CH13: Strategic Leadership and Knowledge Management-m
Leadership effectiveness
- to be able implement or execute a plan or vison
Internal weaknesses
- what can be improve, what is done badly , what to avoid negative factor on propose plan
Internal strength
- what do you do well, assessing factors within organization have positive impact on implementing plan, analysis of external environment - use own judgment and knowledge people
Strategy formulated by leader
-Differentiation -cost leadership, to produce with low cost -Focus or niche -focus=specific region market or buyer group, and find a niche( something special , extra, your product -high quality- than others -Imitation- with a lower price -strategic alliances= virtual corporation often uses high tech company, two company combine to have more opportunities with a product Microsoft/ Facebook - growth through acquisition- to buying other, or old companies helps finish a product - high speed, product get on market fast -product and global diversification- Having variety of products is good acquire many smaller brands, brand reputation, being green
Strategic planning
-Lead to the statement of goals and objectives and the choice of strategy, -Often is strategic plan and then strategy- Intuition and judgment is more important
Have 3 components
-knowledge creation to supra innovation - knowledge dissemination sharing info for potential users -knowlage application- getting workers better at what they do.
To think strategically
-need of high level congerstive skills , think conceptually, absorb and make sense of multiple trends, use info into plan of action=system s thinking
leader
-problem-solving , imagination, conceptual process, To be able finder and develop alternative - be revolutionary -vision
What are 3 characteristics of strategic leadership
1. High-level cognitive ability on the part of the leader 2. Anticipating and creating a future 3. Revolutionary thinking
What are the 3 components of knowledge management?
1. Knowledge creation 2. Knowledge dissemination 3. Knowledge application
Strategic leaders use many different types of business strategies, including the following:
1. differentiation, 2. cost leadership, 3. focus or niche, 4. high quality, 5. imitation, 6. strategic alliances, 7. growth through acquisition, 8. high speed and first-mover strategy, 9. product and global diversification, 10. sticking to core competencies, 11. brand leadership, 12. focus on environmental sustainability, and 13. competitive advantage through hiring talented people.
Formulate strategy
Exp, meeting about new vision for company, keep current on company issue, benefit to build morale by contribution of workers to decisions, travel to other countries to see different in products
A retailer targeting poor people is an example of the strategy called
Focus
The first-mover strategy deals with
Getting to the market first
Imagine yourself as the CEO of a large business firm whose sales are declining rapidly. A superior act of strategic leadership would be for you to
Give the company a new strategic direction
A carefully considered vision statement
Helps us know who we are and who we are not
To implement the strategy of competitive advantage through hiring talented people, the company's leadership should
High talented, well-motivated people throughout the firm
Knowledge management
deals with a cultural focus on knowledge sharing. managing knowledge is an important leadership role because so few organizations make systematic use of the collective wisdom of employees
Strategic Leadership
emphasizes balancing the short-term and long-term needs of the organization to ensure the enduring success of the organization. Strategic leadership is the process of providing the direction and inspiration necessary to create or sustain an organization.
Strategic planning:
encompasses those activities that lead to the statement of goals and objectives and the choice of strategy.
A sampling of business strategies formulated by leaders: environment
focus on environment sustainability and being green
A sampling of business strategies formulated by leaders: strategic alliances
form alliances or share resources with other companies to exploit a market opportunity.
A sampling of business strategies formulated by leaders: high speed and first-mover strategy
get products to market quickly because the competition might get there first or might deliver a product or service more rapidly.
Transactional leadership and learning
improves and extends existing knowledge and is associated with exploitative innovation or learning ways to make improvements in existing products, services, or processes.
A sampling of business strategies formulated by leaders: brand leadership
succeed through developing the reputation of a brand name
Essential components of knowledge management
team learning action learning learning from failure encouraging continuous experimentation political skills to make connects with and influence others
A sampling of business strategies formulated by leaders: focus or niche
the organization concentrates on a specific regional market or buyer group.
Characteristics of Strategic leadership: revolutionary and contrarian thinking
think strategic breakthroughs and radical innovations. a key component of strategy is deliberately choosing to be different.
What are the five components of strategic leadership?
thinking at a cognitively high level; gathering multiple inputs from many sources; anticipating and creating a future; adopting a revolutionary or contrarian outlook; creating a vision
Characteristics of Strategic leadership: high level cognitive activity of the leader
thinking strategically requires high-level cognitive skills, such as the ability to think conceptually, absorb and make sense of multiple trends, and condense all of this information into a straight forward plan of action.
Gathering Multiple Inputs to Formulate Strategy:
Many strategic leaders arrive at their ideas for the organization's future by consulting with a wide range of interested parties, in a process similar to conducting research to create a vision.
SWOT analysis
Method of considering internal strength and weakness ands external opportunities and threats in a particular situation
Reinvesting an industry
New product, capturing another point of market, squeezing costs place= incrementalism
The purpose of a SWOT analysis is to assess
Strengths, weaknesses, opportunities, and threats
These components enhance a learning organization
Supporting learning environment concrete learning processes and practices leadership that reinforces learning create a strategic intent to learn create a shared vision employees who are empowered to make decisions
A major responsibility of a chief knowledge officer is to
Systematically collect information
External opportunities
assess socioeconomic, political, environmental, and demographic factors among others to estimate what benefits they may bring to the organization
External threats
assess what possible negative impact socio economic, political, environmental and demographic factors may have on the organization
Internal Strengths
assessing factors within the organization that will have a positive impact on implementing the plan.
Knowledge management has three components:
Knowledge creation, Knowledge dissemination, Knowledge application
The most frequent activity in knowledge management is
Knowledge dissemination
Peter and his teammates engage in action learning when they
Learn while attacking a significant organizational problem.
Strategic Leadership has 5 Components:
1. the high-level cognitive activity by the leader, 2. gathering multiple inputs to formulate strategy, 3. anticipating and creating a future, 4. revolutionary and contrarian thinking, and 5. creating a vision.
Vison
A carefully considered and articulated vision helps us know who we are and who we are not. The vision also points to what we do successfully and what we do not, which activities we should take on and which to avoid. In companies that believe in visions and strategic goals, all activities throughout the company are supposed to support the vision and goals.
Knowledge management (KM)
A concerted effort to improve how knowledge is created, delivered, and applied. When knowledge is managed effectively, information is shared as needed, whether it be printed, stored electronically, or rests in the brains of workers.
Anticipating and Creating a Future:
A major component of leadership is direction setting, which involves anticipating and sometimes creating a future for the enterprise or organizational unit. To set a direction is also to tell the organization what it should be doing.
SWOT Analysis
A method of considering internal strengths, weaknesses, and external opportunities and threats in a given situation.
Strategy
An integrated, overall concept of how the firm will achieve its objectives.
Learning Organization
An organization that is skilled at creating, acquiring, and transferring knowledge and at modifying behavior to reflect new knowledge and insights.
A major aspect of direction setting by the leader is to
Anticipate and create a future for the firm
Revolutionary and Contrarian Thinking
Aspect of business strategy that insists that a key component of strategy is deliberately choosing to be different. Being different sometimes refers to having an expansive and elegant concept of the future of a business. Contrarian thinking is when the leader rejects conventional wisdom.
External threats
Assed negative impact , EVERY alternative, thing ahead, do contingency plan What obstacle do you face, what is competition doing, specification for your job, product , is technology will help you
External oportunities
Assed socioeconomic, political; and democratic factor among others what benefit they can bring, look at new trends ,change technology, social pattern, lifestyle
strategic leadership
Balance between short- long need, provide direction and inspiration top create or sustain an organization
According to the strategy called the Hedgehog concept, a company succeeds by
Becoming very good at one thing
Leadership Effectiveness and Strategy Implementation
Carefully crafting a strategy and vision is not sufficient for its effectiveness. The strategy and vision must also be implemented or executed by the leader/manager.
To achieve best results, advanced technology for knowledge management should be
Combined with an organization culture that values knowledge management
A company with a strategy of high quality typically
Combines quality with another strategy
A major leadership initiative for enhancing a learning organization is to
Create a strategic intent to learn
When a company is founded, a major strategic tasks of the founder is to
Define the purpose of the organization
A company engages in the brand-leadership strategy when it
Develops the reputation of its brand name
Leadership component p. 416
Direction setting, he must anticipate and forecast future, create condition that do not all ready exist ( product won't be used in the future), like Nike, Reebok, IPad , use 20-30% devote time to plan the future
A sampling of business strategies formulated by leaders: imitation
Initiate the best. Wait for the right time to introduce a lower-priced competitor.
The recommended approach for strategy formulation by the leader is for him or her to
Involve large numbers of people
Long -term thinking
Key part of strategy, leader first define purpose ( intuition)
An organization's strategy is its
Overall concept of how it will achieve its objectives
A major purpose of strategic leadership is to
Provide direction and inspiration in an organization
The internal weaknesses in SWOT analysis refer to the
Risks of pursuing a particular course of action
An important characteristic of revolutionary and contrarian thinking is strategy is that the strategy
Seriously challenges the status quo
Strategic Leadership
The process of creating or sustaining an organization by providing the right direction and inspiration. Emphasizes balancing the short-term and long-term needs of the organization to ensure the enduring success of the organization.
A key part of knowledge management in organizations is
The systematic sharing information
High-Level Cognitive Activity:
Thinking strategically requires high-level cognitive skills, such as the ability to think conceptually, absorb and make sense of multiple trends, and condense all of this information into a straightforward plan of action. The ability to process information and understand its consequences for the organization in its interaction with the environment is often referred to as systems thinking.
Strategic Planning
Those activities that lead to the statement of goals and objectives and the choice of strategy.
Transformational vs. Transactional
Transformational leaders tend toward encouraging exploratory innovation, whereas transactional leaders tend toward encouraging exploitative (increments in what already exists) innovation.
In relation to an organization, systems thinking refers to
Understanding how the organization interacts with the environment.
A sampling of business strategies formulated by leaders: differentiation
a differentiation strategy seeks to offer a product or service that the customer perceives as being different from available alternatives.
Characteristics of Strategic leadership: anticipating and creating a future
a major component of leadership is direction setting, which involves anticipating and sometimes creating a future for the enterprise or organizational unit. a truly visionary leader anticipates a future that many people do not think will come to pass.
A sampling of business strategies formulated by leaders: growth through acquisition
a standard strategy for growth is for one company to purchase others. growth in size is important, but companies may also purchase other companies to acquire a new technology or complete a product line.
A sampling of business strategies formulated by leaders: sticking to core competencies
become very good at one thing in a world of companies that spread themselves into many areas where they lack depth. Do not stray form company mission and strategy.
A sampling of business strategies formulated by leaders: competitive advantage through hiring talented people
build the organization with talented, well-motivated people at every level
strategy
concept how the firm will achieve its objects
What are the three levels of business strategies?
corporate -- "what business are we in"; business -- "how do we compete"; functional -- "how do we support the business-level strategy
Characteristics of Strategic leadership: creating a vision
create a shared vision that will motivate organizational leaders to perform well. all activities throughout the company are supposed to support the vision and goals.
Knowledge management has three components
knowledge creation: spur innovation; knowledge dissemination: through IT where info is consolidated in one place so it is more assessable ; knowledge application: process of getting workers better at what they do. Works best in an organizational culture that values knowledge and encourages its dissemination
What are the three components of knowledge management?
knowledge creation; knowledge dissemination; & knowledge application
______ is the concerted effort to improve how knowledge is created, delivered, and applied.
knowledge management
Knowledge management and the learning organization
knowledge management (KM) is a concerted effort to improve how knowledge is created, delivered, and applied. Managing knowledge helps create a learning organization.
Systems thinking
leader helps organization members regard the organization as a system in which everybody's work affects the activities of everybody else.
A _________ organization is skilled at creating, acquiring, and transferring knowledge - and - at modifying behavior to reflect new knowledge and insights.
learning
knowledge management(KM)
learning organization helps create, how knowledge is delivered
Internal weaknesses
looking at factors within the organization that could have a negative impact on the proposed plan.
Characteristics of Strategic leadership: gathering multiple inputs to formulate strategy
many strategic leaders arrive at their ideas for organization's future by consulting with a wide range of interested parties, in a process similar to conducting research to create a vision
A sampling of business strategies formulated by leaders: product and global diversification
offer a variety of products and services to sell across borders to enhance market opportunities.
A sampling of business strategies formulated by leaders: high quality
offer goods or services of higher quality than the competition does.
Learning organization
one that is skilled at creating ,acquiring, and transferring knowledge and at modifying behavior to reflect new knowledge and insights.
Leadership Effectiveness and Strategy Implementation
part of being a leader is to implement a strategic initiative.
A sampling of business strategies formulated by leaders: cost leadership
produce a product or service at low cost in order to lower the selling price and gain market share
SWOT analysis
represents an effort to examine the interaction between the particular characteristics of your organization or organizational unit and the external environment, or marketplace, in which you compete.
Chief knowledge officers
seek to disperse human skills, intuition, and wisdom throughout the firm and convert them into innovations
Transformational leadership and learning
transformational leadership behaviors contribute significantly to encouraging workers to pursue exploratory innovation. An exploratory innovation deals with finding new products, services, processes, or technology
