MGT 4337: Business Policy and Decision Making
Module 2 Analysis Artifacts Worksheet: Decision Years 11â€“12
Overview:Â Your submission must include evidence of the analysis tools that your company used to make decisions in this simulation. For the simulation rounds in this module, you will submit a Driving Force Analysis, a Key Success Factor Analysis, and a Five Force Analysis as your required artifacts.
Directions:Â Download and save a copy of this document so you can edit the sections below. Complete this worksheet and submit it as evidence of your analysis artifacts.
1. Driving Forces Analysis: The driving forces of any industry are those forces that cause the most strategic change in that industry. Firms must be aware of what changes are likely to occur in the industry so they can 1) proactively prepare strategy to counter these forces and 2) have a response strategy in place for when they do happen.
To complete this analysis, address the following:
|Identify 3â€“5 driving forces|
|Do the driving forces act to boost or squeeze profit margins? Explain.|
|Do the driving forces cause competition to be more or less intense? Explain.|
|Assess whether the drivers of change are, on the whole, acting to make the industry more or less attractive.|
|Determine two strategy changes needed to prepare for the impact of the driving forces.|
2. Key Success Factor Analysis: Every industry has certain conditions that need to be met to be successful. For example, UPS and FedEx have to have fast, on-time deliveries or they will be out of business. Firms must understand what these industry factors are and build competencies to meet them.
To complete this analysis, address the following:
|Identify the basis on which buyers of the industryâ€™s product or service choose between the competing brands of sellers. That is, what product or service attributes are crucial?|
|Given the nature of competitive rivalry and the competitive forces prevailing in the marketplace, assess the resources and competitive capabilities required for a company to be competitively successful.|
|Evaluate which of the companyâ€™s shortcomings put them at a significant competitive disadvantage.|
|To be a winner, a companyâ€™s strategy must compare favorably with rivals on all industry KSFs and be competitively superior on one, maybe two, of the industryâ€™s KSFs. Which KSFs, if any, is your company competitively superior? If none, what can you do to obtain superiority over one of the industryâ€™s KSFs?|
3. Five Force Analysis: While every company differs from one another in the way they are managed, every firm in any given industry is affected in the same way by each of the five forces. For example, rivalry may not be as intense in the bread-baking industry as it is in the smartphone industry, but for the companies in each respective industry, the intensity of the rivalry is the same. Company managers must understand each of these forces that affect the industry and to what degree their industry is affected by each individual force in order to set strategy to counter these factors. See Chapter 3 for more information about this analysis tool.
To complete this analysis, address the following:
|Force||Factors & Success Ratings
(List as many factors as you can for each force and assign a strength rating of weak, moderate, or strong)
|Intensity of Rivalry||
|Threat of New Entrants||
|Threat of Substitute Products||
|Buying Power of Buyer||
|Buying Power of Supplier||
Finally, write one paragraph reflecting on the strongest forces affecting your industry. How can you use this information to formulate and implement strategy for your company?
Guidelines for Submission:Â To complete this assignment, submit a saved copy of this completed worksheet.
Instructor Feedback:Â This activity uses an integrated rubric in Blackboard. Students can view instructor feedback in the Grade Center.
|Criteria||Exemplary (100%)||Needs Improvement (75%)||Incomplete (50%)||Not Evident (0%)||Value|
|Submitted a complete worksheet that demonstrates sincere effort.||Submitted a mostly complete worksheet that demonstrates sincere effort.||Submitted an incomplete worksheet.||Did not submit a worksheet.||100|
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