force majeure

Examples of force majeure in the following topics:

• Making Decisions Under Conditions of Risk and Uncertainty

  • Other risks: Risks are very commonly associated with force majeure, or events beyond the control of the organization.

• Task Forces

  • A task force is a temporary team created to address a single piece of work, a problem, or a goal.
  • "Task force" is a phrase that originated in the United States Navy during World War II.
  • Task forces were temporary and easily disbanded after their work was complete.
  • The task force usually begins by assessing the factors that relate to its work.
  • Task forces do not have the power to compel others to accept their recommendations.

• Limitations of the Five-Forces View

  • Like most models, Porter's Five Forces has advantages and limitations when applied to strategic planning processes.
  • According to Porter, the Five Forces model is best used at the broader level of an entire industry.
  • Following this, each line of business should develop its own industry-specific Five Forces analysis.
  • It has been noted that conclusions from the Five Forces model are highly debatable.
  • Employ Porter's Five Forces in a meaningful strategic way, with a thorough understanding of the potential limitations

• Porter's Five Forces

  • His list, Porter's Five Forces, draws upon industrial organization (IO) economics to derive forces that determine the competitive intensity—and therefore attractiveness—of a market.
  • An "unattractive" industry is one in which the combination of the Five Forces drives down overall profitability.
  • Often, the Five Forces are mapped against a SWOT analysis to develop a corporate strategy.
  • This image illustrates the important factors within Porter's Five Forces model.
  • Apply Porter's Five Forces to the external landscape to derive optimal strategies

• Inside and Outside Forces for Organizational Change

  • Inside forces include strategic and human resource changes, while outside forces include macroeconomic and technological change.
  • There are many inside forces to keep in mind as well, ranging from employee changes to cultural reform to operational challenges.Understanding where this change is coming from is the first step to timely and appropriate change management.

• Considering the Environment

  • Porter's five-forces analysis: This analysis identifies factors of the industry's competitive environment that may substantially influence a company's strategic design.
  • The five forces include power of buyers, power of suppliers, rivalry (competition), substitutes, and barriers to entry (how difficult it is for new firms to enter the industry).
  • Understanding these varying forces gives the company an idea of how adaptable or fixed the organizational structure should be to capture value.
  • Understanding these tools and frameworks alongside the varying external forces that act upon a business will allow companies to make strategic organizational decisions that optimize their competitive strength.
  • Porter's five-forces analysis identifies five environmental factors that can influence a company's strategic design: power of buyers, power of suppliers, competition, substitutes, and barriers to entry.

• Time Pressure as a Barrier to Decision Making

  • Time pressure forces decision makers to shift from logical processes (ideal) to intuitive processes (sub-ideal).
  • Time pressure often forces decision makers to look for intuitive shortcuts rather than logically processing all of the required data.

• Making Strategy Effective

  • Mulcaster's Managing Forces Framework addresses this issue by identifying 11 forces that should be taken into account when making strategic decisions and implementing strategies:
  • Apply the three criteria for strategic efficacy identified by Johnson, Scholes and Whittington and the 11 forces that should be incorporated into strategic consideration as argued by Will Mulcaster

• Technology as a Driver and Enabler of Innovation

  • One particular perspective on economics isolates innovation as a core driving force, alongside knowledge, technology, and entrepreneurship.
  • Technology in particular is a powerful driving force in innovative capacity, particularly as it pertains to both the evolution of innovations and the way they proliferate.
  • These technological innovations generated are hypothesized to be a central driving force in the steady economic expansion of the U.S., allowing it to maintain it's place as the world's largest economy.

• Personal Biases

  • Personal biases can be divisive forces within a decision processes as they often lead to less than ideal outcomes for decision makers.