STRATEGIC IMPLEMENTATION AND EVALUATION - CHAP 5

Question 1

**refers to the process of putting the plans and initiative developed as a part of strategy into action **

Answer 1

**IMPLEMENTATION **

Question 2

**refers to the process of measuring and assessing the EFFECTIVENESS of these actions **

Answer 2

**EVALUATION **

Question 3

STRATEGIC MANAGEMENT MODEL BY FRED R DAVID

Answer 3

**1. develop vision mission and objectives
2. do swot analysis - ENVIRONMENTAL ANALYSIS (OT)& ORGANISATIONAL APPRAISAL (SW)
3. GENERATE , ANALYSE , AND SELECT STRATEGIES
4. IMPLEMENT STRATEGIES
5. STRATEGIC EVALUATION AND CONTROL **

Question 4

**Diagnostic phase of strategic analysis **

Answer 4

**ENVIRONMENTAL AND ORGANIZATIONAL ANALYSIS **

Question 5

2 STEPS IN STRATEGY FORMULATION

Answer 5

**1. develop the strategic alternative in the light of the organization’s strength, weakness, oppurtunities, threats in the environment.
2. deep analysis of the strategic alternative for the purpose of choosing the most appropriate alternative that would serve as strategy for the firm .
**
the q that would be confronted are:-
* Should the company continue in the same buziness carrying on the same volume of activities ?
* If it continues, should it diversify into existing units or establishhing new units or acquiring the other units in the industry ?
* if it should diversify , should it diversify into related or unrelated areas?
* should it come out of the existing business partially or fully ?

Question 6

EXPLAIN THE PRINCIPAL ASPECTS OF STRATEGY EXECUTION PROCESS

Answer 6

1. Developing budget that steer ample resources into those activities that is critical to strategic success
2. staffing the organization with nedded skills and expertise , consciously building and strengthening strategy supportive competencies and competitive capabilities and organizing the work effort
3. ensure that the policies and operational procedures facilitate rather than impede effective execution
4. use best known practices to perfrom the core business activities and pushing for continuous improvement
5.Install information and operating system to enable the company personnel to better carry their strategic roles day in and day out
6.Motivating the people to pursue the targeted objectives energetically
7.create a company culture and work climate conducive to successfull strategy implementation and execution
8.exerting internal leadership needed to drive implementation forward and improving the strategy execution . when the organization encounters stumbling blocks and weakness the managemnet has to see that they are addressed and rectified quickly

Question 7

THE GAME PLAN THAT DIRECTS THE COMPANY TOWARDS SUCCESS

Answer 7

CORPORATE STRATEGY

Question 8

GOOD STRATEGY EXECUTION INVOLVES CREATING A STRONG “ FIT” BETWEEN —

Answer 8

**1. STRATEGY & INTERNAL OPERATING SYSTEM
2. STRATEGY AND REWARD STRUCTURE
3. STRATEGY & ORGANIZATIONAL CAPABILITIES
4. STRATEGY AND ORGANIZATION’S WORK CLIMATE AND CULTURE **

Question 9

**CHARACTERISTICS OF STRATEGIC PLANNING **

Answer 9

**1. shapes the organization and its resources
2. assess the impacts of environmental variable
3. takes a holistic view of the organization
4. is concerned with long term success of the organization
5. develops overall objectives and strategies
6. is the responsibility of senior management **

Question 10

**characteristic of operational planning **

Answer 10

**1. deals with current deployment of resources
2. develops tactics rather than strategies
3. projects current operation into future
4. makes modifications to business functions but not fundamental changes
5. is responsbility of fuctional management **

Question 11

**formation of corporate strategy is a result of a process known as strategic planning .

explain strategic planning **

Answer 11

**Strategic planning isthe process of determing the objectives and the resources required to attain the objectives and formulation of policies that govern the acquisition , use or disposition of resources

**strategic planning involves a fact of interactive and overlapping decision leading to the development of effective strategyfor the firm **

**strategic planning determines where an orgaanization is going over the next years or more and the ways of going there **

**the process is organization wide or or focused on a mjor function such as division or other major functions. **

Question 12

STRATEGIC UNCERTAINITY HOW TO DEAL WITH IT ?

Answer 12

**1. Flexibility - organization should build flexibility into their strategies to quickly adopt to changes in the environment
2. diversification - Diversifying the organization product portfolio , markets and customer base to reduce the impact of strategic uncertainity
3. Monitoring and scenario planning - Organization should monitor key indicators of change and conduct scenario planning to understand how differnt future scenarios might impact their strategies
4. building resilience - the organization should invest in building internal resilience such as strengthening the operational process, increasing financial flexibility , improving the risk management capabilities
5. collaboraion and partnership - organizations must collabarate with other organizations, customers, suppliers and partners .This can help organization pool resources , share risk, and gain access to new markets and technologies .
**

Question 13

Strategy implementation

Answer 13

Strategy implementation concerns the managerial exercise of putting a freshly chosen strategy into action. It deals with the managerial exercise of supervising the ongoing pursuit of strategy, making it work, improving the competence with which it is executed and showing measurable progress in achieving the targeted results. Strategic implementation is concerned with translating a strategic decision into action, which presupposes that the decision itself (i.e., the strategic choice) was made with some thought being given to feasibility and acceptability. The allocation of resources to new courses of action will need to be undertaken, and there may be a need for adapting the organization’s structure to handle new activities as well as training personnel and devising appropriate systems.

company will be successful only when the strategy formulation is sound and implementation is excellent

Question 14

STRATEGIC FORMULATION SOUND AND STRATEGIC IMPLEMENTATION EXCELLENT

Answer 14

SUCCESSFULL

Question 15

STRATEGIC FORMULATION FLAWED AND STRATEGIC IMPLEMENTATION EXCELLENT

Answer 15

COMPROMISE

Question 16

STRATEGIC FORMULATION SOUND AND STRATEGIC IMPLEMENTATION WEAK

Answer 16

POTENTIAL

Question 17

STRATEGIC FORMULATION FLSWED AND STRATEGIC IMPLEMENTATION WEAK

Answer 17

FAILURE

Question 18

EFFECTIVE -FORMULATION EFFICIENT IMPLEMENTATION

Answer 18

In crude terms, to be effective is to do the right thing, while to be efficient is to do the thing right.

Question 19

LINKAGES

Answer 19

FORWARD LINKAGE -The different elements in strategy formulation starting with objective setting through environmental and organizational appraisal, strategic alternatives and choice to the strategic plan determine the course that an organization adopts for itself. With the formulation of new strategies, or reformulation of existing strategies, many changes have to be affected within the organization. For instance, the organizational structure has to undergo a change in the light of the requirements of the modified or new strategy. The style of leadership has to be adapted to the needs of the modified or new strategies. In this way, the formulation of strategies has forward linkages with their implementation.

BACKWARD LINKAGE- Just as implementation is determined by the formulation of strategies, the formulation process is also affected by factors related with implementation. While dealing with strategic choice, remember that past strategic actions also determine the choice of strategy. Organizations tend to adopt those strategies which can be implemented with the help of the present structure of resources combined with some additional efforts. Such incremental changes, over a period of time, take the organization from where it is to where it wishes to be

Question 20

EFFECTIVE FORMULATION, INEFFICIENT MANAGEMENT

Answer 20

SURVIVE

Question 20

INEFFECTIVE FORMULATION ,EFFICIENT MANAGEMENT

Answer 20

DIE SLOWLY

Question 20

EFFECTIVE FORMULATION, EFFICIENT MANAGEMENT

Answer 20

THRIVE

Question 21

INEFFECTIVE FORMULATION , INEEFIICIENT MANAGEMENT

Answer 21

DIE QUICKLY

Question 22

ISSUES IN STRATEGIC IMPLEMENTATION

Answer 22

♦ The strategic plan devised by the organization proposes the manner in which the strategies could be put into action. Strategies, by themselves, do not lead to action. They are, in a sense, a statement of intent. Implementation tasks are meant to realise the intent. Strategies, therefore, have to be activated through implementation.
♦ Strategies should lead to formulation of different kinds of programmes. A programme is a broad term, which includes goals, policies, procedures, rules, and steps to be taken in putting a plan into action. Programmes are usually supported by funds allocated for plan implementation.
♦ Programmes lead to the formulation of projects. A project is a highly specific programme for which the time schedule and costs are predetermined. It requires allocation of funds based on capital budgeting by organizations. Thus, research and development programme may consist of several projects, each of which is intended to achieve a specific and limited objective, requires separate allocation of funds, and is to be completed within a set time schedule.

Question 23

SOLUTIONS TO ISSUES IN IMPLEMENTATION

Answer 23

• Involving divisional and functional managers in strategy formulation aligns organizational and individual interests.
• Strategists’ participation in implementation ensures effective execution of strategies.
• Management actions like establishing objectives and policies address implementation challenges.
• Extensive management changes may be necessary to implement new strategic directions effectively.
• Participation of managers and employees fosters ownership and commitment to implementation.
• Clear communication of objectives, strategies, and competitive information enhances understanding and alignment.
• Strategists’ genuine commitment motivates managers and employees, driving organizational success.
• Providing training for managers and employees ensures they have the skills to execute strategies effectively and compete in the market.

Question 24

STRATEGIC CHANGE

Answer 24

The changes in the environmental forces often require businesses to make modifications in their existing strategies and bring out new strategies. Strategic change is a complex process that involves a corporate strategy focused on new markets, products, services and new ways of doing business