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The cash cows are bringing in the money now and will help to build the stars and problem children. Too many problem children and stars can be a financial and management strain. Not enough means you may not be building enough future cash cows and will have insufficient cows to finance future development. Although the BCG matrix is used to assess the organisation’s product portfolio, it can also be used by large corporations or conglomerates to assess the portfolio of companies or business units within the group.

2002) 2nd edition, Business Strategy: an Introduction, Elsevier ButterworthHeinemann This is an accessible textbook that provides a straightforward and comprehensive guide to complex issues and concepts. Take a look at Part 2 Chapter 3 ‘Human resources and culture’. Handy, C. (1993) 4th edition, Understanding Organizations, Penguin Books, 180–216 This is a classic text that looks at organisational structures and cultures. It offers an illuminating discussion of key concepts of concern to all managers: culture, motivation, leadership, power, role-playing and working in groups.

This is a technique that is used to widen your perspective of an organisation to help determine the aspects that will deliver results in the future. The second technique explored assesses the products and services offered by your organisation. It is a strategic tool called portfolio analysis. Within this theme you will: ♦ Examine the culture and structural types within an organisation and how they operate as a vehicle for change ♦ Identify the key factors in an organisation that impact on its success ♦ Measure the performance of your organisation using the balanced scorecard approach ♦ Consider how portfolio analysis can help you analyse the products and services your organisation offers.

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