Arm,s position ARM today is well positioned within the industry Over 25 processorssuitable for expanding range of end

markets Introducing complementary products -Graphics and Physical IP Industry today is continuing to disaggregate Existing customers increasing technology outsourcing New companies are outsourcing for the first time New types of companies are becoming ARMs customers Over 250 customers IDMs, fabless, foundries, OEMs, software vendors, service providers

STRATEGY EVALUATION:
This evaluation matrix will ensure that your assignment has some critical analysis embedded within it. This is vital for an MBA assignment and it is what distinguishes MBA teaching, learning and assessment from MEP and undergraduate equivalents. Critical analysis is one of the key components and indicators of value added on the MBA, and as such, critical analysis and thinking carries a lot of weight. The Feasibility/acceptability/suitability matrix is by me, based on Johnson & Scholes (2007) and adapted by Lang (2008) for the BA assignment. The factors that we consider for deciding upon which strategy is available and a good probable option or options for BA to consider are as follows: FEASIBILITY: Does BA have the resources to pursue more than one strategic direction? Does BA have any experience in any of the strategies under consideration? Will, and if so which, any of the strategies be longer than the others to implement and see a return? Which strategies will yield the best value added from the resources that BA has as core competences; resources and strengths?
      
Can the strategy be funded? Is the organisation capable of performing to the required level (e.g., quality level, service level)? Can the necessary market position be achieved, and will the necessary marketing skills be available? Can competitive reactions be coped with? How will the organisation ensure that the required skills at both managerial and operative level are available? Will the technology (both product and process) be available to compete effectively? Can the necessary materials and services be obtained?

SUITABILITY:

Which strategies will have the best strategic fit for BA with the portfolio of BA, whilst using BAs resources to maximize the value added? Which strategies fit best with the stated objectives and mission and vision statements of BA, and therefore will help the company achieve these?

Does the strategy exploit the company strengths -- such as providing enhanced value added to the business portfolio -- or environmental opportunities -- for example, helping to establish the company in new growth sectors of the market. How far does the strategy overcome the difficulties identified in the strategic analysis (resource weaknesses and environmental threats)? For example, is the

Dr. John W. Lang

strategy likely to improve the organisation s competitive standing, resolve the company s liquidity problems, or decrease dependence on a particular supplier? Does it fit in with the organisation s purposes? For example, would the strategy achieve profit targets or growth expectations, or would it retain control for an owner-manager?

ACCEPTABILITY: Are the chosen strategies acceptable to the key stakeholders in achieving their expected objectives for being involved with the firm e.g. are the shareholders likely to see an improved return? How will the cost / risk / return profile be changed by the strategies chosen?
      
What will be the financial performance of the company in profitability terms? The parallel in the public sector would be cost/benefit assessment. How will the financial risk (e.g., liquidity) change? What will be the effect on capital structure (e.g., gearing or share ownership)? Will any proposed changes be appropriate to the general expectations within the organisation (e.g., attitudes to greater levels of risks)? Will the function of any department, group or individual change significantly? Will the organisation s relationship with outside stakeholders (e.g., suppliers, government, unions, and customers) need to change? Will the strategy be acceptable in the organisation s environment (e.g., will the local community accept higher levels of noise)?

Dr. John W. Lang

Dr. John W. Lang

STRATEGY EVALUATION MATRIX:

CURRENT STRATEGIES & STRATEGIC OPTIONS FOR COMPANY GROWTH

FACTORS FOR DECSION MAKING

STRATEGIC ALLIANCES

MERGERS

ORGANIC GROWTH

NEW MARKET RELATED DIVERSIFICATION

LOW COST

DIFFERENTIATION

DIFFERENTIATION FOCUS

FEASIBILITY

In each box you need to state whether the strategy above is F, S, A and if so WHY? and if not WHY NOT?

SUITABILITY

ACCEPTABILITY

(Ref: Based on Lang (2008) Strategy Evaluation, A View from the Bridge, Working paper series JBS - PLEASE QUOTE THIS REFERENCE WHEN USING THIS MATRIX! THIS
MATRIX WILL COME AFTER ANSOFF AND PORTER S GENERIC STRATEGIES!

Dr. John W. Lang