ENVIRONMENTAL AND COMPETITIVE ADVANTAGE:

We believe very strongly that the age-old levers of competition- labour, capital, and land-are being supplemented by knowledge, and that the most successful companies in the future will be those that learn how to exploit knowledge-knowledge about customer, behaviour, markets, economics, technologyfaster than their competitors By: Louis V. Gerstner IBM s former CEO

COMPETITIVE ADVANTAGE:

Allows organization to deal with market and environmental forces better than its competitors.

GENERAL ENVIRONMENT:
Comprised of cultural, economic, legal-political, and educational conditions.
CONDITIONS IN EXTERNAL ENVIRONMENT:
y y y y y

Economic Conditions Social-cultural conditions Legal-political conditions Technological conditions Natural environmental conditions

STAKEHOLDERS AND THE SPECIFIC ENVIRONMENT:

SPECIFIC ENVIRONMENT: includes the people and groups with whom an organization interacts. STAKEHOLDERS: are the persons, groups, and institutions directly affected by an organization.

ENVIRONMENTAL UNCERTAINTY:
is a lack of complete information about the environment.

WHAT CUSTOMER WANT?

y y y y

High quality Low price On-time delivery Great Services

CUSTOMER RELATIONSHIP:
CUSTOMER RELATIONSHIP MANAGEMENT: Strategically tries to build lasting relationships with and to add value to customer. SUPPLY CHAIN MANAGEMENT: Strategically links all operations dealing with resource suppliers.

ORGANIZATIONAL CULTURE:
is the system of shared beliefs and values that guides behaviour in organization.

LEVELS OF ORGANIZATIONAL CULTURE:

OBSERVABLE CULTURE

STORIES-tales about events conveying core values

RITES and RITUALScelebration of heroes and events displaying core values.

CORE CULTURE

CORE VALUES-belief about the right ways to behave

HEROES-people past and present who display core values

SYMBOLS-language and other symbol conveying core values.

VALUE BASED MANAGEMENT:

Actively develops, communicates and enacts shared values. CRITERIA:
Relevance y Integrity y Pervasiveness y Strength
y

SYMBOLIC LEADERSHIP:
SYMBOLIC LEADER: Uses symbols to establish and maintain a desired organizational culture.

MULTICULTURAL ORGANIZATIONS AND DIVERSITY:

DIVERSITY: Describes race, gender, age and other individual differences.

MULTICULTURAL ORGANIZATIONS AND INCLUSIVITY

MULTICULTURALISM:
involves pluralism and respect for diversity.

MULTICULTURAL ORGANIZATION:
is based on pluralism and operates with inclusivity and respect for diversity.

CHARACTETISTICS:
y y y y y

Pluralism Structural integration Informal network integration Absence of prejudice and discrimination Minimum intergroup conflict

ORGANIZATIONAL SUBCULTURE:
Organizational subcultures exist among people with similar values and beliefs based on shared work responsibilities and personal characteristics.

ETHNOCENTRISM:
is the belief that one s membership group or subculture is superior to all others.

CHALLENGES FACED BY MINORITIES AND WOMEN:

GLASS CEILING:
is a hidden barrier to the advancement of women and minorities

DOMINANT CULTURE WHITE MALES:

Hold most top positions y Present at all levels y Included in entry level hiring
y

MINORITY CULTURES: WOMEN, PEOPLE OF COLOUR, OTHER MINORITIES

y y y

Hold few top positions Largely distributed in lower middle levels Included in entry level hiring

BICULTURALISM: is when minority members adopt characteristics of majority cultures in order to succeed.

MANAGING DIVERSITY:
Is building an inclusive work environment that allows everyone to reach their full potential.

LEADERSHIP APPROACHES TO DIVERSITY:

Affirmative action y Valuing diversity y Managing diversity
y

By: R. Roosevelt

PRIMARY MANAGEMENT PRACTICES

STRATEGY-well defined well communicated CULTURE-inspiring performance driven.

HIGH PERFORMANCE

EXECUTION-flawless focused on customers.

STRUCTURE-simple, little bureaucracy.