Strategy Implementation Approach

The Commander Approach

The leader concentrates on strategy formulation The leader develops the strategy or supervises a team of planners The subordinates are instructed to execute the strategy The leader does not take an active role in strategy implementation The leader is mainly a thinker/planner rather than a doer Helps executive make difficult day-to-day decision from a strategic perspective

Tools used include

Experience curves Growth/share matrices Competitive analysis

Develop a strategy for day-today decisions supporting longer-term objectives

The conditions for the approach to succeed

The leader must wield enough power to command implementation The strategy must pose little threat to the current management Accurate and timely information must be available The environment must be reasonably stable to allow it to be assimilated The strategist should be insulated from personal biases and political influences

Limitations of the Commander Approach

It can reduce employee motivation If only acceptable strategies are those developed at the top, this can result in the leader being extremely unmotivated and un-innovative group of employees

Advantages of the Commander Approach

It offers a valuable perspective to the chief executive Divides the strategic management task into two stages -"thinking" and "doing" Reduces the number of factors that have to be considered simultaneously Allows managers to focus on the quantitative, objective elements of a situation Managers feel all-powerful, shaping the destiny of thousands with his decisions

Organizational Change Approach

This approach starts where the Commander Approach ends: with implementation It addresses the question "I have a strategy how do I get it implemented? The leader considers changes in structure, personnel, information and reward systems The tool is to reorganize personnel to lead the firm in the desired direction The role of the leader is that of an

Techniques for introducing change

Using demonstrations rather than words to communicate the desired new activities

Focus efforts on needs that are known as important by most of the organization
Have solutions presented by persons who have high credibility in the organization

Advantages of the Change Approach

It is more effective than the Commander Approach
It can implement difficult strategies using behavioral science techniques

Limitations of the Change Approach

Does not help managers stay abreast of rapid changes in the environment It can backfire in uncertain or rapidly changing conditions It calls for imposing the strategy in "topdown" fashion It is subject to the same motivational problems as the Commander Approach

The Collaborative Approach

This extends strategic decision-making to the organization's top management team How to get the team help develop and commit to a good set of goals and strategies? The leader and his senior manager meet to formulate proposed strategic changes The leader employs group dynamics and "brainstorming" techniques Managers with differing points of view contribute to the strategic planning process

Advantages of the Collaborative Approach

Overcomes key limitations inherent in the previous two approaches Captures information contributed by managers closer to operations Offer a forum for the expression of many viewpoints Increases the quality and timeliness of the information incorporated in the strategy The degree of the participation enhances commitment to the strategy Improves the chances of efficient implementation May gain more commitment than the earlier approaches

Limitations of the Collaborative Approach

It may result in a poorer strategy The risk that the strategy will be conservative and less visionary It can take much time that an organization misses opportunities It is not really collective decision making as managers retain centralized control Preserves the artificial distinction between thinkers and doers Fails to draw on the full human potential throughout the organization

The Cultural Approach

Extends Collaborative Approach to lower levels How can I get my whole organization committed to our goals and strategies? The leader establishes a clear mission and purpose Employees design their own work activities The leader gives general direction Individual decision-making are encouraged

Implementation tools and techniques used

Publishing a company creed Singing a company song Direct supervision Using rules, procedures, and organizational structure to guide behavior Influencing behavior through shaping norms, values, symbols, and beliefs

Advantages of the Cultural Approach

Breaks down the barriers between "thinkers" and "doers" Establishes an organization-wide unity of purpose Works best where sufficient resources to absorb the cost of building and maintaining the value system

Limitations of the Cultural Approach

It only works with informed and intelligent people It consumes enormous amounts of time to install It can foster a strong sense of organizational identity that it becomes a handicap It has a high doctrinal air about it, and foster homogeneity and inbreeding