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Chapter Thirteen: Strategic Leadership and Knowledge Management

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210 views16 pages

Chapter Thirteen: Strategic Leadership and Knowledge Management

Uploaded by

dominique babis
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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CHAPTER THIRTEEN

Strategic Leadership
and Knowledge
Management
Learning Objectives

• Describe the nature of strategic leadership.


• Explain how to use the SWOT model to
assist in strategic planning.
• Identify a number of current business
strategies.
• Describe how leaders contribute to the
management of knowledge and the learning
organization.

Copyright © by Houghton Mifflin Company, Inc. All rights reserved 13 - 2


The Nature of Strategic Leadership

• A key leadership role is to form a strategy


• Strategic leadership is the process of
providing the direction and inspiration
necessary to create, to provide direction to,
or to sustain an organization
• Strategic management refers to the process
of ensuring competitive fit between the
organization and its environment

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Components of Strategic Leadership

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Strategic Planning

• Strategic planning encompasses those


activities that lead to the statement of goals
and objectives and the choice of strategy
• Strategic planning often takes the form of a
SWOT analysis

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SWOT Analysis

• Represents an effort to examine the


interaction between the particular
characteristics of an organization or
organizational unit and the external
environment
• The four components of SWOT analysis
include: Strengths, Weaknesses,
Opportunities, Threats

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Examples

• Strengths: Favorable location, talented


workers, state-of-the-art equipment
• Weaknesses: Unfavorable location,
outdated equipment, limited capital
• Opportunities: Culturally diverse customer
base, changes in technology, deregulation
• Threats: Ecommerce, declining market, new
competitors

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Business Strategy Levels

• Corporate-level strategy asks, “What


business are we in?”
• Business-level strategy asks, “How do we
compete?”
• Functional-level strategy asks, “How do we
support the business-level strategy?”

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Sample Strategies

• Differentiation
• Cost leadership
• Focus
• High quality
• Imitation
• Strategic alliances
• Growth through acquisition

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Sample Strategies

• High speed and first-mover strategy


• Global diversification
• Sticking to core competencies
• Brand leadership
• Conducting business on the Internet
• Peoplepalooza (competitive advantage
through hiring talented people)

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Knowledge Management and
the Learning Organization
• Knowledge management is the systematic
sharing of information to achieve such
goals as innovation, nonduplication of
effort, and competitive advantage
• A learning organization is one that is skilled
at creating, acquiring, and transferring
knowledge, and at modifying behavior to
reflect new knowledge and insights

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Where Corporate Knowledge Lives

Source: “Knowledge Management User Survey 97,” Copyright © 1997 Delphi Group (www.delphigroup.com), p. 14, as
adapted and published in Michael Hickins, “Xerox Shares its Knowledge,” Management Review, September 1999, p. 42.
Copyright © by Houghton Mifflin Company, Inc. All rights reserved 13 - 12
Initiatives to Enhance
Organizational Learning
• Create a strategic intent to learn
• Create a shared vision
• Develop systems thinking
• Encourage personal mastery of the job

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Initiatives to Enhance
Organizational Learning (cont’d)
• Encourage team learning
• Encourage action learning
• Learn from failure
• Encourage continuous experimentation
• Encourage creative thinking

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Summary

• Strategic leadership deals with the major


purposes of an organization or
organizational unit
• Five important components of strategic
leadership include high-level cognitive
ability, multiple inputs to strategy
formulation, anticipating and creating a
future, revolutionary thinking, and creation
of a vision
Copyright © by Houghton Mifflin Company, Inc. All rights reserved 13 - 15
Summary

• Strategic planning often takes the form of a


SWOT analysis
• Strategic leaders use many different types
of business strategies
• Leaders must help their organizations adapt
to the environment by taking initiatives to
create a learning organization

Copyright © by Houghton Mifflin Company, Inc. All rights reserved 13 - 16

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