Internal Analysis Models

Question 1

What is SWOT?

Answer 1

• Strengths (internal)
• Weaknesses (internal)
• Opportunities (external)
• Threats (external)

Question 2

What two strategies do you begin value chain analysis with?

Answer 2

• Cost leadership - benefit from economies of scale but only room for one cost leader
• Differentiation - invest in R&D for innovation, size of market may affect scales (too small) or interest players (large)

Question 3

What are the primary activities (these create value)?

Answer 3

• Inbound logistics -activities concerned with receiving, storing and distributing the inputs to the product
• Operations - transform various inputs into final product
• Outbound logistics - collecting, storing and distributing the final product
• Marketing and sales informing customers about the product, persuading them to buy it, and enabling them to do so
• Service - after sales services such as installation, repair, training and customer service.

Question 4

What are support activities (enable primary activities to take place with maximum efficiency)?

Answer 4

• Procurement - the processes for acquiring the various resource inputs to the primary activities - not the resources themselves
• Technology development - all value activities have a technological content, even if it is just ‘know how’
• Human resource management - involves all areas of the business and is involved in recruiting, managing, training, developing and rewarding people within the organisation
• Infrastructure - refers to the systems of planning, finance, quality control, information management as well as sustaining the culture

Question 5

What is Ansoff’s Matrix?

Answer 5

Looks at relationship between new & existing products vs new & existing markets.
- Existing market, existing product - market penetration
- New product, existing market - product development
- New market, existing product - market development
- New product, new market - diversification

Question 6

What are the two forms of diversification?

Answer 6

• Related - involves integrating activities in the supply chain
• Unrelated

Question 7

What is vertical forward integration?

Answer 7

Toward the customer marketplace.

Question 8

What is vertical backward integration?

Answer 8

Toward the source of supply.

Question 9

What are the 3 components of the ethical test?

Answer 9

• Transparency: does the company mind about others knowing the decision?
• Effect: whom does the decision hurt?
• Fairness: would the company’s decision be considered fair?

Question 10

What does ESG stand for?

Answer 10

• Environmental: climate change, waste
• Social: human rights, diversity & inclusion, health & safety
• Governance: board accountability, shareholder engagement, anti-bribery & corruption

Question 11

What is Lewin and Schein’s Iceberg Model (for change)?

Answer 11

• Unfreeze - triggering the change
• Move - making the change
• Refreeze - consolidating the change

Question 12

What is a change agent?

Answer 12

A change agent can be used to drive and ‘sell’ the change.

Question 13

What are the stages to follow when developing and implementing a new information system?

Answer 13

• Analysis: identify needs of system
• Design: design new system
• Programming: outline specifications to programmers
• Testing: ensure requirements have been met
• Conversion: migrate existing data to system
• Implementation: user training and on-going maintenance