Description
strategic management model, strategic decision making process, sources of innovation, factors affecting new venture success. It also explains intrapreneurship and its strategic importance.
ENTREPRENEURSHIP & INTRAPRENEURSHIP
1.
2.
3. 4. 5.
COVERAGE & DEFINITION CONTENTSSTRATEGIST THE ENTREPRENEUR AS
INTRODUCTION USEFULNESS OF STRATEGIC MANAGEMENT MODEL
USELFULNESS OF STRATEGIC DECISION-MAKING PROCESS
ISSUES IN CORPRATE GOVERNANCE SOURCES OF INNOVATION
6. 7.
8.
9. 10.
FACTORS AFFECTING A NEW VENTURE’S SUCCESS
INTRAPRENEURSHIP WHY NEW INTERNAL VENTURES FAIL?
STRATEGIC MANAGEMENT MODEL
Formal
1. 2. 3.
Informal
1. 2. 3.
Define Mission Set Objectives
What do we stand for? What are we trying to achieve?
Formulate Strategy
Determine policies Establish programs
How are we going to get there? How can we beat the competition?
What sort of ground rules should we all be following to get the job done rightly? How should we organise this operation to get what we want done as cheaply as possible with the highest quality possible? How much is it going to cost us & where can we get the cash from? In how much detail do we have to lay things out, so that everybody knows what to do? What are those few key things that will determine whether we can make it? How can we keep track of them?
4.
4.
5.
5.
6.
Prepare proforma budgets Specify procedures
6.
7.
7.
8.
8.
Define performance issues
STRATEGIC DECISON-MAKING PROCESS
1. 2. 3. 4. 5. 6. 7. 8.
Develop the basic Business Idea. Scan & Assess the External Environment. Scan & Assess the Internal Factors. Analyse the Strategic Factors. Decide to Go or No-Go. Generate a Business Plan. Implement the Business Plan. Evaluate the Implemented Business Plan.
SOURCES OF INNOVATION
1.
The Unexpected
2.
The Incongruity
Innovation based on Proven Need
3.
4.
Changes in Industry or Market Structure
Demographics Changes in Perceptions, Mood & Meaning New Knowledge
5.
6.
7.
FACTORS AFFECTING A NEW VENTURE’S SUCCESS
1.
2.
3.
The Structure of the Industry entered. The new Venture’s Business Strategy. Behavioural Characteristics of the Entrepreneur:
i.
ii. iii. iv.
The ability to identify potential venture opportunities better than most people. A sense of Urgency. A detailed Knowledge of the Keys to success in the Industry. Access to outside help to supplement their skills
GUIDELINES FOR NEW VENTURE SUCCESS
? ?
?
?
?
Focus on Industries facing Substantial Technological or Regulatory change. Seek Industries with smaller firm’s having relatively Weak Positions. Seek Industries that are in early, high Growth Stages of Evolution. Seek Industries in which it is possible to create High Barriers to Subsequent Entry. Seek Industries with Heterogeneous Products that are relatively unimportant to the customers’ overall success.
GUIDELINES FOR NEW VENTURE SUCCESS... Contd.
? ?
?
?
?
Seek to differentiate your products from those of your competition in ways that are meaningful to your customers. Focus such differentiation efforts on Product Quality, Marketing approaches & Customer Service; and charge enough for the cost of doing so. Seek to dominate the Market Segments in which you compete. Stress Innovation, especially New Product Innovation. Seek natural, organic growth through Flexibility and Opportunism
INTRAPRENEURSHIP
STRATEGIC IMPORTANCE Very Important Uncertain 6 Independent Business Units Not Important 9 Complete Spin-off
OPERTATIONAL RELATEDNESS
Unrelated
3 Special Business Units
Partly Related
2 New Product Business Department
1 Direct Integration
5 New Venture Division
4 Micro New Ventures Department
8 Contracting
Strongly Related
7 Nurturing & Contracting
WHY INTERNAL NEW VENTURES FAIL?
1.
Too small Scale of Entry.
Poor Commercialisation. Poor Implementation.
2.
3.
Thank you for Listening
doc_411244581.pptx
strategic management model, strategic decision making process, sources of innovation, factors affecting new venture success. It also explains intrapreneurship and its strategic importance.
ENTREPRENEURSHIP & INTRAPRENEURSHIP
1.
2.
3. 4. 5.
COVERAGE & DEFINITION CONTENTSSTRATEGIST THE ENTREPRENEUR AS
INTRODUCTION USEFULNESS OF STRATEGIC MANAGEMENT MODEL
USELFULNESS OF STRATEGIC DECISION-MAKING PROCESS
ISSUES IN CORPRATE GOVERNANCE SOURCES OF INNOVATION
6. 7.
8.
9. 10.
FACTORS AFFECTING A NEW VENTURE’S SUCCESS
INTRAPRENEURSHIP WHY NEW INTERNAL VENTURES FAIL?
STRATEGIC MANAGEMENT MODEL
Formal
1. 2. 3.
Informal
1. 2. 3.
Define Mission Set Objectives
What do we stand for? What are we trying to achieve?
Formulate Strategy
Determine policies Establish programs
How are we going to get there? How can we beat the competition?
What sort of ground rules should we all be following to get the job done rightly? How should we organise this operation to get what we want done as cheaply as possible with the highest quality possible? How much is it going to cost us & where can we get the cash from? In how much detail do we have to lay things out, so that everybody knows what to do? What are those few key things that will determine whether we can make it? How can we keep track of them?
4.
4.
5.
5.
6.
Prepare proforma budgets Specify procedures
6.
7.
7.
8.
8.
Define performance issues
STRATEGIC DECISON-MAKING PROCESS
1. 2. 3. 4. 5. 6. 7. 8.
Develop the basic Business Idea. Scan & Assess the External Environment. Scan & Assess the Internal Factors. Analyse the Strategic Factors. Decide to Go or No-Go. Generate a Business Plan. Implement the Business Plan. Evaluate the Implemented Business Plan.
SOURCES OF INNOVATION
1.
The Unexpected
2.
The Incongruity
Innovation based on Proven Need
3.
4.
Changes in Industry or Market Structure
Demographics Changes in Perceptions, Mood & Meaning New Knowledge
5.
6.
7.
FACTORS AFFECTING A NEW VENTURE’S SUCCESS
1.
2.
3.
The Structure of the Industry entered. The new Venture’s Business Strategy. Behavioural Characteristics of the Entrepreneur:
i.
ii. iii. iv.
The ability to identify potential venture opportunities better than most people. A sense of Urgency. A detailed Knowledge of the Keys to success in the Industry. Access to outside help to supplement their skills
GUIDELINES FOR NEW VENTURE SUCCESS
? ?
?
?
?
Focus on Industries facing Substantial Technological or Regulatory change. Seek Industries with smaller firm’s having relatively Weak Positions. Seek Industries that are in early, high Growth Stages of Evolution. Seek Industries in which it is possible to create High Barriers to Subsequent Entry. Seek Industries with Heterogeneous Products that are relatively unimportant to the customers’ overall success.
GUIDELINES FOR NEW VENTURE SUCCESS... Contd.
? ?
?
?
?
Seek to differentiate your products from those of your competition in ways that are meaningful to your customers. Focus such differentiation efforts on Product Quality, Marketing approaches & Customer Service; and charge enough for the cost of doing so. Seek to dominate the Market Segments in which you compete. Stress Innovation, especially New Product Innovation. Seek natural, organic growth through Flexibility and Opportunism
INTRAPRENEURSHIP
STRATEGIC IMPORTANCE Very Important Uncertain 6 Independent Business Units Not Important 9 Complete Spin-off
OPERTATIONAL RELATEDNESS
Unrelated
3 Special Business Units
Partly Related
2 New Product Business Department
1 Direct Integration
5 New Venture Division
4 Micro New Ventures Department
8 Contracting
Strongly Related
7 Nurturing & Contracting
WHY INTERNAL NEW VENTURES FAIL?
1.
Too small Scale of Entry.
Poor Commercialisation. Poor Implementation.
2.
3.
Thank you for Listening
doc_411244581.pptx