Answer To: Phase 2: Written report Due 2 August 2018,11:55 pm (Adelaide time) Weighting 25% of total grade...
Tp Academic answered on Jul 19 2020
STRATEGIC MANAGEMENT
Table of Contents
Introduction 3
1. Scrutinise critical components of the strategy formulation process 3
2. Vision, mission and values of HSBC 5
3. Current strategic objectives of HSBC and their appropriateness 7
Conclusion 8
Reference List 9
Introduction
Management strategies are fundamental for any business organisation to control and direct the organisation and its employees to achieve a higher level of efficiency and produce an exceptional performance in the business sector. Making business and implementing business strategies and tactics, helps the business companies to stay in pursuit of the desired goals, it always wanted to achieve. When an organisation forms and executes the strategies all across the departments and levels, the process of measuring the growth and performance of the organisation becomes smoother and smoother. While the other benefit of making and applying the strategies is; a company can restructure or reorganise its order and outline whenever it faces an emergency and crisis.
1. Scrutinise critical components of the strategy formulation process
Most successful and proven leaders have always laid out the stress on making and implementing the business strategies and tactics all over the organisation. Generally, in any business field like a banking sector, it is essential for the management level to make a solid plan and strategies and thus apply them all across the sectors.
Overview of HSBC
HSBC, a global banking organisation, operating in the United Kingdom, has been a role model for various other organisations, as this firm has achieved the highest level of efficiency (hsbc.com, 2018). Besides this, the organisation has also expanded its branches all across numerous countries to expand its business operations on the global stage. The bank firm along with its parent company has extended its hands and thus has innovated and made its products and services, creative and attractive (Frynas and Mellahi, 2015, p.251).
The banking company along with its public limited financial company has now gathered more than 40 million customers. Regardless of these facts and pieces of information, the banking firm along with its finance company now serves in about 60 plus nations (Trigeorgis and Reuer, 2017, p.60). The companies now have strong media relations all over the globe. HSBC has experienced numerous stages of ups and downs, like starting from a quick expansion to evolutions, economic emergencies and new technologies (Bryce, 2017, p.82). Despite that, both of the companies have managed to build long-lasting relationships with their customers and also helped in linking them to various new opportunities. Both of these companies have joint and similar functions, and they are engaged in providing numerous goods and services like managing worldwide trades’ payables and receivables, managing and controlling global liquidity and cash (Bettis et al. 2014, p.950).
Both the companies have been touted as the World's Best Bank for their exceptional transactional services. Besides these, the companies have been rated as the World's Best Bank for their corporation acts, and for its enormous amount of Public-Sector Client base. The companies also got massive recognition in the Northern part of America for its extraordinary transformational services in the Mexican country (Morschett et al. 2015, p.1000). The Middle East countries also gave a round of applause to the companies for their superb financial banking services. While Saudi Arabia rated the firms as the best companies to invest on. Meanwhile, the Asian continent voted them as the best sustainable finance company (Michael et al. 2017, p.50).
There are five crucial components of a robust strategic plan
1. Mission, vision, and aspirations - Mission represent the process in which the desired objectives and goals are to be fulfilled; vision will show the shape of the organisation shortly. While the aspirations indicate the process in which the company will be turned into the successful firm (Ethiraj et al. 2016, p.2192).
2. Core values - Core values indicate the strategies that must be implemented and the strategies that are irrelevant for the company
3. Strengths, weaknesses, opportunities, and threats - Strength, weakness, opportunities and threat analysis indicates the strengths that are to be enhanced, weaknesses that are to be rectified, opportunities that are to taken and threats that are to be dealt with appropriately (Lasserre, 2017, p.263).
4. Objectives, strategies, and operational tactics - Objectives represents the long-term areas, which are to be fulfilled and changed if there is any error. The company also can implement short-term strategies, which is implemented suddenly if there is any crisis (Bettis et al. 2016, p.260).
5. Measurements and funding streams...