BU111 Lecture Notes - Lecture 1: Critical Success Factor, Corporate Social Responsibility
BU111 Notes
Finish Lab 1 quiz before our first lab.
Critical Success Factors
• What are the factors
• Why is each of them important
• How is each factor connected to the others
• What happens over time if a firm does not meet all 6 factors
Diamond E-Framework
Management Preferences – Mission and vision of the company. How the owners wish to run their
companies.
Resources – What the company has, financial, capital, products
Organization – Structure, culture, and capabilities of the company
Strategy – What the company is trying to achieve; their goals
Why use Diamond E-Framework?
1. Assesses current strategy
2. Generate new strategic proposals
3. Evaluate strategic proposals
Strategy is the critical linking variable in the model
Strategy: The plan the business uses to pursue opportunities & achieve Critical Success Factor..
• determines and is determined by internal qualities
• any variable can either drive or constrain
Diamond-E – Principle logic
• consistency or alignment (internally leads to performance)
• alignment externally ensures strategy right for the given environment (environment always
changing)
How to use Diamond E-Framework?
• First task: deal with strategy-environment linkage
• Assess forces at work and their implications
• Adjust internal or adjust strategy
External Analysis
• Process of scanning and evaluating the external environment
• How management determines opportunities (positive external changes) and threats (negative
external changes)
• Firms face multiple external environments
19
BU111 Full Course Notes
Verified Note
19 documents
Document Summary
Finish lab 1 quiz before our first lab. Critical success factors: what are the factors, why is each of them important, how is each factor connected to the others, what happens over time if a firm does not meet all 6 factors. Management preferences mission and vision of the company. How the owners wish to run their companies. Resources what the company has, financial, capital, products. Organization structure, culture, and capabilities of the company. Strategy what the company is trying to achieve; their goals. Why use diamond e-framework: assesses current strategy, generate new strategic proposals, evaluate strategic proposals. Strategy is the critical linking variable in the model. Strategy: the plan the business uses to pursue opportunities & achieve critical success factor. : determines and is determined by internal qualities any variable can either drive or constrain. Diamond-e principle logic consistency or alignment (internally leads to performance) alignment externally ensures strategy right for the given environment (environment always changing)
