Week 9 Journal

Week 9

1)      In your own words and using referenced quotes describe what is meant in strategy by the` Resourced – Based View`?

2)      How might you undertake “internal strategic analysis”? What model would you apply and why? Where would you go to find the information you need?
3)      Talk about your group video work. How it is going so far? Do you have a plan? What are you most worried about the moment? What is going well?!

Answers

1)      Every organization has its own capabilities and skills distinctive with their competitors in making strategy. These capabilities and skills are internal to the organization and can be viewed as resources to the organization. These resources are unique and help organization to gain competitive advantages over the competitors.

Thus, resourced based view of strategy is the competitive advantage of an organization which is explained and justified by the distinctiveness and uniqueness of its capabilities.

Resourced based view of strategy focuses on the resources and competencies. Resources are the assets that organizations have (partners, suppliers, intermediaries, customers) and Competencies are the way those assets are deployed effectively.

2)      Different analytical tools can be used for conducting internal strategic analysis in organization. Analytical tools such as resource and competence analysis, VRIN and financial analysis, value chain analysis, McKinsey Seven S analysis are found widely used among the organization. Among above analytical tools I will prefer to use VRIN. VRIN analysis focuses on assessing sustainable competitive advantages over a period. VRIN stands for value of strategic capabilities, rarity, inimitability and non substitutability.

Strategic capabilities help to grab the opportunities and eliminate threats, provide competitive advantage by creating value among the customer.

Rarity explains the rare capabilities the organization possessed and explains how this capability helps in assessing competitive advantage.

Inimitability refers to the capabilities that are difficult to imitate or obtain by other competitors. These capabilities can be in terms of unique resources like key individual, systems or the way these individual and system are deployed.

Non substitutability, focus on gaining competitive advantage by minimizing the threat of substituting.

With assessing these four key components organization can built effective internal strategy and gain competitive advantages over the competitors.

3)      For group video, we have formed a group of five members. Our group members include Narayan Sapkota, Prasant Timilsina, Bicky Gauchhan, Saurav Sahahi and I Bipin lamichhane. Our group video assessment will be about the two giants in telecommunication industry in Nepal, Nepal Telecom Corporation and NCELL.

Nepal Telecom Corporation is a semi government organization, partially owned by government and partially by public, whereas NCELL is private owned organization. We have decided to use about three analytical tools which include both internal and external tools. These tools are PESTLE, McKinsey 7`s and SWOT analytical tools.

We all members of the team are working hard and tasks to be done are equally distributed. Last, Wednesday we all managed to visit these organizations and gather important information from the staff. After gathering information we are now analyzing this information so we can put on our PowerPoint slides.

Time is limited and things to be done are pouring which worry for us but I hope we cope with it.

Thank you. 

References

·         Robert Kaplan and David Norton (3^rd Edition, 2000). The Strategy- Focused Organization. Harvard Business School Press.

·        C. Walsh, Master the Management Metrics That Drive and Control Your Business, 4th rev. edition, FT/Prentice Hall, 2005.