strategic leadership and cooperative strategy

Instruction:

 

This is a discussion about Microsoft. You have to add 200 words about strategic leadership and 200 word about cooperative strategy to the below.

Note: don’t write introduction or conclusion.

Start sharply on the main points.

 

Strategic Leadership

There are many different types of leaders, but all of them have the ability to create, and communicate the direction of a group of organisation in order to develop their goals. The main goal of any organisatin is to make a profit. In order to do this they must first become strategically competitive. The best way for any organisation to look into its strategic competitiveness is through a leaders and managers who are aware of the organisations strategic goals. One way that Microsoft has demonstarted its strategic leadership capabilities recently is when the Microsoft CEO announced major changes to the company’s senior leadership team, to be able to deliver on its engineering capabilities and align their strategic efforts that “delivers better products and services” (ValueWalk: Microsoft corporation shakes up leadership team, 2015). They have decided to structure engineering into three collaborative groups to achieve corporate goals and strategies that will build better business services, high-value infrastructure, and intelligent cloud platforms that will generate advancement of the Windows ecosystem. By splitting the senior management team up into three different strategic management groups they are better able to focus on the different areas of change that are required for strategic competitiveness.

 

Cooperative Strategy

Looking at the acquisition history of Microsoft dating back three decades, and the 145 acquisitions Microsoft has procured from June 1994 to September 2015, [10 to date in 2015] (Microsoft Acquisitions n.d.), indicates the competitive advantages afforded by overcoming the integration, synergy and due diligence issues identified by (Hanson et al 2014), arguably supports diversification. Additionally creating collaborative mergers that enables innovative partnerships to be formed have afforded craft licencing contracts such as the Microsoft Corp and Dell patent licencing agreement, which is a risk mitigation strategy that reduces litigation (Microsoft Corp, 2014). Which ultimately benefits consumers’ with a choice of technological flexibility that can meet their individual wants or needs that is cost effective.

 

Hanson et al. (2014) argues that companies such as Microsoft perform cooperative strategies to achieve shared organizational goals of value creation as well as to achieve a competitive position. Further, this strategy is performed to create specific values that Microsoft cannot do alone (Hanson et al., 2014). Foley (2012) clarifies that Microsoft have performed a cooperative strategy known as joint venture strategic alliance with Barns & Noble. Specifically, the partnership was intended to produce a media player/e-reader called the NOOK Media LLC in an effort to advance the digital reading experience to millions of customers on both companies. In other words, both companies decided to combine their customer base to boost profits (Foley, 2012). Additionally, both companies are involved in a cooperative strategy at a business level known as vertical complimentary strategic alliance where Microsoft is contributing their Windows 8 software as well as their customer base and Barns & Noble is contributing by producing the tablet, customer base and marketing. Further, by working together in different stages of the value chain, both companies were able to increase value, gain competitive advantage and boost revenues (Foley, 2012).

 

 

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