Chapter XII
ACTIONS THAT SUPPORT BETTER STRATEGY EXECUTION
I. Five Strategy Implementing Tasks (1-5)
1.) Marshalling Ample Resources Behind the Drive for Good Strategy Execution and Operating Excellence
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Organizational units need large enough budgets and ample people to carry out their part of the strategic plan |
2.) Instituting Supportive Policies and Procedures That Facilitate Strategy Execution (Fig. 12.1, page 347)
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To provide top-down guidance about how things are to be done |
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Helps enforce consistency |
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Helps change culture to fit new strategy |
3.) Adopting Best Practices and Striving for Continuous Improvement (See Fig 12.2, page 350)
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Strong commitment to adopting best practices is integral to effective strategy implementation |
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Need to look at all value chain activities |
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TQM and Six Sigma can and should be used as tools for promoting operating excellence |
4.) Installing Information and Operating Systems
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Innovative, state of the art support systems can be a basis for competitive advantage if rivals can't match them |
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Must install strategy supportive information, performance, tracking and control systems |
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Need timely information in order to make adjustments |
5.) Tying Rewards and Incentives to Strategy Execution
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Compensation, career and job satisfaction consequences must be tied to successfully implementing strategic initiatives and accomplishing targets |
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See page 359 - 360 for examples of strategy supporting motivational practices. |
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Note: See page 364 - 365 for guidelines for designing incentive compensation systems. |
Next Steps: Please review the PowerPoint Overview slides (1-25) for this chapter. Then proceed to the Discussion Area.