Q1: Explain the Corporate Strategy in Different Types of Organization.

A well-formulated strategy is vital for growth and development of any organization-whether it is a small business, a public sector company, a multinational corporation or a non-profit organization. But, the nature and focus of corporate strategy in these different types of organizations will be different, primarily because of the nature of their operations and organizational objectives and priorities. Small businesses, for example, generally operate in a single market or a limited number of markets with a single product or a limited range of products. The nature and scope of operations are likely to be less of a strategic issue than in larger organizations. Not much of strategic planning may also be require do or involved; and, the company may be content with making and selling existing product(S) and generating some profit. in many cases, the founder or the owner himself forms the senior/top management and his (her) wisdom gives direction to the company. ln large businesses or companies-whether in the private sector, public sector or multinationals-the situation is entirely different. Both the internal and the external environment and the organizational objectives and priorities are different. For all large private sector enterprises, there is a clear growth perspective, because the stakeholders want the companies to grow, increase market share and generate more revenue and profit. for all such companies, both strategic planning and strategic management play dominant roles. Multinationals have a greater focus on growth and development, and also diversification in terms of both products and markets. This is necessary to remain internationally competitive and sustain their global presence. For example, multinational companies like general motors, Honda and Toyota may have to decide about the most strategic locations or configurations of plants for manufacturing the cars. They are already operating multi location (country) strategies, and, in such companies, roles of strategic planning and management become more critical in optimizing manufacturing facilities, resource allocation and control. ln public sector companies, objectives and priorities can be quite different from those in the private sector. Generation of employment and maximizing output may be more important objectives than maximizing profit. stability rather than growth may times. Accountability system is also very different in public sector from that in private sector. There is also greater focus on corporate social responsibility. The corporate planning system and management have to take into account all these factors and evolve more balancing strategies.

Q2: what is the role of consultants play in the strategic planning and management process of a company ? Is it essential role?
Management consultants can play very useful roles in the strategic planning process of a company. Consultants render services in different functional areas of management including the strategic planning and Management process. In companies with no separate planning division or unit, consultants can fill that gap. they can undertake planning and strategy exercises as and when the company management feels the need for such exercises or consultancies. Even in company with corporate planning division/unit ,consultants may provide specialized inputs or insight into identified management or strategy areas. top strategic consultants like mckinsey & company use or develop latest tools, techniques or models to work out solution to specific strategic Management problems or issues be it productivity, cost efficiency, restructuring, long term growth or diversification. Consultants bring with them diversified skills (most of the consulting companies are multidisciplinary) and experience from various companies which may not be available internally in a single company. This is the reason why even large multinational companies hire consultants for achieving their goals or objectives. Consultants, sometimes have a difficult or delicate role to play. In many companies, a situation develops when the chief executive or the top management needs to bank upon the support of an external agency like a consultant to push thought a strategic change in the organizational structure or management system of the company. It may for growth and development or downsizing .in both cases , many companies face internal resistance to change the resistance is more if it is downsizing even when it is required for turning around a company . this happens particularly in public sector companies where implementing change in always difficult. consultants are engaged to support or substantiate the companys point of view (in the form of their recommendation) so that change is more easily acceptable to the internal stakeholder of the company . consultants role may become delicate and , sometimes , tricky in such cases, and they should carefully weigh the ethical implication of their participation.

Q3: What is strategic audit? Explain its relevance to corporate governance.

With increasing pressure on boards from external stakeholders to be more active, many directory are seeking more practical ways to conduct strategic overview of company management without getting directly involved in it. Donaldson [1995] has suggested strategic audit as a new tool for systematic review of strategy by board members without directly involving themselves with management of companies. Strategic audit is a formal strategic-review process, which imposes its own discipline on both the board and management very much like the financial audit process8. But, it is different from management audit, which is undertaken in many companies by the senior/top management on the progress and outcome of important corporate activities. To understand strategic audit in the correct perspective, one needs to analysis this is in terms of its various elements of strategic audit . these are: 1. Establishing criteria for performance 2. Database design and maintenance 3. Strategic audit committee 4. Relationship with the CEO 5. Alert to duty

The performance criteria should be simple, well-understood and well-accepted measures of financial performance. A number of measures of financial performance are available. One common measure, used by many companies, is return on investment. The Rol can be analysed like This; profit per unit of sales [profit margin]; sales per unit of capital employed [asset turnover]; and, capital employed per unit of equity invested [leverage]. lf these three ratios are multiplied together, the resultant ratio will give profit per unit of equity. This criterion would fulfil two objectives; first, sustainable rate of return on shareholder investment, and, second, to becide whether the retum is less, or equal to or more than returns on alternative investments comparable risk, i.e., whether the companys chosen strategy is justifiable or not.

Q4 : What is Corporate social Responsibility(CSR) ? which are the issues involved in analysis of CSR? Name three companies with high CSR rating.
As mentioned above, external stakeholders of an organization are too many and varied and many them represent different sections or social groups. This implies that organizations should be socially responsible; that is, in addition to the interests of the shareholders, businesses or companies should also serve the society. this is corporate social responsibility [CSR]. Corporate social responsibility can be defined as the alignment of business operations with social values.

The conflict between internal and external stakeholders can go much further than mentioned so far. Some feel that this is the most problematic issue in deciding company responsibility. External stakeholders argue that internal stakeholders demand be made secondary to the greater need of the society; that is greater good of the external stakeholders. Many of them feel that issues like pollution waste disposals; environmental safety and conservation of natural resources should be the overriding considerations formulation of policy and strategic decision making. lnternal stakeholders on the other hand; think that the competing or social claims of external stakeholders should be balanced in such away that it protects the company mission; objectives and profitability. The debate continues.

There are three companies which CSR rating is

1. Johnson Johnson 2. Coca-cola 3. Wal-mart

Q5 : Distinguish between core competence, distinctive competence, strategic competence and threshold competence. Use examples.
core competence: Core competence of a company is one of its special or unique internal competence. Core competence is not just a single strength or skill or capability of a company; it is interwoven resources , technology and skill or synergy culminating into a special or co re competence. Core competence gives a company a clear competitive advantage over its competitors. Sony has a core competence in miniaturization ; Xeroxs core competence is in photocopying; canons core competence lies in optics, imaging and laser control; distinctive competence:
core competence may not be enough because it focuses predominantly on the product or process and technology, or , as hamel and prahalad put it ; the combination of individual technologies and production skills.

distinctive competence:
core competence may not be enough because it focuses predominantly on the product or process and technology, or , as hamel and prahalad put it ; the combination of individual technologies and production skills.