0000035620 00000 n The media is undergoing rapid and significant change. any business to grow and prosper, managers of the business must be able to anticipate, recognise and deal with change in the internal and external environment. During the operational and implementation phase, a strategic thinking organization will ensure that the higher level strategic direction cascades throughout the day-to-day decision making at all levels. Yet strategic management is not a pure science that lends itself to a nice, neat, one-two-three approach. The availability of equipment is another asset that can significantly impact on the internal environment. Intuitive thinking is just that: thoughts that arise from the back of your mind because the situation you are dealing with has something in common with your past experience. 0000012214 00000 n From intuitive thinking on the other hand, it takes a creative approach to creating solutions. 0000052554 00000 n Examine how the map of social networks can be used to introduce creative solutions to a particular problem in a community using intuitive thinking HUMSS_MCT12- Ic-e-6 3. Prof Evander. 0000059891 00000 n Aspire President John F. Kennedy’s bold aspiration, in 1962, to “go to the moon in this decade” motivated a nation to unprecedented levels of innovation. To some extent, the internal environment is controllable and changeable through planning and management processes. Strategic Analysis is a core step in the Strategic Learning Cycle. Copyright and Disclaimer | About the author Leo Isaac | Email Webmaster, Strategic and Operational Planning Templates, The knowledge, experience and capability of an organisation's 0000059344 00000 n To analyse the company I used PESTLE and SWOT analysis. Grades 1 to 12 DAILY LESSON PLAN School Grade Level 12 Teacher Learning Area Trends, Networks and Critical Thinking in the 21 st Century Culture Teaching Dates and Time Week 4 Days 1 – 4 Quarter First Day 1 Day 2 Day 3 Day 4 I. Analysis revealed that the #1 cause of bankruptcy in nearly 50% of the cases was bad strategy. The intuitive approach works better in that case because relying on accumulated experience and intuitive pattern recognition spares one the high costs of rational analysis. %PDF-1.6 %���� Porter's Five Forces Framework is a method for analysing competition of a business. For example, a sport club which once prospered can begin to decline as the local area has less and less children. startxref Increase experiences - Try new things. Typically, strategic analysis involves a review of internal strengths and weaknesses as well as factors in the external environmental that could affect business. For any business to grow and prosper, managers of the business must be able to anticipate, recognise and deal with change in the internal and external environment. Differentiate key components in strategic analysis and intuitive thinking HUMSS_MCT12- Ic-e-5 6. 0000052304 00000 n Top Experts. Not only will competitors come and go, but they will also change marketing strategies, product lines and prices. 0000006557 00000 n For this reason, organisations pay particular attention to the, The culture within the organisation is a very important factor in business success. 0000012190 00000 n Listed below are some commonly used strategic analysis tools you can use for your business. Definitions of Strategic Thinking Mintzberg: Strategic Thinking is a mental synthesis process creating an integrated view of the business in mind, through creativity and intuition. A strategic group analysis allows an organization to begin assessing their industry and the various marketplaces where they are active. Strategic-thinking in the workplace is the ability to make business decisions by analyzing current and future scenarios. 0000004054 00000 n Hence, MOST analysis is a clear way to understand an organization on its ability and purpose. may be impeded by their structure. Shifts in thinking and the dynamics of solving problems enable the company to identify new pain points, let old pain points go, and promote a better value statement that encourages consumer protection. plan of actions taken by managers to achieve the company’s overall goal and other subsidiary goals ��A� 5li� Strategic analysis is the use of various tools to prepare business strategies by evaluating the opportunities and challenges faced by the company as it moves forward. 959����BNMN!�&��S�Sȩ�)���rjr It does not follow a prescribed set of analytical steps, but draws on observed indicators and trends from the internal and external organisation environment to reach strategic decisions. Differentiate key components in strategic analysis and intuitive thinking HUMSS_MCT12- Ic-e-5 6. of cash to implement strategies within the strategic plan. Previous studies mentioned that strategic thinking as the kind of thinking process that shapes and clarifies the present and future strategic outline of an organization such as its present position, values, strategy, mission, as well as vision. Financial OBJECTIVES A. �2,.��1����ۆ�@���9 m�&`|l����aX�����������A�Us*W������v���b��>gi.�KT7s�(\��Qg�$��a�����K�Щ,`W�t(FD�:K�1��@ � �ɛ? I started by talking about the E-commerce and a brief history of Amazon. It means anticipating opportunities and challenges and utilizing that knowledge to guide the organization. Strategic analysis is a process that involves researching an organization’s business environment within which it operates. Most of the time, it goes against whatever we might think of as “rational”. Learn about SWOT Analysis and its role in internal strategic analysis and PESTLE Analysis and its role in external strategic analysis. It draws from industrial organization (IO) economics to derive five forces that determine the competitive intensity and, therefore, the attractiveness (or lack thereof) of an industry in terms of its profitability. An effective planning process requires really good strategic thinking abilities and qualities. All businesses have an internal and external environment. 1. Problem solving strategies include, but are not limited to brain storming, cost benefit analysis, written remediation plans, and an examination of possible choices (Wester, Christianson, Fouad, & Santiago-Rivera, 2008). Strategic Leadership and the Macro Environment Analysis Once you have grasped an understanding of the macro environmental analysis you will be continually scanning for information about macro factors activities such as watching or reading the news, reading management magazines and when in conversation with other industry leaders will all lead to a greater understanding of the macro … Use intuitive thinking in dealing with varied activities HUMSS_MCT12- Ic-e-4 5. <]>> 0000028321 00000 n Every strategist should have a toolset of analytical models at his or her disposal. It's not just that technological change affects the design of products, but even the delivery of services can change. 0000010461 00000 n This essay is based on the study of Amazon.com. 0000005773 00000 n Strategic analysis is essential to formulate strategic planning for decision making and smooth working of that organization. Strategic Analysis Tools. That process is strategic planning. 0000052060 00000 n �\��F�u��Gw�p�Z#Ⱥ��3�y,�Vc�Ј �0 Intuive thinking is an unconscious process for rapid action, judgment, and decisions. 0000017546 00000 n 0000004784 00000 n For Components of strategic thought and action In simple terms, strategic thinking and/or planning consists of three phases that in interest rates and/or a high level of unemployment will depress consumption of non-essential goods and services. Accuracy, security and transferring: Intuition and analysis are viable part of strategic decision making process in the form of developing accuracy, security and transferring the data from one level to other level of management. [3] Buchanan and O’Connell cited some famous statements related to intuition (Buchanan – O’Connell, 2006): “Pragmatists act on … Use intuitive thinking in dealing with varied activities HUMSS_MCT12- Ic-e-4 5. Porter’s 5 forces framework is used for strategic industry analysis. Divergent and Convergent thinking skills are both “critical thinking” skills. In most instances, the avoidable situations resulted from poor initial strategies and not incompetent execution. xref Financial ratios are used to analyse the company’s financial position and financial performance. Henry Mintzberg explains that strategic thinking calls for creativity and synthesis and this is better served by intuition than to analysis (Mintzberg – Westley, 2001). Before you can even start formulating a strategic analysis report, you first need to create a strategic analysis. All businesses have an … marry is increasing, increasing ethnic diversity, suburbs which Strategic thinkers translate a company’s vision into doable actions. Long range planning results in 5-7 major strategic objectives that will become the focus for the next several years. Every strategist should have a toolset of analytical models at his or her disposal. Just as it is critical for the strategic thinking phase to be intuitive, it is critical for the long range planning phase to be analytical, rich in facts and figures, and detailed. increasing number of two-income families, the age at which people Patterns develop from experiences. Learn through repetition in different environments - Repetition in different emotional environments will help improve the consistency of intuitive decision making. 0000002453 00000 n Strategic Analysis Tools Topic Gateway Series 4 Context In the current CIMA syllabus, students will study and may be examined on strategic analysis tools as part of the Management Level Paper 5, Integrated Management. Some external environmental factors such as economic conditions are reported daily in the media and managers have a wealth of information on which to develop strategic plans. 0000000016 00000 n I would say that the main difference between intuitive and analytical thinking is that intuitive thinking involves the subconscious mind and analytical thinking involves the conscious mind and secondly that intuitive thinking involves the feelings where analytical thinking may not, as sometimes to be truly analytical or strategic may require the need to put the emotional element to one side so as not to cloud … 0000051992 00000 n On the other hand, the intuitive style of thinking is driven more by gut-feel and confidence derived from experience. STRATEGIC ANALYSIS AND INTUITIVE THINKING STRATEGIC ANALYSIS is the process of examining, using one’s rationality or reason, the organizations surroundings and resources, and how they relate with each other to formulate a strategy to meet objectives and improve performance. Analytical thinking and intuitive thinking complement each other.” Businesses that depend directly on a good supply of water e.g. If you google around the web, you will find a long list of options available. Also learn about Strategic Analysis and its role in Market Research and their strengths and weaknesses. are global as well as national, and when there is a global financial crisis as in 2007, changes in the external environment can be dramatic. 0000044460 00000 n Companies hire employees with a strategic mindset to help achieve long-term business goals. Critical thinking refers to the process of actively analyzing, synthesizing, and/or evaluating and reflecting on information gathered from observation, experience, or communication and … 0000011181 00000 n 0000009758 00000 n The strength of business competition is a constantly changing factor in the external business environment. There it is drawn from facts, data, and instructions at hand Strategic Analysis is a core step in the Strategic Learning Cycle. It’s entirely about signs and sensations. 40 52 What is Strategic Analysis? is constant change in the make-up of the population. 0000008290 00000 n }:��t�i��ѧ�OO�"���Cd!�Y�. 0000008976 00000 n However, there are many techniques and tools available for strategy analysis. Ultimately strategic thinking and analysis lead to a clear set of goals, plans, and new ideas required to survive and thrive in a competitive, changing environment. 0000009782 00000 n 0000051332 00000 n Prevailing economic conditions of the nation will have an effect on the spending patterns of citizens. agriculture, field sports will be adversely effected if climate change results in reduced rainfall. Together, heuristics and factors influencing decision making are a significant aspect of critical thinking (West, Toplak, & Stanovich, 2008). The experience and beliefs of the leader, the demands (or lack of) from the community, and the level of impact of a decision are some of the contextual factors that leaders consider when determining which decision-making approach to utilize (Khakheli & Morchiladze, 2015). STRATEGIC ANALYSIS AND INTUITIVE THINKING STRATEGIC ANALYSIS is the process of examining, using one’s rationality or reason, the organizations surroundings and resources, and how they relate with each other to formulate a strategy to meet objectives and improve performance. 0000027221 00000 n Often such changes are not heralded and business managers must be alert as to what competitors are doing. There’s no language involved in it, either. Analysis was found to be an appropriate strategy for more experienced individuals, whereas novices scored best when they took a holistic, intuitive perspective. Increases On a management and leadership level, strategy thinking is the main part of the strategic planning process which involves a wide range of activities such as goals settings, task delegation, developing plans, decision making, analyzing environment, and much more. Finally I conclude the essay by giving my suggestions about the … When there is a change of government, such funding assistance can disappear in a short space of time. Similar effects of strategy were found when strategy instruction was manipulated and when participants were compared on the basis of strategy preference. 91 0 obj<>stream 0000014898 00000 n In a sense, the strategic-management process is an attempt both to duplicate what goes on in the mind of a brilliant, intuitive person who knows the business and to couple it with analysis. Solving problems holidays, new cars and luxury goods what factors shape intuitive thinking and strategic analysis decisions are strategic and have,... And understand the bigger picture even as team members focus on the basis of strategy preference planning and management.... 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