course outline: strategic management (gsstratma)

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HOLY ANGEL UNIVERSITY

SCHOOL OF BUSINESS AND ACCOUNTANCY Graduate School of Business

Master of Business Management

COURSE OUTLINE: STRATEGIC MANAGEMENT (GSSTRATMA) PROFESSOR: DR. NICETO S. POBLADOR Second Trimester, SY 2016-2017

Holy Angel University VMGOs

Vision: To become a role-model catalyst for countryside development and one of the most influential, best-managed Catholic universities in the Asia-Pacific region.

Mission: To offer accessible quality education that transforms students into persons of conscience, competence, and compassion.

Core Values: Christ-Centeredness, Integrity, Excellence, Community, and Societal Responsibility Strategic Objectives:

1. Academic Quality and Organizational Excellence 2. Authentic Instrument for Countryside Development 3. Great University to Work for

4. Faithful Catholic Education Graduate School of Business VGMOs Vision Statement

A premiere graduate business education in the Asia-Pacific Region dedicated to helping professional, entrepreneurs and public servants become competent and socially responsible leaders and to contribute to countryside development.

Mission

To provide advanced and high quality business education in the field of management, accountancy, entrepreneurship, public governance and hospitality to professionals and leaders through a wide range of relevant, educational experience.

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Goal

To provide our sincerest service to our graduate students as we are committed to the shared ideals of integrity, excellence, community service and societal responsibility.

GSB Strategic Objectives

1. To offer programs that are more relevant and responsive to the shifting needs of the real world.

2. To promote practitioner-research oriented that will allow us to participate in the furtherance of knowledge and elevate our GSB programs to higher level of excellence.

3. To forge and maintain strategic functional linkages and/or partnership with academic institutions, relevant organizations, national government agencies and local government units for knowledge transfer, sharing of resources and advocacy training for public service.

4. To act as reputable workplace preferred by faculty members who are experts in their corresponding fields and proficient in interdisciplinary and multi-disciplinary approaches in teaching.

5. To foster culture that promotes integrity, innovation, and the highest ethical standards in the Catholic context.

MBM Program Educational Objectives

1. Students will be able to apply quantitative and qualitative research in the solution of business problem.

2. Students will be able to integrate interdisciplinary and multidisciplinary perspectives in approaching management problems, issues and concerns.

3. Students will be able to apply business analytical tools in solving problems arising in corporate finance and management.

4. Students will be able to distinguish the strategic dimensions of total quality management in the manufacturing, service and other industry related businesses.

5. Students will be able to judge whether business practices conform to the ethical standards in business.

HAU Strategic Objectives

GSB Strategic Objectives MBM

Program Educational Objectives

Institutional Students’ Learning Outcomes

1. Academic Quality and Organizational Excellence

1. To offer programs that are more relevant and responsive to the shifting needs of the real world.

#1, #2, #3 and #4  Civic and Global Learning

 Applied and Collaborative Learning

 Critical and Creative Thinking 2. Authentic Instrument

for Countryside

Development

2. To promote practitioner- research oriented that will allow us to participate in the

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furtherance of knowledge and elevate our GSB programs to higher level of excellence.

 Critical and Creative Thinking

3. To forge and maintain strategic functional linkages and/or partnership with academic institutions, relevant organizations, national government agencies and local government units for knowledge transfer, sharing of resources and advocacy training for public service.

 Communication and Interpersonal Skills

3. Great University to Work For

4. To act as reputable workplace preferred by faculty members who are experts in their corresponding fields and proficient in interdisciplinary and multi-disciplinary approaches in teaching.

#5  Communication and

Interpersonal Skills

 Valuing and Ethical Reasoning

4. Faithful Catholic Education

5. To foster culture that promotes integrity, innovation, and the highest ethical standards in the Catholic context.

#5  Valuing and Ethical

Reasoning

 Communication and Interpersonal Skills

Course Learning Outcomes

At the end of the course, the students shall have

1. Acquired a set of tools and concepts that will enable them to formulate and implement effective strategies in a fast-paced business environment that is becoming increasingly complex, and indeterminate.

2. Developed the needed analytical, conceptual and behavioral skills for crafting creative and innovative approaches in dealing with continuously emerging problems and opportunities

3. Assimilated a set of values and attitudes that are essential for working collaboratively with others in the continuing effort of creating value for the organization, for its members, and for society.

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Course Description

This course looks at strategy more as a continuous adaptive process rather than as an occasional exercise in rational analysis and deliberate planning. It aims to provide course participants with a broad conceptual framework and a set of practical skills that will enable them to develop and sustain the required organizational flexibility and adaptability in dealing with today’s increasingly fast-paced, complex and unpredictable business environment. While the course uses neo-classical economic theory as its basic theoretical framework, it also draws heavily on contributions from Complexity Theory, the New Institutional Economics and the economics of information, as well as insights from behavioral theory, cultural anthropology, and the sociology of organizations. From this multi-disciplinary perspective, the course aims to develop a set of conceptual and practical tools with which course participants will be able to formulate innovative and unique solutions in dealing with the ill-defined and continuously evolving problems that they will be facing later in their professional careers.

In addition to viewing strategy as a continuous, adaptive process, this course is also premised on two other basic principles:

(a) That the traditional strategic goal of shareholder value maximization is best achieved by focusing on the interests of all other stakeholders in the firm, primarily its customers, its workers, and the community of which it is an integral part;

(b) That in today’s knowledge-driven economy, collaborative advantage has become as relevant as competitive advantage in the pursuit of the firm’s strategic objectives.

No. of units 3 units

Required Textbook Besanko, David, et al (2012). The Economics of Strategy. 6th. John Wiley & sons.

Brickley, James A., et al (2015). Managerial Economics and Organizational Architecture 6th. McGraw- Hill (supplementary) David, F.R. & David, F.R. (2017). Strategic Management concepts and Cases. 16^th. Philippines: Mind Mover Publishing House, Inc.

Poblador, N. S. (2009). Changing the Way we Manage Change and other essays. Holy Angel University (supplementary)

Other Resources/References

Poblador, N. S. (2006). Strategy Demythicized: Why today’s business models fail to deliver. Management Association of the Philippines (chapters 1 – 3)

Jensen, Michael (2001), “Value Maximization, Stakeholder Theory, and the Corporate Objective Function,”

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http://papers.ssrn.com/abstract=220671

Smith, H. Jeff (2003), “The Shareholders vs. Stakeholders Debate,” MIT Sloan Management Rev. (Summer 2003), pp. 85 - 90

http://sloanreview.mit.edu/article/the-shareholders-vs-stakeholders-debate/

Eisenhardt, Kathleen M. (2002), “Has Strategy Changed?” MIT Sloan Management Rev. (Winter), pp. 88 - 91 http://sloanreview.mit.edu/article/has-strategy-changed/

Drucker, Peter (1998), “The Coming of the New Organization”

https://hbr.org/1988/01/the-coming-of-the-new-organization

“Learning Organizations”

http://www.calpro-online.org/eric/docs/marsick/marsick3.pdf“

A value network model for strategic analysis”

http://valuenetworksandcollaboration.com/images/VN_Model_for_Strategic_Analysis.pdf Citigroup goes “fintech”*

http://fortune.com/citigroup-fintech/

Kanter, Rosabeth Moss (1994), “Collaborative Advantage: The Art of Alliances”

https://hbr.org/1994/07/collaborative-advantage-the-art-of-alliances

“15 years later, lessons from the failed AOL-Time Warner merger”*

http://fortune.com/2015/01/10/15-years-later-lessons-from-the-failed-aol-time-warner-merger/

“Rethinking Complexity: Collaborative Advantage.”

https://www.saybrook.edu/rethinkingcomplexity/posts/01-10-13/collaborative-advantage

“Welcome to the era of Lego Innovation (some assembly required)

http://money.cnn.com/2014/04/10/leadership/lego-innovation.pr.fortune/

Von Hippel, Eric, et al (2011), “The Age of the Consumer-Innovator,” MIT Sloan Mgt. Rev (Fall, 53/1) http://sloanreview.mit.edu/article/the-age-of-the-consumer-innovator/

P&G’s “Connect and Develop” strategy*

http://www.pgconnectdevelop.com/

“Creating a High-Performance Culture: A Siemens Case Study”*

http://www.google.com.ph/imgres?imgurl=http://www.agileforall.com/wp-content/uploads/2015/06/human- capital.jpg&imgrefurl=http://www.agileforall.com/2015/06/on-human-capital-hr-and-

agile/&h=462&w=420&tbnid=Vu1Yuh9xGwcLIM:&tbnh=160&tbnw=145&usg=__R2kX045L9EM-

lInY70oG0AWyw7I=&docid=ByGVDmYKUtCn9M&itg=1&sa=X&ved=0CCIQ9QEwAGoVChMI9JWkxM6JxwIVh waOCh0-_Qr4

“Empowering Employees by Investing in Human Capital”

http://www.huffingtonpost.com/mark-t-bertolini-/empowering-employees-by-investing-in-human- capital_b_7217034.html

“Human Capital in your Investment Portfolio”

http://www.forbes.com/sites/greggfisher/2014/12/22/human-capital-and-your-investment- portfolio/#25c57aba39c3

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Poblador, N. S. “Inclusive business and strategy.”

http:// business.inquirer.net/205714/inclusive-business-and-strategy ____________. “Corporate Culture and Income Inequality.”

http://business.inquirer.net/184802/corporate-culture-and-income-inequality _____________. “Bracing for the ASEAN Economic Integration”

http://www.bworldonline.com/content.php?section=Opinion&title=bracing-for-the-asean-economic- integration&id=76873

_________, “Thriving in an Integrated ASEAN Economy”

http://business.inquirer.net/182135/thriving-in-an-integrated-asean-economy SEC “Revised Code of Corporate Governance”

http://www.sec.gov.ph/download/ccg/Revised%20Code%20CG.pdf Coca Cola – “What we’re doing”*

http://www.coca-colacompany.com/stories/5by20

http://www.coca-colacompany.com/our-company/5by20-what-were-doing IBM and the world community grid*

https://www.worldcommunitygrid.org/discover.action#what-if

*Case study Websites

http://search.proquest.com/ebrary?accountid=148769

http://hau.edu.ph/university_library/electronic-resources-e-books.php http://nspoblador.webs.com/downloands

Requirements

Students will be required to submit three (3) short essays during the trimester, each focused on a major area of application of economic theory in management. Four or five group presentations will be made during the trimester on the various topics covered by the course. Students are expected to participate actively in class discussions, including those that will be conducted online, if any. In the evaluation of student performance, these three major requirements will carry weights of 50, 30, and 20 per cent, respectively.

Course Content

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Me etin g

Learning Competencies Topic Methodology Student Output Evaluation of Learning Assessment1

1  Familiarity with the different aims of strategy

 Ability to evaluate and compare the different

approaches to strategy

 Knowledge of the different steps in the planning process, and to assess their relevance and usefulness in today’s surge economy

The Essence of Strategy

 The aims of strategy

o Gaining the competitive edge o Insuring

survival (sustainabil ity)

o Maximizing shareholde r value

 Dominant forces shaping today’s business environment

o High intensity interconne ctivity o Information

-based production technology o Value

creation on a global scale o Non-linear

 Lecture presenta tion

 Interacti ve discussi on

 Presentation of individual views, perspectives, and insights

 Formation of

presentation groups , identification of presentation topics, and setting up of presentation schedule

 Identification of essay topics and

setting up of schedule of submission

 Presentation of individual views, perspectives, and insights that reflect a keen appreciation and understanding of the issues under discussion

 Student

participation will be evaluated on a 5-point scale

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instability, unpredicta bility and ambiguity

 Approaches to strategy:

o Developing core competenci es

(Resource Based View) o Aiming for

market dominance o Continuous adaptation

 The strategic planning process

o Visions, missions, goals o SWOT

analysis o Evaluation

of results

2  Knowledge of the major attributes of adaptive, flexible organizations

 Appreciation of the factors that

Creating a Culture of Change: The

Learning Organization

 Salient features of the Knowledge

 Interacti ve discussi

 First and second group presentations

 Presentation of individual views, perspectives, and insights that reflect a keen appreciation and

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make an enterprise a learning organization

 Awareness of the factors to be considered in determining the vertical and horizontal

boundaries of the firm

 Knowledge the factors that are responsible for the success or failure of mergers and acquisitions

Organization o The

horizontal organizatio n

o The virtual (networked )

organizatio n

 The dynamics of organizational learning

 Managing the value network:

determining the scope of

operations of the business

enterprise

 The pros and cons of outsourcing

 The case for downsizing

 Mergers and Acquisitions

on

 Group presenta tions

 Preparat ion, submissi on of assigne d essay

 Submission and evaluation of digital copy of Essay # 1

understanding of the issues under discussion

 Student

 Group reports that reflect thorough research and insightful contribution by individual group members

 Individual contribution to group reports will be evaluated on the usual 5-point scale

 Individual essays will be evaluated on the basis of extent of research,

demonstration of original insights and critical analysis

 Essays will be evaluated on the usual 5-point scale

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3  Keen

understanding of the Five Forces model and its application in determining appropriate pricing and product quality decisions with the end in view of establishing competitive advantage

 Ability to formulate pricing strategies that maximize the firm’s revenue stream

 Ability to evaluate and compare the different

approaches to increase the value of the firm’s

products and services

 Appreciation the strategic value of making products and services affordable to the poorest members of society

Strategies for creating customer value

 Pricing for competitive advantage: the Five Forces model

 The Value Map:

trade off between price and quality

 Pricing strategies for maximum value creation

 Value enhancing strategies

o Product design and developm ent o Co-

creation o Crowd

sourcing o Customer

care o Customer

service o Advertising

and sales promotion

 Bottom of the Pyramid pricing

 Third group presentations

 Submission and evaluation of digital copy of Essay # 2

 Student

demonstration of original insights

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and critical analysis

4  Ability to decide whether to hire or outsource various categories of employees and for what reasons

 Appreciation of the relevance of the basic incentive problem in the formulation of the firm’s employment and compensation policies

 Ability to explain in terms of the efficiency and equity theories of wages the

determination of the level and structure of

compensation and how these affect performance

 Understanding of the relevance of the

Creating value for workers: managing investment in Human Capital

 Why firms employ rather than

outsource workers

 The basic

incentive problem

 Compensation policy and performance evaluation

o Efficiency wage theory and the wage level o Equity wage theory and the structure of wages o The joint

effects of wage

 Group presenta tion

 Lecture presentation

 Interactive discussion

 Fourth group presentations

 Submission and

evaluation of Essay # 2

 Student

 Individual essays

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informativeness principle in performance evaluation and in recruitment and selection

 Knowledge of how developments in technology, markets and industries affect the nature of work and what these changes imply for the firm’s policies on the

development of its human resources

level and structure on organizati onal performa nce o The

argument from stakehold er theory

 Informativeness o … and

performan ce

evaluation o … and

recruitmen t and selection

 The future of work

will be evaluated on the basis of extent of research and

demonstration of original insights

5  Appreciation of the importance of corporate

governance and corporate social responsibility in ensuring the sustainability of the business

 Insights in developing

inclusive business

Creating value for society: inclusivity, strategy and social responsibility

 Corporate governance, corporate social responsibility, and the ethics of managerial conduct

o Short-run manageme nt

 Preparat ion,

 Lecture presentation

 Interactive discussion

 Fifth group presentation

 Submission and

evaluation of Essay # 3

 Student

participation will be evaluated on a

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models that are consistent with the firm’s overall strategic agenda

 Familiarity with the alternative criteria for choosing CSR initiatives

 Appreciation of how dramatic changes in the global economy, along with technological developments and the declining importance of the nation state are changing the role of the corporation in modern society.

perspective s

o Long- run manageme nt

perspective s

 Criteria for choosing CSR projects

 Collaborative CSR

 Strategic

Management in a Transformative Global

Environment:

Towards a new role for private enterprise

submissi on of assigne d essay

 RECAP AND POST MORTE M

5-point scale

demonstration of original insights and critical analysis

Expectations from Students

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Students are held responsible for meeting the standards of performance established for each course. Their performance and

compliance with other course requirements are the bases for passing or failing in each course, subject to the rules of the University.

The students are expected to take all examinations on the date scheduled, read the assigned topics prior to class, submit and comply with all the requirements of the subject as scheduled, attend each class on time and participate actively in the discussions.

Furthermore, assignments such as reports, reaction papers and the like shall be submitted on the set deadline as scheduled by the faculty. Extension of submission is approved for students with valid reasons like death in the family, hospitalization and other unforeseen events. Hence, certificates are needed for official documentation. Likewise, special major examination is given to students with the same reasons above. Attendance shall be checked every meeting. Students shall be expected to be punctual in their classes. And observance of classroom decorum is hereby required as prescribed by student’s handbook.

Academic Dishonesty

It is the mission of the University to train its students in the highest levels of professionalism and integrity. In support of this, academic integrity is highly valued and violations are considered serious offenses. Examples of violations of academic integrity include, but are not limited to, the following:

1.Plagiarism – using ideas, data or language of another without specific or proper acknowledgment. Example: Copying text from the Web site without quoting or properly citing the page URL, using crib sheet during examination. For a clear description of what constitutes plagiarism as well as strategies for avoiding it, students may refer to the Writing Tutorial Services web site at Indiana University using the following link: http://www.indiana.edu/~wts/pamhlets.shtml. For citation styles, students may refer to

http://www.uwsp.edu/psych/apa4b.htm.

2. Cheating – using or attempting to use unauthorized assistance, materials, or study aids during examination or other academic work. Examples: using a cheat sheet in a quiz or exam, altering a grade exam and resubmitting it for a better grade.

3. Fabrication – submitting contrived or improperly altered information in any academic requirements. Examples: making up data for a research project, changing data to bias its interpretation, citing nonexistent articles, contriving sources.

(Reference: Code of Academic Integrity and Charter of the Student Disciplinary System of the University of Pennsylvania at http://www.vpul.upenn.edu/osl/acadint.html).

Policy on Absences

1. A student who incurs two (2) absences in any subject shall be given a mark of “FA” as his final rating for the trimester, regardless of his performance in the class.

2. Attendance is counted from the first official day of regular classes regardless of the date of enrolment.

Grading System (Campus ++): Grading System. Student Catalogue (2011), Graduate School, Holy Angel University)

Grades Percentage Grade General Classification

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1.0 97 – above Outstanding

1.25 94 – 96 Excellent

1.50 91 – 93 Superior

1.75 88 – 90 Very Good

2.00 85 – 87 Good

5.00 Below 85 Failed

6.00 FA Failure Due to Absences

8.00 UW Unauthorized Withdrawal

9.00 DRP Dropped with Permission

Assessment Criteria for Written examination

Grades Percentage Grade General Classification

1.0 97 – above Outstanding

1.25 94 – 96 Excellent

1.50 91 – 93 Superior

1.75 88 – 90 Very Good

2.00 85 – 87 Good