Programme: BSc Hons International Hospitality Management Course Title: STRATEGIC MANAGEMENT

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1 Programme: BSc Hons International Hospitality Management Course Title: STRATEGIC MANAGEMENT Course Code: STMT 401 Scheduled for semester: One Prerequisite/s: Nil Credit hours: 3 Co-requisite/s: Nil Nominal Contact Hours: 48 Hours Breakdown: Lectures, Tut/Sem 48 Directed Learning Self Managed Learning, Project/s & Assignment/s Exam/s 2 Total Course hours: 137 Lecturer/s: Dr. Ivan Ninov Tel Ext: 5149 Lecturer s address Rationale: STMT 401 is a capstone course, which integrates much of what students have learned until now from a functional discipline perspective (marketing, finance, human resource management etc.) and applies that knowledge to the study of sustainable competitive advantage Teaching Philosophy During this course my main goal as a teacher will be to stimulate students learning, thinking, and inquisitiveness. Students critical thinking, analytical and problem-solving skills will be further developed through challenging tasks and projects. Students will not only learn the knowledge and the theories behind strategic management, but will be able to apply them and use them in real life business situations. In order to incorporate this application the course will include several experiential exercises. All students will be treated equally, with fairness and respect. They will benefit from the time spent in class and will be able to use the acquired knowledge in their future careers Aims: STMT 401 is a course about strategy and about viewing the company from a global perspective rather than at a functional business level. Students will examine the formulation, implementation, and evaluation of strategies in tourism and hospitality firms and apply the conceptual frameworks to specific situations. The major responsibility of students in this course is to make objective strategic decisions and to justify them through oral and written communication. This is a learning-by-doing course. Through the combination of lectures, readings, experiential exercises, case studies, and class participation, this course will introduce you to critical and effective strategic analysis, thinking, and communication. Contribution to Graduate Profile: 1. Students will develop a detailed understanding of the environment in which hospitality organizations operate 2. Students will develop the skills to conduct a detailed strategic analysis of hospitality organizations 3. Students will develop the skills to formulate strategies that can be used by hospitality organizations to achieve a sustained competitive advantage 4. Students will develop the skills to design the implementation of a specific strategy within a hospitality organization STMT 401 Fall, 2013 Page 1

2 Specific Learning Outcomes Knowledge: Upon completion of this course, students will know how to: LO 1. Summarize the importance of strategy and determine what makes (and keeps) companies competitive. LO 2. Learn how to apply the strategic management model to specific business organizations. LO 3. Define key concepts and terms related to strategic management. Skill Upon completion of this course, students will be able to demonstrate: LO 1. Evaluation of the relative competitive strengths of companies within an industry. LO 2. Evaluation of a company s vision and mission. LO 3. Evaluation of a company s value chain and how this can shape the competitiveness of an organization. LO 4. Evaluation of the various internal and external environmental factors that have an influence on the strategies used by tourism and hospitality businesses. LO 5. Appraisal of different potential strategic options. LO 6. Evaluation of the implementation of different strategic options. Autonomy and Responsibility Competence Upon completion of this course, students will be able to state the following reporting, regulating or ethical considerations: LO 1. Conduct a full strategic analysis of a hospitality organization and present it in a written format LO 2. Conduct a full strategic analysis of a hospitality organization and present it in front of an audience Self-Development Competence Upon completion of this course, students will be able to demonstrate the need to continually research and up skill the following areas: LO 1. Learn how to research and find important strategic information which can be used in the strategic decision making process LO 2. Learn how to identify and use only relevant information which is of great importance to the strategic decision making process Role in Context Competence Upon completion of this course, students will be able to effectively contribute to the following activities or endeavours: LO 1. Act as strategic management consultants to hospitality/business organizations LO 2. Contribute to the strategic decision making process in hospitality companies and organizations STMT 401 Fall, 2013 Page 2

3 Transferable and Employment Skills SKILLS PRACTICED TAUGHT ASSESSED 1. Written Communication X X 2. Verbal Communication X X 3. Commercial Awareness X X X 4. Problem Solving X X X 5. Networking X X 6. Planning and Organising X X X 7. Numeracy X X X 8. Computer Literacy X X 9. Time Management X X X 10. Research X X X 11. Team Work X X X 12. Leadership X X X 13. Negotiating 14. Customer Service STMT 401 Fall, 2013 Page 3

4 Indicative Content Week Hours Topic Content Reading 1. 4 Introduction to the Overview of strategic management, the Chapter 1 course strategic management model 2. 4 The business vision and mission Importance of vision and mission statements, the process of developing Chapter 2 Quiz 1 vision and mission statements 3. 4 The external assessment The nature of external audit Porter s five forces, CPM Matrix, EFE Matrix Chapter 3 Quiz The internal assessment The nature of an internal audit activity map analysis, value chain analysis, IFE Matrix Chapter 4 Quiz 3 5. EID Project work No classes Individual Preparation 6. 4 Strategies in action Integration strategies, intensive strategies, diversification strategies, defensive Chapter 5 Quiz 4 strategies; Porter s generic strategies 7. 4 Strategy analysis and choice Strategy formulation framework, SWOT Matrix, SPACE Matrix, BCG Matrix Chapter 6 Quiz Strategy analysis and choice Implementing strategies Implementing strategies Strategy Evaluation Student Presentations IE Matrix, Grand Strategy Matrix, QSPM Matrix Matching structure with strategy, management issues, production/operations issues Matching structure with strategy, Marketing, finance/accounting, R&D, MIS issues; Strategy Evaluation Chapter 6 Quiz 6 Chapter 7 Quiz 7 Chapter 8 + Chapter 9 Quiz 8 Group Presentation Due on November 21 st Strategic Analysis Chapter 9 Individual project due on November 24 th at 9 am Strategic Analysis Student Presentations 13. Final Exam Comrehensive, Chapters 1-9 Location-Auditorium Teaching and learning strategies The course involves a combination of lectures, case studies, video material discussions. These classes will be supplemented with both printed and electronic learning materials. Additional readings and assignments will be handed out in class as needed. The workload consists of case preparation, class participation, group case studies, individual case studies and a group project with presentation. Format, Policies and Procedures The course will be delivered using lectures and seminars, enabling important strategic management issues in the tourism and hospitality industry to be discussed among participants. This will be combined with realistic case study materials and articles, with the emphasis placed on student - centered learning. Guest lecturers will be arranged where possible. STMT 401 Fall, 2013 Page 4

5 Students are responsible for the completion of all reading assignments prior to class. Prior preparation is important for meaningful classroom discussions. Students are expected to assist in maintaining a classroom environment which is conducive to learning. In order to assure that all students have an opportunity to gain from the time spent in class, students will be prohibited from using cell phones, making offensive remarks, sleeping, chatting, online reading of any non-class related materials, instant messaging, or engaging in any other form of distraction. Inappropriate behaviour in the classroom will result in, at least, a request to leave class. Students are expected to arrive on time for class and remain the entire class period. Time allotted for work on case studies can be used for this purpose only. Habitual lateness and/or leaving the classes early (for whatever reasons), are evidence of very low commitment and will not be tolerated. Any student who, because of a disabling condition, may require some special arrangements in order to effectively meet course requirements should contact the instructor at the beginning of the semester to make necessary accommodations. Attendance Attendance for this course is compulsory. If a student receives 3 unexcused absences he/she will be automatically withdrawn/failed from this course. Assessment Your grade in the course will be based on both your individual and group efforts and performance. Coursework Final Exam 70% - addresses all learning outcomes 30% - addresses all learning outcomes Coursework Assignments 70% Strategic Management Group Project (20%) Individual Strategic Analysis (30%) Quizzes (20%) a) Strategic Management Group Project (20%) For this project a team of five people will be formed. Using the outline from the chapters of the text you will do a thorough strategic analysis of a tourism or hospitality organization. Each team will give a 45-minute interactive oral presentation. The team will need to answer questions from the class and the instructor during and after the presentation. A copy of the evaluation form for the presentation is attached to this syllabus. The five main sections of the analysis will be as follows: Mission and Objectives a. What is the current mission and objectives of the organization? STMT 401 Fall, 2013 Page 5

6 Audits b. If you can t find any information you should develop one that you think is appropriate. Also list at least 10 long-term objectives that you think would be likely. Conduct an external and internal audit of the company o Organization Strategies Describe the current strategies they are using in management, marketing, finance, accounting, R&D, MIS. Make sure you use good examples. Company Evaluation Evaluate how the company is performing. For example, you should consider the following questions along with several others. Do you agree with their current focus? How are they performing financially? What new R&D projects should they be involved with? How could they use MIS more effectively? Are management approaches appropriate for the company? Are their marketing efforts effective? These are some of the issues you should tackle as you analyze where the company is today and what it will need to do in order to be successful. Strategy Formulation Formulate a specific strategy, which should be implemented by the company by using the appropriate strategy formulation tools Strategy Implementation Design the implementation of a specific strategy, which should help the company to achieve a sustained competitive advantage. Students' recommendations (as a strategic analyst) to the company s management. The final grade for the project is based on: o o Group presentation (70% of final project s grade) Peer evaluation (30 % of final project s grade) Your project is to be completed as a group. It is expected that each group member will contribute equally to the overall effort. Peer evaluation will total 30 % of the overall project s grade. Since 30% of your final grade is based on group work, free riders and social loafers will not be tolerated. If you receive less than 50% on your Peer Evaluation you will automatically receive a grade of zero (0%) for this group project. Every class member has to be present for all team presentations. Failure to do so will result in an automatic 10 % decrease in the final project s grade. STMT 401 Fall, 2013 Page 6

7 The final presentation has to be submitted on November 21 st th until 18:00 h. You need to submit it as a soft copy to my office. b) Individual Strategic Analysis (30%) Each student will submit an individual written case study analysis of a company, which will be provided by the isntructor. The strategic analysis will follow the framework (Strategic Management Model) used in the textbook. Within this framework, the student will be free to select the format and length; the general principle is to present a comprehensive paper in a concise fashion. In addition to the paper, a one-page single spaced Executive Summary highlighting the major points of the paper would be required for submission. Be sure to identify the key issues and problems, offer possible solutions, and recommend a course of action. The paper should be an individual effort! Poor work in terms of analysis, content, style, neatness, grammar, syntax, and spelling will be penalized and points deducted. For this assignment please follow these steps: 1. Identify the firm s existing vision, mission, objectives, and strategies. 2. Develop vision and mission statements for the organization 3. Identify the organization s external opportunities and threats. 4. Construct a Competitive Profile Matrix (CPM) 5. Construct an External Factor Evaluation Matrix (EFE) 6. Identify the organization s internal strengths and weaknesses. 7. Construct an Internal Factor Evaluation Matrix (IFE). 8. Prepare a Strengths-Weaknesses-Opportunities-Threats (SWOT) Matrix, Strategic Position and Action Evaluation (SPACE) Matrix, Boston Consulting Group (BCG) Matrix, Internal-External (IE) Matrix, Grand Strategy Matrix, and Quantitative Strategy Planning Matrix (QSPM) Matrix as appropriate. Give advantages and disadvantages of alternative strategies. 9. Recommend specific strategies and long-term objectives. Recommend specific annual objectives and policies. 10. Show how much your recommendations will cost. Clearly itemize these costs for each projected year. Compare your recommendations to actual strategies planned by the company. 11. Specify how your recommendations can be implemented and what results you can expect. Prepare forecasted ratios and projected financial statements. Present a timetable or agenda for action. 12. Recommend procedures for strategy review and evaluation. The individual written strategic analysis is due by 9:00am on November 24 th. It has to be submitted as a hard copy to the Library. Late submission will be treated in accordance with the Academy s policy for late submissions. The instructor reserves the right to verbally examine students on the content of the project before an actual grade is given. STMT 401 Fall, 2013 Page 7

8 You may be given a company from any of the hospitality/travel related businesses or segment of the industries. Examples include: Airlines Auto rental companies Bus tour companies Charter airlines Cruise shipping companies Hotel/motel/lodging companies Food service organizations Tour operators, wholesalers or vacation package companies Tourist attraction companies Travel related credit card entity Any other instructor approved firm c) Quizzes (20 %) There will be a total of eight quizzes in this course. They will account for 20 % of your final grade. The quiz material will come from the textbook and from class information. The quizzes can be administered at the beginning or at the end of the class session. Final Exam 30% There will be one final examination that totals 30% of your final grade. The final test will be comprehensive and will cover chapters 1-9, and information from all case studies, articles and materials discussed in class. Further clarification will be made at a later date. STMT 401 Fall, 2013 Page 8

9 Group Project Presentation Evaluation Form Company: Date: Presenting Team Members: Place comments after each rating. Ratings (circle the appropriate numbers). CONTENT Poor Below Average Average Above Average Superior 1. Mission Statement Thoroughness, accuracy, and depth of external analysis Thoroughness, accuracy, and depth of internal analysis Identification and evaluation of alternative strategies using matrices Quality, quantity, feasibility, and relevance of recommendations Justification and support for recommendations DELIVERY 1. Organization of presentation Professionalism of presentation Use of visuals and color Communication skills of team Use of time Handling of questions OVERALL EVALUATION: STMT 401 Fall, 2013 Page 9

10 Team Member Peer Evaluation Form This semester you worked with four other students on preparing a comprehensive case analysis. Please rate your team members on the relative contribution made to preparing and presenting the case. Your ratings will be confidential and anonymous. Be honest on this evaluation. In rating your team members, use a one- to ten-point scale, where 10 or 9 = superior, 8 or 7= above average, 6 or 5= average, 4 or 3= below average, and 2 or 1 = really weak. Add the scores to obtain a total score for the group members. Put any comments you like on the bottom or back of this page. Submit this form to the instructor by . Thank you. Names: Ratings: On time for all group meetings: Put your team members names in the spaces provided, one name at the top of each column. Helped keep the group cohesive: Number of useful ideas contributed: Quantity of work done: Quality of work done: Add Total Scores Here: STMT 401 Fall, 2013 Page 10

11 Individual Project Grading Rubric Executive Summary Comments Brief overview of the analysis Analysis layout presented / Specific management strategy identified 10 points Body of Report Comments Description of primary company s policies, objectives, and strategies Appropriate tools utilised to analyze the company Formulation and implementation of a specific strategy Key issues and problems identified, possible solutions offered, and course of action / recommended 10 points Strategic Analysis Firm s existing vision, mission, objectives and Comments strategies identified Vision and mission statements analyzed/or developed Organization s external opportunities and threats identified IFE, EFE, and CPM matrices completed and explained Internal strengths and weaknesses identified Financial ratios calculated and explained SWOT, SPACE, BCG, IE, GSM, QSPM matrices completed and explained and advantages and disadvantages of alternative strategic options discussed Specific strategy/strategies and objectives recommended, specific policies developed Cost of recommendations and timeline of action identified Projected income statement Implementation issues discussed Procedures for strategy review and evaluation discussed / 70 points Organization of the analysis/mechanics Quality of information (professional) / Comments Content, grammar, spelling, neatness 10 points TOTAL POINTS: /100 points STMT 401 Fall, 2013 Page 11

12 Methods for Monitoring and Authenticating Student Work Unless stated otherwise, students are required to read assigned chapters and case studies prior to class and be prepared to participate. If you find yourself having any difficulty with any aspect of this course, please discuss the problem with the instructor immediately. Most difficulties can be easily solved through discussion. This approach will assist the instructor in responding to your needs and improving the course. Academic Integrity Each student in this course is expected to abide by EAHM s Code of Academic Integrity. Plagiarism, in any form is not permitted, and correct citation policy should be followed at all times (APA format) For this course, collaboration is allowed only in Group Project work Required text(s) David, F. (2013). Strategic Management, 14 th Edition, Prentice Hall, New Jersey: Upper Saddle River. Recommended Reading Carpenter, M. & Sanders, G (2007). Strategic Management: A dynamic Perspective; Prentice Hall Porter, M. (2008). On Competition, Harvard Business Press Web Sites and Electronic Resources Periodicals On-line: Business Week Business Strategy Financial Times The New York Times Hotels Online The Economist The Wall Street Journal Hotels Investment Outlook Forbes Global Finance Websites: Nothing in this world can take the place of persistence. Talent will not; nothing is more common than unsuccessful people with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination alone are omnipotent. The slogan "press on" has solved and always will solve the problems of the human race Calvin Coolidge STMT 401 Fall, 2013 Page 12

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