The VRIO framework

The VRIO framework

The VRIO framework is a strategic analysis tool that is designed to assist organizations to primarily uncover as well as protect the resources and capabilities from providing them with a long-term competitive advantage. The central concept of this tool is to establish a sustained competitive advantage of the company in the industry. Additionally, the VRIO framework outline some of the elements to come up with possible measures of sustainable need for competition in the industry (Chatzoglou, Chatzoudes, Sarigiannidis & Theriou, 2018). Valuable is the initial element that is described in the framework. Substantially, inquire whether the resources can add value by enabling a firm to exploit opportunities or even have the capability of defending against possible threats. Therefore, if the answer is yes, then the resources are considered valuable and can increase customer value. The next element is rare, which also indicates that resources can be acquired by one of the few companies to be considered rare. These rare and valuable resources assist in granting a competitive advantage in various measures. There are cases where more than a few companies have similar resources and can similarly use their capacity to lead to competitive parity. The cost to imitate is also another issue addressed within the framework. It provides that a resource is costly to imitate when other organization which does not have it cannot consider copying (Chatzoglou, Chatzoudes, Sarigiannidis & Theriou, 2018). Lastly, organized to capture value is also another critical factor which provides the fact that resources a lot does not add any advantage for an organization when there is no proper organization captured in terms of value to be gained. Therefore, it is the responsibility of the company to organize its management systems, processes structure, and policies to realize the potential of its VRIO framework. In general, I believe that my previous company does not have a sustainable competitive advantage due to various measures. The valuable elements such as human capital management were not established significantly to provide opportunities for hiring or even retaining innovative and productive employees (Chatzoglou, Chatzoudes, Sarigiannidis & Theriou, 2018). Similarly, concerning rarity, no company applies data-based employee management.

The strategic process is a continuous critical system which involves the management of an organization strategically. Further, it involves the setting of management decisions and actions, which may result in formulating as well as implementing strategies that determine the performance and success of the organization. There are various stages involved in the process of strategic management process which need to be put into consideration (Rothaermel, 2017). The first one is the clarification of the vision of the organization. This involves setting up the goals of the business by identifying various vital facets, such as short term and long-term objectives. Besides, it also entails the process of identifying the accomplishment of the objectives as well as customizing the process of staffing. The next step in the strategic process entails gathering and analyzing information. Substantially is one of the critical stages since the information gained will assist in shaping other stages (Rothaermel, 2017). The main focus on the analysis of this stage involves the understanding of the need for the business to have a sustainable entity to create a strategic direction by identifying initiatives that will assist the growth of the business. The formulation of a strategy is the next stage in the development of the strategic process. It entails reviewing the information gleaned from completing the analysis to determine the resources in which a business is having to reach its goals and objectives. More importantly, it also describes how to identify areas in which a business may require external resources to prioritize its success. The implementation of the strategy is another stage that represents the action phase. Its primary focus is to determine the business structure and begin to install it ate every stage (Rothaermel, 2017). Lastly, the evaluation and control stage, which assesses the performance measurements. It describes whether this performance is consistent with the review of internal and external issues as well as taking corrective actions when necessary. Nonetheless, I believe that the vital stage is the clarifications of the vision. Substantially, this is because it provides the purpose of setting goals by identifying the long term and short-term objectives. Without these set priorities in long term or short-term needs, there would be no articulation of further process of implementing any strategy within the organization.

Groupthink can be addressed as a phenomenon that takes place when the desire for a group consensus takes the people’s common sense and desire to present alternatives, expression, or even critique a position. There are various challenges of groupthink which have been experienced by various organizations. These consist of conflict between different groups formed within the company. This revolves around the creation of a mentality resulting in marginalized individuals who disagree with the other group (Rose, 2011). The other issue with groupthink is that coming up to consensus is a challenging factor that needs to be addressed. There is a possibility of subjection to shunning and personal attacks more that creative development and decision making. However, various measures can be used to minimize issues regarding groupthink. Building a diverse team is one of the ways to improve the groupthink since it begins with hiring and promotions (Rose, 2011). The successful leaders would determine and promote employees with set skills of positive argument and chemistry in the team. The other best way to solve group think is to create structure meetings intentionally to assist in avoiding groupthink.