Course syllabus

Strategic management

 

Course code: TEK017

Level: Advanced

Credits: 7.5 ECTS

Period: Quarter 2, Fall semester 2021

 

Department: Department of Technology Management and Economics

Examiner: Joakim Björkdahl

 

Responsible teachers: Professor Joakim Björkdahl (firstname.lastname@chalmers.se),  PhD Charlotta Kronblad and Professor Martin Wallin (firstname.lastname@chalmers.se)

 

Scheduled sessions: Block schedule A - Mondays and Wednesdays starting November 1. Check schedule for exact hours (and Canvas for updates and changes). 

Scheduled contact hours: Contact hours are provided, see Project Work.

Office hours: Preferably, please approach us directly after class sessions and during scheduled contact hours.

 

Purpose and course overview

The purpose of this course is to train students in strategy analysis. Strategy analysis deals with the identification of problems, options and solutions that improve firm performance. The course is concerned with decisions and actions that shape the future of firms by establishing, sustaining and enhancing the basis for their competitive advantage. The course will discuss fundamental strategy theories/models and illustrate their use through case discussions. The ultimate aim of the course is to help students work more effectively and successfully in their professional careers.

 

Learning outcomes

After completion of the course, the student should be able to

• Apply tools and theories of strategy analysis
• Analyze and devise plans for how business units create and sustain competitive advantage (i.e., business strategy)
• Analyze and define the scope of the firm (i.e., corporate strategy)
• Participate in strategic decision-making
• Convey insights from strategy analysis

 

Organization

The course is delivered with both synchronous and asynchronous elements. The course consists of individual preparations, study group sessions, class sessions, supervision sessions and project work focusing on the learning outcomes. The individual preparation is based on readings, and a set of case questions. You will work in a study group (self-selective groups of 5 students - sign-up on Canvas), where you will discuss and prepare for the class sessions. These groups will also function as project groups (hence, the same group constellations) for the project assignment.

 

Literature

Björkdahl, J. (2020). Strategies for Digitalization in Manufacturing Firms. California Management Review, 64(4), pp.17-37. https://doi.org/10.1177/0008125620920349

Casadesus-Masanell, R. and Ricart, J.E. (2010). From Strategy to Business Models into Tactics. Long Range Planning, 43(2-3), pp. 195-215. https://doi.org/10.1016/j.lrp.2010.01.004

Grant, R.M. (2019). Contemporary Strategy Analysis. Wiley, 10th edition.

Hacklin et al. (2018). Strategies for Business Model Innovation: How Firms Reel in Migrating Value. Long Range Planning, 51(1), pp.213-225. https://doi.org/10.1016/j.lrp.2017.06.009

Research articles can be downloaded from the provided links if you are connected to the Chalmers VPN. The book is available at Chalmers Store.

 

Examination

The examination consists of (a) written end-term exam (closed book exam), (b) written project work and participation at the final presentations, (c) individual preparation, and (d) participation in study group and class sessions.

 

Written end-term exam (max. 70 points):

January 12, 2022. The exam will be a closed book exam. To pass students need to acquire at least 28 points on the written end-term exam.

 

Written project work (max. 30 points):

Project work to be completed in groups of 5 students (study group). Information regarding project work to be found below.

 

Individual preparation:

Students must have conducted all the mini-case assignments. See information under class sessions.

 

Class session participation:

Class session attendance is mandatory. We follow a "grace-policy" and will allow students to miss up to three class sessions for any reason. Students that miss more than three sessions will be asked to submit a one-page reflection note (send to examiner within one week) on the material covered in the session reading and what was discussed in class (please contact another student). Failure to attend the final presentation of the project will result in two points being deducted from the project work (counted on an individual basis).

 

Grades:

Grades are allocated in the following way:

5: total number of points ≥ 80

4: total number of points ≥60 and < 80

3: total number of points ≥40 and < 60

Fail: total number of points < 40

 

Class sessions

The class sessions are focused on literature and cases. Information about literature and cases is provided in the Canvas Modules.

 

Individual preparation:

Before each class session, the student needs to conduct an individual case preparation (except from the first and last class sessions, and for the final presentations). The student selects one question per mini-case and writes half a page to one page of text to address the question. Hand-in through Canvas the day before class at 23.59PM at latest – no exceptions. See Course Summary or the modules for information which case is discussed in which class session. All cases are found in the course book except from Facebook and Ford (will be uploaded on Canvas).

 

Study group preparation:

The study group discusses all the questions provided for the case. This is a scheduled activity before the class session. Alternatively, the study group plans and discusses the questions at another time, but before the class session.

 

House rules for class sessions:
- Be on time
- Be prepared
- Be active

 

Project work

Deadline:

All tasks need to be completed and uploaded to Canvas no later than Wednesday December 8 at 5PM.

 

Organization:

• The work is carried out in teams of students
• Group formation is made on first day of class (Canvas – Student Group)
• The size of groups is limited to five students
• Respect the deadlines (see below, penalties apply for late submissions)

 

Final presentation:

On December 13, two experienced strategy consultants and directors will visit us. Some selected groups will present and discuss their strategies with the guests and the rest of the class. N.b. if a student is not present at the final presentation two points will be withdrawn from that student's project work (unless the student has a valid reason to not be able to participate).

 

Scheduled supervision sessions:

• The teaching team offers scheduled supervision sessions (two occasions) to provide input on the project work. Remember to come prepared to make the most of the time.
• The supervision will be conducted in two parallel Zoom-rooms in slots of 19 minutes.
• Supervision is not compulsory. However, if you are in need of supervision you can show up at the scheduled time slots.
• Log into Zoom a couple of minutes before it is your slot. Before it is your time you will be placed in a waiting room. When your time has ended, please log out from the Zoom-session.

 

Schedule supervision

Time (Nov. 17 and Nov. 24)	Joakim Björkdahl	Martin Wallin
10.00-10.19	Study group 1	Study group 10
10.20-10.39	Study group 2	Study group 11
10.40-10.59	Study group 3	Study group 12
11.15-11.34	Study group 4	Study group 14
11.35-11.54	xxx	Study group 16
13.15-13.34	Study group 5
13.35-13.54	Study group 6
13.55-14.14	Study group 7
14.30-14.49	Study group 8

 

Task:

• Your task is to conduct a strategic analysis of one publicly listed firm of your choosing. Suggestion: it is usually more rewarding to select a firm in an industry that is undergoing or is likely to undergo major changes due to e.g. new technologies, new entrants, globalization etc.
• The overall task is to identify key strategic challenges of the firm and propose actions that will improve the competitive situation of the firm (in short, “a new strategy”). To achieve this objective, you will need to (at least):
  • Analyze the current competitive situation in the industry using the Porter’s five forces model
  • Appraise the firm’s performance
  • Diagnose the sources of poor or good performance
  • Conduct a resource analysis and identify the firm’s current competitive dis-/advantage
  • Identify a desirable future competitive position that likely improves competitive advantage and firm performance
  • Devise actions (e.g., investments, divestments, resource/capability acquisitions, changes in degree of vertical integration, changes in business model etc.) that likely improve competitive advantage and firm performance
  • Set performance targets
• Remember that all actions should be backed up by data, analysis and supportive arguments. Detail and precision will be rewarded. Sloppy analysis and unsupportive conclusions will not be rewarded. Please ensure that you have used the appropriate frameworks and tools in your analysis.
• Remember that numbers are usually more meaningful when put in relation to something, for example by developing ratios (e.g., R&D spending over sales, gross margin etc.), sales or R&D spending compared to previous years, or market share compared to competitors.
• Remember to correctly cite sources.
• It may help to imagine you are presenting your analysis to the current owners or potential owners of the firm.
• We expect you to primarily draw on publicly available resources such as annual reports, trade journals/reports, industry reports, patent databases, financial databases etc., but you should feel free to interact with industry experts when that is possible/desirable. Digging out interesting/relevant data (qualitative or quantitative) will be rewarded.

 

Written hand-in:

• Your work will result in a report in the form an executive memo (4 pages, Times New Roman 12 single space, save as .pdf) supplemented with backup slides (max 50 slides, save as .pdf) that provides data, analysis and supporting evidence.
• Construct the executive memo in such way that a high-level executive understands the problem/issue at stake and is likely to adopt the suggested solution (meaning that the solution is appropriate, believable and actionable).
• A good executive memo synthesizes complex data into a succinct and coherent whole that allows a decision-maker in a few minutes of reading to understand the problem, supporting evidence and solutions. You will need to explicitly state not only the problem but also your findings. You will want to signal some of the pros and cons of your reasoning for change, and highlight your key findings and recommendations. The executive memo does not chronicle the story that lies behind the problem nor does it track the development of your research (you have back-up slides for that).
• The executive memo should make clear:
  • Who is the key stakeholder? Who is the audience and what is the intended use of the memo?
  • What is the problem or issue in terms of current strategy?
  • Why is change needed?
  • What are the strategic options/choices? What are your findings on this issue? Provide pros and cons of each option and summarize findings. As you introduce or describe the findings, you might also briefly summarize the methodology used to compile and examine the data.
  • How can the client/executive take action? Recommend primary course/s of action.
  • What are your supporting reasons for selecting or highlighting that course of action? You might introduce the recommendations with a “So what?” or central goal in mind. You might also include a timeline of action.
  • Why is this urgent? You may state urgency in a short concluding line or two.
  • Construct the supporting slides in such way that they can be read as a print-out, that is, the slide deck is not primarily a presentation document. In other words, you may use more words than you would usually do when making slides. Include a brief summary of the executive memo in the slide deck.
• N.b. you should not use the executive memo to demonstrate that you have completed all tasks outlined above (e.g., Porter analysis, resource analysis etc.). We expect you to use the backup slides for this purpose.

 

Grading:

Grading is based on the written hand-in.

 

Academic honesty: Students are expected to follow the Chalmers’ guidelines for academic honesty and integrity.