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Full Description
Many books and articles have been written about how firms can achieve and sustain high performance. They typically focus on a particular aspect of the firm such as its culture, resources, leadership, ability to learn, human resources practices, or communications systems. Often the very firms that are used as examples of high performance are no longer high performing even a few years later.
In contrast, this book asserts that it is the efficiency and effectiveness of a firm's entire value creating system that determines its performance over the long term. Systems theory is used as an integrative mechanism to combine the best ideas from industrial organization economics, the resource-based perspective, and stakeholder theory.
Based on this theoretical foundation, tools are provided for conducting in-depth, detailed analyses of each part of a firm's value creation system and its effectiveness in contributing to the total stakeholder value created by the firm. Systems assessment based on this information then leads to the development of strategies, including specific initiatives for overcoming weaknesses in the system and for creating new value for stakeholders. The book also provides guidance for developing detailed plans and a strategic control system to make sure strategies and initiatives are implemented. An underlying theme is that the purpose of a firm is to create value for its stakeholders: customers, employees, shareholders, suppliers, and the communities in which the firm operates. This book provides a concise, yet complete guide for strategic management.
