Committing to Executing Strategy
- Entails figuring out the specific techniques, actions, and behaviors necessary for a smooth strategy supportive operation
- Following through to get things done and deliver results.
- Making things happen (leadership) and making them happen right (management).
Building An Organization Capable Of Good
Strategy Execution (3 KEY ACTION )
STAFFING, DEVELOPING, STRUCTURING
Acquiring, Developing, And Strengthening Key Resources And Capabilities
Approaches to Build Building and Strengthening Capabilities
- Develop capabilities internally
- Acquire capabilities through mergers and acquisitions
- Access capabilities via collaborative partnerships
Developing
Capabilities
Internally
Managerial Actions to Develop Competencies and Capabilities
- Strengthen the firm’s base of skills, knowledge, and intellect
- Coordinate and integrate the efforts of work groups and departments
Setting Stretch Goals: From Capability To Competence
- Thinking strategically about a firm’s knowledge and skills base
- Setting a stretch goal of developing an organizational ability to do something well
- Evolving the ability into a competence or capability by performing it well and at an acceptable cost
- Thinking strategically about a firm’s opportunities and challenges
- Refreshing, updating, and upgrading competencies and capabilities as necessary to gain and maintain competitive advantage
Acquiring Capabilities Through Mergers And Acquisitions
A Question of Market Opportunity
A Question of Competitive
A Question of Successful Integration
Accessing Capabilities Through Collaborative Partnerships
- Outsource the function requiring the capabilities to a key supplier or another provider
- Collaborate with a firm that has complementary resources and capabilities
- Engage in a collaborative partnership for the purpose of learning how the partner does things
Aligning The Firm’s Organizational Structure With Its Strategy
Structure Is Aligned with Strategy When:
- Its design contributes to the creation of value for customers.
- Its parts are aligned with one another and also matched to the requirements of the strategy.
- It lowers operating costs through lower bureaucratic costs and operational efficiencies.
Determining How Much Authority To Delegate
Organizational Approach to Decision-Making
* Centralized Decision Making
* Decentralized Decision Making
Capturing Cross-business Strategic Fit In A Decentralized Structure
Capturing Cross-Business Strategic Fit
- Enforcing close cross business collaboration to avoid duplication of effort
- Centralizing related functions requiring close coordination at the corporate level
Facilitating Collaboration With External Partners
And Strategic Allies
Creating a Network Structure
1. Strategic alliance
2. Outsourcing arrangements
3. Joint ventures
4. Cooperative partnerships
Further Perspectives On Structuring The Work Effort
Matching Structure to Strategy
- Pick a basic organizational design that matches structure to strategy
- Supplement design with appropriate coordinating mechanisms
- Institute collaborative networking and communication arrangements
