Risk Management and Strategic Planning  Unit 12  Strategy in Action

Reading BookCh Tribe, J, (2010) Strategy for Tourism, Goodfellow Publishers, Oxford. 12 Capon, C. (2008) Understanding Strategic Management, Prentice Hall: Hemel Hempstead. 12 Tribe, J. (2005) The Economics of Recreation, Leisure and Tourism, Butterworth Heinemann, Oxford. - Johnson, G., Scholes, K., and Whittington, R. (2008) Exploring Corporate Strategy, Prentice Hall: Hemel Hempstead. 15

Learning Outcomes  After studying this chapter and related materials you should be able to understand: How to prepare a public strategy document Crisis management strategies  and critically evaluate, explain and apply the above concepts.

Discussion Point  What should a good strategic plan cover?  What kinds of crises affect tourism and what issues of management do they present?

Preparation of a Strategy  A a strategy is a master document which encompasses the main headings of this book and a typical strategy will have the following key parts: Title page Publication details and contents page Introduction / endorsement Executive summary Strategic analysis Mission and objectives Strategy Strategic implementation Appendices

Strategic Analysis  A typical format will be: The external environment  The Political Environment  The Economic Environment  The Socio-cultural Environment  The Technological Environment  The Competitive Environment Organisational capabilities  The resources and core competences of the organisation  The performance of the organisation  An evaluation of product and services SWOT analysis

Mission and Objectives  Nature of Business defining the business of the organisation identifying key strategic business units  Missions and Goals statement of mission of organisation objectives set

Strategy  This part of the document is likely to cover issues such as Generic type of strategy, e.g.  Price based  Differentiation based  Hybrid Directions Methods

Strategic Implementation This final part of the strategy document will address the two key issues of Organising and resourcing Monitoring change

Crisis Management Strategies  Crisis management is the process by which an organisation deals with major, extraordinary, sudden and unforeseen events that can pose a grave threat to their existence. E.g. Natural disasters Technology failures Malevolence. Confrontation Skewed management values Deception

Crisis Management Strategies  The six main stages in strategic crisis management are 1. Pre-event stage: Prevention and contingency measures are put into place. 2. Pretrial stage: At this stage the impending crisis is inevitable. 3. Emergency stage: The crisis has arrived and main objective is damage limitation, immediate rescue and clear communications. 4. Short term stage: Restoration of basic functions, utilities and essential services to return to normality. 5. Long term (recovery) stage: Continuation of restoration with attention to non-priority actions. Lessons learned incorporated into revised prevention and contingency strategies. 6. Resolution Stage: Routine strategic management replaces crisis management.

Task 4  Task 4: Prepare key tasks for successful implementation of your strategy  Or if video and Wi-Fi working: Kenya's tourism revenues rose 32 percent to 98 billion shillings in 2011 after the country attracted visitors from new markets, but the euro zone crisis is expected to curb growth in Listen to the interview with Kenyan Tourism minister, Najib Balala and summarise the strategic issues discussed.

Summing Up  Any Questions?

Risk Management and Strategic Planning  Unit 12  Strategy in Action  The End