Chapter 4 - Resource Audit

Question 1

Competences

Answer 1

Resources we possess, and how we deploy

Question 2

Critical Success Factors (CSF)

Answer 2

Components of strategy where organisation must excel to outperform competition

Question 3

4 sources of CSF

Answer 3

• Industry
• Company
• Wider environment
• Temperal (time)

* KPIs underpin CSF

Question 4

Product Life Cycle

Answer 4

• Introduction
• Growth
• Maturity
• Decline

* want balance of products

Question 5

Porters Value Chain

Answer 5

Secondary Activities

• Firm infrastructure - hierachy, centralised?
• HR management - recruitment, training, processes
• Technology development
• Procurement

Primary Activities

• Inbound logistics
• Operations
• Outbound logistics
• Marketing + Sales
• Service

Question 6

Value Network

Answer 6

Set of inter-relationships necessary to create goods/services

Question 7

Value Shop

Answer 7

Primary

• Problem finding
• Problem solving
• Choose solution
• Execution
• Control/Evaluation

* Secondary activities same as value chain

Question 8

9 M’s Model

Answer 8

• Manpower
• Management
• Mangement information
• Make-up - culture
• Money
• Materials
• Machinery
• Methods - processes e.g. JIT, TQM
• Markets

Question 9

Strategic Fit

Answer 9

Having the right reosurces to take advantage of opportunities

Question 10

Manpower (9M’s)

Answer 10

• Skills/Experience/Qualifications
• Attitude/Motivation - theory X/Y
• Staff turnover
• Flexibility - terms of employment / Handy’s shamrock

Question 11

Money (9M’s)

Answer 11

• Cash/Cashflows - ratios
• Bank facilities - overdraft / fees
• Credit rating
• Gearing

Question 12

Management (9M’s)

Answer 12

Manpower +

• Future - foresight, forecatsing, trends, delphi, visioning, 3 real options

Question 13

Machinery (9M’s)

Answer 13

• Age/obsolete?
• Business critical?
• Land/building - owned/leased?
• Location
• Technology
• Brand/Patent, reputation (intangibles)

Question 14

Markets (9M’s)

Answer 14

• Spread/no. markets - risk management tool
• Growth
• Marketing - PR / Public image

Question 15

Materials (9M’s)

Answer 15

• Quality
• Availability / Stock holding
• Supplier relationships / Leadtimes
• Cost - variances/obsolete?

Question 16

Methods (9M’s)

Answer 16

• Processes - JIT/TQM
• Outsource

Question 17

Make-up (9M’s)

Answer 17

• Centralisation
• Functional / Matrix

Question 18

Strategic fit

Answer 18

Having right resources to take advantage of opportunities

Question 19

Core competencies

Answer 19

Not easily imitated or obtained by competition

• provide competitive advantage