Adoption of Blue Ocean Strategies in Business

Strategy involves standing out from the competition and making choices that give the company a unique and valuable position by offering distinctive products and services. Competitive advantage and profitability can be achieved simultaneously by approaches that create consistent internal synergies and combine a company’s operational activities efficiently. Strategies are formed at various levels of the organization. However, a typical organizational structure incorporates strategies at 3 specific levels: corporate, business and functional. Corporate strategy defines a company’s holistic growth and management direction pertaining to its various businesses, products and services. Business strategies, on the other hand, are established at the divisional levels and typically focus on enhancing the strategic business unit’s competitive position in its industry. Functional strategies aim to maximize resource productivity and are typically set by functional departments within each SBU to improve competencies and performance.

Blue Ocean strategies are a form of business level strategies that enable firms to achieve sustainable competitive advantage by tapping uncontested market space. Developed by INSEAD professors, W. Chan Kim and Renee Mauborgne, Blue Ocean strategies were derived from analyzing winners and losers of more than 150 strategic moves across 30 industries, including hotel, cinema, automobile, retail, airlines etc., over the course of several years. Read More About: Blue Ocean Strategy

Conventional competitive or red ocean strategies encourage firms to choose between value and differentiation to compete in prevailing markets with clearly defined boundaries and conditions. In red oceans, firms aim to gain market share by exploiting existing demand and overtaking competitors. Ruthless competition in red oceans confines companies to benchmark against competitors, and make incremental improvements that increase costs without increasing revenues or having much impact on demand.… Read the rest

Social Engineering Attacks

The rise of 21st century marked the transition phase of the most global businesses towards a paperless office environment, where the focus shifted the manual to the computerized form of work culture. But at the same time, change brought a number of threats and menace in terms of one of the biggest issues of the current businesses, the social engineering used among the hackers for cracking techniques that rely more on human weaknesses rather than technology itself. The aim or motive of such attacks was getting access to passwords or other relevant information by tricking people for carrying out illegal or criminal activities. FBI and other security experts hold a firm view that majority of threats originate from the internal working environment or employees who have been granted additional privileges or authorities to company’s information. People who have an urge for power and control over other individuals exhibit the social engineering skills. Computer hacking is the modern form of social engineering and the most hi tech of all. The fundamental problem with online social networking services especially is that there are no criteria or authentication for evidence or proof of an individuals identity, which keeps at stake both our privacy and information.

Social engineering attacks are driven by financial needs where hackers try to obtain confidential information about the users to access accounts. Social engineering is the root cause to ideas behind phishing and pretexting where hackers gain confidence of people who are careless or blindly trust others helping them to take undue advantage.… Read the rest

Industrial Espionage

The Federal Bureau of Investigation (FBI) defines industrial espionage as “an individual or private business entity sponsorship or coordination of intelligence activity conducted for the purpose of enhancing their advantage in the marketplace.” While this definition may imply Industrial Espionage to be more or less the same as business or competitive intelligence, but there is an essential difference between the two – while business intelligence is generally under private sponsorship using an “open” methodology, espionage may be either government or privately sponsored and clandestine.

Industrial Espionage is the process of collecting information and data for the purpose of generating revenue. Generating revenue is very important aspect for these people. They are not thrill seeker, if the compensation does not justify the reward they will not bother attempting to collect the required information. Individuals who commit Industrial Espionage are not looking for information for information sake, but for information that will produce a big payday when acquired by a second party or when the information is viewed by unauthorized personnel the value of the information is no longer valuable. Money and power are motivators and the stakes in today’s billion dollar business environment the rewards far exceeds risks.

In the highly competitive and globalized business environment, proprietary intellectual property and economic information is considered the most valuable commodity by all nations, particularly the advanced ones. Businesses and/or governments involve in espionage activities for the purpose of unlawfully or clandestinely obtaining sensitive financial, trade or economic policy information, proprietary/sensitive economic information; or critical technologies including but not limited to data, plans, tools, mechanisms, compounds, designs, formulae, processes, procedures, programs, codes or commercial strategies, whether tangible or intangible, for competitive business advantage.… Read the rest

The Concept of Hybrid Managers

A hybrid manager can defined as a person who possesses strong technical skills and adequate business knowledge or vice versa. He should have the required skills needed in the technical as well as the management aspect. Along with that, he should also possess the management competences like communication skills, negotiation skills and also he should be able to motivate others working under him. A Hybrid manager should be able to reduce the gap between the business and technical aspects of the organization and build it with his expertise. Any organisation which has business and technical department working in tandom with each other has an advantage over other organisations whose technical and business department is not integrated. And this role of integration of the business and technical department is performed by the Hybrid managers.

Characteristics of a successful Hybrid Manager

  • Self-motivated/like being challenged – A successful hybrid manager is self-motivated person. He does not need any external factors to motivate him/her. His motivation lies within. Whenever any kind of problem or complication arises, they have the ability to make decisions. A successful hybrid manager is the one can take care of issues his own. They set high goals and always look to reach at the top. They have the confidence to step out of their comfort zone and try new ideas and strategies.They will never give up. If stuck somewhere, they will try for various options to get out of it.
  • Intelligent in the broad sense – A successful hybrid manager has very good technical skills.
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The Toyota Way Philosophy

Japanese quality movement was a miracle and created world-class products. All these methodologies and concepts developed these quality gurus for internal process and quality improvement crisis are still practiced in various companies. These have become universal approach to improve the quality and manage performance crisis.  Quality gurus created work culture and dedicated teams, which developed Japanese production systems through group activities. Toyota Corporation developed a new philosophy to create major change in manufacturing systems and delivered world-class products with internal benchmark for quality of vehicles. In reality, Toyota changed external business environment for competitors and created a long-lasting impact on automobile industry.

The Toyota Way is a set of principles and behaviors that underlie the Toyota Motor Corporation’s managerial approach and production system. It consists of principles in two key areas: continuous improvement, and respect for people. Toyota use operational excellence as a strategic weapon. Company places the highest value on actual implementation and taking action. By constant improvement based upon the actions, one can rise to the higher levels of practice and knowledge. Toyota success story can be summed up by using three models, which are used by Toyota Corporation. These models are explained below;

1. 4P Model

Toyota has developed 14 principles for performance improvement. These principles are guiding thumb rules in Toyota. These 14 principles are divided into four sections and a unique 4P model is developed. Major thrust is given on teamwork and a systematic approach is developed by using these principles. These 4Ps are Problem Solving, Process and Partners, Process, Philosophy.… Read the rest

Knowledge Management Cycle

In today’s business scenario where there is lot of competition, only source of lasting is Knowledge. It is argued that knowledge management is a necessity due to changes in the environment such as increasing globalization of competition, speed of information and knowledge aging, dynamics of both product and process innovations, and competition through buyer markets. Knowledge management promises to help companies to be faster, more efficient, or more innovative than the competition. Also, the term ‘‘management” implies that knowledge management deals with the interactions between the organization and the environment and the ability of the organization to react and act

Various researchers then gave the various definitions on Knowledge Management and still it’s the buzzword today. Knowledge management is the process through which we can manage human centered assets efficiently and effectively. The function of knowledge management is to guard and grow knowledge owned by individuals, and where possible, transfer the asset into a form where it can be more readily shared by other employees in the company. KM refers to activities aimed at enhancing knowledge processing. These activities are interventions designed to affect how knowledge processing is done. The tools, techniques, and strategies to retain, analyze, organize, improve, and share business expertise. Knowledge management promotes an integrated approach to identifying, capturing, retrieving, sharing and evaluating enterprise information assets. These information assets may include database, policies, procedures and documents and as well as uncaptured tacit expertise and experience stored in the heads of individual workers.

Knowledge management is the information having some intent that can be interpreted and made available.… Read the rest