Chapters Overview

A taster of some of the topics covered in the first three chapters. Buy the book to discover the remaining 16 chapters!

Chapter 1

Chapter 1 explores the intricacies of strategic planning, discussing its advantages, such as improved fit with the environment in which it operates and optimal resource utilisation and disadvantages like being time-consuming and potentially inflexible. The chapter also presents the three-stage planning process developed by Johnson, Scholes, and Whittington, comprising strategic analysis, strategic choice, and implementation. Furthermore, the concept of strategic drift is introduced, detailing its four phases and strategies to avoid it.

Chapter 2

Chapter 2 introduces several fundamental strategic concepts and frameworks, including PESTEL analysis for evaluating external environments and Porter's Five Forces Analysis for assessing competitive landscapes. The chapter also touches upon Porter's Diamond for potential foreign market expansion, the strategic capabilities model for understanding an organisation's adaptability, and the value chain analysis to determine competitive advantages. The widely used SWOT analysis is also presented as a tool to gauge an organisation's strategic position.

Chapter 3

Chapter 3 focuses on performance analysis, starting with the importance of quantitative analysis using numerical data, such as financial ratios and non-financial data. The chapter also introduces benchmarking, a tool to compare an organisation's performance against peers or best practices within different industries. The Baldridge Performance Excellence model is presented as a comprehensive framework for evaluating and enhancing organisational performance across seven critical stages, from leadership to results.