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The Use of Stratsim Management in Practice for Devising Business Strategies - Assignment Example

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"The Use of Stratsim Management in Practice for Devising Business Strategies" paper depicts that StratSim Management ensures a dynamic learning scenario for people in a particular business organization that helps the same in dealing with scenarios of challenges faced by a business unit in any sector…
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The Use of Stratsim Management in Practice for Devising Business Strategies
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Innovation Table of Contents Part 3 Part 2 5 Question 6 Introduction 6 Differentiable Value in an Organization 7 Synergy between Strategy and Innovation: Link amid the Two Aspects 8 Conclusion 16 References 18 Part 1 Strategies are deemed to be quite crucial in the present day business domain owing to the aspect that helps companies to accomplish the desired objectives for both the short-term and the long-term operations of the business units. In this regard, the StratSim management prospect can be taken into consideration, which helps in ensuring better management of business strategies. From a personal perspective with regard to the use of StratSim management, it can be noted that it is a vital tool in practice for devising business strategies (Adekola & Sergi, 2007). From personal experiences and understanding gained regarding the use of this particular tool, it can be also depicted that StratSim Management ensures a dynamic learning scenario for people within a particular business organization that helps the same in dealing with various scenarios of challenges faced by a particular business unit in any sector. As per my personal experience with the use of this tool, an individual needs to ensure proper management of the objectives, so that desired results can be attained from the use of the tool. Some of the most prominent use of StratSim in the present day management domain includes formulation of business strategies, development of products and services, execution of the marketing activities of business and financial decision making among others. While my association with Vauxhall Motors in the process of using StratSim, I was able to identify some key strengths and weaknesses for the overall business. As per my StratSim experience, the strengths of the company mainly include its appreciative brand image within the automobile sector. Furthermore, innovative approach of the company within its operations can also be regarded as strength to an extent. The extensiveness of the operations of the company in the global automobile industry can be also regarded as strength of the business to a considerable extent. There were also certain weaknesses for the business, which must be also discussed significantly. The company has been dealing with problems of lack of growth and sustainable decision making in the global automobile industry. There is also a lack of product differentiation within the operations, which is also hampering the business positioning of the company to an extent and hence, they can be asserted as weaknesses for the same in the long run. The above mentioned weaknesses or challenges identified within the operations of the company can be mitigated with the help of effective strategies under the domain of strategic decision making of the business. With the help of StratSim management, the company may be able to ensure the deliverance of better decision making both in the short-term and long-term operations. It has been comprehended that with the use of effective decision making approach, focus would be levied upon ensuring quality and quantity in the most efficient manner within the workplace. These challenges faced by the business needs to be dealt in a systematic manner with the help of the approach of StratSim management. Part 2 The Lego Mindstorms auto convoy challenge is a particular challenge that is used as a program for enhancing abilities of individuals with regard to any particular aspect. Similar to that of many other programs and challenges prevailing within Lego, the auto convoy challenge is deemed to be quite crucial to a considerable extent altogether. It has been comprehended that the program has been especially designed with the intention to understand the importance of innovativeness within any particular business domain. During my participation with the program, certain specific performance related aspects has been underpinned within the team. It has been learnt that the auto convoy has been able to create different range of complicated situations where any particular team needs to depict their potential skills and abilities to deal with the same especially with regard to creativity and product design within the automobile sector. It must be mentioned that the automobile sector has developed significantly in the recent years owing to the advancement of technology along with the changing nature of the demands and preferences of the customers at large. Such programs that are being initiated by Lego are effective in ensuring the enhancement of skills and abilities of individuals towards the development of effective teams overall. Correspondingly, there are certain specific benefits that the program has ensured for the overall team. This improvement can be in the form of enhancing the abilities of the team members towards meeting the desired level of expectations of the customers in the automobile sector. Furthermore, during the association of my team with the program, significant transformation has been achieved towards enhancing the skills of the member in designing automobile products. However, complexity associated with the event or the program has been one of the aspects that have hindered the positive experiences of the event to an extent. There are certain specific experiences gained from the program that will help the team in the long run. One of the better experiences gained from the program is relevant with the aspect of behaviroal improvement amid the team members with regard to their work. Post out association with the program, the team members has become more concerned and dedicated towards their job requisites in terms of ensuring innovation in products and service design within the workplace. Contextually, improvement has been also observed within the domain of efficiency of the team members. Since, the program has ensured improvement of skills and abilities of the team members, their level of efficiency has also augmented to a considerable extent altogether. In addition to that, the experience gained by the team regarding team or collaborative work has been also potentially advantageous to a considerable extent. Hence, it can be concluded that these experience acquired from the program will certainly enhance the abilities of the individuals within the team in the long run. Question 1 Introduction In the present day business context, gaining operational effectiveness and long term business sustainability has become quite challenging for the companies owing to the immensely competitive business environment. In order to attain the desired results within the operations, companies seek to ensure efficiencies in each of the business domains collectively, so that the objectives or short-term and long-term goals of the same could be attained. Correspondingly, it must be mentioned that there are various functions of any business unit, effective execution of which will ensure better results for the overall operations of the concern at large. However, effective execution of the operational functions of any business is largely dependent on the strategic decisions formulated by the same. Strategies can be regarded as a particular approach of the companies towards determining the best possible manner in which the work or the activities of the unit can be executed in accordance with the mission and vision of a company. Effective strategic decision making is among the integral parts of present day business units and the success of any particular business is largely dependent on this particular aspect (Sadler, 2003). It has been noted that with the changing context of the business world, formulation of effective strategies has become largely aligned with various others aspects of the unit. Correspondingly, it is believed that in the present day business scenario, strategies are directly related or inclined with the aspect of innovation within the business. It is identified that the two aspects i.e. strategy and innovation are interlinked with one another. Great or innovative ideas often lead to the formulation of effective strategies that can further lead to maximum success for any particular business operating in the global environment. With the existence of an innovative or creative mind-frame, companies could be able to ensure the development of strategies that can prove to be beneficial towards meeting the ever-changing perceptions of the customers with regard to their choice of products and/or services (Masstricht University, 2015). In this particular section of the study, focus would be levied upon understanding the existence of differentiable values in the present day business context. The paper will also aim at determining the synergic link amid innovation and strategies in the present day business environment. Differentiable Value in an Organization In the present complex and challenging business environment, it has become important for companies to create a diverse reputation for themselves within the marketplace, so that they can ensure sustainability and competitive advantage for themselves in the long run. In this context, creation of value within a business has become quite important, so that maximum attention of the customers and investors can be acquired. Creating value within any particular business can be aligned with the aspect that business units seeks to develop themselves as a leader within the marketplace by the execution of the business activities in the most legal and ethical manner altogether. Contextually, business units need to leverage each of its short-term and long-term opportunities to attain sustainability and competitive advantage in a considerable manner altogether. Creating value within the business also means that any particular company need to develop themselves as a creator of innovation rather than following the preconceived paths of others at large. This aspect can be precisely stated as a particular approach of the companies where they need to target both short-term benefits and long-term profitability. It can be depicted that creation of value within any particular business can be in the form of enhancing innovation and creativity within the workplace, so that desired results can be attained (Sheffield Hallam University, n.d.). This is quite a positive aspect that companies needs to assure in order to create value for the unit in the long run. It has been learnt that strategies and innovation are closely linked with one another since the effectiveness of the same is dependent on the efficiency of the other. Hence, in order to survive for a longer duration within the global marketplace, companies need to align innovation and strategic decision making collaboratively in the most efficient manner altogether (Sadler, 2003). This aspect may also act as an effective step towards determining maximum value creation for business unit operating in any particular sector. Synergy between Strategy and Innovation: Link amid the Two Aspects Strategy and innovation has become the core as well as integral components for the success of any business in the present day scenario. It is believed that business units are mainly determined towards ensuring a better business performance in the long run with the creation of value at large. The future goals of any particular business that determines its long-term approach and market positioning are based on strategy and innovation. It has been noted that strategies are among the most secret part of any particular business irrespective of the domain the companies operates in. This is because of the fact that any particular strategy is designed especially with the intention of providing an upper edge for a particular brand against it rivals in similar marketplace. Thus, it is crucial that maximum levels of secrecy are being practiced in this context. It has been also noted that the abilities and capacities of any particular company with regard to its strategic innovative approach are often regarded as one of the major approaches that can ensure companies to obtain the necessary competitive advantage within any particular business sector. However, strategic competitiveness for any particular business may not always lead to maximum innovation within the workplace (Dobni, 2010). Innovation is an important part for the operations of the companies in the present day business environment. It is integrally associated with the overall performance of the business in a considerable manner altogether. It is often been argued that the importance of innovation in any particular business can be comprehended from the fact that it acts as a catalyst that can steer the level of profitability and growth of a business in a positive manner. Innovation in the companies largely determines their ability to ensure long-term sustainability and competitive advantages with regard to the changing business environment. With proper management of innovation within the workplace, organizations could be able to develop a learning environment where knowledge sharing would be deeply embedded. This aspect can be justified from the fact that effective management of resources within the workplace will certainly influence the ratio of profitability to an extent. This is a reason of higher sales and expansion of customer base that results from effective and innovative ideas that are implemented for the betterment of an organization at large. It is often argued that innovation is among the topmost agendas for business units towards attaining maximum business success. Researchers and experts in this particular domain of study have affirmed that the aspect of innovation can be linked directly with the concept of strategic management (Hill & Jones, 2012). Organizations usually aligns strategic management with innovation especially to manage various aspects of business including resource management, idea management and technology management in an efficient manner altogether. Owing to the fact that innovation management is important for business operations and its success, companies are seeking to ensure the best possible combination that can enable a strategic and innovative environment within the workplace (Dobni, 2010). The quest for creativity within any particular business can also be justified from the fact that it has various direct advantages for the operations of a company. Notably an innovative company will be able to assure better brand image when compared to others, which further helps the same in developing a better and sustainable market positioning. There are certain specific performance related aspects of any particular business in various sectors that are uniquely aligned with the same, since they are considered to be less relevant to companies following traditional norms and approaches. The scope of sustainability for such business concerns can be comprehended from the fact that an innovative company will be able to meet the ever changing demands of the customers, while for other business unit, as this aspect is less prevalent (Hill & Jones, 2012). However, it is evident that being innovative in approach is though quite beneficial for business units, but at the same time, it is also quite complex in nature. In order to ensure effectiveness in innovation relating to product design and other operational aspects, management of business units are also required to align the same with strategic aim and objective of the unit both in the short and the long run operations. This makes the process even more complex and challenging to follow. However, in order to sustain and remain in competition, it is crucial for companies to promote innovation in the workplace and prioritize it as an important business function. This aspect will also influence the market presence and overall share of the same within a business in a comprehensive manner. This aspect can be well supported from the aspect that promotion of utmost innovativeness within the workplace ensures a competitive differentiation for the business units along with assuring an added value for the overall operational activities in a considerable manner (Dobni, 2010). Contextually, companies must ensure allocation of maximum investment and financial resource with regard to steer or promote workplace innovation. It has been comprehended that innovation and strategy are interlinked with each other one way or the other since the change in the one, will influence the other in a significant manner and vice versa. However, it has been argued that there are certain specific factors, which can determine that strategy and innovation have little resemblance with one another. It has been depicted that both the concepts have different meaning and significance and hence, the two could not be regarded as synonymous to one another. At the same time, innovation can be regarded as an approach of the companies that co-exists during the execution of the strategies of a business. Business strategies are primarily framed with the intention of ensuring effective completion of the day-to-day work, so that overall objectives could be accomplished. Strategies are adopted with the aim of accomplishing the predetermined business vision and mission by ensuring optimum utilisation of the business resources in concern (Lewinski, 2010). However, the lack of relation between innovation and strategy can be justified from the fact that innovation is not achieved or promoted through the developed business objectives rather they are achieved through optimization and internalization of the business activities. This particular aspect further depicts that both the aspects are different from one another in terms of their content and context. These differences amid the two aspects can be comprehended on the basis of certain specific factors. Notably, innovation is a particular concept within any sector that can be regarded as highly unpredictable. It is developed on the basis of the demands of the situations rather than to be determined on the basis of planned aspects. In general, the premise of innovation is set on the basis of market orientation where values of a business are created on the basis of the present opportunities acquired from a particular marketplace. On the other hand, strategies in any business are designed in accordance with the day-to-day activities and needs of the unit. Strategies are often regarded as a guided approach used for the purpose of designing the general attempt a business will seek to make towards attaining it short and long term goals. It is a particular aspect that could not be regarded as unpredictable rather it can be depicted as a planned approach taken for the betterment of the overall business and the people associated with it at large. The second factor that depicts the indifference between innovation and strategy is with regard to the mechanism associated with the formulation of the same (Dobni, 2010). Notably, strategies are formulated in the presence of proper planning and control regarding budgets, operational activities, resource management and scheduling of the work among others, which are deemed to be quite different aspects when compared to innovation. This can be justified from the aspect that innovation is a process that can be executed for any particular domain without any specific time limit or set schedule. It is a random process that involves less prevalence of planning and control. The difference amid the two aspects can be also determined from the fact that the process of formulation of business strategies is largely analytical s it is being formulated based upon the past experiences and future expectations of the company in any particular market located globally or domestically. In a similar regard, it can be also depicted that strategies often tend to be influenced from the operations of a business of the competitors. There exists a possibility where a strategy can be regarded as a new aspect or a copy approach from the rivals. On the other hand, innovation is a particular concept that has little resemblance with the policies and approaches of the competitors rather it needs to be a completely new approach or aspects altogether (Tushman & Anderson, 2004). Hence, it is quite apparent that both the concepts including innovation and strategies within any business has their own characteristics and features, which further makes the two different from one another. This further depicts the aspect that the link amid the two is quite marginal and negligible to a considerable extent. However, at the same time, it must be also asserted that strategies and innovation should move hand in hand within the operations of any particular unit to attain maximum success for the overall concern (Dobni, 2010). Creating Balance between Strategy and Innovation It has been comprehended from the above analysis that innovation and strategy are two different aspects, which has completely different characteristics and significance within any particular business domain. However, at the same time, since both the aspects are integrally associated with business operations, proper approach should be adopted towards creating the right blend and balance amid the two for the business units. Both innovation and strategy are important for business units and hence, the same needs to be balanced accordingly. Striking a proper balance amid the two concepts is deemed to be quite an important aspect that an organization would need to focus upon (Christensen, 2013). Organizations must intend to ensure proper commitments for both innovation and formulation of effective strategies in order to have the desired business results in the long run within the challenging and competitive environment. The first step towards creating a right balance amid the two aspects will include the establishment of an environment of knowledge sharing where people share their thoughts and creative ideas further laying the foundation for innovation within the workplace. Correspondingly, the prevalence of a creative and innovative environment within the workplace will further influence the development of effective strategies within a business. This perhaps acts positively for ensuring the right balance amid the two concepts at large. It must be mentioned that organizations must also go beyond the limitation of building effective strategies and promote the prevalence of an innovative workplace (Wells, n.d.). This can be done with the aspect of motivating or influencing the workforce to seek for new opportunities within the business through maximum innovation that can further act as beneficial for both the human resources and the business in a mutual manner. In such organisations, where innovation and strategy move hand in hand, the two aspect can co-exist in an efficient manner altogether. In order to ensure effective operations in each of the domain, companies need to be bold in their decisions with less fear in their approach by optimising the prevailing opportunities. In this context, the key point that a company needs to ensure is the required value that needs to be asserted while conducting the business activities. The creation can be in the form of creating strategies that can provide scope for wider innovation within the workplace, but at the same time, they may also ensure the convenience of the people in the workplace along with taking into consideration the changing demands of the customers. This may also ensure a right balance amid innovation and strategy within any particular workplace (Dobni, 2010). The significance of creating the right balance between innovation and proper strategic management within any particular workplace can be comprehended from the fact that it helps in dealing with various unplanned or unexpected situations that usually arise at the time of conducting business operations in competitive business sectors. For example, company like Smith and Wesson have proved this particular aspect by effectively dealing with the prevailing business challenges (Dobni, 2010). To have a better comprehension in this context, the example for the operations of Vauxhall Motors would be crucial to take into consideration. Gaps in Vauxhall Motors: Measures for Mitigation It has been comprehended that the automobile sector of the world has changed significantly in the recent years owing to the increasing number of companies entering and operating in this particular sector. Vauxhall Motors is one of such automobile operators impacted from these particular characteristics of the overall automobile industry of the world. Vauxhall Motors is an English automaker that is presently headquartered in Bedfordshire region of the UK. The company operates in delivering products to the customers in the UK. It can be mentioned that the company only operates within the UK market. The company is widely known for offering wide range of products and services to the customers of the UK market. However, with the changing time, a large percentage of the products of the company are being exported in some of the biggest countries within the European continent that include Germany and Spain among others. Owing to this particular aspect of the business, the company has been able to establish itself as one of the premier automotive brands prevailing within the marketplace of the UK (Sheffield Hallam University, n.d.). Over the years of operations of the business, the company has been dealing with certain issues of strategies and innovation within the workplace, which can further be deemed as operational gaps of the business at large. These gaps or limitations within the business will one way or the other impact the overall efficiency of the business in a negative manner altogether. The company is known to have minimal presence within the global marketplace, as the operations of the company are mainly concentrated towards operating within the market of the UK. This has been one of the major gaps within the performance of the company over the years of its existence as an automobile maker. It has been comprehended that in the present day business context, companies seek to get a wider market presence for themselves through the accumulation of maximum share of the global industry. In this regard, the operational approach of the company i.e. Vauxhall Motors is deemed to have certain gaps. It has also been noted that the company has a negligible presence within the emerging markets of the world, which further results in limited market share for the products and services of the company. The over dependence of the company upon the UK market can be regarded as one of the major gaps within the operational domain of the company. In this context, the management of the company can take measures of expanding its business operations worldwide in various other markets of the world. This aspects will certainly enhance the operational base of the company in a considerable manner altogether. Apart from this, differentiation in the production design will also act as a potential factor that can improve the performance of the company in a considerable manner altogether in the long run (Sheffield Hallam University, n.d.). Conclusion From the overall analysis of the paper, several key aspects relevant to the subject matter can be compiled and presented together. These aspects act as important in attaining the objectives of the research at large. It has been learnt that companies in the present day scenario seeks to obtain a better positioning for them within the marketplace, so that competitive advantage and long term sustainability can be assured. There are various aspects of business units that influence the performance of their business in a considerable manner altogether. In this regard, the role of innovation as well as strategic management has become quite prominent. In order to ensure the execution of the activities of the business in an efficient manner, companies need to strengthen their operational strategies in a significant manner for further ensuring long term success for the unit. At the same time, innovation is also an important and integral part of modern day business that influences the operational effectiveness of any business in a considerable manner. Companies that is able to ensure utmost innovation within their business operation will certainly be able to have an upper hand over the rivals operating in similar marketplaces. It is often argued that innovation and strategy are correlated or interrelated with one another, since any change in one of the aspect will impact the other prominently. However, on a contradictory point of view, it has also been argued that the relation amid the two aspects is quite marginal as both have diverse characteristics and significance of their own owing to which they are not considered as similar. Notably, a proper balance needs to be attained within the workplace amid innovation and strategic management to yield the best possible result. To have a better comprehension in this context, example of the prevailing problems within the workplace of Vauxhall Motors has been taken into consideration. Likewise, measures of mitigating the same that include product differentiation and business expansion among others have been presented in the study. Hence, it can be concluded that proper balance amid innovation and strategy is indeed important for business units. References Adekola, A. & Sergi, S., 2007. Global Business Management: A Cross-cultural Perspective. Ashgate Publishing, Ltd. Christensen, C., 2013. The Innovators Dilemma: When New Technologies Cause Great Firms to Fail. Harvard Business Review Press. Dobni, C. B., 2010. Achieving Synergy between Strategy and Innovation: The Key to Value Creation. Home. [Online] Available at: http://www.business-and-management.org/library/2010/5_1--48-58-Dobni.pdf [Accessed February 13, 2015]. Hill, C. & Jones, G., 2012. Strategic Management: An Integrated Approach. Cengage Learning. Lewinski, H. V., 2010. Balancing Efficiency and Innovation in Global Operations. Accenture. [Online] Available at: http://www.accenture.com/SiteCollectionDocuments/PDF/Accenture_Outlook_Balancing_efficiency_innovation_global_operations_Electronics.pdf [Accessed February 13, 2015]. Masstricht University, 2015. Creating Competitive Advantage through Change. School of Business and Economics. [Online] Available at: http://www.maastrichtuniversity.nl/web/Faculties/SBE/TargetGroup/Education/MastersProgrammes/StrategyAndInnovation.htm#close-cookie-bar [Accessed February 13, 2015]. Sadler, P., 2003. Strategic Management. Kogan Page Publishers. Sheffield Hallam University, No Date. Vauxhall Motorcars. Synopsis. Home. [Online] Available at: http://extra.shu.ac.uk/dac/vauxhall.pdf [Accessed February 13, 2015]. Tushman, M. & Anderson, P., 2004. Managing Strategic Innovation and Change: A Collection of Readings. Oxford University Press. Wells, D. L., No Date. Strategic Management for Senior Leaders: A Handbook for Implementation. Home. [Online] Available at: http://govinfo.library.unt.edu/npr/initiati/mfr/managebk.pdf [Accessed February 13, 2015]. Read More
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