Definition Strategy Implementation Business Essay


After the strategy formulation, the final state of strategic management process is strategy implementation. Strategy implementation is a process by which the strategies turn into the action, so that the organizational may be achieved the goals (Kyra Bartolomei, 2010). These strategies included organization systems and strategic change, strategic leadership, and corporate governance. Implemented strategies need to be properly coordinated as well as communicated whether internally or externally on the organization.

Before the strategies are implemented, the organization should determine the stages and the processes that involved in strategies implementation can be done smoothly. The organization must make feasibility studies on all the stages and processes to minimize the problems.

4.1 Organizational Structures

Organizational structure means the division of labour into specialized tasks and coordination between the tasks. There is widespread acceptance that a change in strategy, other things being equal, will warrant a change n the organizational structure to implement the strategy. Organizations exist because they are more efficient at undertaking economic activities than individuals are their own. Therefore, the organizations are means by which the human economic activity can be coordinated. Mintzberg(1993) argues that all the organized human activity gives rise to two opposing forces: the need to divide labour into separate task, and coordination the tasks to accomplish some goal. There are quite a numbers of organizational strutures for instance like the entrepreneurial structure, the functional structure, the divisional structure, the matrix struture, and the network structure. Each structure has their own advantages and disadvantages, and different design to cope with different organizational environment.

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4.1.1 Entrepreneurial Structure

For Tesco, entrepreneurial structure is more useful for the organization. Entrepreneurial structure promotes the entrepreneurial activity that adapting structure, management, and processes accordingly in order to gain the required agility, speed, creativity and drive to act profitably upon specific opportunities. For example, Tesco provide the self-checkout machines were to accelerate the check out processes and reduce labour cost associated with the point of sales. This work will further explore the triggers of the change, the process involved and benefits to the organization.

The vision of the entrepreneur and flexible working style of the employee are the major strengths of the type of organization. As the organization grows, so the entrepreneur's ability to manage each facet of the business becomes stretched. Where the founder recognizes that they strength lies in formulating a strategic intent or purpose but not necessarily trying to mange function such as marketing or finance, they will recruit specialists to run these activities.

4.1.2 Functional Structure

Functional structure is appropriate for an organization which produces one or a few related products and services. The organizational structure at that division was functional. The organizational charts are grouped according to functional specialism such as vice president, financial, accounting, marketing, and the others. As an organization manager, they have the responsible to manage the entire department which comprises these functions. The functional structure of use promotes the efficiency through the specialized division of labour. These structures have some disadvantages. As a departmental manager, they need to focus their departmental goals at the expense of the organizational goals.

4.1.3 Divisional Structure

Divisional structure is a collection of functions working together to produce a product. An organization grows and diversifies into producing products for different market a more efficient and structure and effective is required. This structure comprises the individual business units that include their own functional specialism and it direct response for their own performance.

4.1.4 Matrix Structure

Matrix structure is an organization try to increase the organizational flexibility to meet the needs of the rapidly changing environment. It aims to maximize the benefits from functional specialism that occur from the division of labour while increasing the efficiency of coordination across these functions. It also defined as a type of management system in which workers report to more than one person, effectively having two or more supervisors at the same time. This can be illustrated by the example of a project environment, where professionals with different types of expertise are brought together to work on a projects. They report to a number of managers of different projects, as well as to a functional supervisor. The idea is to share knowledge and personnel to maximize effectiveness.

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4.1.5 Network Structure

Network structure is a network-based organization structure outsources business functions, harnesses volunteer labour, leverages information technology services and adopts a minimalist model. Network-based organizations favour democratic decision making that involves most members across the organizational structure.

4.2 Organizational Processes

Organizational processes are the systematic way a company defines, organizes and implements its operations through the stages of the product life cycle. This can include strategic measures to improve business performance, proprietary models and intellectual property that contribute to an organizations goals and objectives.

4.3 Strategic Control System

Strategic Control System means an organization is required to control and reward systems that ensure the members within the organization are well motivated and able to work proactively to achieve the organizational goals. A good control system is the manager will be able to assess the performance of individual business unit. Besides, it must simply include objectives for managers, rewards as well as punishments and sanctions for the staffs in the organizations that will motivate the staffs and increase the awareness of their existences in the organization.

4.4 Strategic Change

In the strategy implementation process, strategic change is very important because it is the changing ways of the strategy which the organization interacts with the external environment. To get the good feedbacks on the external environment, the organization are required to create a new idea or new way to adapt the changes. For exapmle, Tesco provide the self-checkout machines were to accelerate the check out processes and reduce labour cost associated with the point of sales. However, these services only provided at certain area, so Tesco should provide this services for all the branches to benefits the organization.

4.5 Strategic Leadership

Strategic leadership refers to a manger's potential to express a strategic vision for the organization, or a part of the organization, and to motivate and persuade others to acquire that vision. Strategic leadership can also be defined as utilizing strategy in the management of employees.

4.6 Learning Organization

Learning organization is only sustainable competitive advantage is the speed and ability of an organization to learn. It is included leadership roles, building the learning organization, and leadership skills.

4.7 Emotional Intelligence and Leadership Performance

Emotional intelligence and leadership performance is an ability to recognize your own emotions and the emotions of others. It is manifest in self-awareness, self-regulation, motivation, empathy, and social skills.

4.8 The Impact of Leadership on Values, vision, and Culture

Visionary companies have a core ideology, which comprises their core values and purpose. The core values can be thought of as the principles on which the firm was founded. An organization's purpose is the reason why it exists; this transcends merely making money. The core values of organization do not change. Visionary organization pursue their purpose knowing that this continuous process and will never be fully achieved.

A model culture based on four separate dimensions. A dimension is simply an aspect of culture, which can be measured in relation to other cultures. The four dimensions are power distance, collectivism versus individualism, femininity versus masculinity, and uncertainty avoidance. This model is a way of measuring the differences between national cultures.

4.9 Corporate Governance

Corporate governance is the process by which corporations are made responsive to the rights and wishes of the stakeholders. Below Board level, the company fosters a strong culture of good governance, including maintaining high ethical standards and strong personal integrity. This is formalised in the Group Code of Business Conduct which sets out our expectations of employees clearly. All businesses within the Group are required to monitor their compliance with the Group governance framework and this information is reviewed at Board level. Tesco are committed to having a constructive dialogue with stakeholders to ensure their stakeholders understand what is important to them and allow ourselves the opportunity to present our position. Engagement helps us identify new risks and opportunities to ensure the long-term strategy is sustainable. In some instances Tesco find that working with stakeholders in partnership can help deliver shared goals. They might not be able to satisfy all stakeholder concerns all the time but through engagement they can do their best to balance competing demands. They know that customers need to be able to trust their business and they will only trust us if they believe that we are engaging on an appropriate basis with our stakeholders. Our programme of engaging with stakeholders including customers, staff, suppliers, investors, government, regulators, non-governmental organisations and others

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