Fayetteville State University s4

FAYETTEVILLE STATE UNIVERSITY FAYETTEVILLE, NORTH CAROLINA

FACULTY SENATE

ACADEMIC AFFAIRS COMMITTEE PROPOSAL PRESENTATION COVER SHEET (Proposal from the School of Business and Economics)

I. Proposal: Development of online MGMT 470 (Strategic Management) course. ______

II. Purpose: The proposed Online Strategic Management Course will capitalize upon the growing demand of community college students throughout North Carolina to complete their B.S. degree in General Business Administration through distance learning education. The enhanced access to educational opportunities will provide significant room for growth in enrollment at Fayetteville State University.

III. Rationale: The proposed course complements the existing Strategic Management Course that is currently offered every semester. This course will provide a flexible option for students to complete this course requirement for the General Business Administration degree.

IV. To be presented to: (in succession to each of the following) Departmental Curriculum Committee, Departmental faculty, SBE Curriculum Committee, SBE Dean, Faculty Senate Academic Affairs Committee, Faculty Senate, Vice Chancellor for Academic Affairs, Chancellor

V. Submitted by: Don. A. Okhomina, PhD, Assistant Professor, Department of Management, School of Business and Economics ([email protected]) Actions taken on proposal, entitled Notification of intent to propose an online undergraduate course called MGMT 335 Operations Management.

Departmental Curriculum Committee: Action: (indicate vote)______

Signature: ______date: ______Chair, Departmental Curriculum Committee

Department: Action: (indicate vote)______

Signature: ______date: ______Departmental Chair

SBE Curriculum Committee: Action: (indicate vote)______

Signature: ______date: ______Chair, SBE Academic Affairs Committee

School of Business and Economics: Action: (indicate vote)______

Signature: ______date: ______Dean, School of Business and Economics

Teacher Education Committee: (for teacher education programs): Action: (indicate vote)______

Signature: ______date: ______Chair, Teacher Education Committee

Faculty Senate Academic Affairs Committee: Action: (indicate vote)______

Signature: ______date: ______Chair, Academic Affairs Committee

Faculty Senate: Action: (indicate vote)______

Signature: ______date: ______Chair, Faculty Senate

Vice Chancellor for Academic Affairs: Action: (indicate vote)______

Signature: ______date: ______Vice Chancellor for Academic Affairs

Chancellor: Action:______Signature: ______date: ______FAYETTEVILLE STATE UNIVERSITY STRATEGIC MANAGEMENT: MGMT 470 ONLINE INSTRUCTION SEMESTER: SPRING 2008

I. COURSE INFORMATION Course Number: MGMT 470 Hours: 3 Instructor: Dr. Don. A. Okhomina Office 910-672-2148 Office Hours: ONLINE, TBA Telephone: 910-224-3110 (Cell) when authorized E-Mail: [email protected] or [email protected]\

Course Web Page: http://blackboard.uncfsu.edu

FSU Policy on Electronic Mail: Fayetteville State University provides to each student, free of charge, an electronic mail account ([email protected]) that is easily accessible via the Internet. The university has established FSU email as the primary mode of correspondence between university officials and enrolled students. Inquiries and requests from students pertaining to academic records, grades, bills, financial aid, and other matters of a confidential nature must be submitted via FSU email. Inquiries or requests from personal email accounts are not assured a response. The university maintains open-use computer laboratories throughout the campus that can be used to access electronic mail. Rules and regulations governing the use of FSU email may be found at http://www.uncfsu.edu/PDFs/EmailPolicyFinal.pdf

II. COURSE DESCRIPTION Unlike other business courses that concentrate narrowly on a particular function or piece of the business – accounting, finance, marketing, human resources, etc – strategic management is a big picture course. It cuts across the whole spectrum of business and management. The center of attention is the total enterprise -- the industry and competitive environment in which the company operates the long-term direction and strategy, the company’s resources and competitive capabilities, and its prospects for success. In this capstone course students will:  Utilize the theoretical and practical knowledge acquired in previous undergraduate and graduate levels business administration courses,  Analyze the external environment and conduct an industry analysis to understand the competitive forces affecting a company and how to gain a competitive advantage  Evaluate company resources and capabilities and determine what is required to build the resources necessary to support the company long-term direction  Calculate financial ratios, interpret financial statements, and use this information in strategic decision making.  Understand strategies for competing in global markets and in the Internet Era  Appreciate the difficulties involved in executing business strategies and how leadership and culture play a key role in execution. In addition students should improve their skills in: Crafting a business strategy by reasoning carefully about strategic options.  Using managerial judgment to assess business risk and to make sound business decisions  Analyzing case studies and making recommendations.  Conducting research on the internet  Demonstrating effective written and oral communication skills

III. Disabled Student Services: In accordance with Section 504 of the 1973 Rehabilitation Act and the Americans with Disabilities Act (ACA) of 1990, if you have a disability or think you have a disability to please contact the Center for Personal Development in the Spaulding Building, Room 155 (1st Floor); 910-672-1203.

IV. TEXTBOOK Required textbook:

Hill, C., & Jones, G. (2007). Strategic Management: An Integrated Approach (7th edition), ISBN 10: 618-64162-9 Boston: Houghton Mifflin.

Subscription to Business Week is optional

V. STUDENT LEARNING OUTCOMES

1. Upon completion of this course, students will be able to demonstrate basic knowledge and analytical competence in writing company case study (the big project).

2. Demonstrate an awareness of the literature of business policy/strategic management and how it applies to contemporary organizations

3. Demonstrate basic writing communication skills

4. Demonstrate management professionalism in punctuality, attitude, and team work

VI. COURSE REQUIREMENT AND EVALUATION CRITERIA A = earned at least 90% of the points and passed all objectives B = earned at least 80% of the points and passed all objectives C = earned at least 70% of the points and passed four objectives D = earned at least 60% of the points and passed two objectives F = earned less than 60% of the points and did not all objectives

Grading System Points Objective 1: Demonstrate basic knowledge and analytical competence in writing a company case study (Team) 20 Individual Cases (2) 20 Team Cases (2) 20 Objective 2 Exam/Quizzes/Assignments 30 Objective 3 Demonstrate professionalism (punctuality, Online discussion/participation, attitude) 10 Total Points 100

TEACHING STRATEGIES Online Discussion: This is a web based course that involves a combination of lectures, case studies, and applications via Online. Therefore, for students to benefit they are required to attend to the Online Discussion Sessions, lecture notes, and assignments. Students are required to read all assignments for the course in advance and take an active part in the online discussions. Case analysis and discussion are integral parts of the instruction. Completed case analysis and answers to the assigned questions are to be posted in the Online drop box as when due. No late work will be accepted.

Virtual Team Case Studies Course members will be part of a virtual team that is responsible for two case studies and the company paper. The team is expected to turn in a typed report for the two cases assigned. The report is composed of answers to specific questions in assignment for the case study. The reports should be typed, double spaced, and are due the date listed on the course schedule. The team can divide the work the way the team deems most effective. Team members will be asked to evaluate each other’s contribution to the team toward the end of the semester.

Individual Case Analysis Two case assignments are to be prepared on an individual basis. It is expected that the content of your written case analysis will reflect your thoughts and not the work of others. (See policy on plagiarism). Be sure to proofread your cases carefully because

Each case will be evaluated using the following criteria: Content 50% Correct use of analytical tools 25% Writing Styles 15% Organization 10%

Strategic Management Project The team is to select a project early in the semester to develop into company case study. Each team will turn in a written case study of their company.

You will remain in the team throughout the semester; if personality or individual differences create problems, team members will have to work them out among themselves. If a team member does not participate, the team can fire the member. To fire a member, the group must give the instructor a written memo signed by all the remaining team members, stating the reasons why the individual is being fired. This activity is a team paper, NOT a collection of individual papers combined to form one big paper. Team members are responsible for contributing to, reading, editing, checking citations, and proofreading the entire paper, not just a portion of it. If portions of the group paper contain plagiarized sources or material, the entire group will receive a grade of “F” for the course.

Team members will evaluate each other to determine what percent of the team grade individual members will receive. If a team member participated fully, then that person should receive 100% of the team grade. Team members who did not participate fully will receive a lower percentage of the team grade. For example, if the team receives a grade of 90, and a team member receives a peer evaluation of 80%, then the person’s team grade will be a 72 (90 * .80 = 72).

The company paper will be evaluated using the following criteria:

Content 40% Correct use of analytical tools 25% Writing Styles 15% Organization 10% Documentation 10

Student Behavior Expectations: -The instructor will respect all students and will make every effort to maintain a virtual classroom climate that promotes learning for all students. Students must accept their responsibility for maintaining a positive virtual classroom environment by abiding by the following rules: 1. Students are expected to participate in online discussion on timely manner. 2. Student/teacher relationships, as well as relationships among peers, must be respectful at all times. 3. Students must refrain from any activity that will disrupt the virtual classroom

Consequences for Failing to Meet Behavioral Expectations: The first time a student violates one of these rules, the instructor will warn him or her privately, either after class or before the next class. (Faculty members reserve the right to warn students publicly if needed.) The second time a student violates any of these guidelines; the instructor may deduct as many as ten points from the student’s professionalism grade.

COURSE POLICIES Assignments will not be accepted without a cover page (which will result in a deduction for that assignment). The cover page should identify the assignment, student=s name, date, and course number.

Missed assignments, and examinations cannot be made up (unless previous arrangements have been made with the instructor).

A Technical malfunction or a disk does not work is not an acceptable excuse for not having assignment turned in promptly. Academic Dishonesty Plagiarism and cheating are serious offenses and may be punished by failure on exam; failure in course; and/or expulsion from the University. Plagiarism is a serious academic and business (legal) offense. Plagiarism is considered theft of intellectual property. All students enrolled in FSU classes at all levels are responsible for knowing what constitutes plagiarism. Whether by design or by accident, plagiarized content is unacceptable. There are no explanatory

Plagiarism occurs when  students submit work that directly quotes or paraphrases the work of another, without specific citation of the passages crediting the creator of the work  students combine the works of another with their own original effort, including comments on those passages, without specific citation of the passages crediting the creator of the work  students include a list of references at the end of an assignment but do not indicate which words or passages specifically (by use of quotation marks) are from those sources and which words or passages are original work

V. COURSE COMPETENCIES Ethical Ethical values are covered in two modalities, (1) Students’ Team Case analyses and write-ups. (2) As part of Corporate Performance, Governance, and Business Ethics lecture in Chapter 11. Global The Global component are covered in two modalities, (1) Students’ Team and individual Case analyses and write-ups. (2) as part of and International Environments. The globalization of production and markets, increasing profitability and profit growth through global expansion, and realizing location economics, among other global topics are covered in Chapter 8) Political Political dimension as part of the external environment are covered in two modalities: (1) Students’ Team and individual Case analyses and write-ups. (2) The political force is a sub set of the macro environment, which is covered exhaustively in analyzing the outcomes of changes in laws and business regulation, political and legal development within society and their effects on managers and companies in Chapter 2. Social The majority of this course relates to social skills, individual behavior in the workplace, teams and organizations. Chapters 2-13 all include social skills. The course involves team work and group activities that give students opportunities to practice and analyze social skills. (95% of the class time.) Technological This course includes a lecture on using technology (intranet, groupware, Internet) to communicate within organizations and in virtual teams. The use of e-mail in organizations is part of a class discussion. (5% of class time) Demographic Diversity Differences in cultures and values, e.g., power distance, individualism vs collectivism, across countries are covered in chapter 2 as a lecture. Cases and Journal articles that center on motivational differences between countries are used as class activities including discussion. (5% of class time) Written Communications Students write six cases, three written examinations, eight article analysis, comprehensive case study on a specific company 70% of the students’ grades VI. COURSE OUTLINE WITH ASSIGNMENT SCHEDULE

Week # Readings and Topic date Assignments Due Introduction to Course: Analyzing and Writing of Case Study. Identify Company for Analysis Chapter 1 - Introduction to Strategic Management

1. Explain the concept of strategy. 2. Specify the relationships between superior performance, profitability, competitive advantage, and sustainable competitive advantage. 3. Identify the roles and responsibilities of strategic managers at different Chapter 1 levels within the organization. Teams formation: 4. Outline the main components of the strategic management process covered Project Module 1, 1 in subsequent chapters and show how they fit together. p.36 (Hill/Jones) 5. Contrast the rational, deterministic view of strategy with alternate views,

which describe strategy as an emergent process.

6. Explain why formal strategic planning may not always lead to success, and identify ways of avoiding some of the common pitfalls associated with strategic planning. 7. Identify the attributes associated with superior strategic leadership. 8. Describe some of the barriers to effective strategic decision making and the techniques for improving decision making. Chapter 2 - External Analysis: The Identification of Opportunities and Threats Project Module 2, p.72 (Hill/Jones) Understand the importance of understanding the forces that shape competition in a company's external environment.

1. Illustrate how change in the external environment gives rise to strategic opportunities and threats. 2. Discuss the strategic importance of each of Porter's five forces, including potential new entrants, degree of rivalry, the power of buyers and suppliers, and the threat of substitutes. 3. Understand the emergence of sixth competitive force-complementors. 4. Describe the concepts of strategic groups and mobility barriers, 2 highlighting their competitive implications. 5. Discuss the industry life cycle, including the different stages of industry evolution, and review the competitive implications of each stage, paying particular attention to how rivalry and barriers to entry change as an industry evolves. 6. Discuss the limitations of the five forces, strategic group, and industry life cycle models. 7. Discuss the different forces in the wider macro environment that give rise to strategic opportunities and threats. 8. Identify the forces that have resulted in the globalization of production and markets, and identify the competitive implications of globalization. 9. Highlight the link between national context and competitive advantage. Chapter 3 - Internal Analysis: Distinctive Competencies, Competitive Advantage, Module 3, p.107 and Profitability (Hill/Jones)

1. Examine the internal causes of competitive success and failure. Group Case 1 2. Show how effective strategies create distinctive competencies, including Cases # 6: The resources and capabilities, which then aid a firm in achieving competitive Comeback of advantage. Caterpillar 3. Describe the process of value creation, using the concepts of pricing, demand, costs, and differentiation. 4. Familiarize yourself with the concept of the value chain, and show how the different value creation activities of a company fit together. 5. Explain how distinctive competencies lead to superior efficiency, quality, innovation, and responsiveness to customers, which in turn allow a 3 company to differentiate its products and lower its costs. 6. Describe how competitive advantage leads to higher profitability, using financial measures. 7. Identify the factors that influence the durability of a company's competitive advantage, including the height of barriers to imitation, the capability of competitors, and industry dynamism. 8. Explain the role played by organizational inertia, past strategic commitments, and the Icarus paradox in the failure of many formerly successful companies. 9. Discuss the steps that companies can take to avoid failure and sustain a competitive advantage.

Chapter 4 - Building Competitive Advantage Through Functional-Level Strategy Exam 1 Chapters 1-4 1. Identify the different steps that can be taken at the functional level to Module 4, p.147 improve a company's efficiency. (Hill/Jones) 2. Identify the different steps that can be taken at the functional level to improve the quality of the company's product. 4 3. Identify the different steps that can be taken at the functional level to improve a company's ability to innovate. 4. Identify the different steps that can be taken at the functional level to improve a company's responsiveness to its customers. Chapter 5 - Building Competitive Advantage Through Business-Level Strategy Individual Case #1 Case 12: Staples Familiarize yourself with the main ways to compete in a business or industry. Module 5, p.185 (Hill/Jones) 1. Discuss Porter's generic strategies of cost leadership, differentiation, and focus-and the opposite, being stuck in the middle-as well as the combined 5 cost leadership/differentiation strategy. 2. Familiarize yourself with the advantages and disadvantages of these strategies, and discuss the ways in which the company can achieve these strategies

Chapter 6 - Business-Level Strategy and the Industry Environment Module 6, p.226

Familiarize yourself with the different kinds of competitive problems that exist in , p.227 different industry environments.

1. Discuss the problems of developing a competitive advantage in a fragmented industry and the solutions to such problems. 6 2. Discuss the problems of maintaining a first-mover advantage in embryonic and growth industries. 3. Examine the main kinds of competitive strategies that firms use to manage competitive industry relations in mature industries. 4. Familiarize yourself with the main strategies for handling a declining industry environment. Chapter 7 - Strategy in High-Technology Industries Module 7, p.261 (Hill/Jones) Recognize the important role of technical standards in creating success in high- tech industries.

1. Know the ways in which technical standards can emerge. 2. Examine the concepts of network effects, positive feedback loops, and customer switching costs. 3. Know a variety of strategies for winning a format war. 4. Be aware of the cost structure of high-technology industries and its impact 7 on strategy. 5. Recognize the importance of intellectual property rights for high-tech firms, and understand the methods by which firms protect those rights. 6. Examine the advantages and disadvantages of being a first mover or a follower in a high-tech industry. 7. Understand the cycle of development of new technologies that underlies technological paradigm shifts. 8. Examine strategies that can be used by first movers and existing firms to manage during a time of technological paradigm shift.

Chapter 8 - Strategy in the Global Environment : (Hill/Jones)

1. Familiarize yourself with the importance of global competition and global Module 8, competitors. p.302(Hill/Jones) 2. Describe the benefits that global firms enjoy and also the costs they must bear. 3. Discuss the pressures for cost reductions and local responsiveness that face global companies. 4. Discuss the pros and cons of four different strategies for competing in the global marketplace: a global standardization strategy, a localization strategy, a transnational strategy, and an international strategy. 8 5. Understand how global companies make decisions about which markets to enter, when to enter, and on what scale to enter. 6. Discuss the advantages and disadvantages of various modes of entry into foreign markets. 7. Identify the factors that determine which way of entering a foreign market is best for a particular company. 8. Review the benefits and potential pitfalls of building global strategic alliances with competitors, and discuss ways of improving the probability of success for global strategic alliances. Chapter 9 - Corporate-Level Strategy: Horizontal Integration, Vertical Integration, and Strategic Outsourcing Module 9, p.333 (Hill/Jones) 1. Familiarize yourself with the range of corporate-level strategies open to a company. 2. Illustrate how horizontal integration can create value for a company and show the bureaucratic limits to the profitable pursuit of horizontal integration. 9 3. Illustrate how vertical integration can create value for a company and show the bureaucratic limits to the profitable pursuit of vertical integration. 4. Show how strategic alliances can be used instead of horizontal and vertical integration, and describe the limitations of alliances. 5. Show how strategic outsourcing can be used instead of horizontal and vertical integration, and describe the limitations of outsourcing.

Chapter 10 - Corporate-Level Strategy: Formulating and Implementing Related Exam 2: Chapters 5- and Unrelated 10

1. Study the concepts related to diversification, including the reasons why Module 10, p.371 firms pursue diversification. (Hill/Jones) 2. Describe related and unrelated diversification and the benefits and problems associated with each. 3. Summarize the limits of diversification with a focus on bureaucratic costs, and show how diversification can lead to value dissipation rather than 1 value creation. 4. Describe benefits, challenges, and implementation guidelines for the corporate-level strategy of internal new ventures. 5. Describe benefits, challenges, and implementation guidelines for the corporate-level strategy of acquisitions. 6. Describe benefits, challenges, and implementation guidelines for the corporate-level strategy of joint ventures. 7. Discuss the reasons why firms restructure. Chapter 11 - Corporate Performance, Governance, and Business Ethics Module 11, p.407 (Hill/Jones) 1. Identify important stakeholder groups, show how they contribute to and benefit from the firm, and describe how stakeholders affect corporate Individual Case: profitability. Tyco International 2. Familiarize yourself with agency theory, and use it to explain why a 1 Leadership Crisis misalignment of interests exists at every level of the organization. (provided by 3. Present information about various corporate governance mechanisms. Instructor) 4. Define and describe business ethics, and show how managers can improve a firm's ethical performance.

Chapter 12 - Implementing Strategy in Companies That Compete in a Single Group Case 2 Industry Case #31: GEs Two Decade 1. Understand the main elements of strategy implementation-structure, Transformation control systems, and culture-and their relationships to each other. (Hill/Jones) 2. Demonstrate how structure, control, and culture can build distinctive 1 competencies at the functional level. 3. Describe the use of structure, control, and culture in implementing a Module 12, p.449 single-business firm's generic business strategy. (Hill/Jones) 4. Discuss the use of restructuring and reengineering in improving the performance of a single-business firm.

Chapter 13 - Implementing Strategy in Companies That Compete Across Industries and Countries Exam 3 1. Explain the multidivisional structure, and its costs and benefits. Nov. 16 2. Describe the four global strategies and describe how firms choose the correct global strategy. Module 13, p.484 3. Define the relationship between global strategy and organizational (Hill/Jones) 1 structure. 4. Describe three entry modes for firms wishing to enter a new industry, and show how those entry modes can be implemented effectively. 5. Explain the impact that information technology has had on strategy implementation. Draft copy

1 Strategic Management Project

Group presentation of project Submission of final 1 Strategic Management Project copy of case study project

VII. BIBLIOGRAPHY

Abell, D. (1980) Defining the Business: The starting point of Strategic Planning, Prentice Hall, Englewood Cliff, NJ.

Anand, Ashforth, & Joshi (2004) Business as usual: The acceptance and perpetuation of corruption in organizations. The Academy of Management Executive. May, Vol.18. Number 2 p.39-53

Bachmann, John, W. (2002) Competitive advantage: It’s OK to be different. The Academy of Management Executive. May, Vol.16, Number 2, p.61-65 Due

Barney, J. B., Wright, M., and Ketchen, D.J. (2001) The resource based view of the firm: Ten years after 1991’, Journal of Management, Vol.27, No. p.99-120

Barney, Jay, B (2001) Is the resource based “view” a useful perspective for Strategic Management Research? Yes. The Academy of Management Review, Jan. Vol. 26, Number 1 p.41-55

Evans, J. S. (1991) Strategic flexibility for high technology maneuvers: A conceptual framework Journal of Management Studies, Vol. 28 p.69-89

Fagenson & Eland (2001) The national football league’s Bill Parcells on winning, leading, and turning around teams. The Academy of Management Executive, Aug. Vol.15 Number 3, p.48-55

Hambrick & Frederickson (2005) Are you sure you have a strategy? The Academy of Management Executive, Nov., Vol.19, Number 4, p.51-62

Lieberman & Asaba (2006) Why do firms imitate each other? The Academy of Management Review. April, Vol.31, Number 2, p.366-385 Paik & Choi (2005) The shortcomings of a standardized global knowledge Management system: The case of Accenture. The Academy of Management Executive . May, Vol.19, Number 2, p.77-84

Zahra, Shaker (2003) The practice of management: Reflections on Peter Drucker’s landmark book: An academic commentary. The Academy of Management Executive, Aug. Vol. 17. Number 3, p.16-23