戰(zhàn)略策劃Chap010英文版

Chapter10 BuildinganOrganizationCapableofGoodStrategyExecution Screengraphicscreatedby JanaF Kuzmicki Ph D TroyUniversity ChapterLearningObjectives Gaincommandofwhatmanagersmustdotopromotesuccessfulstrategyexecution Understandwhygoodstrategyexecutionrequiresastutemanagerialactionstobuildcorecompetenciesandcompetitivecapabilities Learnwhatissuestoconsiderinorganizingtheworkeffortandwhystrategy criticalactivitiesshouldbethemainbuildingblocksoftheorganizationalstructure Becomeawareoftheprosandconsofcentralizedanddecentralizeddecisionmakinginimplementingandexecutingthechosenstrategy ChapterRoadmap AFrameworkforExecutingStrategyBuildinganOrganizationCapableofGoodStrategyExecutionStaffingtheOrganizationBuildingCoreCompetenciesandCompetitiveCapabilitiesExecution RelatedAspectsofOrganizingtheWorkEffort Craftingvs ExecutingStrategy CraftingtheStrategyPrimarilyamarket drivenactivitySuccessfulstrategymakingdependsonBusinessvisionPerceptiveanalysisofmarketconditionsandcompanycapabilitiesAttractingandpleasingcustomersOutcompetingrivalsUsingcompanycapabilitiestoforgeacompetitiveadvantage ExecutingtheStrategyPrimarilyanoperations drivenactivitySuccessfulstrategyexecutiondependsonDoingagoodjobofworkingthroughothersGoodorganization buildingBuildingcompetitivecapabilitiesCreatingastrategy supportivecultureGettingthingsdoneanddeliveringgoodresults 10 4 Anaction oriented make thingshappentaskinvolvingmanagement sabilitytoDirectorganizationalchangeAchievecontinuousimprovementinoperationsandbusinessprocessesMovetowardoperatingexcellenceCreateandnurtureastrategy supportivecultureConsistentlymeetorbeatperformancetargetsTougherandmoretime consumingthancraftingstrategy ExecutingtheStrategy ImplementingaNewStrategyRequiresAdeptLeadership ImplementinganewstrategytakesadeptleadershiptoConvincinglycommunicatereasonsforthenewstrategyOvercomepocketsofdoubtSecurecommitmentofconcernedpartiesBuildconsensusandenthusiasmGetallimplementationpiecesinplaceandcoordinated WhyExecutingStrategyIsaToughManagementJob OvercomingresistancetochangeWidearrayofdemandingmanagerialactivitiestobeperformedNumerouswaystotackleeachactivityNumberofbedevilingissuestobeworkedoutDemandsgoodpeoplemanagementskillsRequireslaunchingandmanagingavarietyofinitiativessimultaneouslyHardtointegrateeffortsofmanydifferentworkgroupsintoasmoothly functioningwhole WhoAretheStrategyImplementers Implementingandexecutingstrategyinvolvesacompany swholemanagementteamandallemployeesJustaseverypartofawatchplaysaroleinmakingthewatchfunctionproperly ittakesallpiecesofanorganizationworkingcohesivelyforastrategytobewell executedTop levelmanagersmustleadtheprocessandorchestratemajorinitiativesButtheymustrelyoncooperationofMiddleandlower levelmanagerstoseethingsgowellinvariouspartsofanorganizationandEmployeestoperformtheirrolescompetently GoalsoftheStrategyImplementing ExecutingProcess UnitetotalorganizationbehindstrategySeethatactivitiesaredoneinamannerthatisconducivetofirst ratestrategyexecutionGeneratecommitmentsoanenthusiasticcrusadeemergestocarryoutstrategyFithoworganizationconductsitsoperationstostrategyrequirements EverymanagerhasanactiveroleNoproven formula forimplementingparticulartypesofstrategiesThereareguidelines butnoabsoluterulesand mustdoitthisway rulesManywaystoproceedthatarecapableofworkingCutsacrossmanyaspectsof howtomanage CharacteristicsoftheStrategyImplementationProcess Eachimplementationsituationoccursinadifferentcontext affectedbydifferingBusinesspracticesandcompetitivesituationsWorkenvironmentsandculturesPoliciesCompensationincentivesMixofpersonalitiesandfirmhistoriesApproachtoimplementation executionhasbecustomizedtofitthesituationPeopleimplementstrategies Notcompanies CharacteristicsoftheStrategyImplementationProcess continued Figure10 1 TheEightComponentsofStrategyExecution 10 12 CommunicatethecaseforchangeBuildconsensusonhowtoproceedArouseenthusiasmforthestrategytoturnimplementationprocessintoacompanywidecrusadeEmpowersubordinatestokeepprocessmovingEstablishmeasuresofprogressanddeadlinesRewardthosewhoachieveimplementationmilestonesDirectresourcestotherightplacesPersonallyleadstrategicchangeprocessandthedriveforoperatingexcellence WhatTopExecutivesHavetoDoinLeadingtheImplementationProcess BUILDINGACAPABLEORGANIZATION WHATISINVOLVED 10 14 Figure10 2 TheThreeComponentsofBuildinganOrganizationCapableofProficientStrategyExecution 10 15 Assemblingacapablemanagementteamisacornerstoneoftheorganization buildingtaskFindtherightpeopletofilleachslotExistingmanagementteammaybesuitableCoreexecutivegroupmayneedstrengtheningPromotefromwithinBringinskilledoutsiders PuttingTogetheraStrongManagementTeam SelectingtheManagementTeam KeyConsiderations DeterminemixofBackgroundsExperiencesandknow howBeliefsandvaluesStylesofmanagingandpersonalitiesPersonalchemistrymustberightTalentbaseneedstobeappropriatePickingasolidmanagementteamneedstobeactedonearlyinimplementationprocess Thequalityofacompany speopleisanessentialingredientofsuccessfulstrategyexecutionBiggestchallengefacingcompaniesHowtorecruitandretainthebestandbrightesttalentwithstrongskillsetsandmanagementpotentialIntellectualcapital nottangibleassets isincreasinglybeingviewedasthemostimportantinvestmentTalentedpeopleareaprimesourceofcompetitiveadvantage RecruitingandRetainingTalentedEmployees ImplementationIssues KeyHumanResourcePracticestoAttractandRetainTalentedEmployees Spendconsiderableeffortinscreeningjobapplicants selectingonlythosewithSuitableskillsetsEnergyandinitiativePersonalitytraitsthatmeshwellwithfirm sworkenvironmentandcultureJudgmentandaptitudesforlearningPutemployeesthroughtrainingprogramsthroughouttheircareersGivepromisingemployeeschallenging interesting andskills stretchingassignments Rotateemployeesthroughjobswithgreatcontent spanningfunctionalandgeographicboundariesEncourageemployeestoBecreativeandinnovativeChallengeexistingwaysofdoingthingsandofferbetterwaysSubmitideasfornewproductsorbusinessesFosterastimulatingworkenvironmentExerteffortstoretainhigh potentialemployeeswithexcellentsalaryandbenefitsCoachaverageemployeestoimprovetheirskills KeyHumanResourcePracticestoAttractandRetainTalentedEmployees continued BuildingCoreCompetenciesandCompetitiveCapabilities CraftingthestrategyinvolvesIdentifyingthedesiredcompetenciesandcapabilitiestobuildintothestrategytohelpachieveacompetitiveadvantageGoodstrategyexecutionrequiresPuttingdesiredcompetenciesandcapabilitiesinplace Upgradingthemasneeded andModifyingthemasmarketconditionsevolve 1 Firstdevelopabilitytodosomething2 Buildexperienceandgraduallytransformtheabilityintoacorecompetenceandprovencapability3 Continuetorefineandpolishthecompetence capability strivingtoperformtheactivitybetterthanrivals therebyturningthecorecompetenceintoadistinctivecompetenceandprovidingapathtocompetitiveadvantage Three StageProcessofDevelopingCompetenciesandCapabilities DevelopabilitytoperformanactivitywellandatanacceptablecostSelectpeoplewithrelevantskills experienceBroadenorexpandindividualabilitiesasneededMoldeffortsandworkproductsofindividualsintoacooperativeefforttocreateorganizationalability Step1inDevelopingCompetencies Asexperiencebuildsandcompanylearnshowtoperformtheactivityconsistentlywellandatacceptablecost transformtheabilityintoacorecompetenceandcapabilityTypically acorecompetenceorcompetitivecapabilityemergesfromestablishingandnurturingcollaborativerelationshipsBetweenindividualsandgroupsindifferentdepartmentsBetweenacompanyanditsstrategicallies Step2inDevelopingCompetencies Ifandwhenacompanymasterstheactivity notjustperformingitreallywellbutperformingitbetterthanrivals the corecompetence andnow provencapability becomesaDistinctivecompetenceandHoldspotentialforcompetitiveadvantage Step3inDevelopingCompetencies Thisistheoptimaloutcomeoftheprocessofbuildingcompetitivelypotentcompetenciesandcapabilities 1 Competenciesarebundlesofskillsandknow howgrowingfromcombinedeffortsofcross functionaldepartments2 Normally competenciesemergeincrementallyfromvariouscompanyeffortstodealeffectivelywithmarketconditions3 Leveragingcompetenciesintocompetitiveadvantagerequiresconcentratingmoreeffortandtalentthanrivalsonstrengtheningcompetenciestocreatevaluablecapabilities4 Sustainingcompetitiveadvantagerequiresadjustingcompetenciestonewconditions ManagingtheProcessofBuildingCompetences FourKeyTraits CompetitiveAdvantagePotentialofCompetenciesandCapabilities Whenitisdifficulttooutstrategizerivalswithasuperiorstrategy Bestavenuetoindustryleadershipistoout competerivalswithsuperiorstrategyexecution Buildingcompetenciesandcapabilitiesrivalscan tmatchisoneofthebestwaystoout competethem 10 27 Execution RelatedAspectsofOrganizingWorkEfforts FewhardandfastrulesfororganizingOneBigRule Roleandpurposeoforganizationstructureistosupportandfacilitategoodstrategyexecution Eachfirm sstructureisidiosyncratic reflectingPriorarrangementsandinternalpoliticsExecutivejudgmentsandpreferencesabouthowtoarrangereportingrelationshipsHowbesttointegrateandcoordinateworkeffortofdifferentworkgroupsanddepartments Figure10 3 StructuringtheWorkEfforttoPromoteSuccessfulStrategyExecution 10 29 Step1 DecideWhichValueChainActivitiestoPerformInternallyandWhichtoOutsource InvolvesdecidingwhichactivitiesareessentialtostrategicsuccessMoststrategiesentailcertaincrucialbusinessprocessesoractivitiesthatmustbeperformedexceedinglywellorincloselycoordinatedfashionifthestrategyistobeexecutedwithrealproficiencyTheseprocesses activitiesusuallyneedtobeperformedinternallyOtheractivities suchasroutineadministrativehousekeepingandsomesupportfunctions maybecandidatesforoutsourcing DeterminingStrategy CriticalActivities IssuestoConsider 1 Whatfunctionsorbusinessprocesseshavetobeperformedextrawellorintimelyfashiontoachievecompetitiveadvantage 2 Inwhatvalue chainactivitieswouldpoorexecutionseriouslyimpairstrategicsuccess AcompanyimprovesitschancesforoutclassingrivalsinPerformingstrategy criticalactivitiesandTurningacorecompetenceintoadistinctivecompetenceStreamliningofinternaloperationsthatflowsfromoutsourcingactstoDecreaseinternalbureaucraciesFlattenorganizationstructureSpeeddecision makingIncreasecompetitiveresponsivenessPartnershipscanaddtoacompany sarsenalofcapabilitiesandcontributetobetterstrategyexecution PotentialAdvantagesofOutsourcingNon CriticalActivities AppealofOutsourcing Outsourcingnon criticalactivitiesallowsafirmtoconcentrateitsenergiesandresourcesonthosevalue chainactivitieswhereitCancreateuniquevalueCanbebestintheindustryNeedsdirectcontroltoBuildcorecompetenciesAchievecompetitiveadvantageManagekeycustomer supplier distributorrelationships PotentialAdvantagesofPartnering Bybuilding improving andthenleveragingpartnerships afirmenhancesitsoverallcapabilitiesandbuildsresourcestrengthsthatDelivervaluetocustomersRivalscan tquitematchConsequentlypavethewayforcompetitivesuccess Partneringmakesstrategicsensewhentheresultistoenhanceacompany scompetenciesandcompetitivecapabilities DangersofOutsourcing AcompanymustguardagainsthollowingoutitsknowledgebaseandcapabilitiesWaytoguardagainstpitfallsofoutsourcingAvoidsourcingkeycomponentsfromasinglesupplierUsetwoorthreesupplierstominimizedependenceonanyonesupplierRegularlyevaluatesuppliersWorkcloselywithkeysuppliers ForDiscussion YourOpinion Whilecriticscomplainaboutcompaniesthathaveoutsourcedfunctionsonceperformedin housetoforeignsuppliers whocanperformthefunctionsmorecheaply becausesuchoutsourcingresultsininvoluntarylayoffsorjobcuts itisreallyfairerandmoreaccuratetoviewoutsourcingasameanswherebyacompanycanenhanceitscompetitiveness achieveacceptablefinancialperformance andtherebybetterprotectthejobsoftheremainingemployees Trueorfalse Explain Assignmanagersofstrategy criticalactivitiesavisible influentialpositionAvoidfragmentingresponsibilityforstrategy criticalactivitiesacrossmanydepartmentsProvidecoordinatinglinkagesbetweenrelatedworkgroupsMeldintoavaluablecompetitivecapability Step2 MakeStrategy CriticalActivitiestheMainBuildingBlocks WhatTypesofOrganizationalStructuresFitWhichStrategies AcompanyoperatinginonebusinessFunctionaldepartmentstructureAcompanywithoperationsinvariouspartsoftheworldGeographicorganizationalunitsAverticallyintegratedcompanyDivisionalorganizationalstructureAdiversifiedcompanyIndividualbusinessunits witheachbusinessunitoperatingasindependentprofitcenter InacentralizedstructureTopmanagersretainauthorityformostdecisionsInadecentralizedstructureManagersandemployeesareempoweredtomakedecisionsTrendinmostcompaniesShiftfromauthoritariantodecentralizedstructuresstressingempowerment Step3 DetermineHowMuchAuthoritytoDelegatetoWhom Table10 1 AdvantagesandDisadvantagesofCentralizedversusDecentralizedDecisionMaking 10 40 Classicmethodofcoordinatingactivities HaverelatedunitsreporttosinglemanagerUpper levelmanagershaveclouttocoordinateeffortsoftheirunitsSupportactivitiesshouldbewovenintostructuretoMaximizeperformanceofprimaryactivitiesContaincostsofsupportactivitiesFormalreportingrelationshipsoftenneedtobesupplementedtofacilitatecoordination Step4 ProvideforInternalCross UnitCoordination GuardAgainstFunctionalDesignsThatFragmentActivities ScatteringpiecesofcriticalbusinessprocessesacrossseveralspecializeddepartmentsresultsinManyhand offswhichLengthenscompletiontimeDrivesupadministrativecostsIncreasesriskofdetailsfallingthroughthecracksObsessionwithactivityratherthanresultSolution BusinessprocessreengineeringInvolvespullingstrategy criticalprocessesfromfunctionaldepartmentstocreateprocessdepartmentsorcross functionalworkgroups ExamplesofFragmentedStrategy CriticalActivities FillingcustomerordersSpeedingnewproductstomarketImprovingproductqualitySupplychainmanagementBuildingcapabilitytoconductbusinessviatheInternetObtainingfeedbackfromcustomers makingproductmodificationstomeettheirneeds Cross functionaltaskforcesDualreportingrelationshipsInformalnetworkingVoluntarycooperationIncentiveco