Professional Documents
Culture Documents
Prepared By:
Caguioa, Rhoeby May
Castres, Maria Theresa
Paragas, Jojo
Internal strengths/weaknesses
External opportunities/threats
Impleme
Develop Generate, nt
Implement
Establish Strategie Measure
Vision and Evaluate Strategies-
Long- s- and
Mission and Select Manageme
Term Marketin Evaluate
Statements Strategies nt Issues
Objective g, Performanc
s Finance, e
Perform Accountin
Internal g, R&D,
Audit and MIS
Issues
Motivating
Staffing
Controlling
Financial Ratio Analysis exemplifies the
complexity of relationships among the functional
areas of business. A declining return on
investment or profit margin ratio could be the
result of ineffective marketing, poor management
policies, research and development errors, or a
weak management information system. The
effectiveness of strategy formulation,
implementation and evaluation hinges upon a
clear understanding of how major business
function affect one another. For strategies to
succeed, a coordinated effort among all the
functional areas of business is needed.
1. Liquidity Ratios – measure a firm’s ability
to meet maturing short-term obligations
2. Leverage Ratios – measure the extent to
which a firm has been financed by debt
3. Activity Ratios – measure how effectively
a firm is using its resources
4. Profitability Ratios – measure
management’s overall effectiveness as
shown by the returns generated on sales
and investment
1. Dun & Bradstreet’s Industry Norms and
Key Business Ratios
2. Robert Morris Associates’ Annual
Statement Studies
3. Almanac of Business & Industrial.
4. U.S. Federal Trade Commission Reports
1. Management, marketing, management
production/operations, research and
development, and management
information systems decisions;
2. Actions by competitors, suppliers,
distributors, creditors, customers and
shareholders
3. Economic, social, cultural, demographic,
environmental, political, governmental,
legal and technological trends
The production operations functions of a
business consists of all those activities
that transform inputs into goods and
services. Production/operations
management deals with inputs,
transformations and outputs that vary
across industries and markets
Function Description
•Suppliers •Lobbyists
•Customers •Partners