1. Trent Hemann James Yost Bunde Walker

2.  When managed strategically, able to exploit: ◦ Resources ◦ Capabilities ◦ Core Competencies  How decision makers formulate and implement organizational strategies

3.  Puzzle pieces represent the organization’s functional strategies  Move in desired direction  Move towards goals  Functional strategies are developed while taking into account the organization’s: ◦ Overall vision ◦ Mission ◦ Corporate and Competitive strategies

4.  When organization is founded, overall strategic direction and goal are formulated  Capabilities and Core competencies are developed  Support business and corporate level strategies  Decision makers look at various functional un its to see what is and isn’t working

5.  Have information about positive and negative aspects  Exploit Strengths  Changes in functional strategies can be used to counteract threats and weaknesses  Analyze, Decide, Act, Evaluate

7.  Goal-directed plans and actions of the organization’s functional areas  Help ensure that resources and capabilities are used efficiently and effectively  Three functional concerns ◦ Product ◦ People ◦ Support Processes

8.  Important strategic choice in R&D involves “who” ◦ Separate R&D of product designers, engineers… ◦ Cross-Functional team ◦ Something in between

9.  Important strategic choice in R&D involves “how” ◦ Formal/informal process for creating ideas ◦ Type and amount of research ◦ Use of product prototypes, test markets….

10.  Obvious for physical goods ◦ Toyota…  Less distinct for services ◦ Google…

11.  Main decisions includes how and where products will be produced.  Also includes: ◦ Designing layout, locations, capacity… ◦ Managing supply chain, inventory, planning…  Goal: ensure that products are available when, where, and how they are needed by customers.

12.  Managing the two “Cs” ◦ Customers ◦ Competitors  Other marketing strategies include: ◦ 4 Ps ◦ Differentiation ◦ Building strong brand

13.  HR strategies can contribute to performance ◦ Shows commitment to its employees  High-performance work practices lead to both high individual and organizational performance ◦ Organizational: improve knowledge, skills, and abilities ◦ Individuals: Increase motivation, reduce loafing, help retain quality employees

14.  HR Planning, recruiting, and staffing  Orientation and straining  Performance evaluation and disciplinary actions  Compensation and benefits

15.  Free meals from 11 on-site gourmet restaurants and snack rooms all over  An on-site fitness center  Five on-site doctors  On-site childcare.  A founders award, up to millions of dollars (literally), for new program ideas and designs.  Receive 1.1 million resumes a year with only 2,229 jobs available  Google ranked 1st on the 10th annual '100 Best Companies to Work For' list of Fortune  Is it to really attract and motivate the employees or a business motive?

16.  Information affects how effectively organizational members can do their work  Information is essential to making decisions and carrying out work duties  Corporate blogs are becoming more popular for getting information to outsiders

17.  Harrah’s Information System was improving knowledge about customer service impact  Getting the right information is critical to managing strategically  It is common to have many different Information Systems

18.  Critical in planning future strategies  Strategic decisions include: ◦ Choices about collecting and using financial and accounting data ◦ When and how to evaluate financial performance ◦ How financial forecasting will be done ◦ Equity or debt, long or short term

19.  Self checkouts and impulse buys  Qualitative and Quantitative for each functional area  Feedback is essential  What was done vs. what was supposed to be done  What changes need to be made  Google implementing tablet OS to combat iPad

20.  Self checkouts and impulse buys  Qualitative and Quantitative for each functional area  Feedback is essential  What was done vs. what was supposed to be done  What changes need to be made

21.  Google Android sales surpassed IPhone  AdWord Sales  No censorship in China ◦ Great Firewall ◦ Shaky access

22.  Must consider other organizational strategies compatibility  Organizations are systems  What will changes do to other departments? How will it change their functional strategy?  All resources must be pooled to obtain a strategic competitive advantage

23.  Consider other departments when implementing and evaluating other programs  When making strategic decisions, first consider functional strategies