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CHAPTER 9 Strategy Implementation: Organizing For Action: Strategic Management & Business Policy

This document discusses strategy implementation and organizing for action. It covers key topics like achieving synergy through shared resources, how structure follows strategy, stages of corporate development including functional and divisional structures, blocks to changing structures, advanced organizational structures like matrices and networks, international issues for multinational corporations, and balancing centralization vs. decentralization. The overall aim is to effectively organize people and resources to execute strategic plans.

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Heni Fernandes Fransiska
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115 views

CHAPTER 9 Strategy Implementation: Organizing For Action: Strategic Management & Business Policy

This document discusses strategy implementation and organizing for action. It covers key topics like achieving synergy through shared resources, how structure follows strategy, stages of corporate development including functional and divisional structures, blocks to changing structures, advanced organizational structures like matrices and networks, international issues for multinational corporations, and balancing centralization vs. decentralization. The overall aim is to effectively organize people and resources to execute strategic plans.

Uploaded by

Heni Fernandes Fransiska
Copyright
© © All Rights Reserved
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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CHAPTER 9 Strategy

Implementation: Organizing for


Action

STRATEGIC MANAGEMENT & BUSINESS POLICY


11TH EDITION
CHAPTER 9 Strategy Implementation: Organizing
THOMAS L. WHEELEN for Action
J. DAVID HUNGER

9-1
Strategy Implementation

--Sum total of activities & choices


required for strategic plan execution

--Strategy implementation through


programs, budgets, and procedures

9-2
Strategy Implementation

Key Implementation Questions –

–Who carries out strategic plan?

–What needs doing for alignment w/ strategy?

–How is work coordinated?

9-3
Strategy Implementation

Programs –

–Action oriented

–Matrix of change

•Feasibility

•Sequence of execution

•Location

•Pace & nature of change

•Stakeholder evaluations
9-4
Strategy Implementation

Achieving Synergy –

–Shared know-how

–Coordinated strategies

–Shared tangible resources

9-5
Strategy Implementation

Achieving Synergy –

–Economies of scale or scope

–Pooled negotiating power

–New business creation

9-6
Strategy Implementation

Structure follows strategy –

–New strategy is created

–New administrative problems emerge

–Economic performance declines

–New appropriate structure is invented

–Profit returns to previous level

9-7
Strategy Implementation

Stages of Corporate Development –

–Stage I: Simple structure

–Stage II: Functional structure

–Stage III: Divisional structure

–Stage IV: Beyond SBU’s

9-8
Strategy Implementation

Blocks to Changing Stages –

–Loyalty to comrades

–Task oriented

–Single-mindedness

–Working in isolation

9-9
Organizational Life Cycle

9-10
Changing Structural Characteristics of Modern Organizations

9-11
Strategy Implementation

Advanced Types of Organizational


Structures –

–Matrix

•Temporary cross-functional task forces

•Product/brand management

•Mature matrix

9-12
Strategy Implementation

Advanced Types of Organizational


Structures –

–Network structure (virtual organization)

–Cellular organization

9-13
Network Structure

9-14
Strategy Implementation

Six Sigma –
Cost saving programs for all types of
manufacturers

–Define

–Measure

–Analyze

–Improve

–Establish

9-15
Strategy Implementation

Job design (the way jobs are done) to


implement strategy –

–Job enlargement

–Job rotation

–Job enrichment

–Job characteristics model

9-16
Strategy Implementation

International Issues –

–MNC’s
–International Strategic Alliances

9-17
Strategy Implementation

International Development Stages–

–Domestic company
–Domestic company w/export division
–Domestic company w/int’l division
–MNC w/multidomestic emphasis
–MNC w/global emphasis

9-18
Strategy Implementation

Centralization vs. Decentralization–

–Product-group structure
–Geographic-area structure

9-19
Geographic Area Structure

9-20

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