SOUTHERN TAIWAN UNIVERSITY
MECHANICAL ENGINEERING DEPARTMENT
Group 5:
1) Nguyen Van Minh
2) Nguyen Chi Thanh
3) Taiwanese Student
2016/7/13
阮文明 M981Y209
阮志成 M981Y202
陳立軒
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PROBLEM
How is the idea of “strategic intent” different
from models of strategy that emphasize
achieving a fit between the firm’s strategies
and its current strengths, weaknesses,
opportunities and threats (SWOT)?
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Figure 1: Alternative Models of Strategy
STRATEGIC PLAN
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STRATEGIC ISSUE
STRATEGIC INTENT
Standardize Operating
Procedures/Financial
Objectives
Allegiance to Strategic
Intent and Intermediate
Term Goals
Organizational Consistency
Allocate by Common
Product/Markets
Investment Allocation
Invest in Core
Competencies
Balance Cash Consumers
with Cash Producers
Risk Reduction with
Balance of Scope
Build Broad Portfolio of
Balanced Advantages
Search for Market Niches
Competition with
Large Competitors
Devalue Competitors
Advantages
Search for Attainable
Advantages
Competitive Advantage =
Profitability
Accelerate Learning to
Build New Advantages
Trim Ambitions to
Meet Resources
Limited Resources
Leverage Resources to
Meet Ambitions
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The strategic plan (also called Western
model) centers on balancing the fit
between
current
resources
and
opportunities
The strategic intent (Asian model)
leverages available resources to achieve
nearly unattainable goals
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The strategic planning approach to
corporate strategy was focused on
resource management and incremental
improvements in operating efficiencies in
an effort to beat competition
The strategic intent looks for way to build
new competitive advantages
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The Strategic planning model is tends to
be reactionary and is the strategic
application of tactics
The strategic intent model is more
proactive and is the tactical application of
strategy
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The strategic planning process typically
focuses attention on available resources
and the feasibility of alternative
strategies in utilizing existing resources.
Strategic intent captures the essence of
winning, is stable over time, and sets
goals that deserve personal effort and
commitment
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Strategic plans focus on means to the end
(how to achieve the objectives)
Strategic intent is focused on the ends,
while the means are left to be flexible. The
objective of strategic intent is to provide
the company a focus for developing
strategic plans. Strategic intent leaves
room for improvisation and opens
innovation opportunities
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Implementing strategic intent requires a firm to
stretch capabilities and resources to meet and win
corporate challenges
A firm that sets its strategic intent to be a global
market leader may soon find it does not have the
resources or capabilities to meet its objective
This requires the organization to increase learning,
build new advantages, and become more inventive
in the utilization of resources in order to compete
against current market leaders
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For corporate challenges to lead to competitive
advantage, top management must:
 Create a sense of urgency — point out environmental
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signals to stress the need for change and
improvement
Develop a competitor focus at every level through
widespread use of competitive intelligence
Provide employees with the skills they need to work
effectively
Give the organization time to digest one challenge
before launching another
Establish clear milestones and review mechanisms
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