Management 790

Strategic Management and Business Policy


About the Course:  This course is considered the capstone course of the MBA/MAc program. As such, emphasis is placed on your ability to integrate what you have learned in your management, marketing, finance, economics and accounting courses into a business decision making construct.  A very important part of the course is the capstone project in which you will be assigned for critical analysis a well known company selected by your professors.  This capstone project will be a team project in which the team will be required to research the company and make oral and written reports that should integrate successful business principles that you have learned throughout your graduate program.   These concepts should be brought together successfully in the capstone project.  The course is equally divided into qualitative and quantitative concepts and is taught by two professors.  In order for one to do well in this course,  s(he) must satisfy the requirements of both professors because the qualitative and quantitative sections carry equal weight in the grading system.
 

COURSE SYLLABUS

Spring 2000

COURSE NUMBER & TITLE:  Management 790, Strategic Management & Business Policy

COURSE DESCRIPTION:  An advanced case study, integrating marketing, management, and finance, of selected problems encountered in the management of typical organizations engaged in the production of goods and services.  Problem analysis and decision-making skills are emphasized in the context of the existing international environment.

COURSE PREREQUISITES:  Graduate standing.  Students must be in the last semester of study in the MBA or MAc program before registering for this course.

INSTRUCTORS:     Dr. Mary Lemons                             Dr. Robert L. Putman
OFFICE:                   Room  131 BA Bldg                          229B BA Bldg
TELEPHONE:         901-587-7331                                     901-587-7305; 901-352-5797
E-MAIL:                   mlemons@utm.edu                           bputman@utm.edu
OFFICE HOURS:    Tu, Th 9:00-11:00;                             Tu, Th  9:00-11:00; Tu,Th 2:15-5:15
                                   Tu, Th 2:15- 5:15                              Other hours by appointment

WEB PAGE:                                                                        http://fmc.utm.edu/~rputman/put1.htm
COURSE TEXT:
     1)Wright, Peter, Kroll, Mark J., & Parnell, John. 1998.  Strategic Management: Concepts and Cases.  Upper Saddle River, N.J.: Prentice Hall.
     2) Andrew, Joseph D., May, Claire B. and Gordon S., Effective Writing for Finance People.  Upper Saddle River, N.J.: Prentice Hall.

Other Reference Materials:  The student should have availability to one or two good undergraduate texts to use for reference during the initial class periods; (1) a Principles of Management and Organization text and (2) a Financial Accounting and Reporting text and (3) an Organization Theory and Behavior or Organization Design text.

COURSE OBJECTIVES:  This course is intended to provide the student with insight into theoretical constructs for contemporary strategic management.  Included in this are (1) evaluation of internal and external conditions and forces impacting business organizations, (2) development of strategic, business level operational, and functional strategies appropriate for these environmental conditions, and (3) implementation strategies and practices, including evaluation and control of the organization.  In working to accomplish these objectives, it is intended that the student will develop an understanding and appreciation of the importance of the integration of finance, economics and accounting with strategic management and marketing concepts in order to attain organization success.

Additional course learning objectives are:

1.  to develop and utilize analytical abilities needed for strategic decision-making, including conceptual abilities as well as quantitative analytical skills.
2.  to re-examine, integrate, and apply previous course material within the context of the strategic management concept.
3.  to enhance skills in communicating ideas and conclusions, verbally, and in written form.
4.  and, to develop and/or enhance skills in leading class discussions, both of theoretical constructs as well as case analysis situations.

COURSE REQUIREMENTS:

1.  Attendance:  Students are required to attend and participate in all scheduled class activities.  Your participation is expected in each class.  Excused absences will be at the discretion of your instructor.

2.  Discussion Leader:  You will be responsible for leading the discussion of one of the outside readings listed in Appendix A.  Your grade on this portion of the course will be determined primarily by your ability to involve other class members in the discussion.  Limit your discussion of your article to 15 minutes, and allow for a few minutes afterward for questions and general discussion by other class members.

3.  Individual Case reports:  Individual case reports based on business problems are required.  Students are responsible for preparing and submitting all written assignments in a professional manner.  This includes both (1) content and (2) appearance.  With respect to content, both breadth and depth of analysis are major components of case grades.  With respect to appearance, all written work is expected to be error-free, logically and well-organized, and coherent.  Avoid rambling discussion and verbosity.  Consider your written work as "Reports to Management," such as you might submit to a client if a management consultant, or your employer who assigned you responsibility for a complete staff report.  You should not plagerize in any form or fashion in your written assignments.  In the past your professors have returned written cases to students with zero grades when plagerism is evident.  Your case assignments will be made during the progression of the course to allow sufficient time for completion and submission.

Written work is due when announced.  Late papers will be marked down one letter grade per class period late.

4.  Capstone Project:  This is designed as a culminating experience and will require oral and written presentation by teams.  This project will be prepared according to guidelines presented in the initial class meeting and is due at the conclusion of the last regular class meeting which is the week before final exams.  The oral presentation will be given during the last class.  Since this is a team project, each team member must be a part of the oral presentation.

Grades are based on a point system as follows:
                                                                              Dr. Lemons     Dr. Putman
                               Class Participation                   50  points        50 points
                                Individual case                        100 points        50  points
                                Discussion Leader                                           50  points
                                Group Project                          100 points      100  points
                                Group Project presentation      25 points        25  points
                                Total points possible               275 points      275  points

Your points earned will be converted to 100% scale and your letter grade awarded as follows.

                90-100% = A, 80-89% = B, 70-79% = C, 60-69% = D, 59% or below = F

Important:  You must make a B or better in this course in lieu of taking a comprehensive exam.  It is wise for the student to bring at least a 3.0 GPA into this course.  Do not put yourself in a position of having to make an A in this course in order to graduate.

Additional Information - Capstone Project:
    There will be teams established during your first session with Dr. Lemons.  Each team will then be assigned a company as their project.  The team will be responsible for researching and analyzing their company as to various successes and failures in attaining its objectives.  You should begin working on your project immediately following your first class meeting and continue to work in teams on the project throughout the semester.  A written report will be prepared and submitted to your instructor at the close of your last regular class meeting.  You will need to submit a copy to each professor and a third copy for the graduate office records.  The team will also present an oral report that night which will involve each team member.  The oral presentation should last from 40-45 minutes for each team.  Each team member will receive the same grade on the written report (100 of the total 125 points), so it is imperative that you work together and successfully integrate your part of the report. 

   Important!  Each team member will have the opportunity for peer evaluation.  In the past individual team member grades have been marked down due to poor ratings by other team members.  Each team member will receive an individual score (up to 25 points) for the oral presentation.  In your report, you should indicate unique competitive strategies, both qualitative and quantitative, as a minimum.  Any other interesting information concerning your company is welcome.

TENTATIVE CLASS SCHEDULE:

                      Date
Session                                            Topic         References, Outside Readings, & Assgn
              Qualitative: Dr. Lemons
  1                                                    Introduction                                   Chapter 1 Wright Text
  2                                      Macroenvironment                        Chapter 2       "         "
                                              of business
  3                                      Industry environment                    Chapter 3      "         "
                                              of  business
  4                                      Corporate strategy formulation   Chapters 4 & 5; Saturn Case Due
                                              Goals, Mission Statement



            Quantitative: Dr. Putman

Financial Statement Analysis

  5                                       Review Team Assignments          Handout on Financial Statement Analysis
                                           Financial Statements Review      Supplementary Financial Management
                                           Individual Case Assignment        Accounting publications and texts
                                           Financial Statement Analysis      Text pp.  178, 179


  6                                       Analysis of Case(Financial)         Article Discussion:
                                            Circuit City Stores, Inc.              I.1                             Discussion Leader
                                                C-102-C-114                            I.2                              Discussion Leader
                                                                                                 I.3                              Discussion Leader
                                           General Discussion                      I.4                             Discussion Leader
                                                                                                 I.5                               Discussion Leader
                                                                                                 I.6                               Discussion Leader


Competitive Strategies

   7                                      Total Quality Management,         Text pp.  135-148, 177, 268-269
                                           Value Chains,                                 Text pp.  155-168
                                           Process Value Analysis

                                           Activity Based Management     Handout

                                           Benchmarking


 

    8                                                         
                                           Business Unit Niches                      Article Discussion:
                                                                                                      II.1                    Discussion Leader
                                                                                                      II.2                    D iscussion Leader
                                                                                                      II.3                      Discussion Leader
                                                                                                      II.4                      Discussion Leader
                                                                                                      II.5                      Discussion Leader
                                                                                                      II.6                    Discussion Leader
                                                                                                      II.7                      Discussion Leader
                                                                                                      II.8                    Discussion Leader


                                                         Financial Analysis:     Individual Case Due


                                                       Asset Management and Organization Control

 9                                                    Organization Control                   Handout
                                                       Capacity Management                Handout; Text pp 179-180; 188-193

                                                       Budgeting                                       Text pp. 170-176; 259-275
                                                       Cost-Volume-Profit Analysis


 10                                                  Article Discussion                         
                                                                                                              III.1                    Discussion Leader
                                                                                                              III.2                  Discussion Leader
                                                                                                              III.3                  Discussion Leader
                                                                                                              III.4                    Discussion Leader

                                                                                                              III. 5                    Discussion Leader

                                                                                  


 11                                                  Inventory Control                       
                                                                                                             III.6                     Discussion Leader
                                                                                                             III.7                     Discussion Leader
                                                                                                             III. 8                    Discussion Leader      
                                                                                                              III.9                    Discussion Leader

 



            Qualitative: Dr. Lemons

    12                                                Global Management                    Chapter 11, Wright Text
   13                                                Culture and leadership                Chapter 9, Wright Text
   14                                                Social Responsibility, Ethics



   15    Dr.  Lemons and Dr. Putman                                                    Capstone Case Presentations


Appendix A
 

Reading List for Management 790

I.  Financial Analysis and Cash Flows

    1.  Giacomino, Don E. and David E. Mielke, "Cash Flows:  Another Approach to Ratio Analysis," Journal of Accountancy, March 1993, pp 55-58.

    2.  Lander, Gerald H. and Mohamed E Bayou, "Does Roi Apply to Robotics Factories?"  Management Accounting, May 1992.

    3.  Morris, Richard, "Predicting Failure:  A Failure in Prediction?" Accountancy, December 1997; pp 104-105.

    4.  Largay, III, James A. and Clyde P. Stickney, "Cash Flows, Ratio Analysis and the W.T. Grant Company Bankruptcy, " Financial Analysts Journal, July-August 1980: pp 51-54..

    5.  Zarowin, Stanley, "Finance's Future: Challenge or Threat?" Journal of Accountancy, April 1997, pp 38-42.

    6.  Royal Weld, "Shifting Harley Into High Gear," Journal of Accountancy, April 1998, pp 38-40.

II.  Competitive Strategies

    1.  McLemore, Ivy, "6 New Standards for Benchmarking," Controller Magazine, Vol 4, Iss 6,   June 1998, pp 71-73.

    2.  Beischel, Mark E., "Improving Production With Process Value Analysis," Journal of Accountancy, September 1990, pp 53, 55, 57.

    3.  Borthick, A. Faye and Harold P. Roth, "Will Europeans Buy Your Company's Products?" Management Accounting, July 1992.

    4.  Kulesza, C.S., and Gary Siegel, "It's Not Your Father's Management Accounting," Management Accounting, May 1997: pp 56-59..

    5.  Mac Arthur, John B., "From Activity-Based Costing to Throughput Accounting,"
    Management Accounting, April 1996, pp 30, 34, 36-38.

    6.  McCarthy, Chris., "Using Technology as a Competitive Tool."  Management      Accounting, January 1998, pp. 28-33.

    7.  Krumwiede, Kip R., "ABC: Why it's Tried and How it Succeeds," Managment Accounting, April 1998: pp 32-34.

    8.  Elmuti, Dean, "The Benchmarking Process:  Assessing its Value and Limitations," Industrial   Management, July-August 1997, pp 12-19.

   III.  Asset Management and Organization Control

    1.  Cheatham, Carole, "Updating Standard Cost Systems," Journal of Accountancy, December 1990; pp 57-60.

    2.  Rust, Kathleen, "Measuring the Costs of Quality," Management Accounting, August 1995: pp 33-37.

    3.  Ferrara, William L.,"Cost/Management Accounting:  The 21st Century Paradigm,"
    Management Accounting, December 1995, pp 30-34,36.

    4.  Meyer, Christopher., "How the Right Measures Help Teams Excel." Harvard Business Review."  May-June 1994, pp. 95-103..

    5.  Constantinides, Kim and John K. Shank, "Matching Accounting to Strategy: One Mill's Experience," Management Accounting, September 1994, pp 57-60.

    6.  Camp, Roger A., "Multidimensional Break-Even Analysis," Journal of Accountancy, January, 1987, pp 132-133.

    7.  Stivers, Bonnie P., Joyce Covin, et al; "How Nonfinancial Performance Measures Are Used,"  Management Accounting, February 1998; pp 44, 46-49.

    8.  Koelhler, Robert W., "Triple Threat Strategy Firms Need Direct Costing and Contribution Approaches as Well as ABC," Management Accounting, October 1991.

    9.  Rajagopalan, Sampath, "Capacity Expansion and Replacement in Growing Markets with Uncertain Technological Breakthroughs," Management Science, January 1998, pp 12-30.

 

Last Updated January 7, 1999 by Robert L. Putman