Corporate Strategy
Cost reductions that flow from operating in multiple related businesses.
Economies of scope
These are the three key aspects of building an organization capable of good strategy execution
staffing the organization, building core competencies and competitive capabilities, and structuring the organization and work effort.
This practice entails identifying companies that are the best performers of an activity and then adapting their practices to fit the company's own specific circumstances and operating requirements.
benchmarking/best practices
This is the only legitimate means for justifying diversification.
Enhancing shareholder value
These are the 3 approaches to building and/or strengthening capabilities.
Develop internally, acquire through M&A, access through partnerships
This management practice entails creating a total quality culture that strives for continuously improving the performance of every value chain activity and is driven by a philosophy of managing a set of business practices: 100 percent accuracy in performing tasks (zero defects), involvement and empowerment of employees at all levels, team-based work design, benchmarking, and total customer satisfaction.
Total quality management (TQM)
Businesses that have dissimilar value chains and resource requirements with no competitively important cross-business commonalities at the value chain level.
Unrelated businesses
This comprises the formal and informal arrangement of tasks, responsibilities, lines of authority, and reporting relationships for the firm.
Organizational Structure
This practice involves radically redesigning and streamlining work effort, flows and processes to achieve dramatic improvements in performance.
Business process reengineering
These are the three tests for judging whether a particular diversification move can create value for shareholders.
attractiveness test, the cost of entry test, and the better-off test
These are often considered the two best indicators of strategy execution.
(1) meeting or beating its performance targets and (2) performing value chain activities in a way that is efficient/effective
This management practice utilizes statistical methods to improve quality by reducing defects and variability in business processes.
Six Sigma
This matrix is useful for helping decide which businesses should have high, average, and low priorities in deploying corporate resources.
Nine-cell industry attractiveness matrix
The process of developing the ability to do something, however imperfectly or inefficiently, and molding these efforts into an organizational ability.
Capability Building
These help to channel individual and group efforts along a strategy-supportive path.
Policies and procedures