The paper "Explanation of the Development of Strategies" is a wonderful example of a Management Case Study. The success of the company is establishing its name, in gaining its reputations, and in building solid foundations in the industry where it belongs revolve around different but equally important factors. Factors such as corporate planning, marketing, and sales strategies, advertising campaigns, operations and productions, and financial health of the company contribute to determining the growth rate of the company as well as its growth potentials. Because a company’ s growth is typically attributed to the financial performance of the company, particularly on how much profit it makes in a specific period, assigning the best-qualified person to handle the financial decisions and manage financial issues in the company is a must.
This has been proven in the Marketplace simulation where each financial decision made effects and is affected by decisions made by the other key people in the project. Most importantly, there is no way to determine which decisions are the right decisions because of the volume of information that must be considered and the amount of time spend in deliberating the whole financial condition is considerably less. My task was to handle the financial decision for Spam Computers as the company’ s Vice President for Finance.
I am working with four other key people on the project that would intensify the market presence of the company’ s PC division by introducing new product lines that would establish strongly in the market, capture a large market share, and become profitable. As a VP for Finance, my main role is to create and propose strategic financial decisions in order to keep the project within the established objective and at the same time make sure that the project is profitable given the decisions.
The decisions I propose are expected to affect major, if not all aspects of the business which is why it is necessary that I have an open mind, sharp decision-making skills, have the ability to foresee the economic and financial trends of the project, and veer the project away from unwanted financial losses. However, handling large projects such as this one entails a lot of unpredictable factors and unforeseeable issues.
The market demand and behavior changes almost every time, the team’ s decisions are influenced by a number of factors that are hard to control and equally difficult to predict, and the individuals within the organization are experiencing high learning curves that the whole process appears daunting. In other words, managing the company’ s finance and predicting the possible financial outcomes in the quarters that would follow is usually difficult. As a result, the final financial strategy developed in the last quarter drifted considerably from the initial strategy drafted in the first quarter.
Below are some of the analysis and explanation of what motivated me to choose certain financial strategies for the organization, their outcomes, and the summary of the things I learned from the decisions I have made. I have also included the outline of what I learned and a discussion on how and in which quarter I have learned them in the simulation.
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