Strategic Management
Session 1
Introduction & Overview
Ma, Shaozhuang PhD
ma.shaozhuang@iscte-iul.pt
Agenda
 Understand “you & me”;
 Course overview;
 Founding teams;
Contact Info.
 ma.shaozhuang@iscte-iul.pt
 Office: D4.25
Learning Objectives
 To understand strategic situation analysis, including
environmental and industrial analysis, stakeholders
and their influences on organizations and internal
analysis.
 To use rational approaches associated with the
identification and selection of strategic alternatives
to include core competencies and resource based
strategy, scale and non-scale strategies.
 To assess the issues and practices of implementing
chosen strategies.
Learning Objectives (continued)
 To have autonomy to plan your own learning
processes in order to deep your knowledge in this
area of study.
 To develop critical thinking (organizational and
personal perspective).
Why Strategic Management course?
 Integrate other business courses (capstone course
in business);
 Analyze complex business situations
 Develop problem solving skills
 Develop “strategic thinking”
 Personal Strategy
Strategic Management Process
External
Analysis
Mission
Strategic
Choice
Objectives
Internal
Analysis
Strategy
Implementation
Competitive
Advantage
Course Outline
Basic Concepts

Definitions;

Strategy process: formulation, implementation and control;
Strategy Formulation

Vision/Mission/Values;

Stakeholder Theory/Ethic/Social Responsibilities/Sustainability;

Firm Internal Analysis (resource-based view/dynamic capabilities/organizational ambidexterity);

Environment analyses (general environment/industry);

SWOTi:
Choice of Strategy

Business strategies (cost leadership/differentiation/focus);

Corporate strategies (integration/diversification/alliances/internationalization);
Strategy Implementation

Short term goals/restructuring/reward systems/empowerment;

Leadership and organizational culture;
Strategic Control

Different types of strategic control;

Balanced Scorecard;
Corporate Governance

The Anglo-American Model;

The German-Japanese Model;
Work Hours




Classes– 54 hours/semester
Autonomous works – 95 hours/semester
Tutorial orientation – 1 hours/semester
Total work hours=150 hours/semester
Course Assessment
 Optional 1) Continuous Assessment:
1. Exam - 50%
2. Group case and presentation: 50%




Current Topic on Strategy (McKinsey Insights): 10%
Current Topic on Strategy (Podcast – HBR ideacast): 10%
Case Study Milestone 1: 15%
Case Study Milestone 2: 15%
Course Assessment
 2) Should a student not choose continuous
assessment, or opt out of it, she/he can carry out
the final exam (in either exam period – 1st or 2nd),
in which case it will account for 100% of her/his
grade.
 Final Exam (end of term exam): approval with 10 or
more (0-20)
Our Roles
 Instructor’s role: facilitator/guide/counselor
1. I will lecture and guide you based on research and
experience;
 Student’s role: active learner
1. You should draw on your experience and reflect;
2. You should observe relate course knowledge with
business practic;
3. You will learn more than I teach you;
Course Requirement
 Reading before class;
 Arriving on time and staying for the whole class;
 Agree to disagree;
 Be professional;
Learning Process
1
Lecture
• Leaning from
teacher
2
Group Minicase
Discussion
• Learn from
group members
3
Group
Presentation
• Learn from
other groups
4
Comments
• Reflect and
Intergrate
Challenges
 36 theoretical classes like puzzle pieces
(patience/commitment);
 Limited business experience and knowlege
(extensive reading/learning from classmates);
 Group works (teamwork);
Founding Teams




Teams of 5 persons
Diverse cultural background
Shared common interests
Complimentary skills
Milestone
Date
Focus of Group Work
1st presentation
Week 4 (early October)
McKinsey Insights
2nd presentation
(Milestone)
Week 6 (Mid October)
Internal and External
Analyses
3rd presentation
Week 10 (Mid
November)
Podcast
4th presentation
(Milestone 4)
Week 12 (Late
November)
Strategic Choice (business
& corporate strategy)
BUSINESS STRATEGY CASES
 The case should be presented by choosing one company that
serve as an example to objectively materialize the theme and
concretize the underlying theoretical matter.
 The case should cover the mandatory points for each theme,
however, it should not be limited to these, and should cover
complementary points that allow its understanding.
 The presentation of each case lasts for up to two classes.
 The dynamics of the class is a decision of the working group,
and the interaction with colleagues is privileged.
 The working group should make available presentation slides
to the entire class at least 24 hours in advance of the
presentation.
Thank You
(XIE XIE)
Strategic Management
Session 2
Strategy & Success
Ma, Shaozhuang PhD
ma.shaozhuang@iscte-iul.pt
Agenda
 What is strategy?
 Why does strategy matter?
 Case-discussion;
What is STRATEGY?
Strategy
 Originated from Greek verb “stratego”, meaning
“to plan the destruction of one’s enemies through
effective use of resources”;
 “Art of War” by Sun Tzu, first book about
strategy;
Excerpts from The Art of War
 War is a matter of vital importance to the state: a
matter of life or death, the road either to survival
or ruin. Hence, it is imperative that it be studied
thoroughly;
兵者，国之大事，生死之地，存亡之道，不可不察也。
 Know your enemy and know yourself, and in a
hundred battles you will never be defeated;
知己知彼 百战不殆
Excerpts from The Art of War
Rules
(Fa-法)
Mission
(Dao-道)
Leadership
(Jiang-将)
Environment
(Tian-天)
Battle Field
(Industry)
(Di-地)
Business and Military Strategy
 Similarity
◼ Both business and military strategies are designed
to win against competitors;
◼ Both business and military organizations must
adapt to change and constantly improve;
 Difference
◼ Business strategy assumes competition;
◼ Military strategy assumes conflict;
The Strategic Questions
What are our business?
Where are you now?
Where do we want to go?
How are we going to get there?
Strategic Management
Session 3
Basic Concept:
from positioning to movement
Ma, Shaozhuang PhD
ma.shaozhuang@iscte-iul.pt
Defining Strategy
Peter F. Drucker
(1909 – 2005)
Alfred D .Chandler
(1918 – 2007)
Defining Strategy
Kenneth R. Andrews
(1916 – 2005)
H. Igor Ansoff
(1918 – 2002)
Convergence and Divergence
 The inseparability of the organization and its
environment
 Strategy as long term and important aspect of the
organization's future
 Strategy as related to results - competitive
advantage
Convergence and Divergence
 Strategic Decisions Are important
 Involve a significant commitment of resources
 Are not easily reversible
The Firm-Environment Link
Objectives & Values
Resources &
Capabilities
Structure & Systems
Strategy
Competitors
Consumers
Suppliers
Three Characteristics of Strategy
 Effectiveness vs. Efficiency: Do the RIGHT thing
rather than do thing right;
 Long-term oriented;
 Comprehensiveness (think big)
Strategy as
 A decision support-improve decision-making;
 A process for coordinating and communicating –
creates consistency and internal unity;
 A target – improve performance;
Evolution of Strategic Management
Evolution of Strategic Management
Levels of Strategy
Corporate Strategy
(Plan for multibusiness Co.)
■ Business domain choices, capturing synergies
across businesses, allocating resources
between businesses.
Business Strategy
(Plan for a single
business)
■ Business domain navigation, build
& strengthen the Co.’s long term
competitive position
Functional Strategy
(Plan for a function or
department)
■Support of the business strategy
Strategy for Success
 Simple, consistent and long term objectives, agreed
on by all;
 A deep understanding of the competitive
environment;
 An objective assessment of resources;
 Efficient implementation;
Strategic Management Process
But does strategy change after it is made?
External
Analysis
Mission
Strategic
Choice
Objectives
Internal
Analysis
Strategy
Implementation
Competitive
Advantage
Mintzberg’s Five Ps
Position
Perspective
Plan
Strategy
Ploy
Pattern
Mintzberg’s Five Ps (Continued)
Plan
A consciously intended course of action, a guideline to deal with
a situation. “Made in advance of actions”;
“Developed consciously and purposefully”.
Ploy
A “maneuver” intended to outwit an opponent
or competitor and so on.
Pattern
A stream of actions. “consistency in behavior”.
Position
Locating an organization in the external environment.
“matching the organization’s resources with opportunity
in the environment”
Perspective
How (people of ) the organization perceive the world.
“Culture, ideology and shared values”,“world view”,
character of organization”.
Strategy and Tactics
 Strategy is the general plan to allocate resources in
order to obtain a favorable position in the
competition;
 Tactics are more specific and short term;
Deliberate Strategy & Emergent Strategy
What’s the difference?
◼ deliberate strategy – realised as intended strategy
◼ emergent strategy – patterns of consistencies
realised in the absence of intention: a set of certain
consistent actions that form an unintended pattern
that was not initially anticipated or intended in the
initial planning phase
◼ The difference being intention.
Mintzberg, H. and Water, J. A.
1985:257-272
Pure Theory
Pure Emergent
Pure Intended
To be deliberate:
To be emergent:
Precise and clear intentions,
before action is taken.
The complete absence of
intention. There must be no
strategy, not just an
unrealised strategy.
Shared vision, common to
all actors.
Outcome must be realised
as intended.
Most organisations are somewhere on the continuum.
Mintzberg, H. and Water, J. A.
1985:257-272
Thank You
(XIE XIE)