Evolution of Management Thinking in Multibusiness Firms PPT
This PPT slide, part of the 62-slide Corporate Strategy Toolkit PowerPoint presentation, outlines the evolution of management thinking regarding multibusiness firms, presenting a timeline that spans from 1950 to 2000. It categorizes this evolution into distinct stages, each representing a shift in focus and strategy. The stages begin with the 'Business-focused era' in 1950, characterized by decentralization. This suggests an early emphasis on allowing individual business units greater autonomy.
As we move through the decades, the focus shifts to diversification in the 1960s, indicating a strategy of expanding into new markets or products. The 1970s introduce the concept of portfolio management, where firms began to assess and manage their various business units more strategically. The 1980s emphasize value creation, suggesting a shift towards understanding how each unit contributes to overall worth.
By the 1990s, the focus narrows further to a singular emphasis on operational focus, refining strategies to enhance efficiency and effectiveness. The timeline culminates in 2000 with a focus on parenting, which implies a strategic role for corporate management in nurturing and guiding business units.
The governing thought presented on the right side of the slide raises critical questions about the relationship between individual businesses and overall corporate success. It prompts consideration of how each business can contribute to the larger corporate goals, as well as how the corporation can support the success of its individual units. This dual perspective is essential for executives aiming to optimize both individual and collective performance within multibusiness structures. Understanding these stages can help leaders navigate their strategic approaches in a complex corporate environment.
This slide is part of the Corporate Strategy Toolkit PowerPoint presentation.
This toolkit is created by trained McKinsey, BCG, and Porsche Consulting consultants and is the same used by MBB, Big 4, and Fortune 100 companies when performing Strategic Management Initiatives.
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Growth Strategy Strategy Development Operational Excellence Corporate Strategy Value Creation Portfolio Management
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