Chapter 2 Strategic Leadership: Managing the Strategy Process Flashcards
(47 cards)
Executives’ use of power and influence to
direct the activities of others when pursuing
an organization’s goals.
Strategic Leadership
A conceptual framework that views
organizational outcomes—strategic
choices and performance levels—as reflections of the values of the members of
the top management team.
upper-echelons theory
A conceptual framework of leader-
ship progression with five distinct, sequential
levels.
Level 5 Leadership Pyramid
Makes productive contributions through
motivation, talent, knowledge, and skills.
Level 1: Highly Capable Individual
Uses high level of individual
capability to work effectively
with others in order to
achieve team objectives.
Level 2: Contributing Team Member
Is efficient and effective in organizing
resources to accomplish stated goals
and objectives. Does things right.
Level 3: Competent Manager
Presents compelling vision and mission to
guide groups toward superior performance.
Does the right things.
Level 4: Effective Leader
Builds enduring greatness through a combination of willpower and humility.
Level 5: Executive
The part of the strate-
gic management process that concerns the
choice of strategy in terms of where and
how to compete.
Strategy Formulation
The part of the strategic management
process that concernsthe organization, coordination, and integration of how work gets done, or strategy execution.
Strategy Implementation
Stand-alone divisions of a larger conglomerate, each with their own profit-and-loss responsibility.
Strategic Business Units (SBU’s)
A statement that captures an organization’s purpose and aspiration. It spells out what the organization ultimately wants to
accomplish.
Vision
A stretch goal that
pervades the entire
organization with a
sense of purpose.
Strategic Intent
defines a business in terms of a good or service provided.
Product Oriented Vision Statements
defines a business in terms of providing solutions to customer needs—for example, “We provide solutions to professional communication needs.”
Customer-Oriented Vision Statements
Description of
what an organization
actually does—the
products and services
it plans to provide, and
the markets in which it
will compete.
Mission
Statement of principles to guide an organization as it works to achieve its vision and fulfill its mission, for both internal conduct and external interactions; it often includes explicit ethical considerations.
Core Values Statement
Ethical standards and norms that govern the behavior of individuals within a firm or organization.
Organizational Core Values
Method put in place by strategic leaders to formulate and implement a strategy, which can lay the foundation for a sustainable competitive advantage.
Strategic Management Process
A rational, data-driven strategy
process through which
top management
attempts to program
future success.
Top-Down Strategic Management
Strategy planning
activity in which top
management envisions
different what-if
scenarios to anticipate
plausible futures in
order to derive strategic responses.
Scenario Planning
Incidents that describe
highly improbable but
high-impact events.
Black Swan Events
The strategic option that top managers decide most closely matches the current
reality and which is then executed.
dominant strategic plan
Strategy process in which organizational structure and systems allow bottom up strategic initiatives to emerge and be evaluated and coordinated by top management.
Strategy as planned emergence
