MODULE-4_STRATEGIC-ANALYSIS-AND-INTUITIVE-THINKING.

Trends, Networks, and Critical Thinking in the 21st Century

• Exploration of strategic analysis vs. intuitive thinking.

Objectives

• Define strategic analysis and intuitive thinking.

• Differentiate key components in both methods.

• Apply strategic analysis for problem-solving.

• Utilize intuitive thinking to address community issues with social networks.

Understanding Thinking

• Thinking is vital for processing information and generating decisions and ideas.

• Thinking Skills Include:

  • Making sense of experiences

  • Solving problems

  • Decision making

  • Organizing information

The Nature of Thinking

• The question "Why we think?" is explored through psychology and biology.

• The question "How we think?" focuses on the process of thinking and its development.

Strategic Analysis

• Definition:

  • A method requiring deliberate, abstract, and effortful thinking to break complex problems into parts.

  • Involves conducting research on both the business environment and the organization itself for strategy formulation.

Steps in Strategic Analysis

1. Identify the Problem

   • Define the problem and its contributing factors.

2. Analyze the Problem

   • Examine the variables influencing the situation, including potential challenges.

3. Generate a Solution

   • Establish practical and creative strategies to resolve the problem.

4. Implement the Solution

   • Execute the established plan.

5. Reflect on the Outcomes

   • Evaluate the effectiveness of the solution and draw lessons for future decisions.

Decision Making Methods

• Strategic analysis involves assessing strengths, weaknesses, opportunities, and threats (SWOT) to create strategies for challenges.

PEST Analysis

• Definition: An analysis of the external macro-environment affecting companies, focusing on Political, Economic, Social, and Technological factors.

  • Political: Government's influence on the economy (tax policy, labor laws).

  • Economic: Factors like growth rates and inflation impacting business decisions.

  • Social: Cultural aspects influencing demand and operational processes.

  • Technological: Changes in technology and their effects on business operations.

SWOT Analysis

• Definition: A strategic planning method identifying strengths, weaknesses, opportunities, and threats in business ventures.

  • Strengths: Attributes that distinguish an organization.

  • Weaknesses: Areas needing improvement to maintain competitiveness.

  • Opportunities: External factors that offer competitive advantages.

  • Threats: Elements that could harm the organization's operations.

Example: SWOT Analysis for Jollibee

• Strengths: Low price, quality food.

• Weaknesses: Fast food health concerns, high spending.

• Opportunities: Expansion into new markets, social media advertising.

• Threats: Competition and changing health preferences.

Intuitive Thinking

• Defined as "quick and ready insight" without requiring conscious reasoning.

• Involves instinct, gut feelings, or inner sensing to make decisions.

• Good intuition relies on accumulated knowledge and experience.

Applications in Decision Making

• Used by professionals like doctors or teachers assessing situations quickly and effectively.

• Engaged within various personal networks (political, economic, sociocultural) relevant to community roles and interests.

Differences and Similarities in Thinking Approaches

• Strategic Analysis: Logical, gradual evaluation for informed decisions.

• Intuitive Thinking: Rapid, instinctive responses based on experiences and feelings.

• There are various key components defining effective strategic and intuitive thinking methodologies.

Key Components of Strategic Analysis

• Tool analysis methods like SWOT and PEST help identify threats and formulate strategies.

Key Components of Intuitive Thinking

1. Lack of Rationalization: Solutions without logical basis.

2. Non-sequential Process: No defined steps in planning.

3. Insights: Understanding using sensory perception.

4. Gut Feeling: Immediate reactions absent of logical justification.

5. Experiences: Role of trained experiences in understanding situations.