Test the Strategy Against

Business environment Improve or sustain the position verses the competition Culture? Especially the paradigm Other resources Build on internal strengths (value chain) core competences, core resources SWOT How adaptive is it? Seeking to gain competitive advantage

Implementation
Establish the broad targets and deadline(s) within each area. These areas could include: Marketing strategy Human resource strategy I.T. Strategy Finance strategy Operations strategy

Resource Integration in a New Product Launch

(Johnson, Scholes and Wittington: 2006)

Great Strategy; Lousy Implementation

(Grant: 2005)

If implementation is not taken account of its lousy strategy

Consider structure decentralised or centralised Control tight or loose or selective? Top down or bottom up? Functional, divisional, matrix, non hierarchical Culture
(adapted from Grant:2005)

Power Managing change

Monitoring and Controlling Four Key Elements

Set the targets Measure performance Analyse any difference Take appropriate action

Power - Who Has the Power?

Shareholders Government Customers Society Managers Staff Groups within the stakeholders

Sources of Power
Position Resource Person Physical Expert

(Handy:1976)

Structure
Organising to align resources
Function Geography Customer Product Mixture

Culture
Work with it if possible Can be slow and difficult to change Culture can inform your approach to change Paradigm

Consider Changing
I.T. Culture NB paradigm Roles and responsibilities Reward systems Organisational structure
(Adapted from Hall, Rosenthal and Wade:1993)

It is managing change

Managing Change
It should be borne in mind that there is nothing more difficult to handle, more doubtful of success, and more dangerous to carry through, than initiating changes in a states constitution. The innovator makes enemies of all those who prospered under the old order, and only lukewarm support is forthcoming from those who would prosper under the new. Their support is lukewarm partly from fear of their adversaries, who have the existing law on their side, and partly because men are incredulous, never really trusting new things unless they have tested them by experience. In consequence, whenever those who oppose the changes can do so, they attack vigorously, and the defence made by others is only lukewarm. So both the innovator and his friends come to grief. (Machiavelli:1513)

Machiavelli States Three Principles

Can you maintain yourself alone, or do you need the protection of others? Esteem your nobles, but dont make yourself hated by the populace Ferdinand, King of Spain continually contrived great things which have kept his subjects minds uncertain and astonished, and occupied in watching their result.

Different Approaches to the Management of People

Education and communication Participation and involvement Facilitation and support Negotiation and agreement Manipulation and co-optation Implicit and explicit coercion
(Kotter and Schlesinger: 1979)

Strategic Planning

(Gould and Campbell: 1987 in Johnson, Scholes and Wittington: 2006)

Financial Control

(Gould and Campbell: 1987 in Johnson, Scholes and Wittington: 2006)

Strategic Control

(Gould and Campbell: 1987 in Johnson, Scholes and Wittington: 2006)

A Holding Company (1)

Investment company
Shareholdings in variety of separate businesses Subsidiary businesses operate independently, have other shareholders and retain original company name Portfolio parenting role

(Johnson, Scholes and Wittington: 2006)

A Holding Company (2)

Characteristics
Flexible
Bring in outside shareholders as partners Sell subsidiaries as conditions change

Hard to control
Hands-off management style Rights of outside shareholders

Difficult knowledge sharing little synergy

(Johnson, Scholes and Wittington: 2006)