Strategic Management - Strategy evaluation

Strategic Management

Table of Contents
INTRODUCTION...........................................................................................................................3
Critical assessment of the process used by Marks and Spencer to determine their strategy...........3
Evaluation of Critical models and tools which Marks and Spencer can use to determine their
strategy.............................................................................................................................................4
Application of these tools to Marks and Spencer............................................................................7
Importance of Change Management based on Complexity of the transformation process, its cost,
sustainability and risk......................................................................................................................8
RECOMMENDATION.................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Strategic management is a concept that provides overall direction to company by setting
goals, objectives, policies and plans. Through effective strategic management company can gain
competitive advantage over its competitors and achieve their goals (Nerur, Rasheed and Pandey,
2016). The project is based on Strategic management which includes external and internal
environment factors that impacts on strategy and also the application of different models and
framework are evaluated in context of an organisation. For accomplishing this report, the chosen
company is Marks and Spencer, it is a retail company which deals in home, food and clothing
products. It was founded in 1884 by Thomas Spencer and Michael Marks in London, England.
COVID 19 has created a huge impact on the profitability and production of business due to
which they closed several stores and cut the jobs of Employees. The other services which are
provided by Marks and Spencer are Bank, Energy and Opticians.
Critical assessment of the process used by Marks and Spencer to determine
their strategy
Strategy is a plan of action which is designed in order to accomplish the goals and
objectives of Company. Marks and Spencer frames a strategy by setting goals and priorities so
that they can mobilise resources to execute the actions (Balkovskaya and Filneva, 2016). It is
important for the organisation to develop business strategy as it helps in creating vision and
direction for Marks and Spencer. Strategy provides details about how managers must respond to
change in business environment. It redefines the direction towards common goals and also
maximise the chances of Marks and Spencer to achieve the set objectives.
Purpose: The purpose of Marks and Spencer is to inspire and engage the customer to visit their
shops worldwide and enhance the lives of millions of people.
Vision: The Vision of Marks and Spencer is to deliver high quality products to its customers
which can be measured by its competitor’s products.
Mission: Marks and Spencer is built core values, innovation, quality, service and trust. The
mission of Company is to offer aspirational quality of products and services to customers
through the range and depth of its products.
Objectives: The main objective of Marks and Spencer is to build sustainable business by
profitable growth and consistency so that they can meet accountability to wider stakeholders.

In order to run the business in effective manner, it is necessary to develop strategy that
includes the purpose, mission, vision and objectives as it provide direction to organisation for
achieving competitive edge in Market. Through effective strategy company can develop
specialised plan to outperform the competitors. So, by identifying the purpose, vision, mission
and objectives of Marks and Spencer, employers and employees can collectively work together
for achieving the goals and objectives of business.
Evaluation of Critical models and tools which organisations can use to
determine their strategy
The Model which can be used by Organisations in order to determine their strategy is
VRIO Framework. VRIO Stands for Valuable, Rarity, Imitability and Organized. VRIO
Framework is a strategic tool that helps in evaluating and assessing the resources of an
organisation and determines its strategic competitiveness (Fernandes and et. al., 2017).
Valuable:
The Valuable element represents that organisation must have some strategies and
resources that can grab the opportunities and defend the firm from threat.
Rare:
Rare includes the resources which are uncommon and different from other companies.
When the resources are rare and valuable it helps in giving competitive advantage.
Imitable:
Imitable means when resources are expensive they are hard to imitate for other
companies to acquire.
Organisable:
The resources of organisations organised if they are supported by structure, processes and
culture of Firm.
Resource
Capabilities
Valuable Rare Imitable Organisable
Employees of
Organisation
YES YES NO YES