Section 3 - Strategic context for Business Analysis (7.5%)

Question 1

What is strategy?

Answer 1

How an organisation intends to behave to get the best outcome in the given world place with the resources available

Question 2

Why do organisations have a strategy?

Answer 2

• Something to aim for + measure against
• Proof an organisation knows what it is trying to achieve long term

Question 3

What does strategy need to take account of?

Answer 3

• Society
• Legislation
• Technology
• An organisation’s place in the world
• The way people are employed

Question 4

From what 4 places does strategy normally develop from?

Answer 4

• Individual: owner, founder or figurehead
• Shared Experience: internal management team
• Collective: organically grown from employee opinion, wider than SE
• Planned: formally constructed piece of work, scoped and funded

Question 5

Where is power normally sourced from?

Answer 5

• Dependency: more important departments
• Financial Resources: control of funding
• Position:
• Uniqueness: can anyone else do the work they do?
• Uncertainty: known safe pair of hands

Question 6

What is PESTLE analysis?

Answer 6

An external impact assessment on an organisation
A checklist to prompt thinking not an outputted document

Question 7

What does PESTLE stand for?

Answer 7

Political: changes in policy, politicians + government
Economic: macro-economic issues
Socio-cultural: customer behaviour, fashion + trends
Technological: advances in technology
Legal: changes in legislation
Environment: impact of the natural environment

Question 8

What is VMOST analysis?

Answer 8

• Analyses organisational existence within current context and future direction
• Links day to day activities to intent
• Can be used for the whole organisation or individual units
• Small, more specific elements as progress through VMOST

Question 9

What does VMOST stand for?

Answer 9

Vision: often company wide, intent
Mission: of ten company wide, the how of the vision
Objective: what you want to achieve, mission broken down
Strategies: make objectives happen, wider plan
Tactics: make objectives happen, actions

Question 10

What are CSFs?

Answer 10

Critical Success Factors must be achieved for objectives to be achieved

Question 11

What are KPIs?

Answer 11

Key Performance Indicators are specific measures indicating CSFs have been achieved

Question 12

When are CSFs and KPIs used?

Answer 12

At all levels e.g. project level as well as organisational level

Question 13

What SWOT analysis?

Answer 13

A method of organising the outputs of internal and external analysis. Generally more focused on internal analysis

Question 14

What does SWOT analysis stand for?

Answer 14

Strengths: From internal analysis
Weaknesses: From internal analysis
Opportunities: From external analysis
Threats: From external analysis

Question 15

What are the 5 key contextual issues to consider when executing strategy?

Answer 15

1. Time: what is the pace of change needed?
2. Scope: How big is the change required?
3. Capability: Able to make the change?
4. Readiness: Ready or willing to change?
5. Strategic Leadership: Is leadership behind the change?

Question 16

What is the business model canvas?

Answer 16

• Enables you to check all elements of an organisation are considered when strategic change is made
• Checklist tool

Question 17

What are the elements of the Business Model Canvas?

Answer 17

• Key partners: Who? Resources + activities are required?
• Key activities: Activities the value proposition + channels require
• Key resources: Resources the value proposition + channels require
• Cost structure: Costs of key resources, partners + activities
• Customer segments: Who are he customers?
• Value propositions: Value offered?
• Channels: Communication methods?
• Customer relationships: Types? Improvement?
• Revenue streams: What? How profitable?