The formulation of Strategy using the Method of Comprehensive Framework for Strategy Formulation Case study: Tabriz sahand khodro company

Abstract

Considering current situation and approaching one, Car-component manufacturers should choose an appropriate strategy so that this strategy can help them survive in competitive market of manufacturing. Sahand khodro company as a small car-component manufacturer, is located in industrial town of Shahid Rajaie in Tabriz. Comprehensive framework for strategy formulation is used to formulate Sahand khodro company's strategy. In initiating stage, Sahand khodro company's mission statement is determined and then at input stage, EFE matrix and IFE matrix are inserted. We have formulated SWOT matrix and IE matrix at matching stage based on acquired information through previous stages. At dicision-making stage various choices of strategies, that had been identified at matching stage, were evaluated using Quantitative Strategic Planning Matrix (QSPM) by empirical methods and out of any subjectivity in opinion. The best strategy was chosen for the company that is: strategic coalition with competitors in order to achieve competitive advantages.

Keywords

• Comprehensive framework for strategy formulation
• Mission statement
• Quantitative Strategic Planning Matrix (QSPM)
• Strength-Weakness-Opportunity and Threat (SWOT) matrix