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Functional Sts

Functional strategies are approaches taken by functional areas like marketing, R&D, HR, and finance to achieve corporate objectives. They maximize resource productivity using core competencies that the company excels in compared to competitors. Functional strategies have objectives like profitability, market share, talent acquisition, cost efficiency, innovation, and social responsibility. Specific functional strategies include marketing strategies for products and markets, R&D strategies for innovation and process improvement, HR strategies for culture, talent, and development, and financial strategies for capital and returns. Information management strategies also align information use with business strategies.

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26 views

Functional Sts

Functional strategies are approaches taken by functional areas like marketing, R&D, HR, and finance to achieve corporate objectives. They maximize resource productivity using core competencies that the company excels in compared to competitors. Functional strategies have objectives like profitability, market share, talent acquisition, cost efficiency, innovation, and social responsibility. Specific functional strategies include marketing strategies for products and markets, R&D strategies for innovation and process improvement, HR strategies for culture, talent, and development, and financial strategies for capital and returns. Information management strategies also align information use with business strategies.

Uploaded by

sai
Copyright
© © All Rights Reserved
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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FUNCTIONAL

STRATEGIES
Definition
Functional strategy is the approach
a functional area takes to achieve
corporate and business unit
objectives and strategies by
maximizing resource productivity.
• Core competency
 Something that a corporation can do
 exceedingly well-a key strength.
• Distinctive competencies
 When core competencies or core capabilities
are
 superior to those of the competition.
Functional strategies
• objectives
Profitability- producing at a net profit in business.
• Market share- gaining and holding a specific share of a
product market.
• Human talent- recruiting and maintaining a high- quality
workforce.
• Financial health- acquiring financial capital and earning
positive returns.
• Cost efficiency- using resources well to operate at low
cost.
• Product quality- producing high-quality goods or
services.
• Innovation- developing new products and /or
processes.
• Social responsibility- making a positive contribution
to
• Marketing strategy
• R&D strategy
• HRM strategy
• Financial strategy
• Information management
strategy
• Marketing strategy deals with Pricing, selling
and
distributing a Product.
• Here the companies use 2 types of strategies:
*Market Development.
*Product Development.
In Market Development a Company or a Business
Unit:
Capture larger market share of an existing market-
Market saturation and Market Penetration.
Develop new markets for current products
• R & D strategy deals with 2 very important
things:
• Product Innovation
• Process Improvement
It also deals with the questions like, - how new
technology should be assessed? -internal
development -external acquisition etc.
• HRM strategies are an organization’s palns for
managing people, culture, structure and
training and development and for
determining how people fit into an
organization’s future growth.
• Some companies divide the strategies into 4
major areas; culture, people, organization
and human resource systems.
• It focuses on the alignment of financial
management within an organization with
its business and corporate strategies to
gain strategic advantage.
• It focuses on the alignment of information
management within an organisation with
its business and corporate strategies to
gain strategic advantage.
THANK
YOU

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