ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- NGUYỄN TIẾN DŨNG EVALUATION OF BUSINESS STRATEGY OF SONG DA 4 JOINT STOCK COMPANY ĐÁNH GIÁ CHIẾN LƯỢC KINH DOANH CỦA CÔNG TY CP SÔNG ĐÀ 4 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH HÀ NỘI - 2020 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- NGUYỄN TIẾN DŨNG EVALUATION OF BUSINESS STRATEGY OF SONG DA 4 JOINT STOCK COMPANY ĐÁNH GIÁ CHIẾN LƯỢC KINH DOANH CỦA CÔNG TY CP SÔNG ĐÀ 4 Chuyên ngành: Quản trị kinh doanh Mã số: 60 34 01 02 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: PGS. HOÀNG ĐÌNH PHI HÀ NỘI - 2020 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com DECLARATION The author confirms that the research outcome in the thesis is the result of author‟s independent work during study and research period and it is not yet published in other‟s research and article. The other‟s research result and documentation (extraction, table, figure, formula, and other document) used in the thesis are cited properly and the permission (if required) is given. The author is responsible in front of the Thesis Assessment Committee, Hanoi School of Business, and the laws for above-mentioned declaration.
i LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com TABLE OF CONTENTS DECLARATION. i LIST OF FIGURES. THEREOTICAL FOUNDATION OF BUSINESS STRATEGY. General theories of business strategy.
Concept of Strategy, Business strategy. Characteristics of Business strategy. Role of Business strategy. Levels of strategy.
Business strategy development process of the enterprise. Determination of the current business mission and goals of the company. Evaluation of the external environment of the enterprise. Internal environment analysis of the enterprise.
Strategic plan development. Strategy inspection and analysis. Overall business strategy evaluation matrix. EVALUATION OF THE EXISTING BUSINESS STRATEGY OF SONG DA 4 JOINT STOCK COMPANY.
General introduction of the company. Establishment and development process. Main business lines. 34 ii LUAN VAN CHAT LUONG download : add luanvanchat@agmail.
Overview of the existing strategy of Song Da 4 Joint Stock Company 36 2. Business strategy options. Evaluation of strategy options. Business strategy selection.
Evaluation of the existing strategy of Song Da 4 Joint Stock Company. Evaluation of environmental change. Evaluation of the achievement of the goals of the existing strategy70 CONCLUSION OF CHAPTER 2. PROPOSED SOLUTIONS TO IMPROVE BUSINESS STRATEGY OF SONG DA 4 JOINT STOCK COMPANY.
Vision, mission and development goals. Vision and mission. Goals of Song Da 4 Joint Stock Company by 2020. Proposed solutions to improve business strategy of Song Da 4 Joint Stock Company.
Strategy Management and Planning Solution. Production management solutions. Marketing management solutions. Human resources management solutions.
Financial management solutions. Proposal for Song Da Corporation:. 93 iii LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com LIST OF TABLES Table 1. SWOT Matrix–Strengths-Weaknesses-Opportunities-Threats.
Quantitative Strategic Planning Matrix – QSPM. SWOT mode of the existing strategy of Song Da 4 Joint Stock Company. Evaluation of the change in external environment. Change of 5 competitive forces .4: External factor evaluation matrix (EFE) of Song Da 4.
Typical hydropower plant and irrigation projects. Civil works and industrial infrastructure projects. Solar Power construction works. Construction equipment for hydropower and irrigation projects.
Implementation capacity of the main construction volume. The company‟s current human resource structure in 2 latest years. Analysis of labor use efficiency. Production and business condition in the 2013 – 2017 period .13: Internal Factor Evaluation Matrix.
69 iv LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com LIST OF FIGURES Figure 1. Business strategy development process of the enterprise. External environmental analysis model (business environment). PESTEL macro-environment analysis model.
Michael Porter‟s Five Forces Model. Business strategy evaluation matrix. Organizational chart of Song Da 4 Joint Stock Company. 58 v LUAN VAN CHAT LUONG download : add luanvanchat@agmail.
Rationale The company‟s current strategy is built for the 2014 – 2017 period and vision to 2020. In the context of changing the economy day by day, the internal and external factors have changed. Meanwhile the studied and applied strategy of Song Da 4 Joint Stock Company has revealed limitations and some goals have not been realized. This fact has motivated the author - who directly performs the leadership and management at Song Da 4 Joint Stock Company, to study and re-evaluate the strategy after 3 years of application; thereby finding out disadvantages and limitations and having solutions to overcome those existing limitations.
Therefore, the author chooses the topic: “EVALUATION OF BUSINESS STRATEGY OF SONG DA 4 JOINT STOCK COMPANY” as my master‟s thesis topic in Business Administration. Literature Review The Strategy has always been an attractive topic for researchers, so in the world as well as Vietnam, many authors have chosen this topic as their direction. On the side of Song Da Corporation and other member companies, there are also many research works on construction and strategic planning. According to the author‟s research, these works are mainly at the level of the master‟s thesis topic.
Some topics known by the author are as follows: Tran Dinh Vinh (2012); Business Strategy Planning for Song Da 6 Joint Stock Company in the 2012-2015 period; Hanoi University of Science and Technology; Master‟s thesis. Bui Tuan Dung (2013); Building business strategy for Song Da 5 Joint Stock Company in the 2013-2015 period; Water Resources University; Master‟s thesis. 6 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com As mentioned above, the strategy is a familiar topic. Besides, Song Da Corporation and its member companies are considered a common research subject of many researches and dissertations.
However, the author has not found out any research on improving the strategy of Song Da 4 Joint Stock Company quite apart from that fact that access to documents on the actual applied strategy of Song Da 4 JSC is not simple. Therefore, the author can confirm the novelty and practicality of his topic when he is a member of the strategy development team and directly plays an executive management role at Song Da 4 Joint Stock Company. Aims of the study Based the theoretical issues, the fundamentals of business strategy, how to set up and evaluate a business strategy, the author analyzes and evaluates the existing strategies of Song Da 4 Joint Stock Company. After that, the author analyzes the changes of the internal and external environment to see the nonconformity of the existing strategy.
Thereby, the author proposes a number of solutions to improve the strategy of Song Da 4 Joint Stock Company. Research object The research object is the existing business strategy of Song Da 4 Joint Stock Company. Research scope Space: Song Da 4 Joint Stock Company Time: 2016 - 2018 6. Research methods Research topic is based on case studies, field observations, interviews and analysis.
In addition, the author also uses statistical, analytical and forecasting methods to analyze, evaluate and give strategic business directions of the company. 7 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com Regarding the data collection method, the author uses primary and secondary data sources, particularly: Primary data: are collected through surveys, interviews with experts, leaders, employees and field surveys Secondary data: are collected from the Company‟s departments, books, newspapers, magazines, specialized research articles. Structure of the thesis In addition to the introduction and conclusion, the thesis is expected to be divided into 3 chapters, namely: Chapter 1. Theoretical foundation of business strategy Chapter 2.
Evaluation of the existing business strategy of Song Da 4 Joint Stock Company. Some proposed solutions to improve business strategy of Song Da 4 Joint Stock Company. 8 LUAN VAN CHAT LUONG download : add luanvanchat@agmail. THEREOTICAL FOUNDATION OF BUSINESS STRATEGY 1.
General theories of business strategy 1. Concept of Strategy, Business strategy “Strategy” term is derived from ancient military art. Borrowed from military terminology, the “strategy” term has been used quite commonly in economic life both on a macro scale such as nation, government as well as a micro scale such as economic organizations, businesses. In fact, there are many different views on the strategy.
Depending on the research purposes and at different periods of socio-economic development, economists have different conceptions of strategy. However, from an enterprise research perspective, most economists reach an agreement on the concept of Strategy and Business strategy. According to the traditional approach, typically Alfred Chandler (1962): “The strategy involves setting the basic, long-term goals of the enterprise, at the same time, applying a series of actions and allocation of the necessary resources to achieve these goals”. According to this approach, the strategy is understood as a system of long-term goals, key policies and measures on business and production, finance and human resources in order to promote the enterprises‟ qualitative development.
However, along with the development process, today the concept of strategy have also changed. According to the modern approach like McKinsey (1978): “Strategy is a series of activities designed to create sustainable competitive advantage” or Johnson & Scholes (1999): “Strategy is the long- term orientation and the scope of an organization to gain its competitive advantage through the identification of its resources in a changing environment to meet market needs and satisfy the expectations of the relevant parties”. Thus, according to the new approach, the Strategy is a system of perspectives, aims and basic 9 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com goals, solutions and policies to make the best use of resources, advantages and opportunities of the enterprise in order not only to achieve the set goals but also to bring favorable conditions such as competitiveness and distinguishment, thereby creating its competitive advantage and sustainable development. Theoretically, most economists in the world have unified business strategy and business development strategy.
Accordingly, the business strategy or business development strategy is a part of the overall strategy of the enterprise, including the components of the secondary strategy: marketing strategy, financial strategy, research and development strategy. Through business strategy, the most favorable conditions will be established to create competitive advantage for the enterprise. Therefore, it can be understood that “Business Strategy is a combination of long-term goals, key policies and solutions on production, business, finance and human resources in order to promote the qualitative development of business activities to a state. It can be also understood that business strategy is a general action program of an enterprise in order to achieve its goals in a given period.
Characteristics of Business strategy - Business strategy is the overall strategy of an enterprise that defines its business goals and directions over a relatively long period, 5 years or 10 years, and is fully applied in all its production and business activities to establish favorable conditions, contribute to creating competitive advantages and ensure its sustainable development. - Business strategy is a sketch of the future image of an enterprise, including the goals that it must achieve as well as the necessary means to accomplish those goals. Besides, it is necessary to combine strategic goals and situational goals, strategy and tactic and short-term and long-term. Only 10 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com by this way, the enterprise can maintain business efficiency and correct the errors caused by the strategy.
- All important decisions in the process of forming, deciding and organizing the implementation, checking, evaluating and adjusting strategies must focus on the top leader of the enterprise, which ensures the accuracy of long-term decisions and the information confidentiality. - Business strategies are always built based on comparative advantages.