South Africa has been in the process of radical transformation. Within this environment, government organisations must rethink their strategies, redesign their structures and adjust their management practices in order to anticipate frequent changes and to respond proactively to meet anticipated demands. As an organisation, the South African Police Service must then be able to transform itself to affect, forecast and activate rather than merely respond to environmental forces.

The strategic management process provides such a mechanism. It represents a logical, systematic, and objective approach to determining the future direction of the South African Police Service. There is no proven plan of action for achieving the organisation's desired outcomes within a dynamic environment without a strategy.

Results of the self-analysis of management capacity within the South African Police Service indicate that police service management does not have a common understanding of strategic management and the systematic process necessary for its implementation.

Case Source

An organisation that is into multiple businesses (SBUs), whether small or large, requires knowledge of portfolio management. There are different approaches to portfolio management of which the Boston Consulting Group growth-share matrix is one.

Question

1. Explain in detail the Growth-Share matrix of BCG, with relevant examples.
2. Also, identify and explain in detail the factors influencing strategic choice decisions to make the right strategic choice.