STRATEGIC MANAGEMENT PROCESS/VISION, MISSION, GOALS AND OBJECTIVES
To begin the MGT599 SLP sequence, you first need to first run the simulation using the Default Decisions. In other words, use the prices and R&D percentages that are already there (do not change any decisions made by Joe Thomas).
Capture or collect the results for each product (W1, W2, and W3) for each year that you run the simulation. Copy (using Excel, by hand, or some other method) the financial results and marketing results, as well as the information provided by your Advisor.
Read the following scenario carefully before you proceed:
It is December 31, 2016. Joe Thomas, the VP of Marketing at the Wonder Company, is smugly patting himself on the back for how well he has done with pricing and product development of the three company products: W1, W2, and W3. Of course, Joe knows his strategy was not creative at all (i.e., he did not change any prices or R&D allocations over the past five-year period: 2012 through 2016). But he is certain that he really did not need to change anything anyway, and that his overall performance is proof of his good work.
Sally Smothers, the CEO of Wonder Co., knows better, and she fires Joe (but why did she wait so long?).
On the same day Joe is fired, you are hired to replace him. And so…here you are, on December 31, 2016, as the new V.P. of Marketing of the Wonder Company. You are ready to move the company ahead into 2017. Your boss, Sally Smothers, expects you to make intelligent and informed product development and pricing decisions (after all, you are an MBA).
Session Long Project
Write a 6- to 7-page paper (not including cover and reference pages), using Sally’s instructions, which follow:
Sally asks you to review Joe’s decisions from 2013 through 2016 to see what was going on in terms of product development, sales, pricing, and performance. Your final report is due on Sally’s desk by January 15, 2017 – you have only 2 weeks to run the simulation, analyze your results, and write up the report, so you had best get started on this now!
Using the default decisions (i.e., make no changes within the simulation), analyze Joe Thomas’s decisions and results, and then write the report that Sally is requesting. Access the Wonder Company simulation and collect the data for each year. Determine where you believe Joe went wrong, and propose a new strategy. Support your revised strategy using financial analysis and relevant business theories.
KEYS TO THE ASSIGNMENT:
The key aspects to this assignment that are required to be covered in your paper include:
- A review of each product – W1, W2, and W3 – its life cycle, and how each product stacks up in terms of price and performance.
- Financial review of each product – W1, W2, and W3 – sales, costs, profitability, prices, unit margins, etc.
- Market review: New Sales, Repeat Sales, Market Saturation, etc.
- Propose an alternate strategy: A general idea of how you might do better with these products: what pricing and R&D allocations, etc., you would have put in place over the last four years, 2013 – 2016. In short, what would you have done differently than Joe Thomas at each decision point? Be specific.
SLP Assignment Expectations
Your paper will be evaluated using the grading rubric.
TIPS AND SUGGESTIONS:
Please note the following tips and suggestions:
- Include a cover page and reference page, in addition to the 6-7 pagesof written analysis described above.
- Use section headings as appropriate. Use graphs, charts, or figures strategically – but do notuse these as “space fillers.” Include large tables or graphics in an Appendix instead.
- Cite and reference all sources that you use in your work, including those that you paraphrase. This means include citations and quotation marks for direct quotes, and citations for that information which you have “borrowed” or paraphrased from other sources.
- Follow TUI Guidelinesfor well-written papers.
NOTE: Throughout the SLP sequence, you will be asked to make business decisions under conditions of incomplete information and uncertainty. To do so effectively, you will need to make assumptions based on what you have learned throughout the MBA program as it relates to the ways in which markets operate. To this extent, you need to rely on models, financial analysis, and theories from such classes as Organization Behavior, Economics, Finance, Accounting, and Marketing. In addition, the simulation will give you some additional market information as you progress.
Be sure that you draw explicitly on concepts and theories from the courses you have taken throughout the MBA program. That means you must “think like an MBA” and use the various data you are given. You will have to crunch the numbers and present your data analysis professionally by creating some simple tables, charts, and graphs.