LEADERSHIP and Strategy

1. LEADERSHIP andStrategy Prof.Dr.Aung Tun Thet

2. I am still learning. • That is an important mark of a good leader …. • To know you don’t know it all, and • never will

3. Education system • Ask students to tell us what we told them • Test them on our lectures • Feed it back to us to get good grades

4. Learning • Requires a balance of stress and comfort - high challenges low threat • Stress too much, anxiety shuts down opportunities for learning; too little, the brain becomes too relaxed and comfortable to become actively engaged • Relaxed alertness a state for optimal learning

5. Learning & Teaching Learning Teaching

6. Learning Styles Continuum Teller Authority Collaborator Helper Facilitator Trainer Input Participant Input Independent, Non-directive Dependent Collaborative

7. Learning Assumptions • We learn at different rates • We learn in different ways • We learn from different experiences

8. Learning Styles • Auditory learning: learn through listening • Kinesthetic learning: learn through , moving, doing and touching • Visual learning: learn through seeing

9. Tell Me, and I’ll remember for an hour, • Show Me, and I remember for a day, • But let me do it, • And I’ll remember for ever

10. Paradigm Shift

11. Thinking about strategy in a new way • Recognizing the inherently fluid nature of competition • Need for continuous, not periodic, leadership

12. 1950s • Strategy taught in the business schools • Identified as the most important duty of the CEO

13. CEO • Overarching responsibility for setting a company’s course • Seeing the journey through • Formulation and implementation • Thinking and Doing combined

14. Strategy • Not just a plan • Not just an idea • A way of life for a company

15. Strategy • Defines what a company will be • CEO’s greatest opportunity to outwit the competition • Greatest opportunity to shape the company itself

16. Strategy and Being

17. The most predominant question for a CEO • What kind of company do you want yours to be?

18. What do you want to accomplish by the time you are 40?

19. Two categories • What you want to have • What you hope to be

20. Companies • To claim value • Must first create value • Bringing something new, something customers want that is different from or better than what others provide

21. CEOs • Consider the world with their company versus • The world without it • The difference (if there is one) is the company’s unique added value • What is lost to the world if the company disappear

22. Company’s Purpose • Raison d’etre

23. Questions • If your company were closed, to whom would it matter and why? • Which of your customers would miss you the most and why? • How long would it take for another company to fill the void?

24. The Mission Dimension Long term sustainable comparative advantage Creation of value CEO and consultants CEO as chief strategist Unchanging plan, analytical process Organic process, adaptive, open-ended Intense formulation, Prolong implementation Everyday, continuous, unending Defending established strategy Defending established strategy

25. Purpose • Heart of strategy • Give direction to every part of the company • Define the nature of work done

26. A clear purpose • Businesses must have • People understand what kind of knowledge critical • What they have to learn to improve performance

27. Our purpose • Who we are • What makes us distinctive • What we as a company exist to achieve • What we are wiling and not willing to do to achieve it

28. Pixar • “to combine proprietary technology world-class creative talent to develop computer animated feature film with memorable characters and heart warming stories that appeal to audiences of all ages.”

29. IKEA • “A wide range of well-designed, functional home furnishing products at prices below that as many people as possible will be able to afford them.”

30. A compelling organizational purpose • Soul-searching • Left brain thinking • Right brain activity • Creativity and insight plus analysis

31. Purpose-driven strategy • No easy task • Keeping all parts of the company in proper balance while moving the enterprise forward

32. Strategy and the Strategist

33. Strategist job • Does not end once a carefully crafted strategy is ready for implementation • Never ends

34. Strategy • Difficult to specify all particulars • Countless contingencies cannot be fully anticipated • Limits to communication and mutual understanding • Involve some mystery

35. CEO – chief strategist • Interpret the mystery • Clarify a point • Translate an idea into practice • Refashioning an element of strategy • Strategy reformulation

36. Ryanair • Dublin-London market • Stiff competition from British Airways and Aer Lingus

37. CEO • Recognize strategic significance of issues raised • Opportunities contemplated • Translate purpose into practice • Open to the idea that the purpose need to change

38. IBM • No longer concerned with the invention of technology • Focus on application • From creating computer hardware to providing integrated iT services and solutions

39. CEO • chooses a company’s identity • Responsible for declining certain opportunities and pursuing others • Guardian of organizational purpose • Watch over the entity • Guide its course • Job cannot be outsourced

40. Strategy and Becoming

41. What is the strategist trying to achieve? • Conventional wisdom – sustainable long-term comparative advantage • Mistaking means and ends • Comparative advantage only part of a bigger story

42. Role of strategist • Not just getting the analysis right • Must be concerned with what happens afterwards

43. Changes • Inside and outside the firm • Not only big leaps but smaller ones

44. Greek mythology • Ship rebuilt plank after plank • As each decayed replaced by another • Until every plank changed • Is it the same ship? • At which point did the ship’s identity changed

45. Evolution of companies • Not by big restructuring • But decision year after year • Strategic advantage will change

46. Apple Computer • Original strategy – high-end differentiated personal computers • New strategy – passionate design company • Dropped Computer from its name

47. Strategy • CEO create and recreate reasons for company’s continued existence • Keep an eye on adding value and on changes – both inside and outside • Action and purpose • Crowning responsibility

48. CEOs • Recognize that strategies not set in stone • Should not be defensive

49. 1: Develop Strategy Define mission, vision & Values Formulate Strategy Strategic plan 5. Test & adapt strategy 2. Translate Strategy Define strategic` Objectives Select strategic initiatives Operations plan 4. Monitor & learn 3. Plan operations execute

50. Tool Kit • Develop the Strategy • Competitive Strategy • Comparative Advantage: Creating and Sustaining Superior Performance, 1998 • Michael E. Porter • Comparative Strategy: Techniques for Analyzing Industries and Competitors, 1998 • Michael E. Porter • “What is Strategy?” HBR, Nov.-Dec.1996 • Michael E. Porter • Profit from the Core: Growth Strategy in the era of Turbulence,2001 • Chris Zook and James Allen