STRATEGIC MANAGEMENT

Strategic Management

Strategic Management

Introduction

The construction industry is not, as commonly considered, a stereotyped industry with only traditional and conventional technologies. Firms in the construction industry have adopted new management practices, cost strategies, changes in design and new technologies related to materials, equipment and components (Gann, 2002, 226-31). Although innovation in construction takes place incrementally, over the long term technological and organizational changes amount to dramatic transformations. Since the 1950s, these transformations include changes in materials, industrialization (standardization and prefabrication), use of IT in design and in construction (automation and robotics) and changes in supply chain management.

SWOTT (strengths, weaknesses, opportunities, threats, and trends) Analysis

Any SWOTT analysis must cover five important areas to ensure that the new product/service is a successful and profitable endeavor. The following SWOTT analysis acts as a screening criterion and helps zero in on a feasible strategy by identifying the firm's strengths, weaknesses, opportunities, threats and trends. This will help determine how successful XYZ Company will be with this business venture into the European market.

Strengths

Strong presence around the world

Continued diversity within the company

Acquisition of other competitors'

Flexibility

Security built-in

Fortune 500 Company

Highly qualified and diversified workforce

Ease of adjustment in different environments

Weaknesses

Competitive pricing vs. buying

Security risks

Foreign exchange rate changes

Opportunities

Increased market shares

New jobs

Increase local economies

Increased sales and profits

New business line in Europe

Trends

Return contract work

Strengthen

A record-breaking financial performance

Tradition of overcoming challenges and delivering results

Threats

Breach of security

Stiff competition

Contract liabilities

Terrorists' attacks

Perception of product/services

XYZ Company's Vision Statement

The vision of the fuels division, is to open up a totally new market for XYZ Company that will operate in a new market opportunity for the company and become the number one company in the industry and provide the best quality product and customer satisfaction. Through innovation, experience, and responsiveness, XYZ Company will cultivate a performance-based culture focused on safely delivering solutions that satisfy their customers' needs and wants. To be the best in the industry is the vision of XYZ Company Fuels Division.

XYZ Company's Mission Statement

XYZ Company Environmental & Infrastructure (XYZ Company) has over 90 offices located throughout the US and abroad and is one of the nation's premier providers of turnkey environmental and infrastructure solutions. XYZ Company offers fully integrated services, from planning through studies, design, construction and operations.

XYZ Company has a highly skilled team of more than 6,000 professionals strategically located around the world. XYZ Company brings together the resources of two industry leaders, The IT Group and Stone & Webster Companies that were acquired, by XYZ Company. XYZ Company can deliver a comprehensive suite of environmental and infrastructure project services to government and commercial customers, including engineering consulting, facilities design/construction, site remediation/restoration, waste management, facilities management and privatization, homeland security and emergency preparedness, real estate redevelopment, and now fuel system upgrade and construction projects.

The organization's overall mission statement has been set for quite some time and is inline with their vision statement. It is "Through innovation, experience, and responsiveness, we have cultivated a performance-based culture focused on safety delivering solutions that satisfy our customers' needs". However, as it continues to open new divisions in various ...