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Chapter 9 Strategy Review, Evaluation, & Control ,[object Object],[object Object],[object Object],[object Object],[object Object]
Chapter Outline The Nature of Strategy Evaluation A Strategy-Evaluation Framework The Balanced Scorecard
Chapter Outline Published Sources of Strategy Evaluation Information Characteristics of an Effective  Evaluation System Contingency Planning
Chapter Outline ( cont’d ) Auditing 21 st  Century Challenges in  Strategic Management
[object Object],[object Object],Strategy Review
[object Object],[object Object],[object Object],Strategy Review, Evaluation & Control
[object Object],[object Object],[object Object],Strategy Evaluation, Review, & Control Strategy Evaluation
[object Object],[object Object],[object Object],Strategy Evaluation, Review & Control 3 Basic Activities
[object Object],[object Object],Strategy Evaluation, Review & Control Strategy Evaluation
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],[object Object],Appraisal of Strategic Performance
Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
Strategy Evaluation, Review & Control ,[object Object],Consistency
Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
Strategy Evaluation, Review & Control ,[object Object],Consonance
Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
Strategy Evaluation, Review & Control ,[object Object],Feasibility
Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
Strategy Evaluation, Review & Control ,[object Object],Advantage
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],Difficulties in Strategy Evaluation
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],Difficulties in Strategy Evaluation
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],Strategy Evaluation Should --
Strategy Evaluation, Review & Control ,[object Object],[object Object],Review of underlying bases of strategy --
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Review effectiveness of strategy --
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Review effectiveness of strategy --
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Monitor Strengths & Weaknesses; Opportunities & Threats
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],[object Object],Monitor Strengths & Weaknesses; Opportunities & Threats
Evaluation Framework Continue present course Differences? Differences? Yes NO Yes NO I.   Review Underlying Bases   II.  Measure Firm Performance III. Take  Corrective Actions
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Measuring Organizational Performance
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Quantitative Criteria for Strategy Evaluation
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Key Financial Ratios
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],Key Financial Ratios
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],Qualitative Evaluation of Strategy
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],Qualitative Evaluation of Strategy
[object Object],[object Object],[object Object],[object Object],[object Object],Strategy Evaluation, Review & Control Balanced Scorecard
Balanced Scorecard       2       1       Financial       2       1       Business Ethics/Natural Environment       2       1       Community/Social Responsibility       2       1       Operations/Processes       2       1       Managers/Employees       2       1       Customers Primary Responsibility Time Expectation Measure or Target Area of Objectives
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],[object Object],[object Object],Characteristics of strategy evaluation
Strategy-Evaluation Assessment Matrix Continue course Yes No No Corrective actions No Yes No Corrective actions Yes Yes No Corrective actions No No Yes Corrective actions Yes No Yes Corrective actions No Yes Yes Corrective actions Yes Yes Yes Corrective actions No No No Result Has the firm progressed satisfactorily toward achieving its stated objectives? Have major changes occurred in the firm’s external strategic position? Have major changes occurred in the firm’s internal strategic position?
Strategy Evaluation, Review & Control ,[object Object],Contingency Planning
Strategy Evaluation, Review & Control ,[object Object],[object Object],Auditing
Strategy Evaluation, Review & Control ,[object Object],[object Object],[object Object],21 st  Century Challenges in  Strategic Management
[object Object],For Review (Chapter 9) Advantage Contingency Plans Auditing Corporate Agility Feasibility Consonance Balanced Score Card Consistency
[object Object],For Review (Chapter 9) Management by Wandering Around Revised EFE Matrix Measuring  Organizational Performance Revised IFE Matrix Taking Corrective Action Reviewing Underlying Bases of Strategy Future Shock

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Strategy Review, Evaluation, and Control

  • 1.
  • 2. Chapter Outline The Nature of Strategy Evaluation A Strategy-Evaluation Framework The Balanced Scorecard
  • 3. Chapter Outline Published Sources of Strategy Evaluation Information Characteristics of an Effective Evaluation System Contingency Planning
  • 4. Chapter Outline ( cont’d ) Auditing 21 st Century Challenges in Strategic Management
  • 5.
  • 6.
  • 7.
  • 8.
  • 9.
  • 10.
  • 11. Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
  • 12.
  • 13. Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
  • 14.
  • 15. Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
  • 16.
  • 17. Strategy Evaluation, Review & Control Consonance Consistency Feasibility Advantage Rummelt’s 4 Criteria
  • 18.
  • 19.
  • 20.
  • 21.
  • 22.
  • 23.
  • 24.
  • 25.
  • 26.
  • 27. Evaluation Framework Continue present course Differences? Differences? Yes NO Yes NO I. Review Underlying Bases II. Measure Firm Performance III. Take Corrective Actions
  • 28.
  • 29.
  • 30.
  • 31.
  • 32.
  • 33.
  • 34.
  • 35. Balanced Scorecard       2       1       Financial       2       1       Business Ethics/Natural Environment       2       1       Community/Social Responsibility       2       1       Operations/Processes       2       1       Managers/Employees       2       1       Customers Primary Responsibility Time Expectation Measure or Target Area of Objectives
  • 36.
  • 37. Strategy-Evaluation Assessment Matrix Continue course Yes No No Corrective actions No Yes No Corrective actions Yes Yes No Corrective actions No No Yes Corrective actions Yes No Yes Corrective actions No Yes Yes Corrective actions Yes Yes Yes Corrective actions No No No Result Has the firm progressed satisfactorily toward achieving its stated objectives? Have major changes occurred in the firm’s external strategic position? Have major changes occurred in the firm’s internal strategic position?
  • 38.
  • 39.
  • 40.
  • 41.
  • 42.