Week 5

Learnt – Understanding Strategy

• The purpose of business strategy is a set of beliefs about “how to win”.
• Every strategy has a clear objective and a clear plan.
• “The Art of War is simple; Everything is a matter of Execution”…Napoleon Bonaparte
• Strategy Equation : ST, O, C, P & F à If S, then R & SF @ Risk
• With the current situation and set objective, knowing the constraint, learnt from the past and belief in future, then if to implement this strategy, I would expect a result in future situation with a calculated risk.
• School of thoughts in strategy industry:
  1. “Design” school (John Kay and Kenneth Andrew) – design a fit between external and internal environment
  2. “Position” school (Michael Porter) – attractive industries and positions to shape and influence the industry
  3. “Intent” school (Gary Hamel & CK Prahalad) – use foresight to create intent, execute and meet objective
  4. “Execution/Excellence” School (Tom Peters and Jim Collins) – pick what need to be good at and do it
  5. “Futurology” school (Peter Schwartz) – anticipate and influence future changes
  6. “Structured Chaos” school (Kathleen Eisenhardt) – dynamically react to and shape opportunities
• Two fundalmental beliefs to solving problem:
  1. Belief of Predictability – How well can I predict future?
  2. Belief of Agency – How big a difference do I make?
  No clear model, important that we develop our own “mental model” on what works

Unlearn

• Implement a strategy without a clear objective and plan.
• When planned for a strategy, I did not think of the possible implications learnt from the industry school of thought. Best reflected business reality and most useful to me is “positioning”, “intent” and “futurology”.

Relearn

• As committed, I studied Chapter 1 & 2 on Understanding Strategy & Recognizing a Winning Business Strategy during weekend by using mind-map to enhance my knowledge.
• I applied and teach back my E-card project working team on solving problem using:
  1. Consider all factors
  2. Issue Tree Analysis
  3. Create Options/Alternatives
  4. Set criteria which can influence options
  5. Option selection matrix
• As for the coming next week meeting, I will commit to share on:
  6. Take a Decision – Choose option
  7. PMI – to improve decision
  8. Communicate Decision – Inductive or Deductive Reasoning

Week 4

Learnt

What is Strategy? - by Michael Porter

Operational effectiveness and strategy are both essential to superior performance.

Operational effectiveness (OE) means performing similar activities better than rivals perform them.
Eg: the Japanese were so far ahead of rivals in operational effectiveness that they could offer lower cost and superior quality at the same time.
Managers have been preoccupied with improving OE through programs such asTQM, time-based competition, and benchmarking. The more benchmarking companies do, the more they look alike. The more that rivals outsource activities to efficient third parties, often the same ones, the more generic those activities become. Competition based on OE alone is mutually destructive.

Strategic positioning means performing different activities from rivals' or performing similar activities in different ways. "The essence of strategy is choosing to perform activities differently than rivals do".
Eg: Sony, Canon and Ikea - companies that practise strategic positioning. Ikea-targets young furniture buyers who want style at low cost; concept is tailored set of activities that make it work; use self-service model based on clear, in-store displays; offers extra services that competitors do not ie in-store child care.

Unlearn

Trying to read all text in details.

Relearn

Apply critical thinking thoughts in deciding which hospital to choose for E-card program and which mechanism to follow. We started with clear goals and objectives on what we wanted to achieve. I shared the mind map I created last week on the benefits of this program for all the stakeholders(patient, hospital and company). So, we have a clear purpose and and able to see a better point of view on why we need to carry out this pilot program for retaining our patients load and defending our market share. Many assumptions were taken into consideration to see how it can impact our selection criteria in the decision making. We use data ie sales volume, number of patients load and number of clinicians in the selection criteria. During our discussion, all of these aspects were taken into consideration. Finally, we have a conclusion derived to answer our question on which hospital to roll-out the program and which mechanism to use.

Week 3

Learn

Strategic planning must have a clear vision or mission with clearly stated goals and objectives. The general planning model consisits of:

1) "Situation" analysis - factors of external, internal and industry relation
2) Identification of strategic "issues"
3) Formulation of "strategy" - at business, functional place and at corporate
4) Specification of "implementation" activity

Planning is often used in the context of strategic management, whereby it comprise the following activities:
1) Planning 'implementation"
2) "Integration' of plans and strategic actions
3) A continuing awareness of and a balanced orientation to the future

Benefits of Strategic Planning:

1) Establish "direction"
2) Set "clear priorities"
3) Focuses 'actions"
4) Appropriate "resource" allocations
5) Increased "motivation"
6) Reduce "cost", reduce risk
7) Increase communications
8) Creativity

Limitations of Strategic Planning:
1) Indeterminate Future
2) High Cost
3) Time consume
4) Inflexible
5) Corporate Inertia
6) Surrender of rights to central authority
7) Personnel availability

Horizons : Usually median average is between 3-5 years plan

Unlearn

I may have indirectly apply strategic planning thoughts in some business opportunity, though, i'm not a strategic planner. I have learnt in another concept in Strategic "Thinking" whereby a strategic thinker put in thoughts of internal factor environment, external factor environment and work out the most optimistic and worst probable scenario before generating the strategy. Lack of Implementation focus is taught in my learning.

Relearn

Created mind mapping for Strategic Planning learning. Applied mind map to generate ideas on how can a patient loyalty program for my product (Norvasc) can benefit patient, hospital and Pfizer. This helps me to see better the benefits in selling the idea for a partnership program with hospital.

Week 2

Learnt

Critical thinking “is reasonable reflective thinking that is focused on deciding what to believe or do”. To improve the mode of thinking as a critical thinker, he or she takes charge of the structures inherent in thinking and impose intellectual standards upon them. Powerful questions implied to Intellectual standards reflect on Clarity, Accuracy, Precision, Depth, Relevance, Logicalness, Significance, Breath and Fairness.

When applying critical thinking, 8 steps to the structured of thought:
1. Whenever we think, we think for a PURPOSE
2. Within a POINT of VIEW
3. Based on ASSUMPTIONS
4. Leading to IMPLICATIONS and CONSEQUENCES
5. We use DATA, FACTS, and EXPERIENCES
6. To make INFERENCES and JUDGEMENTS
7. Based on CONCEPTS and THEORIES
8. To ANSWER a QUESTION or SOLVE PROBLEM

Unlearned

As a leader, I have to shift mental paradigms and existing strategic boundaries in looking at things in a broader picture. Plan my time more efficiently by prioritizing more important task rather than all urgent tasks.

Relearn

I have structured my thoughts and skills in applying strategies to defend my product (Norvasc) sales for lost of exclusivity. When I discussed it with my subordinates on the business proposal, I have used all the 8 steps except lacking of step 7 to solve the problem. I have lack of knowledge and experience in handling products losing patency. I have also applied mind mapping learning for critical thinking in order to help me remember better. I plan to use mind map technique as a sharing tool with my peers in a team meeting next week to present ideas forward on E-card program for private hospital business.