Donald Kunkel ePortfolio
Strategic Plans
Outcome II: Recognize the importance of developing shared goals for an organization's financial and non-financial measurements, policies, and practices to meet strategic plans.
My Reflection on Meeting this Outcome:
My first artifact, MBA 512, demonstrates my detailed understanding and application of Key Performance Indicators (KPI), and how they help decision-makers with strategic planning. I evaluated Target Corporation and Wal-Mart Stores Incorporated financial conditions by analyzing their 2013 10-K annual reports. First, I compared both organizations' net profit margin KPIs because it is a useful metric that “takes into account all of the expenses of the organization and therefore measures how much revenue make it all the way to the bottom line” (Gilsenan, 2014). Second, I analyzed Target and Walmart’s debt to equity ratio since it is a very popular KPI that measures a company’s ability to fund its growth and how they are effectively using their shareholder’s investments. Third, I observed Target and Walmart’s total asset turnover ratio since this KPI measures both companies' ability to generate revenues from assets by calculating the sales percentage compared to the company’s assets to show decision-makers how many sales are generated from each dollar of company assets (Nickolas, 2021). Lastly, I analyzed the inventory turnover ratio KPI because Target and Walmart are huge retailers with large inventory; furthermore, this KPI is one of the best ways to shows how efficiently a company manages their inventory levels and how frequently they replenish inventory, and it can reveal if an organization has supply chain problems, storage issues, and inadequate inventory levels, which is essential for these giant retailers (Wilkinson, 2013). (See Artifact I)
My second artifact, MBA 545, exhibits my proficiency in technology and innovation management concepts and best practices to meet long-term strategic plans while observing Raytheon Technologies operations. Having a proper innovation management process is vital for an organization to take advantage of exploration and exploitation learning, and according to Tidd & Bessant (2021), “a core theme in discussion of innovation relates to the tensions in search behaviour between ‘exploit’ and ‘explore’ activities” (p. 254). Furthermore, the goal of innovation management is to be able to combine both exploration and exploitation learning and apply them simultaneously within the organization to create ambidexterity. I was able to comprehend these concepts and compare them to Raytheon Technologies to determine their ability to innovate. Next, I evaluated Raytheon’s innovation management antecedents of leadership, top management, contextual, structure, and alliances that make their organization competitive and innovative. After a comprehensive evaluation, I provided some practical innovation management changes that could help the organization improve upon their current state that results in improved innovation synergies. Lastly, I discussed possible factors that may hinder the implementation of these innovation management changes by addressing potential roadblocks of reaching ambidexterity. (See Artifact II).
My third artifact, MBA 512, showcases my synthesis and use of many business measurements and practices during an in-depth analysis of Avis Budget Group (Avis) compared to its competition Hertz Global Holdings, Inc. (Hertz), and Enterprise Holdings (Enterprise). First, I analyzed the industry to determine how Avis compared to its rivals. Second, I provided a SWOT analysis on Avis’s operations, and then its marketing to figure out areas the company needed to focus their efforts to optimize its competitive advantages. Third, I conducted a thorough financial ratio analysis by analyzing Avis’s income statement, cash flow statement, and balance sheet because it will help to identify their financial strengths and weaknesses to provide decision-makers with an estimate of future financial performance (Basu, n.d). Forth, a pro forma analysis of Avis was completed by scrutinizing its financial statements to deliver financial projections to Avis’s management and investors. Firth, a capital structure analysis was executed to determine what the optimal debt to equity strategy should be used to meet Avis’s short-term and long-term financial goals. Lastly, I took the previous analysis and provided three recommendations for management to pursue to increase shareholder value based on the financial and non-financial research. (See Artifact III)
My Future Learning Goals Related to this Outcome:
My reflections and artifacts demonstrate my knowledge and application of financial and non-financial concepts and theories in real-world scenarios that improved organizational strategic planning. My goal is to continue to apply these concepts and put them to use in my military and civilian careers so I can continue to hone the skills I’ve learned and to help the organizations that I’m leading. Organizations that have shared goals are more successful, more efficient, and have higher morale; Consequently, I’m going to put this newly gained knowledge to use and host an Air Force leadership sabbatical with Commanders, Chiefs, and First Sergeants to develop on our 2022 – 2023 Wing Focus Areas that will be presented to our personnel. In addition, I plan to read and apply information from the following books to refine my strategic planning.
1. Strategy-In-Action: Marrying Planning and Performance by Thomas D. Zweifel & Edward J. Borey
2. Start with the Vision: Six Steps to Effectively Plan, Create Solutions, and Take Action by Robert R. Shalenberger
3. Your Next Five Moves; Master the art of business strategy by Patrick Bet-David