Strategic Management And Competitive Advantage: Case Study

Using the information presented in the first chapter of Strategic Management and Competitive Advantage, this essay will show that my current organization does not have a working strategy, adhere to its mission nor is it guided by a set of core values. Barney and Hesterly (2015), highlight three significant points that are instrumental for understanding strategic management and implementing strategic direction in an organization. First, the authors define strategy, second they highlight the importance of implementing a good organizational strategy; and third they expound on the components of the strategic management process elucidating how a good strategy helps an organization gain and maintain competitive advantage. As highlighted in the

The organization seemed to be reactive rather than proactive; and while the organization seemed to be run smoothly, there was no real sense that we were going in the right direction. Indeed, one author wrote: “no matter how well their operations are run, no company can long survive without clear strategic direction” (Neuschel, 1977, p. 46). Thus in 2009, the Board of Directors mandated that management engage in a strategic planning process and develop a good strategy that would take the organization through

However, what constitutes a good strategy, varies from author to author. While, there are a plethora of opinions and suggestions, a common theme apparent in many is the idea of a “competitive advantage.” Hesterly & Barney (2015) suggest that a good strategy positions a firm to have competitive advantage in its industry (p. 4). Further, Rivkin (n.d.), holds that a good strategy involves a firm making choices that give it superior returns over the long term in its industry. And, lastly Daft (2013) suggest that a strategy is a process of interacting in an industry to achieve superiority. All of these definitions incorporate the idea of an organization competing in an industry and gaining and maintaining a “competitive advantage.” For my organization, the competitive advantages is our scientific research on the efficacy of cleaning products.

Thus, management developed a mission statement around the idea that our organization is science-based, but did not articulate that statement to staff. The text states that a mission statement should clarify the firm’s long-term purpose and should affect firm performance (p. 5). It is the individuals in the organization that drive the mission. If they have not been told what the mission is, how can they work towards achieving it? My organization’s efforts of developing a strategy would have been more successful if