Sei sulla pagina 1di 12

MBA ( OIL & GAS MANAGEMENT)

MARKETING MANAGEMENT

Presentation 2

Questions ?
A. Outline the steps involved in business unit
strategic-planning process.
B. Assume that you are directed to prepare a short
brief explaining the steps of the Business Unit
Strategic Planning Process.
Your task is to
construct such a brief by carefully outlining the
steps
of
the
aforementioned
process.

The Business Unit Strategic


Planning Process
Markets are diverse, and strategies need to be tailored to
individual markets. In this respect, a company is often divided
into business units according to its different products in order to
develop and follow a specific strategy. Consequently, these are
called strategic business units (SBUs)
An ideal strategic planning process within a business unit is
presented below. It consists of several steps and is based on the
business mission (derived from a wider company or corporate
mission).

The Business Unit Strategic


Planning Process Steps as below.

The Business Unit Strategic Planning Process Figure.

Business Mission
Each

business unit needs to define its specific


mission within the broader company mission

SWOT Analysis

A successful business activity is built on the


company's core competences. The SWOT analysis is a
popular concept to conduct an overall evaluation of a
company's strengths (S), weaknesses (W) - the
internal environment - and opportunities (O) and
threats (T) - the external environment. Based on
contrasting the company's strengths and weaknesses
with market opportunities and (potential) threats, it
gives recommendations for actions in the resulting
cells.

Goal Formulation

Goal formulation : the formulation of the specific goals


for the planning period.

Managers use the goals to describe objectives


that are specific with respect to magnitude and time.

The objective including:

Profitability

Sales growth

Market share improvement

Risk containment

Innovation

Reputation

Strategy Formulation
Goals

indicate what business wants to achieve

Strategy

indicate a game plan for getting the

goals.
Business

strategy consists of marketing


strategy, technology strategy, and sourcing
strategy.

Program formulation and


implementation

A great marketing strategy can be sabotaged by poor implementation.

According to Mc kinsey and Company, strategy is only one of seven


elements In successful business practice. The frame work of the
elements is called Mc Kinseys 7-s framework for business success.

The elements are:

Hard ware elements: strategy, structure and systems

Soft ware elements: Style, skills, staff, shared values

According to this framework, when these elements are present,


companies are usually more successful at strategy implementation.

Feedback and control

As it implements its strategy, the firm needs to track the


results and monitor new developments on the marketing
environment.

If the environments change, the company can count it, so


the company need to review and revise its implementation,
programs, strategies, or even objective.

The key to organizational health is willingness to examine


the changing environment and to adopt new goals and
behaviors.

High performance organizations continuously monitor the


environment and use flexible strategic planning to maintain
a fit with the evolution of the environment.

References

http://qpc.adm.slu.se/SNPD_ver2/page_10.htm

Kotler Keller : Marketing Management

THANK YOU