A vision for a smarter world
An ARM case study

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Page 3: Strategy

A business strategy is the plan by which aims and objectives will be put into action. Objectives are the specific targets to achieve the aims. Without business strategies in place an organisation will not have a clear direction so would be more likely to fail. ARM has a number of strategies in place to achieve its aims and contribute towards its vision. These include strategies related to growth, Human Resources (HR) and its network of partners.

ARM has seen dramatic growth in recent years. To continue to expand the business ARM has identified three main drivers for growth which are identified in the table. Through focusing on these three areas, ARM aims to continue to grow and maximise revenue.

Arm 18 Diagram 1ARM HR strategies support its growth strategies. By attracting and retaining people with high levels of skills and expertise, ARM can continue to develop the competencies which give it a competitive advantage and enable it to drive its vision forward. To do this ARM’s HR team must ensure a pipeline of talent through workforce planning and recruitment. Training and development opportunities also help to ensure a motivated workforce that will ‘live’ ARM’s values.

Dramatic growth has meant the ARM workforce has increased by 40% in the past three years. As over 80% of ARM employees are educated to degree level or higher, this growth has created a challenge for the ARM HR team. During workforce planning, gaps can arise between what ARM wants to achieve (its objectives) and the resources available to achieve them. These strategic gaps are dealt with through Human Resource Management (HRM). One such strategic gap is attracting sufficient young people with scientific skills to meet the growing needs of the business. To overcome this gap ARM promotes the importance of science, technology, engineering and maths (STEM subjects) to young students.

The ARM ecosystem strategy supports its business model. ARM’s people develop effective relationships with over 1,000 companies that licence ARM technology. The working environment that ARM has created is referred to as its ecosystem of partners. These relationships stimulate innovation between companies to develop the next generation of products. As well as attracting new partners, a large amount of growth occurs when existing partners upgrade their ARM processor to the next generation. This strategy directly supports ARM’s vision and its aim of shared learning.

ARM | A vision for a smarter world