Organizational Strategy

Introduction1

Discussion2

GE's Core Competences And Capabilities2

Technology3

Customer Focus and Integrated Solutions3

Global Presence3

Value Chain Analysis4

Primary Activity:5

Support Activities5

Problems That Engulfed The Corporate In 20097

Real Options Approach To Strategic Planning8

Real Options Approach Assist And Improve Strategic Planning9

Value-To-Cost Metric9

Volatility Metric9

Complexity Theory10

Strategic Options10

Strategic Option-0110

Franchisor Strategies10

SWOT Analysis Of Franchisor Strategy12

Strengths12

Weaknesses12

Opportunities12

Threats12

Strategic Option-0212

Product Development Strategy12

SWOT Analysis Of Product Development Strategy13

Strengths13

Weaknesses13

Opportunities13

Threats13

Strategy Implemented By Using The Balanced Scorecard (Bs)13

Strategies Meeting Rumelt's Criteria14

Conclusion15

References16

Appendices18

Organizational Strategy

Introduction

General Electric is one of the most popular and well known companies of the 20th century. The company has grown under the leadership of most influential CEO Jack Welch and Jeff Immelt. One of the key towards the success of this company is because of its combination of massive size adaptation on a constant basis. According to the changing world's demands and opportunities, the company over the decades has adopted the business portfolio based on these two requirements respectively. The company was founded because of the Thomas Edison's Electric Light Company merger. The system of corporate management in GE is based on the strategic business units and analysis regarding portfolio. The company analysis has become the model for many of the corporations having operations on a diversified basis. There was a lot of opportunity after applying the profitable organic growth within the company.

The reconfiguration takes place around the two core portfolios of business. The one is infrastructure and the financial services provided on the specialty basis. The strategies being implemented in the company also reoriented the goals of performance of GE towards the growth of revenue. The basic core competences of GE are innovation and technologies, focus towards the customers and presence on a global level. One of the core competitive advantages associated with GE is the six sigma initiation within the company. GE finds all its strength in diversity which is prevailing in the company.

Discussion

GE's Core Competences And Capabilities

In the literature of management, the idea related to core competence was being introduced by the two business academics, C.K. Prahalad and Gary Hamel in the year 1990. According to them, in the organization collective learning is the core competency. It is especially visible in the production skills of how to get things or manage things that are diverse and at the same time, integrating the technologies multiple streams. In core competence, across the boundaries of organization, involvement, communication along with the deep commitment in favor of working is carried out.

In views of Hamel and Prahalad, there are following three types of tests that are applied in order to determine the core competence. The tests are:

Towards the markets wide variety a potential access is being provided by the core competence.

Secondly, a significant contribution is being made by the core competence in the ways towards the perceived benefits of the customers of the end product.

Finally, it is way difficult for the competitors to imitate the core competence. The reason behind this test is that, regarding the technologies of individuals and the skills of production, it is a very complex harmonization ...