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STRATEGIC MANAGEMENT & BUSINESS POLICY

12TH EDITION
THOMAS L. WHEELEN

J. DAVID HUNGER

Selection and Management Development


Executive succession- replacing a key top
manager

Succession planning
Identifying candidates below the top layer of
management
Measuring internal candidates against external
candidates
Providing financial incentives

Prentice Hall, Inc. 2009

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Staffing Follows Strategy

Training and development


Executive types

Dynamic industry expert


Analytical portfolio manager
Cautious profit planner
Turnaround specialist
Professional liquidator

Prentice Hall, Inc. 2009

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Identifying Abilities and Potential


Performance appraisal system identifies
good performers with promotion potential

Assessment centers evaluates a persons


suitability for an advanced position

Job rotation- ensures employees are gaining a


mix of experience to prepare them for future
responsibilities

Prentice Hall, Inc. 2009

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Problems in Retrenchment
Downsizing the planned eliminated of positions

or jobs
Can damage the learning capacity of an
organization

Prentice Hall, Inc. 2009

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Successful Downsizing

Eliminate unnecessary work instead of making


across the board cuts
Contract out work that others can do cheaper
Plan for long-run efficiencies
Communicate the reasons for actions
Invest in the remaining employees
Develop value added jobs to balance out job
elimination

Prentice Hall, Inc. 2009

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International Issues in Staffing

Culture differences
Management styles
Human resource practices
Communication and coordination
Lack of international management with
experience

Prentice Hall, Inc. 2009

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Managing Corporate Culture

Strong cultures are resistant to change


Optimal culture supports mission and
strategies
Change in strategy should be followed
by change in culture

Prentice Hall, Inc. 2009

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Managing Cultural Change Through


Communication

CEO and top management communicated


the strategic vision throughout the
organization
Current performance was compared to
competition and constantly updated
Vision was translated into key elements
needed to accomplish the vision

Prentice Hall, Inc. 2009

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Prentice Hall, Inc. 2009

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Dimensions of National Culture


1.
2.
3.
4.
5.

Power distance
Uncertainty avoidance
Individualism-collectivism
Masculinity-femininity
Long-term orientation

Prentice Hall, Inc. 2009

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