Strategy Analysis

Strategy Analysis

anonymous

Abstract

There are comparisons and contrasts between two of the ten schools within strategic management for effective organizational operations. The Learning school is beneficial in developing a learning environment for a business. In addition, the environmental school is useful in the location of an organization to succeed competitively. Both schools of thought have their roots in which they were founded on limited strategy. The content that is associated within the schools serve in manner that is unique from each other. Also, the processes between the learning school and the environmental school prevent company failure. Contextual differences between the two schools can be useful in the development of an organizational culture. Each school manages risk uncertainty and effective allocation with superiority over the other. The market structure influences the strategic options between the two schools in different ways. Equally important fast moving environments dictate the process in which of the two schools are the most effective. Finally, both the learning school and the environmental school can be utilized for organizational success.

Strategy

Firstly, the root within the learning school and the environmental school are both different within strategic management. The learning school emphasizes the learning of an organization to make it more competitive through knowledge. Companies that use a learning environment are capable of increasing intelligence within their organizational structure. Learning within a company can take place in several ways from technological advancements or through work increasing KSAs . According to Mintzberg, Ahlstrand, and Lampel (1998) "For the learning school, the world is too complex to allow strategies to be developed all at once as clear plans or visions. Hence strategies must start in small steps, as organizations adapt or "learn" (p.6). Thus, the root of the learning school is in the best interest of developing a learning environment within a business. The learning school was developed for organizations to learn from their mistakes in order to avoid organizational errors, and strategy was not a major thought of the learning school. Once organizations could focus on the way that they learn and create a learning environment within small steps strategy was least used. According to Gossling and Mintzberg (2006) "Management is often taught as if it were immaterial-a set of abstract formulae, case histories and flow diagrams. These may be useful, but only if tested and put to use in the material practice of managing. Education makes matters worse if it becomes the simple consumption of this insubstantial fare"(p.419). Companies can learn from the mistakes that they have made within their organization and other business too. The authors Lampel, Lant Shamise (2000) "Many other industries are gravitating towards the use of some combination of knowledge and creativity in order to generate and sustain competitive advantage. Knowledge, in particular technical knowledge, is regarded today as the foundation of competitive advantage" (p.263). Companies that are aware of the environment are well are knowledgeable of their competition.

Secondly, the environmental school analyzes the best location to locate business competitively. Business need to be located within a manner in which they can prosper and develop. On the other hand, a company that locates itself within a bad location will not be able to become successful. In reference to Mintzberg, Ahlstrand, and Lampel (1998) "And then there was the environmental school, organization theorists who believe strategy formation is a reactive process in which initiative lies in not the organization, but the external context. Accordingly they seek the pressure inside the organization"(p.6). Therefore, the environment has an effect in how an organization functions externally. Companies that are located within an environment are subjected to the occurrences that take place around them. The roots of the school are developed within an organization to understand how the environment affects organizational structure. Companies are influenced through what occurs within their organization can try to prepare for their environments, but not might be able to due to a lack of knowledge.

However, there are similarities within the structure of both the learning school and the environmental school. Organizations that practice the two of the ten schools of thoughts will have to evaluate their company's strategies. Business through their environments can become learning organizations. On the other hand, the use of environments can benefit an organization through the use of applying environmental schools, and the learning school together. Businesses can benefit within the market if the learning of the environment is utilized. Both the learning school and the environmental schools have advantages and disadvantages. Thus, relying on the strengths and the weaknesses schools need to be analyzed for their effectiveness. Environments can build learning for an organization through the use of learning of mistakes, and developing methods to manage organizational dilemmas. Comparative advantage allows organizations to produce products at lower rates equal to their competitors. Therefore, both the learning school and the environmental school can become effective within global market organizations. In some companies it can be difficult for an organization to provide a service with the use of limited environmental resources. Thus, companies that use comparative advantages can compete within the market since they do not a have a lack of resources the technological learning has allowed organizations to expand the market and make organizations more competitive. The use of learning school has allowed companies to produce products equally in environments that are disadvantaged. According to Singer (2006) "Advertising has adapted to this connectivity be proliferating in as many as media channels as possible. The big problem is that the adaptation has been to a deteriorating environment, and savvy consumers either "skip this add" or are no longer willing to pay premium to a generic product" (p.52). Therefore, companies who rely on technological advancements can increase their comparative advantage, but cannot solely survive without the use of both learning and the environmental school. Further, businesses can become more competitive since they can become an equal due to technology. Organizations that do not utilize effective technology through