CM-SU07: Global Strategic Management (Intensive Course)

Faculty
Tim Goines

Course Coordinator
ISUP Academic Director Stig Hartmann

Student preparation before the course starts is based on the expectation that students have a basic understanding of the international business discipline and/or strategy, and experience with case teaching.

Pre-class Assignment – Read the manual for The Global Business Game simulation. This simulation will be delivered via the Web. You will need to subscribe at Innovative Learning Solutions (http://www.onlinegbg.com) where you will be able to download the manual.

The course is not available to CBS CM IB & IMM.

Global Strategic Management focuses on policy formulation, strategic planning and integration of the necessary business functions to operate an international business. It also focuses on the issues and functions involved in managing a global business. One of the objectives is to provide a set of frameworks for the development and analysis of global strategies and for the administration of multinational firms. Some of the other course objectives include:

1. developing your capacity to think strategically about a company, its business position, how it can gain a competitive advantage, and how such strategy can be successfully implemented.

2. building your skills in strategic analyses, and providing a stronger understanding of the competitive challenges of a global market environment.

3. integrating the concepts, principles, skills and knowledge gained in earlier functional courses..

4. developing and practicing written and oral communication skills

5 . learning how to function effectively in a team environment.

The course content is outlined below:

We will use a mixture of lectures and case studies with team presenting their analysis. These presentations will rely heavily on class discussions of the cases.

Another important component of this course is the use of the GBG simulation to apply your knowledge of global strategy in a “real world’ situation.

Class participation is essential. This provides an opportunity to develop skills in oral communication and to assist in class learning. You are expected to be well prepared and to actively participate in the discussions. Furthermore, students are encouraged to maintain an awareness of the current international business dynamics and are welcome to bring them into applicable class discussions. Students may be called on by name during class discussions. Class attendance is important to appreciate the emphasis on particular topics in lectures and class discussions.

Team cases (written and presented) (35%)
Global Business Game Simulation (35%)
Reflective Paper (30%)

Team Cases:

During the term, each team will be required to write and present several case analyses (depending on the number of teams). The analyses should reflect integration of the issues discussed in class and careful presentation of the recommendation. Overall, a high-quality case analysis will present a specific, creative, and feasible solution to the problem faced by management. This should include a careful analysis of the external and internal environments (including financial analysis) that supports the specified solution. Read “Preparing an Effective Case Analysis” (p. C-1) in Hitt, et. al. Since there is usually more than one feasible solution for each case, teams should concentrate on performing a thorough analysis and clearly and effectively communicating the logic that supports the chosen solution. The rationale supporting the recommendation is generally more important than whether the “right” recommendation is chosen. For further information please see “Style Guide” posted on WebCT.

Global Business Game:

This is an exercise lasting for the duration of the course which simulates the effects of real decision making in a fictitious company. Each team will consist of 3-4 people. Teams will compete against other teams, and a significant portion of your grade will reflect your performance. Your team ranking in the class is not as significant as the relative difference between your team and the top team. This simulation will take up much of your time and effort in this course. I am interested in where your team finishes in the standings, and I am interested in knowing that you learned something from the simulated experience of running a company and making strategic decisions. Teams will receive grades appropriate to their positions in the standings, providing they make a good faith effort during the simulation. Grading for the simulation will be a combination of objective and subjective criteria. Teams earn points for their performance. The top team will receive an “A”; other teams will receive grades appropriate not only to their relative position, but to their point total.

For example, if the second place team is very close to the top team, it too may receive an “11.” If there is a moderate gap, it may receive an “10.” If there is a big gap, it may receive a “9,” and so forth.

Team Performance:

PROFIT VERY IMPORTANT (26%)

ROA IMPORTANT (21%)

EPS SOME IMPORTANCE (16%)

ROE IMPORTANT (21%)

STOCK PRICE SOME IMPORTANCE (16%)

The percents in the above table represent the ranks for each of the five factors. One thing is important to remember; last (or middle) place for a factor does not necessarily indicate poor performance. Since the scores are relative it just means others did better than your team.

Reflective Paper:

An important part of the course is a research paper based on the student’s ability to reflect on the content of the course. The paper will amount to 10-15 pages, excluding tables, figures and appendixes. The paper will be due in three weeks from the course ends and will be based on the individual case write-ups written earlier in the course. Each student will then write a paper from theoretical point chosen within the literature of the course.

Hitt, Michael, R. Duane Ireland and Robert E. Hoskisson (2006). Strategic Management: Competitiveness and Globalization (Concepts and Cases). (7th Ed.) South-Western College Publishing.

The Global Business Game – The simulation will be delivered on-line at http://www.onlinegbg.com/ . You will need to purchase a license for the simulation at this site.