Tasman Arts Training Institute: Strategic Management Essay Example

each plan (Clayton, 2014). The following step involves analyzing both internal and external environments of DATA by examining industry trends, external factors, organizational resources, and capabilities. Through a SWOT analysis, Ethan can identify TAT's position in the market and create a strategic plan that leverages strengths and opportunities while minimizing weaknesses and threats. This provides a competitive advantage that is difficult for competitors to imitate (Shoehorning…Et al., 2014). Identifying strengths involves evaluating profitable operations (Johnston, 2014).TAT is well-known in the community and specializes in providing quality education. Its strength lies in its reputation and progressive approach, earned through the employment of reputable staff members. To address weaknesses, Ethan must identify the costly areas of TAT's operations. Poor human resource management, exemplified by Linda's hiring of non-reputable staff, has led to financial mismanagement and an inability to allocate resources effectively. By hiring specialized tutors, however, Ethan could turn this weakness into a strength and gain a competitive advantage. While opening a student art gallery could bring in revenue and market share, Porter's Five Forces warn of potential threats from rival companies and new entrants with extensive resources. (Porter, 1997).To prevent market failure, it's important to assess threats properly. For example, if a new arts institute were to open, Ethan would have to use an alternative strategy, such as hiring specialized tutors, to maintain a competitive advantage and leadership in the market, as previously mentioned. After completing a successful SWOT analysis, Ethan should review his missions and goals.

DATA graduates have achieved prominent positions due to their ability to create for the international and tourism markets. Being located in Nelson, home of the World of Heartbeats, there

is a current market to compete in. By using a corporate strategy that sets long-term direction through diversification, such as opening a gallery, DATA can expand into new business areas and compete in the niche international tourist market. This would allow DATA to compete based on price and quality instead of just differentiation.

Successfully executing the strategy is essential for DATA's success. If the overall strategy isn't compatible with DATA's current structure, a new structure should be implemented early on to ensure the strategy's success.To ensure organizational clarity and successful strategy implementation, it is important to address communication weaknesses, as lack of participation in planning can hinder its implementation. Ethan's use of functional strategy can separate marketing and human resources activities and implement strategies appropriate for each. Currently, a large marketing budget restricts funds allocated to other areas like human and student resources, but increased funds can create a competitive advantage and maintain market leadership. Successful implementation requires environmental analysis and corporate governance, which manages stakeholder relationships and controls organizational direction and performance. Corporate governance challenges leaders and is crucial to a firm's success in strategic management (Hill, Ireland, & Hosking's, 2013).

Strategy evaluation and control require a systematic review of both internal and external factors, and taking corrective measures as needed. In order to assess the performance of T Tat, Ethan must establish a methodical process. The initial step involves defining precise strategic objectives, such as DATA's objective to broaden its market by opening a new gallery. Once the objectives are established, a strategic management process must be put in place to achieve them. The final step involves determining timelines and benchmarks to evaluate

progress towards the realization of those objectives.