Strategic Management Tools and Analysis

The assignment focuses on analyzing different strategic management tools including PESTLE, Porter's Five Forces, SWOT, and VRIO. It delves into the application of these tools in developing effective business strategies. The text also discusses the importance of regularly using these tools for gaining market share and revenue generation. References to relevant books, journals, and online resources are provided for further exploration.

The different tools available to provide company
analysis

Table of Contents
INTRODUCTION...........................................................................................................................1
Different tools available to analyse company........................................................................1
Tools that are used..................................................................................................................1
Advantages and disadvantages of business tools ..................................................................3
Best combination of tools for a company...............................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
In this assignment, various tools that are available for the assessment of companies.
Furthermore, in this report there will be a description about all the tools which can help to
analyse any organisation’s current position and performance (Aldehayyat and et. al. 2011). In
addition, it is helpful to determine what steps should be taken by educational organisations like
Hamad Bin Khalifa Universities to further increase its value. Finally, the advantages and
drawbacks of these tools will be described in this assignment.
Task
Different tools available to analyse company
There are number of business assessment tools that can be used to analyse organisation’s
performance and provide idea to improve in the future. Some tools are as follows:
SWOT analysis: However, there are numerous analytical tools that can help to understand any
organisation’s environment. It is one of the most popular strategic model. Through this, small
and large enterprises can identify their strengths, weaknesses, opportunities and threats for its
firm. Once a company has identified all the above, it becomes able to increase its strengths and
do the things to reduce weaknesses. This analysis can give a clarity to examine performance of
enterprises (Frost, 2003). It can also be used as a regular review process and should be done time
to time.
Pestle analysis: This is a fundamental tool to plan business strategies. By using this,
environment of an entity and its impact on performance can be analysed. Pestle stands for
external factors which are affecting firm. These are political, economic, social, technical, legal
and environmental. It is the process to find long term effects on business performance. Further,
the analysis provides a new working direction to improve productivity.
Porter’s five forces analysis: This is easy but one of the most powerful tool to understand
competitiveness of business environment. Also, it is essential to know the potential profitability
of any company. The five forces that may prove to be very useful are competitive rivalry,
supplier power, buyer power, substitution threat and new entrant’s threat (Grundy, 2006).
Tools that are used
Hamad Bin Khalifa(HBKU) University was founded in 2010 and a member of Qatar
foundation for education, science and community development. It was founded to fulfil Qatar
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Foundation's vision of unlocking human potential. There is a big role of business analysis tools
in the success of this university. The detailed analysis of it is given below:
SWOT analysis: This analysis provides both internal and external strategic factors of Hamad
Bin Khalifa University (Strategic planning SWOT analysis. 2017). Internal factors cover
strengths and weaknesses whereas external factors involve opportunities and threats for the
institution (Roberta Greenspan, 2017).
Strengths: This university was formerly known as Bloomsbury Qatar Foundation and launched
in 2010. Its main strength are providing best practices and inviting innovation. It gives unique
local and international platform for literature, literacy, scholarship, discovery and learning. This
university have highly skilled lecturers and professors who are providing the best education to
students. The environment of this institute is also student friendly.
Weaknesses: The main weakness of Hamad Bin Khalifa University is not focusing on providing
latest study materials to learners. Furthermore, it has lesser books and knowledgable content in
library. In addition, it is underfunding in many departments and programs. It also lacks in getting
financial support. The growth process of the institute is uneven. It has inadequate resources for
recruitment, retention and advising.
Opportunities: It continues education for intellectual enrichment and for the people of all age
groups. In addition, it gives online opportunities worldwide. This university has opportunity to
build an undergraduate experience using the best practices from throughout the country. It has
internal and off campus study and exchange programs.
Threats: The main threats that are facing this educational organisation is reduced public funding
of higher education and it has risk of losing prominent faculty. Further, the growing competition
from nearby universities is also a threat for Hamad Bin Khalifa University (HBKU).
PESTLE analysis: Hamad Bin Khalifa University is an educational institute which offers world
class education and learning programs to students. It shows the success and profitability of this
entity. The five forces that provide highlights of the strategic reform of firm. These are given as
follows:
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Political: This factors affects university's image where it operates. The main political factor that
is affecting institution is changing governmental policies. Further, increased taxes also put
negative impacts as it unables funding process for HBKU. Additionally, British exit from EU
has an impact on this entity (Hamad Bin Khalifa University. 2017).
Economic: A downturn in the economy may negatively impact the institution's investment in
sustainable initiatives. Also, increased cost to ensure compliance is affecting the college. It has
opportunities for investments in environmental initiatives. Furthermore, forces spending on
environmental management is a huge positive impact on it.
Social: It includes risks like lack of sustainable development responsibility that may damage
institution's reputation if exposed. The opportunity for it is incentives to address environmental
issues.
Technological: It includes technology advancements and costs.
Legal: Hamad Bin Khalifa University should satisfy every legal and ethical requirements
(Rothaermel, 2015). These legal factors are expanded regulations, protection laws related to
environment and loop holes in patent laws.
Environmental: This factor includes enhanced biodiversity which is good for HBKU.
Additionally, the pollution risks, waste and nuisance are also damaging image of university.
Advantages and disadvantages of business tools
SWOT: Its main advantage is that it provides strategic planning to reverse the weaknesses and
maximise opportunities. Major drawbacks that cannot be controlled by management are
increased prices and economic environment.
PESTLE:
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Advantages:- it provides an easy framework for analysis and involves skills which are cross
functional. Additionally, it gives a mechanism that enables companies to identify new
opportunities.
Disadvantages: This process is required to be conducted on a regular basis and it is not possible
for entities to make many investments to conduct it. Furthermore, users can also oversimplify
information which is required for decision making.
Porter’s Five Forces:
Advantages: It gives direct assessment of strategic competitiveness of organisations like Hamad
Bin Khalifa University.
Disadvantages: The key issue of this analysis is to determine industries exactly. Another
problem associated with this analysis is the changing business dynamics.
Best combination of tools for a company
Each and every business tool is made to provide detailed analysis of companies. Entities
whether that are small or large use these tools to determine its strengths and weaknesses. It gives
a clear idea to the firms to determine its market position and profitability. The tools include
SWOT, PESTLE, PORTER’S five forces analysis. All of these are there to provide an
understanding of companies need to assess its profits, losses and let them to implement new
strategies towards getting more success and revenues (Ward, 2005). The best tools for analysis
are SWOT and PESTLE. Because by using just these two, an overall assessment of firms like
Hamad Bin Khalifa University can be done easily. Institutes that are small or even large need to
use these tools to establish itself as a known and more successful entity domestically and
internationally. However, other tools can also be used to major internal and external factors of
any company but above discussed two are the most powerful combination of business tools.
CONCLUSION
From the above report it can be articulated that there are various business analysis tools
available to provide a clear assessment about company’s strengths, weaknesses, numerous
opportunities and threats of new entrants in market. Furthermore, how the large educational
organisation Hamad Bin Khalifa University uses the tools and can improve further to gain shares
and generate revenues. Additionally, the best tools for this analysis are also have been discussed
((Jarratt and Stiles, 2010)). Overall it can be said that these tools are very useful if used carefully
and on the regular basis.
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REFERENCES
Books and journals
Aldehayyat, J.S. and et. al. 2011. The use of strategic planning tools and techniques by hotels in
Jordan. Management Research Review. 34(4). pp.477-490.
Frost, F.A., 2003. The use of strategic tools by small and medium‐sized enterprises: an
Australasian study. Strategic change. 12(1). pp.49-62.
Grundy, T., 2006. Rethinking and reinventing Michael Porter's five forces model. Strategic
Change. 15(5). pp.213-229.
Jarratt, D. and Stiles, D., 2010. How are methodologies and tools framing managers' strategizing
practice in competitive strategy development?. British Journal of Management. 21(1). pp.28-43.
Johnson, G., 2016. Exploring strategy: text and cases. Pearson Education.
Rothaermel, F.T., 2015. Strategic management. McGraw-Hill Education.
Ward, D., 2005. An overview of strategy development models and the Ward-Rivani
model. Economics Working Papers, June, pp.1-24.
Organizational Behavior (by Stephen P. Robbins, Timothy A. Judge)
PESTEL ebook: http://www.free-management-ebooks.com/dldebk-pdf/fme-pestle-analysis.pdf
PESTLE Analysis - Free Management eBooks
Porters Five Forces ebook: http://www.free-management-ebooks.com/dldebk-pdf/fme-five-
forces-framework.pdf
SWOT Book Chapter: https://www.ache.org/pdf/secure/gifts/Harrison_Chapter5.pdf
SWOT ebook: http://www.free-management-ebooks.com/dldebk-pdf/fme-swot-analysis.pdf
Team FME Strategy Skills PESTLE Analysis www.free-management-ebooks.com ISBN 978-1-
62620-998-5
VRIO book chapter: http://teaching.up.edu/BUS580/bps/Barney%20and%20Hesterly,
%202008,%20ch3_VRIO%20internal%20analysis.pdf
www.free-management-ebooks.com
Online
Hamad Bin Khalifa University. 2017. [Online]. Available through
<https://www.masterstudies.com/universities/Qatar/HBKU/>
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Strategic planning SWOT analysis. 2017. [Online]. Available through
<https://www.csustan.edu/sites/default/files/StrategicPlanning/documents/SWOT-
Analysis.pdf>
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