NEW YORK UNIVERSITY ROBERT F. WAGNER GRADUATE SCHOOL OF PUBLIC SERVICE Prof. Mindy Tarlow Spring 2009 Time & Place: Monday, 6:45-8:25 pm Room 701, Silver Center Office Hours: By Appointment P11.2110 Strategic Management The great potential for public benefit of public service organizations remains unrealized due, in large part, to uncertain or conflicting goals, unsuitable organizational structure and inadequate managerial performance. Much dissatisfaction with public and nonprofit organizations stems less from disagreements over the ends of public service organizations than the means. Indeed public service leaders find increasingly that organizational adaptation and maintenance of support are among the toughest challenges they face. In order to deal effectively with these challenges, managers need to acquire knowledge and skills in strategic management. These include conceptual and leadership skills such as the ability to accurately read change in the external environment, define and redefine organizational purpose, handle the complex trade-offs between demand for services and resource constraints, maintain the commitment and productivity of employees, and guide the organization toward continuous improvement of service production and delivery systems to meet client needs. In other words, managers need deep knowledge of how to think, decide, and act strategically, both in organizational affairs and in matters affecting their capacity for leadership. Strategic Management aims to prepare current and future managers of public service organizations for leadership roles by focusing on the knowledge, skills, values and attitudes needed to manage public service organizations strategically. This course is required for all students in the Public and Nonprofit Program's management specialization. Course objectives. Upon completion of this course students are expected to have 1) a deeper understanding of the manager's role as leader, strategist, planner, designer of structure, and creative problem-solver, 2) a good understanding of systems and systemic thinking as key concepts for strategic management, 3) the ability to identify and analyze critical short term and long term issues confronting an organization and make recommendations for strategic solutions, 4) the ability to tailor strategy to promote its implementation, and 5) a good understanding of the role of leadership in achieving strategic change in public service organizations. Books and cases available for purchase: P11.2110 (002) Spring 09 Kevin P. Kearns, Private Sector Strategies for Social Sector Success: The Guide to Strategy and Planning for Public and Nonprofit Organizations, Jossey-Bass, 2000 Reading packet and Case packet available separately at Unique Copy Center (252A Green Street); other readings available on Blackboard (BB) as noted. Case packet includes: C16-88-856.0 -Finding Black Parents: One Church, One Child by Anna Warrock (Kennedy School of Government) C16-92-1155.0 - Meeting for a Need: Jerry Abramson and CIty Work in Louisville, Kentucky by David Kennedy (Kennedy School of Government) C18-95-1281.0 - Managing Change or Running to Catch Up: CARE USA and Its Mission in Thailand by Amy Tarr (Kennedy School of Government) 9-694-038 - Habitat for Humanity International by Gary Loveman and Andrew Slavitt (Harvard Business School) 9-303-007 - The Nature Conservancy by Allen Grossman (Harvard Business School) 9-302-124 - Oxfam America in 2002 by Reynold Levy (Harvard Business School) 9-301-037 - Jumpstart by Allen Grossman (Harvard Business School) Recommended Daniel Goleman, Richard Boyatzis, and Annie McKee, Primal Leadership: Learning to Lead with Emotional Intelligence, Harvard Business Press, 2004 J. Gregory Dees, Jed Emerson, and Peter Economy, Strategic Tools for Social Entrepreneurs: Enhancing the Performance of Your Enterprising Nonprofit, Wiley, 2002 Requirements: 1. Term paper. choose an organization to examine for your term paper; brief organizational overview (Due Feb. 9) . short paper (about 5 pages) providing a strategic assessment of your organization (Due March 30) . final paper (5-8 pages) examining the strategic issues facing the organization, alternative responses, and implementation barriers, including leadership issues (Due May 12) 2. Two short essays applying course concepts to experience (Due March 2 and May 4) 3. Active involvement in the class. Grading: Class involvement and participation: 10%. assessment paper: 20%. Final paper: 40%: Short essays: 30%. Strategic Overview of the Course INTRODUCTION 1 Introduction (Jan. 26) 2 Strategy: key concepts I (Feb. 2) 3 Strategy: key concepts II (Feb. 9) DEVELOPING AN ORGANIZATIONAL STRATEGY: ANALYSIS 4 Organizational purpose & strategic environment (Feb. 23) 5 Strategic assessment of the organization (March 2) 6 Developing new strategies (March 9) 7 Collaborative strategies (March 23) IMPLEMENTING STRATEGY 8 Redesigning work process for purpose and performance (March 30) 9 Engaging the workforce and stakeholders in strategic change (April 6) 10 In-Class Workshop (April 13) STRATEGY AND LEADERSHIP 11. 12. 13. Leadership and leadership competencies (April 20) Strategic leadership I (April 27) Strategic leadership II (May 4) COURSE TOPICS AND READINGS Part I. Introduction Session 1. Introduction to the course, instructional material, methods, and requirements Session 2. Strategy I: key concepts Key questions What is meant by strategy, strategic planning, strategic analysis, and strategic management? What are the varieties of strategic planning? How does strategic planning differ from strategic action? What are the main features of a strategic planning process? How applicable is strategic planning to public and nonprofit organizations? Required readings Kearns, 3-49 Henry Mintzberg, "The Fall and Rise of Strategic Planning," Harvard Business Review, Jan-Feb, 1994:107-114 (BB) Mark Moore, Creating Public Value: 57-76 Session 3 Strategy: key concepts II Key questions What is meant by the terms: systems, systems thinking, systems dynamics, mental models, shared vision, and team learning? What is their relevance to organization and strategic management? Required reading Robert Louis Flood, Rethinking the Fifth Discipline: 13-28, 79-97 Part II. Developing Organizational Strategy: Analysis Session 4. Organizational purpose & strategic environment Key questions What is meant by mandate, mission, and goal? How does an understanding of purpose relate to organizational change, strategy, and performance? Why is a thorough understanding of an organizational environment essential to strategic planning, thinking, and acting? Required readings Sharon Oster, Strategic Management for Nonprofit Organizations: 17-28 (BB) Kearns, 50-107 Michael E. Porter, “What Is Strategy?” Harvard Business Review (November-December, 1996): 61-78 (BB) Case: Habitat for Humanity International Session 5. Strategic assessment of the organization Key questions Of what value is an assessment of organizational strengths and weakness in strategic analysis? Why is assessment of technical and operational systems essential? What are the main tools for assessment? Required readings Kearns, 108-131, 218-240 J. Gregory Dees, et al., Strategic Tools for Social Entrepreneurs, 19-43 Case: The Nature Conservancy Session 6. Developing new strategies Key questions How do you move from analysis to strategies, policies, and programs? How do you develop creative, imaginative solutions to strategic problems? How do managerial behaviors influence the choices and outcomes? Required readings Kearns, 135-217 Case: Managing Change or Running to Catch Up? CARE USA and Its Mission in Thailand Session 7. Collaborative Strategies Key questions What factors have increased the need for strategic collaboration among public service organizations? What practices increase the likelihood that strategic collaboration will succeed? Required reading Kearns, 241-267 J. Gregory Dees, et al., Strategic Tools for Social Entrepreneurs, pp. 4569 Case: Finding Black Parents: One Church, One Child III. Implementing Strategy Session 8. Redesigning work process for purpose and performance Key questions How do the structural and design components of organizations offer opportunities for managerial influence and control? What are the main elements of design that are subject to managerial influence? What are the advantages and limitations of each? To what extent are the various elements of design substitutable? In what ways do they interrelate? Required readings Kearns, 271-316 Lawrence G. Grebiniak, Making Strategy Work: Leading Effective Execution and Change, Ch. 1 Robert S. Kaplan and David Norton, “Using the Balanced Scorecard as a Strategic Management System,” HBR, Jan-Feb., 1996: 75-85 (BB) Case: Jumpstart Session 9. Engaging the workforce and stakeholders in strategic change Key questions What do managers need to do to engage the work force in strategic change? How can the social system be effectively related to strategic goals? What are the critical obstacles that public service managers typically encounter in implementing strategic change? Which approaches to overcoming them hold the most promise? How do teambased solutions to these problems work, and why do they often succeed? Required readings Michael Beer and Russell A. Eisenstat, “The Silent Killers of Strategy Implementation and Learning,” Sloan Management Review, Summer 2000: 29-40 (BB) Case: Oxfam America in 2002 Session 10. In-class Workshop IV. Strategy and Leadership Session 11. Leadership and leadership competencies Key questions What are the requirements for successful leadership of strategic change? What impact does a manager's personal and interpersonal competencies have on his or her performance? Required Readings Daniel Goleman, “Leadership that Gets Results,” Harvard Business Review, MarchApril, 2000: 78-90 (BB) Case: Jerry Abramson and CityWork in Louisville Session 12 Strategic leadership I Key questions What are the main elements of influence and persuasion available to a manager and what are their limits? How do different styles of leadership affect individual and group performance? How do leaders affect performance standards and quality in their organizations? Required Reading Daniel Goleman, Richard Boyatzis, and Annie McKee, Primal Leadership, “Reality and the Ideal Vision: Giving Life to the Organization’s Future” (Ch. 10) and “Creating Sustainable Change” (Ch. 11) Session 13. Strategic leadership II Required reading Kearns, 317-325