Chapter 15: Implementing strategy Flashcards
What is implementation?
Refers to the translation of a chosen strategy into orgasational action in order to achieve strategic goals.
Define structure?
Structures give people formally defined roles, responsibilities and lines of reporting
Define systems?
Systems support and control people as they carry out structurally defined roles and responsibilities
What is functional structure?
The functional structure divides responsibilities according to the organisations primary specialist roles such as production, marketing and finance (Hard implementation)
Allows top management to get direct hands on involvment in key activities
What is divisional structure?
A divisional structure is built up of seoerate divisions based on products, services or geographical areas (Decentralisation) (Hard implementation)
What is a matrix structure?
A matrix structure combines different structural dimensions (axes) simultaneously, for example, product divisions and geographical territories or product divisions and functional specialisms
(Hard implementation)
Staff report to two managers rather than one
What is agile team structure?
Agile teams are small, entrepreneurial groups given the autonomy to respond quickly to the needs of (internal or external) customers (Hard implementation)
8-10 members –> implementing strategies regarding innvoation, close to customers and flexible
Describe planning systems
Three types of planning systems
Strategic planning - Strong planning influence on strategic direction from the corporate center with relatively relaxed performance accountability for the business unit
The financial control - Very little central planning –> Business unit managers are accountable for results
The strategic control - In the middle between the other two. More consensual development of the strategic plan between the corporate centre and the business units.
