Strategy Implementation
Process by which strategies and policies are put into action through development of programs and procedures
Strategy Implementation
• Programs – single use plans (projects)
• Budgets – costs associated with a program
• Procedures – system of sequential steps that describe how a particular task or job is to be done
Evaluation and Control
Process by which corporate activities and performance results are monitored so that actual performance can be compared with desired performance.
Punctuated Equilibrium
Corporations usually take 15 – 20 years before making a significant change in strategy orientation
Triggering Event
• New CEO
• External Intervention
• Threat of change in ownership
• Performance Gap
• Strategic inflection point (industry)
Strategic Decisions
Rare – unusual, no precedent
Consequential – commit substantial resources
Directive – set precedents for decision making
Mintzberg’s Modes
Entrepreneurial mode – founders vision
Adaptive mode – “muddling through” (reactive)
Planning mode – systematic gathering and analysis of information
Logical incrementalism – interactive strategy development (Planning + Adaptive)
5 Elements of Good Strategy
1. Arenas – Where? 2
. Vehicles – How to get there?
3. Differentiators – How to win?
4. Staging – Speed and sequence - tactics
5. Economic logic – How will we gain a return?