Strategic Implementation
When choosing strategies to gain a competitive advantage and increase performance, the company must develop ways to implement those strategies. The actions taken at the functional, business, and corporate levels to execute a strategic plan include putting quality improvement programs into place, changing product designs, and segmenting the market. Also, when implementing strategies, the organization must choose the best structure, culture, and control systems to put the strategies into action. A governance system is needed for the organization to act in a manner that is consistent with maximizing profitability, profit growth, and legal and ethical practices.
Organizational Structure
The Clorox Company has expanded over the year the company had divided its operations into several branches: Household, International, Lifestyle, and Cleaning. The Clorox Company has divided their products that they produce into product groups and categories. Each product group focused on satisfying the needs of their target customers or groups and is managed by its own team of managers. A company’s organizational structure is the framework of the various relationships within the organization. It sets the foundation for the common actions and functions of employees at every aspect of the company. Organizational structure is a key component in achieving superior efficiency, quality, innovation, and responsiveness to customers (Hill & Jones, 2008). The organizational structure of The Clorox Company is a product structure. This structure is appropriate for a company when it has multiple products in multiple market segments. The intent of product structuring is to break up a company’s growing product line into a number of s...
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... 2004 until 2006. With Mr. Knauss holding various positions as head management in several companies has developed a leadership ability that is very consistent and spreading his vision of a company that must continue to change for the better.
Mr. Donald R. Knauss, Don has been Chairman and Chief Executive Officer of Clorox Corporation (formerly, the Clorox Co.), since October 2, 2006 and has overall responsibility for directing its worldwide business. Mr. Knauss has overall responsibility for directing the Clorox's worldwide business. He serves as an Executive officer of The Minute Maid Company. Mr. Knauss served as President and Chief Operating Officer of Coca-Cola North America at Coca-Cola Company from ..., including his director role at the Kellogg Company, provides him with a keen understanding of the company’s industry and customer and consumer dynamics.
Recently retired in January 2014, CEO Dave Dillon, said it best in his speech to an audience of Kansas City professionals, “The minute that you think you have arrived, and you’re at the top of the game and you don’t need to improve anymore, that’s when you’re gonna go down” (KUBusiness, 2013).
Another marketing strategy that Clorox is employing is consumer fragmentation. Through consumer fragmentation, the company is able to group its target consumers into groups that can be served with a particular advert or marketing approach. Clorox also intends to increase its brand investment behind superior products and more targeted 3D plans. The company appreciates the influence that media has on the purchasing decisions of consumers, it therefore wants to evolve its demand-creation model of 3Ds in the face of increased fragmentation of retailers and consumers. The three D’s of the model stand for desire, d...
Arthur, A., Thompson, Margaret, A., Peteraf, John, E. Gamble, A., J., Strickland III. (2014). Crafting & Executing Strategy: The Quest for Competitive Advantage 19e: Concepts & Cases. C6-C25.
Many factors are involved and impose sometimes the strategies’ approach that is thought to be the perfect one for the organization.
Every entrepreneur and business owner have the same dreams to own successful businesses, revolutionize the marketplaces, and develop high quality life for each generation. Leaders are trailblazers in their companies and no one know the internal structure and company current situations like they do; therefore, they have responsibility to think deeper for their companies’ strategies. As Cynthia Montgomery illustrates in the book, The Strategist, “A great strategy is more than an aspiration, more than a dream: It’s a system of value creation, a set of mutually reinforcing parts. Anchored by a compelling purpose, it tells you where a company will play, how it will play, and what it will accomplish.” An appropriate strategy is the most important
The strategic management process implies sequential and interrelated activities, situation analysis (scanning and evaluating the current organizational content and internal environments), strategy formulation (developing and then choosing appropriate strategies), strategy implementation (putting strategies into action), and strategy evaluation (evaluating the implementation and outcome of strategies), leading to some outcome. These interrelated activities result in a set of strategies the organization uses in doing business. To manage strategically means to analyze the current situation, develop appropriate strategies, putting those strategies into action and then evaluating and changing those strategies as needed. The three main types of
Thompson, A. A., Strickland, A. J., & Gamble, J. E. (2008). Crafting & executing strategy: The quest for competitive advantage (16th ed.). New York: McGraw-Hill Irwin.
Strategic planning is a critical process for any successful business. It outlines the framework in which the organization operates. Therefore, each area of the process should be carefully considered and developed, with the understanding that some areas are relatively static, whereas other areas change and grow depending upon the environment. By far, the most important part of the strategic planning process is its implementation. If the process is never implemented, its development is just wasted energy.
Organization failures often result from the complexity of team tactical plans. Importantly, the strategic plans are inherent in the role of the top management. The managers must understand that effective strategic planning activity incorporates the entire organization 's performance and not just affecting one department performance. A good strategic planning process includes parameters for tracking the performance of the entire organizational. Measuring performance makes the plan satisfactory, achievable by the targeted beneficiary (Bryson, 2012).
Strategy implementation involves establishing programs and tactics to create a series of new organizational activities, budgets to allocate funds to the new activities, and procedures to handle the day-to-day details (Wheelen, Hunger, Hoffman, & Bamford, 2015). Essentially, after a company determines the direction of their program, it is the how that particular direction will be accomplished. It also answers the question of what resources must be moved or sold to meet the allocated budget. For example, Ford Motor Company set up a program with the sole purpose of discovering alternatives to the foam that was being used in the manufacturing of car seats (Ford Motor Company, n.d.). While this program has a great deal of potential, there are different aspects that would have to be measured and verified before it can be considered a successful course of action by the company.
Strategic management is a disciplined effort or control to make necessary decisions that have an effect on a business or an organization; the aim of strategic management is mainly to develop new, innovative or diverse ideas and opportunities for potential or development, and facilitates or assists an organization to achieve its goals (SM, 2010). In reality, strategic management not only can be used or applied to determine mission, vision and values or objectives, but it also establishes roles and responsibilities or timelines in a business (David, 2009). In the following sections, this study will focus on and examine the nature of strategy formulation, implementation, and evaluation activities, and analyze the potential pitfalls or risks in using a strategic-management approach to decision making.
Additionally, understood the strategy implementation, actions made by firms that carry out the formulated strategy, including strategic controls, organizational design, and leadership. environmental
Strategic management is the “identification of one or more sustainable competitive advantages a firm has in the markets it serves (or intends to serve), and allocation of resources to exploit them” (Business Dictionary, 2016). In order for industries and organizations to thrive, they must have strategies in place and strategic management processes to stay competitive, profitable, attractive to stakeholders, and to sustain advantages that set them apart from other competitors (Barney & Hesterly, 2015). The strategic management process involves a set of procedures that lead to choosing a strategy that will eventually lead to competitive advantage (Barney & Hesterly, 2015). The six steps of the strategic management process involves defining
Toyota has adopted an expansion strategy aimed at increasing the company’s market share through sustainable growth. This will be done based on the delivery of high quality, and safe cars, at an affordable price. As the company seeks to expand to new markets, focus will be on maintaining an organizational culture that allows optimum efficiency in the ever dynamic global market.
A strategy, according to Robbins and Barnwell (2002, p. 139) is “the adoption of courses of action and the allocation of resources necessary to achieve the organisation’s goals”.