Strategic Management of Al-Ghanim Industries: Analysis and Recommendations

Strategic Management

EXECUTIVE SUMMARY
Strategic management refers to the preparation of long-term objectives and goals for the
organization which also formulate the specific course of action for the achievement of those
goals. The strategic management is helpful for companies to attain a competitive advantage in
the global market. The report is related to strategic management of Al-Ghanim industries,
Kuwait and for that different types of analysis has been done to know about the competitive
position in the global market. In this regard, it has been identified that the company is keeping a
competitively strong position in the market due to brand image, quality products and better
customer relations. Hence, several recommendations have been provided for the management,
marketing and R&D department for the improvements and new strategies have also been
implemented for the expansion of businesses.

Table of Contents
1.0 INTRODUCTION................................................................................................................1
2.0 EXISTING VISION, MISSION, OBJECTIVES AND STRATEGIES....................................1
2.1 Company information............................................................................................................1
3.0 DEVELOPING VISION AND MISSION STATEMENTS FOR ORGANIZATION.............2
4.0 EXTERNAL ANALYSIS.........................................................................................................3
4.1 Recognizing an organization's external opportunities and threats.........................................3
4.2 Developing PESTLE analysis................................................................................................3
5.0 CONSTRUCTING COMPETITIVE PROFILE MATRIX (CPM)...........................................5
6.0 CONSTRUCTING AN EXTERNAL FACTOR EVALUATION MATRIX (EFE)................6
7.0 RECOGNIZING THE ORGANIZATIONS INTERNAL STRENGTHS AND
WEAKNESSES...............................................................................................................................7
8.0 CONSTRUCTING AN INTERNAL FACTOR EVALUATION MATRIX (IFE)..................8
9.0 RECOMMENDING LONG-TERM OBJECTIVES AND SPECIFIC STRATEGIES............9
9.1 Recommending long-term objectives....................................................................................9
9.2 Specific strategies to achieve long-term objectives...............................................................9
9.3 Comparing recommendations to actual strategies planned by the company.......................10
10.0 APPLICATION OF TWO MATRIXES...............................................................................10
10.1 Boston Consultancy Group Matrix (BCG)........................................................................11
10.2 Grand strategy matrix........................................................................................................11
11.0 SPECIFYING THE RECOMMENDATIONS FOR MANAGEMENT, MARKETING AND
R&D...............................................................................................................................................13
12.0 RECOMMENDING PROCEDURES FOR STRATEGY REVIEW AND EVALUATION
.......................................................................................................................................................14
13.0 CONCLUSION......................................................................................................................14

REFERENCES..............................................................................................................................16
List of tables
Table 1: External opportunities and threats of Al-Ghanim industry...............................................3
Table 2: CPM matrix for Al-Ghanim industry................................................................................5
Table 3: EFE matrix of Al-Ghanim industries................................................................................6
Table 4: Internal strengths and weaknesses of Al-Ghanim industries.............................................7
Table 5: IFE matrix for Al-Ghanim industry...................................................................................8
List of figures
Figure 1: BCG matrix for Al-Ghanim industries...........................................................................11
Figure 2: Grand strategy matrix of Al-Ghanim industries.............................................................12

1.0 INTRODUCTION
Strategic management is used by the organizations for the management of resources to
achieve the vision, mission and objectives (Freeman, 2010; Wheelen and Hunger, 2011; Eden
and Ackermann, 2013). It is also associated with the formulation and implementation of
strategies to attain the organization’s strategic intentions. In this regard, the current report is
based on the strategic analysis of Kuwait based Al-Ghanim industries. In this context,
environmental analysis has been carried out by using SWOT and PESTLE analysis. Further,
Competitive Profile Matrix (CPM), External Factor Evaluation (EFE) and Internal Factor
Evaluation (IFE) matrix have been constructed with regards to Al-Ghanim industries. Apart from
this, Boston Consultancy Group (BCG) and Grand strategy matrix have been applied for the
entire analysis of the company. At the end, appropriate recommendations have also been
provided for the growth of the businesses.
2.0 EXISTING VISION, MISSION, OBJECTIVES AND STRATEGIES
2.1 Company information
Al-Ghanim industries is the largest multinational sector of several privately-owned
companies of Gulf region, Kuwait. The company is operating the businesses since 1932 in
Kuwait and it has various branches in almost 40 countries. Further, Al-Ghanim industries
involve in 30 types of diversified businesses such as automotive, construction, media, FMCG
products, furniture etc. Moreover, it also deals in oil and petroleum, travel, retail, food and
beverages, insurance, engineering and other consumer services etc. (Al-Ghanim industries,
2018). Apart from this, the company is a market leader with diversified multinational
corporations and products. On the other hand, the company is offering high-quality products and
different new brands in the market involving ALGO elevators, Alaska air conditioners and
Wansa consumer electronics (Al-Ghanim industries, 2018). The company is affiliated with 300
international and regional brands along with brand partners involving Europcar, Honda, OREO,
Palmolive, American express etc.
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Vision- Vision of the company is to become more successful, victorious and affluent company in
the region as well as international level (Al-Ghanim industries, 2018). In this way, the company
is straightforward towards the vision by offering the diversified products.
Mission- The mission of the company is to deliver the remarkable values to stakeholders and
consumers with the help of consistent quality products. Moreover, for the achievement of vision,
the company is focused on empowerment, high performance and passionate teams in the
industries (Al-Ghanim industries, 2018).
Objectives and strategies- The objectives are helpful to create the firm more competitive in the
market (Scarborough, 2016). The Al-Ghanim has several specific objectives to achieve the
success and create value which are as follows-
 To be customer centered by offering the quality products and services
 To achieve the expected growth in the international market
 To emphasize the empowerment and teamwork for the achievement of vision and mission
 To maintain diversified and open cultural environment in the organization
Strategies- Currently Al-Ghanim is using different types of business strategies such as growth
revenues and constant improvement strategy etc. to attain vision, mission and objectives of the
company. Further, the company is committed towards the expansion strategy along with an aim
to enhance the retail industry in Kuwait as Assima mall which is a part of Assima project and
going to launch in the upcoming year (Al-Ghanim industries, 2018.).
3.0 DEVELOPING VISION AND MISSION STATEMENTS FOR ORGANIZATION
On the basis of existing vision, mission and objectives, the additional vision and mission
have been developed for Al-Ghanim in a strategic manner, so that company can expand the
business in other countries.
New Vision- To enrich the retail industry in Kuwait, bring international brands to Assima mall
along with a new vision for Arab employment.
New Mission- For the achievement of new vision, the company decided to commit the
expansion strategy for the diversified industries with the involvement of a skilled workforce.
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