VOLATILITY
CERTAINTY UNCERTAINTY
SIMPLICITY COMPLEXITY
CLARITY AMBIGUITY
COMFORT DISCOMFORT
The world won’t slow down the pace and come back to stable conditions any more.
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What does VUCA mean and imply?
Volatility
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What does VUCA mean and imply?
Uncertainty
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What does VUCA mean and imply?
Complexity
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What does VUCA mean and imply?
Ambiguity
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Consequences
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Modern Business: Cornerstones – what is different?
Ambidex-
terity Sharing
Economy
Business
4.0
Value Co-
Creation
Open Age
(OI, OM, …)
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Welcome to the world we(‘ll) live in…
Exploration
Balance?
Exploitation
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Digital transformation and the exploration kick by 4 levers
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Exploration – elements of the new business world
“dark factories”
Exploration – elements of the new business world
Owners (Principals)
Con-
Report
tract
Managers (Agents)
Mgm Result
Company (Object)
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Management
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Management, Leadership, Entrepreneurship
Lead
Result
ing
People
(Employees and other stakeholders)
company
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Leadership
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Management, Leadership, Entrepreneurship
Entrepreneurs (Owners)
desig-
align-
ning
ment
company
People
(relevant to the business)
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Entrepreneurship
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Overview of Management Concepts
Managements Concepts
Management
Concepts
Managerial Entrepreneurial
Hybrid Style
Style Style
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Course Coordination
Course Coordination
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Let’s stay in touch!
freiling@uni-bremen.de
www.lemex.uni-bremen.de