THE STRATEGIC MANAGEMENT TOOLS AND THEIR RELATION TO
COMPETITIVENESS IN HIGHER EDUCATION
Ma kó And ea1, Szűcs Edi 2
1 2Uni e si y o Deb ecen andi[email p o ec ed], edi @eng.unideb.hu
Keywo ds: highe educa ion, compe i i eness, s a egic managemen ,
Abs ac : The Uni e si y o Deb ecen, simila ly o o he ins i u ions o highe educa ion, has o pe o m i s
asks unde con inuously changing ex e nal and in e nal condi ions. Al hough ex e nal economic and
demog aphic condi ions a e likely o be un a o able in he coming pe iod, he ins i u ion has o es ablish he
po en ials o a new pa hway o de elopmen , o else i will lag behind in he ie ce compe i ion o highe
educa ion. We can main ain ou compe i i eness i he Uni e si y enhances i s quali y insu ance sys em in
compliance wi h new challenges, so ha mo e and mo e o ou g adua es can wo k success ully in egional,
na ional o in e na ional labo ma ke s.
The s udy p esen s hose s a egy c ea ion and planning ools, which helps he highe educa ion ins i u ions
o imp o e hei compe i i eness.
ORGANIZATIONAL CULTURE AND COMPETITIVENESS
To unde s and he highe educa ion ins i u ional compe i i eness we ha e o
assume he o ganiza ional (company‟s) o ganiza ional cul u e and o ganiza ional
compe i i eness. To de ine he compe i i eness as a unc ion means no less han he
su i al o he o ganiza ion.
Schein (1989) de ines o ganiza ional cul u e as i is no hing mo e han " he basic
assump ions, models o which he o ganiza ion's ex e nal and in e nal p oblems in
lea ning and ha wo ked well enough o accep hem as alid and wo kable o simila
p oblems."
The unc ionalis pe spec i e ou lined by Schein a gues ha he su i al o any
o ganiza ion has o sol e wo basic p oblems:
- su i al and adap a ion o he ex e nal en i onmen ;
- in eg a ion o he in e nal capaci y o ensu e ha capaci y which is necessa y o he
su i al and o he adap a ion.
The o ganiza ional cul u e is he p oduc o he g oup's collec i e lea ning and
p oblem-sol ing p ocesses, which is pe o med in o de o su i e.
The o ganiza ion's adap a ion abili y o en i onmen al and in e nal changes allows long-
e m unc ionali y, which is he o ganiza ion's compe i i eness. (Chikan, 2001). The
concep o o ganiza ional compe i i eness, as a kind o su i al skill will be in which
o ganiza ions con inually seek o ex e nal and in e nal en i onmen s, u ilizing, aligning
ope a ions o ensu e he long e m. This is he su i abili y o he o ganiza ion
(ins i u ional) ope a ing one o he mos complex phenomena.
By Chikán and Gelei (2006) compe i i eness depends on wo ac o s. On he one
hand o de e mine how he o ganiza ion can p o ide he necessa y cus ome alue, which
equi es ha he o ganiza ion can iden i y he cus ome ‟s dimensions o alue?
Rela ion be ween he cus ome alue and dimension o alues, is p esen ed in
Figu e 1.
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Figu e 1: Rela ion be ween no ions- cus ome alue, dimension o alues and con ol alue
(sou ce: Chikán – Gelei, 2006.)
The cus ome alue is he subjec i e opinion o he cus ome s (s akeholde s), abou
how o package he se ice me expec a ions (Pa asu aman e al., 1985). The cus ome
alue spli in o componen s he dimensions o cus ome alue, which indica e ha , he
se ice package, wha a e he impo an dimensions, which con ibu e g ea ly o he
g ow h o cus ome alue (Wal e s, 2002). I is also necessa y o de e mine he indi idual
alue dimensions o p o ide he essen ial skills - his kind o esou ces and skills a e -
equi ed o build. The cus ome alue and he co e compe encies needed o ensu e
con inuous coo dina ion can only be based on long- e m compe i i eness o he
o ganiza ion
The o ganiza ional compe i i eness is essen ial o ecognize he o ganiza ion‟s mos
impo an cus ome s o he alue dimensions, and p o iding hose esou ces, capabili ies
and compe encies which will make hem able o p o ide. The managemen ha e o be
able o de e mine he impo an cus ome alue dimensions in which alue con ols, so i
could be in luenced wi h ope a ional pe o mance indica o s and also needs o know ha
,how he chosen alue con ols ( esou ces and capabili ies in wha combina ion) can be
de eloped.
Table 1: Componen o he o ganiza ional compe i i eness in highe educa ion
O ganiza ional compe ences
Cus ome alue
Financial
esou ces
Financial s abili y
P ojec esul s
Cus ome sa is ac ion he cus ome
opinion abou he gi en supply
De e mina ion o he alue
dimensions ha con ibu e o
cus ome alue g ow h.
Ma e ial
esou ces
The in as uc u e o he ins i u ions (building,
labo a o ies, ools, e c)
In o ma ion sys ems, da abases
Technological
esou ces
Quali y managemen sys em
VIR-DPR sys em
Pa en s
Ma ke posi ion
Fame and popula i y
Social e ec
In e na ional ela ions
O ganiza ion
compe encies
T aining po olio
O ganiza ional s abili y
Abili y o inno a ion
Resea ch ac i i y suppo ed by o ganiza ional s uc u e
Human esou ces
Employee commi men
O ganiza ional cul u e- he a e o
indi idualism/collec i ism
P o essional compe encies
The wo columns o compe i i eness - he cus ome alue and he ins i u ional
compe ence - phasing p ocess ep esen he so-called compe i i eness spi al. In Figu e 2
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he compe i i eness spi al has been comple ed, wi h hose s a egy de elopmen s,
s a egic planning design ools, which a e assigned o speci ic s eps o con ibu e o he
ins i u ional compe i i eness.
Figu e 2: Rela ion be ween compe i i eness spi al and s a egic planning ools
(sou ce: Chikán – Gelei, 2006 – ans o ma ion)
PEST ANALYSIS
PEST, as an analysis amewo k o mac o-en i onmen al ac o s, is also e e ed o
as, STEP (Clulow, 2005), SEPT (Na ayanan and Fahey, 1994: 199-202), o STEEP
(Vo os, 2001). The cons i uen s o PEST can be conside ed as mac o-en i onmen al
ac o s and i s use ulness lies in he assump ion ha he success o a pa icula
o ganiza ion o managemen solu ion canno be unde s ood wi hou ha ing he in o ma ion
ele an o he speci ic business en i onmen (Buchanan and Gibb, 1998). Business
en i onmen could be de ined as all ele an physical and social ac o s ou side an
o ganiza ion ha a e conside ed in o decision-making p ocess.
MARKET ANALYSIS
Due o ex ensi e wo k o he highe educa ion ins i u ions in all cases should be
de ined ac i i ies and ope a ional pu poses o which he ins i u ions could conside as a
ma ke a ea. The highe educa ion ma ke analysis and assessmen o he cu en
si ua ion should se e as a s a ing poin o highligh he s a egic goals. The de ini ion o
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ma ke size and ma ke sha e analysis o he uni e si ies can ge a ealis ic pic u e abou
hei ac i i ies; imp o e hei se ices in wha di ec ion o enhance hei compe i i eness.
The ma ke analysis, consis om he ollowing s eps:
- Iden i ica ion o he ma ke ;
- Size analysis o he ma ke :
o Numbe o cu en ly ained s uden s
o Numbe o applican s
o Numbe o he annual g adua ed s uden s
o The uni e o he no ma i e suppo
o Employmen oppo uni ies
o How he admission did quo es se ?
o How many ins i u ions ha e been on he ma ke ?, e c.
- Ma ke sha e analysis
BENCHMARKING
Benchma king does no mean copying. Quali y gu u W. Edwa ds Deming eaches
“Adap , don‟ adop .” You uni e si y is no exac ly like any o he , bu disco e ing which
p ocesses you ins i u e mus excel a will inc ease you awa eness o how much he e is
o lea n om o he uni e si ies.
Benchma king is an ongoing, sys ema ic p ocess o measu ing and compa ing wo k
p ocesses o one o ganiza ion o hose o ano he o iden i y bes p ac ices. Highe
educa ion can gain much om his echnique, as indus y has. The me hod is objec i e,
educes esis ance o change and can lead o d ama ic inno a ion and apid de elopmen .
COMPETENCE ANALYSIS (VRIO)
The esou ce-based s a egic app oach (Resou ce Based View, RBV), a key poin
ha he ins i u ion needs o iden i y he a ailable esou ces and capabili ies a e hose
which domina e he long- e m compe i i eness.
The me hod highligh s ou cha ac e is ics o he esou ces and capabili ies (Black-Boal,
1994):
- The esou ces mus be aluable, i is necessa y o examine i i c ea es alues by
allowing esou ces o en i onmen al h ea s o changes
- The esou ces mus be a e , due o his aspec we should examine he numbe o
compe ing o ganiza ions a e al eady in possession o some aluable esou ces and
capabili ies
- I is impo an ha he esou ce imi a ion be cos ly. I is wo h o analyze whe he
hose ins i u ions ha do no ha e any esou ces, hey wan o acqui e skills.
- An impo an ea u e o he esou ces is he o ganiza ional i ing, i he ins i u ion‟
o ganiza ional and managemen sys em allows he maximum u iliza ion o he
esou ces.
Acco ding o he VRIO model - named by he ou essen ial ini ials - hose esou ces and
capabili ies play a key ole in he success o he o ganiza ion in e ms o which each o he
ou essen ial cha ac e is ic a e ue pa allel.
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EFQM MODEL
The EFQM Excellence Model is a non-p esc ip i e amewo k o o ganiza ional
managemen sys ems, p omo ed by EFQM ( o me ly known as he Eu opean Founda ion
o Quali y Managemen ) and designed o helping o ganiza ions in hei d i e owa ds
being mo e compe i i e. The Model is egula ly e iewed and e ined: he las upda e was
published in 2010.
Es ablished in 1992, he p ize ecognizes companies wi h excellen and sus ainable esul s
ac oss all a eas o he EFQM Excellence Model.
The Eu opean model, in oduce wo g oups o c i e ia: enable s and esul s. The
nine c i e ia co e e e y impo an ac o o o ganiza ional being. The EFQM model gi es a
complex managemen concep .
Leade ship, S a egy, People, Pa ne ship & Resou ces and P ocesses and P oduc s &
Se ices a e he enable s. People, Cus ome , Socie y and Key Resul s a e he esul s.
The con en o he enable s a e he ollowing:
o Leade ship: Excellen o ganiza ions ha e leade s who shape he u u e and make i
happen, ac ing as ole models o i s alues and e hics and inspi ing us a all
imes. They a e lexible, enabling he o ganiza ion o an icipa e and eac in a imely
manne o ensu e o ganiza ion o an icipa e and eac in a imely manne o ensu e
he ongoing success o he o ganiza ion.
o S a egy: Excellen o ganiza ion implemen s hei mission and ision by de eloping
a s akeholde - ocused s a egy. Policies, plans, objec i es and p ocesses a e
de eloped and deployed o deli e objec i es and p ocesses a e de eloped and
deployed o deli e s a egy.
o People: Excellen o ganiza ions alue hei people c ea e a cul u e ha allows he
mu ually bene icial achie emen o o ganiza ional and pe sonal goals. They de elop
he capabili ies o hei people and p omo e ai ness and equali y. They ca e o
communica e, and p omo e ai ness and equali y. They ca e o communica e,
ewa d and ecognize, in a way ha mo i a es people, builds commi men and
enables hem o use hei skills and knowledge o he bene i o he o ganiza ion.
o Pa ne ship & Resou ces: Excellen o ganiza ions plan and manage ex e nal
pa ne ship, supplie s and in e nal esou ces in o de o suppo s a egy and
policies and he e ec i e ope a ion o p ocesses.
o P ocesses, P oduc s & Se ices: Excellen o ganiza ions design, manage and
imp o e p ocesses o gene a e inc easing alue o cus ome s and o he
s akeholde s.
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Figu e 3 EFQM model
(Sou ce: www.e qm.o g)
BALANCED SCORECARD
The balanced sco eca d sugges s ha we iew he o ganiza ion om ou
pe spec i es, and o de elop me ics, collec da a and analyze i ela i e o each o hese
pe spec i es:
The Balanced Sco eCa d (BSC) gi es a comp ehensi e ame o manage s,
which allows an o ganiza ional u u e ision and s a egy coo dina ed pe o mance –
indica o . Mos o he o ganiza ions d aw hei mission, which communica es he base
alues o hei employees. This mission includes he key concep s and iden i ies he goals
and main p oduc s. (Robe S. Kaplan - Da id P. No on, 2004).
Balanced Sco eCa d: S a egic planning me hods, based on indica o s.
Objec i e: The applica ion o measu e e u ns.
Applica ion: P ocess Con ol and sense-making ask ha can be localized by
means o in e nal communica ion and educa ion o.
The ole o Balanced Sco eCa d:
• helps cla i ying he ision and he s a egy, and o de elop as an a angemen
• a BSC is a s a egic business managemen and pe o mance measu emen sys em
which,
• links he s a egic goals and indica o s and helps hem communica ed , shows a
conc e e s a egy o he employees.
• Imp o e he incen i e sys em, c ea ing an objec i e oppo uni y o he company‟s
managemen o measu e he pe o mance
• con ol oppo uni y o hose who makes he measu es
• i is in eg a ed o he o ganiza ion1s quali y managemen sys em- i can be
connec ed wi h he EFQM model and wi h he ISO 9001:2008 quali y managemen
sys em, and could be ollowed he achie ing o business excellence
The Balanced So eCa d di ided he s a egy in o goals and indica o s, and so sin ou
poin o iew. The ou dimensions a e: inancial accomplishmen , he cus ome s,
ope a ional p ocess, lea ning and g ow h, which is p esen ed in Figu e 4.
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Figu e 4 Balanced Sco eCa d poin o iew
(sou ce: Robe S. Kaplan – Da id P. No on, 2004)
SUMMARY
D . Joseph M. Ju an, p obably he g ea es pionee in Quali y ma e s, e e ed o
he 20 h cen u y as he „cen u y o p oduc i i y‟ a he Ame ican Socie y o Quali y Con ol
(ASQC) on 24 May, 1994. He also p edic ed ha he 21s cen u y will be he „cen u y o
quali y‟.
Eigh een yea s has passed since ha s a emen and in he pas couple o yea s,
Hunga ian ins i u ions ha e unde gone conside able changes. In o de o be able o s ay in
he ma ke and he necessi y o become compe i i e equi ed hem o place he majo
emphasis on sa is ying he needs o cus ome s. The s udy sough answe o how he
s a egy managemen ools could help compe i i eness.
Re e ences:
1. Black, J.A. – Boal, K.B. S a egic esou ces: T ai s, con igu a ions and pa hs o sus ainable
compe i i e ad an age. S a egic Managemen Jou nal, ol. 15. no, pp.131-148., 1994.
2. Buchanan, S. and Gibb, F. The in o ma ion audi : an in eg a ed s a egic app oach, In e na ional
Jou nal o In o ma ion Managemen , 18(I), 29-47., 1998.
3. Chikán - Czakó – Pap ika. A állala i e senyképesség a globalizálódó magya gazdaságban
Akadémiai Kiadó, Budapes , 2002.
4. Clulow, V. Fu u es dilemmas o ma ke e s: can s akeholde analysis add alue?, Eu opean
Jou nal o Ma ke ing, 39 (9/10), 978-997., 2005
5. Gelei A. – Shube A. Kompe encia alapú e senyképesség egy eze ő FMCG állala példáján,
Műhely anulmányok, Vállala gazdaság an In éze , Budapes i Co inus Egye em, Budapes , 2006.
6. Na ayanan, V. and Fahey, L. Mac oen i onmen al analysis: unde s anding he en i onmen
ou side he indus y. In Fahey, L. and Randall, R. (Eds.), The Po able MBA in S a egy, 2nd edi ion,
189–214, New Yo k: Wiley, 1994.
7. Vo os, J. Re aming en i onmen al scanning: an in eg al app oach”, [Online], 2001.
h p://www.s adsad iseu .nl/buu on wikkelaa / eks /en -scanning.pd [Accessed
8. 16/05/2006].
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