Strategic Management - Strategy evaluation

Strategic Management -
Strategy evaluation

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Assessment of the process used by M&S to determine their strategy........................................3
Critical evaluation of tools and models and application used by M&S to determine their
strategy........................................................................................................................................4
PESTEL analysis of Marks and Spencer ...................................................................................4
VRIO analysis of Marks and Spencer ........................................................................................6
Importance of change management based on the complexity of transformation process, its
cost, risk and sustainability.......................................................................................................10
Conclusion.....................................................................................................................................11
REFERNCES:................................................................................................................................12
Books and Journals:..................................................................................................................12

Introduction
Strategies are essential part of any business because it helps to analyse the path to achieve
organisational aims and objectives. It is essential that organisational strategies are made after
analysing internal and external environment of the business (Dzwigol, 2020). It is also
compulsory that those strategies will made for a business which provide benefits to organisation
as well as for employees. Marks and Spencer (M&S) is a retailing company which is based in
London, UK. It is founded in 1884 by Michael Marks and Thomas Spencer. They are famous for
their clothing brand. The following file covers assessment of the process used by M&S to
determine their strategy, critical evaluation of tools and models used by M&S to determine their
strategy, application of tools and models within an organisation and at the end this file covers
importance of change management based on the complexity of transformation process, its cost,
risk and sustainability.
Main Body
Assessment of the process used by M&S to determine their strategy
It is essential that organisation will focus on their vision, mission and objective
formulation in a better ways because these can help to develop the idea and opportunities to
formulate good strategies which is beneficial for the company. In context of Marks and Spencer,
their managers and senior authority focuses to reach their purpose, mission and vision on time.
Purpose of Marks and Spencer- Their main purpose is to maintain the sustainability of
their business in profit earning and increasing their productivity. This purpose will help them to
make strategies that how their workforce and their available resources will gain more
productivity and profitability for the company. With the help of their purpose they focus to hire
skilled employees and they manage their resources by distributing to those employees who know
well to utilize them perfectly for organisational benefit.
Mission- The mission of M&S is to provide quality products to their customers and gain
good reputation in the market. This mission of Marks and Spencer helps them to determine their
strategies by focusing on quality check and customer perception value for their products in the
market. They make strategies on their quality check that they have to test quality of their
manufactured product on daily basis. For analysing their customer perception they formulate

strategies to conduct research and surveys on regular basis by sending feedback forms to their
customers (Mittal and Sridhar, 2021).
Vision- Vision of Marks and Spencer is to gain that value and standard where other business will
measure their performance with them. In short they mainly target to lead the market. According
to their vision, they made strategies for analysing the ways by which they can increase their
profit earning ratio and gain competitive advantage. For this they focuses to serve good services
to their customers and they charge lower prices for their products as compared to their
competitors.
Objectives- Objectives plays an essential role in strategic management (Honda and et. al.,
2019). Their objectives are divided into four parts and they are explained below-
 To maintain the quality of products.
 To provide good services to customers to achieve competitive advantage and good brand
image.
 To adopt innovative strategies for growth.
 To gain the trust of customers by their products and services and build a good customer
relation.
The above mentioned objectives helps to determine strategies for Marks and Spencer like
to maintain good quality of products they make strategies to test the quality for particular amount
of products on daily basis. For providing good services to their customers they train their
employees and promote their performance for their motivation. To gain trust of customers they
make strategies to solve the issues of customers as soon as possible regarding their brand and
make sure that they will provide after services to their customers which takes place after
purchasing the product.
Hence, it is critically evaluated from the above mentioned information that mission,
vision, purpose and objectives provide a clear direction to the company and their employees that
how they have to work to achieve their organisation aim on time and gain more profit.
Critical evaluation of tools and models and application used by M&S to determine their strategy
PESTEL analysis of Marks and Spencer
 Political Factors: Brexit has changed the retail industry of UK. One significant impact of
Brexit is that it makes acquisition and retention of European talents more difficult who

BSc (Hons) Business Management Top up
BMP6002
Strategic Management
Strategy Evaluation
Contents
Introduction p
0

A critical evaluation of the value of clear purpose, vision,
mission and objectives in setting the strategic direction of
organizations using examples from selected organization
p
Assess the competitive advantage of the selected
company, using the VRIO framework p
Using PESTLE framework analysing the external
environment of the selected business p
Application of the Porter’s Five Forces Model for the
selected organization p
A review of the selected organisation’s strategy p
Conclusion p
References p
1

Introduction
Organizational strategy is somewhat meant by evaluation of right policies and
framework that would help the business to accomplish success and stability in the
market environment. It is important that businesses formulate right organizational
strategies that best suits the business environment. An organizational strategy might
differ to businesses, business environment and the geographical area where the
business is operating. Before formulation of the organizational strategies, a business
evaluates different macro and micro environmental factors to set effective business
strategies. The chosen business organisation for this report is Marks & Spencer
which is a global retailer founded in the year 1884 by Michael Marks and Thomas
Spencer. The company is headquartered in London, United Kingdom and founded in
Leeds, United Kingdom. The revenue of the business as per the year 2020 is
recorded as 1,018.19 crores GBP. In the context of Marks & Spencer this report
delivers the purpose, vision, mission and objectives of the organisation, analyzing
the competitive advantage in the strategies taken by the organisation, macro
environment analysis, Porter five forces model for analyzing the industry
Attractiveness and competitiveness, Lastly the report delivers the organizational
strategies of the business (Ambrosini, Jenkins and Mowbray eds., 2015).
A critical evaluation of the value of clear purpose, vision,
mission and objectives in setting the strategic direction of
organizations using examples from selected organisation
Marks & Spencer Mission statement defines that what is the business all
about. Mission statement delivers the organizational objectives and goals and
includes information of the business values. Marks & Spencer defines its chief
business revenue maker as clothing and food sector. The financial goal of the
business is to render value to its shareholders by increase returns, sales and market
share. The value and belief of the business defines to deliver value to the customer
so that the customer see Marks & Spencer as ideal place for special food and
clothing produced and delivered by covering the quality standards (Barca, 2017).
Thus,
2

The vision of the business is to be the standard against which others are measured.
The vision statement of the business highlights to use differentiated strategy and add
freshness, quality and innovation.
The mission of the business is to deliver uniform quality of output which is
accessible to all. Marks & Spencer defines the corporate social responsibility in the
mission statement and consider value stakeholders needs. Marks & Spencer
highlights that the business follows strong corporate social responsibility and it is
looking to ensures corporate social responsibility at every level of the business
functioning (Bettis and et.al., 2015).
The value of the business is quality, value, service, narration and reliability.
Key objectives:
Employee orientation: Marks & Spencer considers employee as the integral part of
the business foundation and success. The association believes that high
expectations and productive staff contributes more towards organizational
objectives. The association focuses for delivering professional development
opportunities for the employees in order to retain and motivate high caliber working
staff in order to accomplish efficiencies and improve business performance.
Organizational Focus: Marks & Spencer focuses on developing leadership in
clothing and specialty food in the external business environment. In order to
accomplish the organizational objectives, the business focuses for translating their
skills and authority into superiority quality, value and appeal (Bondarenko and et.al.,
2017).
Sales objectives: The business focuses to improve its return on sales per foot as
operational objectives. Marks and Spencer uses regressive marketing approaches
for promoting its brand in both online and brick and mortar stores. Apart from that the
association focusses on establishing the products diversification strategies to
enhance its sales performances.
3