Chapter 3

Total Quality, Competitive Advantage, and Strategic Management

 

Strategic Planning:  envision the organization’s future and develop the procedures to carry out that vision

Strategy:  pattern of decisions that determines and reveals a company’s goals, policies, and plans

 

1.  Quality and Competitive Advantage

                 Explain the six characteristics:

                   

 

 

 

                Summarize what PIMS researchers found out:

 

 

 

                Explain figure 3.1

 

 

                Explain Crosby's quote on  page 102.

 

                        Flawless Isn't Enough (102)

 

 

                Explain the finding of the General Accounting Office (103-105)

 

 

2.  Sources of Competitive Advantage

        Cost Leadership

 

 

        Differentiation

 

 

        People

 

 

3.  Quality and Differentiation Strategies

 

        Competing on Superior Product Design

 

 

                The Role of TQ in Product Design

 

 

        Competing on Service

 

 

                The Role of TQ in Service

 

 

        Competing on Agility

 

 

                The Role of TQ in Agility

 

 

        Competing on Innovation

 

 

                The Role of TQ in Innovation

 

 

        Competing on Time

       

 

                The Role of TQ in Time Competitivenes

 

4.  Information and Knowledge

 

        Explain how these characteristics impact competitive advantage.

 

 

5.  The Strategic Management Process:  10 to 20 years in the future and developed by top management

                A.  Strategy development:

                               

                                Strategic Planning Process

                                1.  Mission

                                2.  Vision

                                3.  Guiding principles

                                4.  Strategy Developemnt

                                5.  Action plans

 

                Searching for Strategy 

B.  Strategy Implementation:

                Hoshin:  policy deployment

                Figure 3.4

                Policy deployment is different that MBO…

 

6.  Strategic Management in Action

                A.  Stroh Brewery

 

                B.  Branch-Smith Printing Division

 

                C.  Solectron

 

 

Cases

 

Rotary Compressor

 

Stroh Brewery

 

Strategic Bottleneck

 

Corryville Foundry Company

 

 

Gray Boxes

Maverick (111)

US Airways (112)

Sending Old Designs... (119)

Dominos (120)

Data will set you Free (121)

Drivers (124)

Strategy (129)