Mgmt 5260 - Managing for Value Creation

Schulich School of Business

York University

Course Outline

MGMT 5260 3.0: Managing for Value Creation

Section K – Schulich in India Program, Hyderabad

January - February, 2016

Instructor

Theodore Peridis

tperidis@schulich.yorku.ca

Office hours: before/ after class or by appointment

Course secretary:

JoAnne Stein

416-767-2100 ext. 55087

jstein@schulich.yorku.ca

Brief Description

The objective of this course is to teach students how to understand and create value through management action in a multi-level, multi-stakeholder environment. The course develops students’ ability to diagnose complex value creation problems; to identify and analyze multiple stakeholders and how they interact with the firm; to engage with various stakeholders to deliver shared value through different avenues of ‘triple bottom line’ value creation.

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Course objectives

A course about value creation, from a multiple stakeholder perspective.

This course focuses on understanding and managing value creation. Creating value is a core purpose of any organization, whatever industry or sector it may be in. It is also a key driver of social welfare and economic growth in our societies. Managers therefore need to know how value is created; how value is perceived differently by different parties; how value gets captured by those who create it, and how value can be destroyed or captured by others.

More specifically, we seek to explore the management of value creation in an environment of multiple stakeholders.

That is: (i) value creation is seen as a process involving multiple stakeholders with different aims, values and resources; and (ii) it has significance both at the organizational level (i.e. how can we as managers create and capture value?), and at the societal level (i.e. how should value be created and distributed for the benefit of all?). Finally, (iii) the course offers an integrative approach to management for value creation, highlighting the diversity of actors and value propositions involved, and bringing a strategic management approach to the new ‘triple-bottom-line’ environment of business.

First, we introduce ideas and frameworks that address the process of value-creation in a complex environment: we explore questions such as what is value, how is value created, what strategic tools can be used to examine value creation?

Second, we locate the business enterprise (or other organizations such as not-for-profits) at the heart of the value creation process and explore links among the actors it interacts with to create value: shareholders, employees, governments, and nonprofits. Some of these actors such as nonprofit organizations and governments create value in their own right, but all affect value creation in a business setting. For each of these actors we ask: what is their purpose and contribution to value creation, their resource base, and their impact on the firm and on the broader environment?

Third, we ask: how does business relate to this multiple stakeholder environment? And how can value be created through stakeholder engagement? We introduce different modes of interaction and governance, and we address the dynamics of collaboration, competition, and conflict in the value creation process, with a particular focus on negotiation and cross-sector partnerships as primary mode of engaging with stakeholders.

By the end of this course, your skills in the following areas should be enhanced:

1. Stakeholder context analysis

• Identification and analysis of multiple stakeholders and how they relate to and interact with the firm and with each other
• Diagnosis of complex value creation problems

2. Leadership in a multiple stakeholder context

• ‘Big picture’ thinking to inform strategic decision making
• Identification and evaluation of different avenues of ‘triple bottom line’ value creation
• Engage and negotiate with various stakeholders to deliver shared value

Organization of the Course

Classes are designed to be interactive, comprising a mixture of case discussions, talks, guest speakers (some via power point slides), exercises, student presentations, and an on-line simulation designed to enhance experiential learning and practice strategic decision-making. Students are expected to come to class having completed the required readings, and should be ready to contribute to class discussions in an informed way.

Assigned Readings and Resources

There is no required textbook. Required readings are available through the online reserve list on the York University Library website and in the course kit.

To access the online reserve list:

1. Go to http://www.library.yorku.ca/
2. Select the “Reserves” tab above the search box
3. Enter “MGMT5260” as your search term.
4. Select the appropriate instructor/course

Please note that due to new copyright restrictions articles from the Harvard Business Review (HBR) can no longer be directly linked through the Library online reserve list. To access the articles you will now have to conduct a search at the library web site (see guide at: http://researchguides.library.yorku.ca/HBR).