Business Strategy: BMW's Mission, Vision, Objectives, and Core Competencies

Businesss Strategy

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 BMW mission, vision, objectives, goals and core competencies role in Strategic planning:
................................................................................................................................................3
1.2 Factor considered for the formulation of strategy plan....................................................6
1.2 Factor considered for the formulation of strategy plan:...................................................7
1.3 Ways to evaluate effectiveness of techniques used while developing strategic plans: ...9
TASK 3..........................................................................................................................................10
3.1 The appropriateness of alternative strategies relating to market entry, substantive growth,
limited growth, or retrenchment for a given organisation:...................................................10
3.2 Selection of a strategy....................................................................................................11
TASK 4.................................................................................................................................12
4.1 Roles and responsibility for strategy implementation:-..................................................12
4.2 Resource requirements for implementing a new strategy..............................................14
4.3 Evaluate the contribution of SMART targets to the achievement of strategy
implementation in a given organisation...............................................................................15
Conclusion.....................................................................................................................................16
REFERENCES..............................................................................................................................18

INTRODUCTION
Business strategy of a company is a very important aspect of its existence and success. A
business strategy is formulated to fulfil a purpose, achieve a goal. It is derived in order to
organisation to achieve short term and long term goals with efficiency and higher rate of
productivity. It is vital for an organisation in running its operations successfully(Auzair, S.,
2011). It is one of the most important activity which is undertaken by the management as to
develop a strategy which describes about the path that has to be followed by the employees to
achieve the targets set. Business strategies do not provide total protection from the uncertain
future but they enhance organisation capability to deal with the situation. Different factors
impacts organisation internal and external environment that is why reviewing business strategy is
very important for an organisation. As this facilitate top management in adding required policies
in the strategy to immune it from the market shocks. The prime target of business strategy is
divided into two parts:
 Goal Achievement
 Gaining Competitive Advantage and stability.
Organisation such as BMW group who is a market leader in luxury car segment is a
German manufacturer. It is listed on Euro Stoxx 50 market index. It owns mini cars and is the
parent company of Rolls Royce motors(Astrachan, J.H., 2010). This report is based on the
strategies adopted by the BMW for better growth in future.
TASK 1
1.1 BMW mission, vision, objectives, goals and core competencies role in Strategic planning:
Strategy planning is a process which is undertaken by management of the company as to
determine strategy, allocate resources and set direction for the better achievement of goals and
objectives. It sets the future path which will be followed by the organisation as to achieve set
goals and objectives of the organisation(Burlton, R., 2010). It is important for knowing the
current situation of the organisation as to forecast about the possible future condition. It is
necessary activity to conducted as to initialise the movement of resources in the orChang, T.C.
and Chuang, S.H., 2011Dong-Hun, L., 2010ganisation. Strategic planning is made up of some
major components and without those components it will not be possible to prepare a strategic
plan:

 Vision: It is a statement which states about the organisation long term goal or about the
idea for which an organisation came in the existence. It states about what an organisation
wants to be in the future or where it wants to operate or 1.2 Factor considered for the
formulation of strategy plan
 In the organisation the basic need to perform the task is the strategy. That has to
be made by the leader and manager of the organisation. According to this strategy the
goal and objective have to be set for the different departments or team in the organisation.
So preparing the strategy is very important for the organisation productivity. For the
organisation productivity manager have to make and prepare the effective strategy for
generating the profit for the company(Hsieh, Y.H. and Chen, H.M., 2011). In making the
strategy for the organisation there are several thing that have to be considered while
making the strategy of the business these are as follows:
 Confusing strategy with the strategic plan: Some of the employees get confused that
what are their task that to be achieved by them. There is lack of communication between
the manager and the employees. Their main aim to communicate the objective and goal
of employee is that they have to achieve those targets for the organisation. They have to
motivate them for their performance in the organisation. These will help in making the
proper coordination between the manager and employees.
 Detachment of reality: Manager have the evaluate the every factor which will affect the
strategic formulation. If these factor is not analysed and evaluated then they will not be
able to make the effective strategy for their organisation. The evaluation will show the
reality about the factors that will help in making the effective strategic planing in the
organisation(Liedtka, J., 2010). It is important to make the effective planing so that it will
give the effective result to the business.
 Lack of ownership: Lack of ownership is a concept which states that the strategy is
formulated with the joint efforts of a team hence nobody actually have any ownership in
the strategy. Top management is made up of many personnel which include the promoter
of the company as well as the board of directors. Everyone plays an important part in
developing a strategic plan which makes it a team effort.
 Industry: There are a different type of business firm in the company. When the strategy
has been planing that time the type of strategy have to be in the mind. If the strategy are