Strategic Implementation

The process by which the organization's

chosen strategies are put into operation. It
may involve planning new activities,
developing an organizational structure to
undertake them and considering how to
persuade stakeholders that their best
interests will be served by undertaking the
strategy.

 As the prime aim in implementing strategy is to

deliver the mission and objectives of the
organisation, implications for the tasks to be
undertaken by individuals and the allocation of the
necessary resources. Detailed strategic plans are
often developed, especially where there are
elements of experimentation or uncertainty in the
chosen strategies. As the strategies are
implemented, they clearly need to be monitored and
controlled. The way in which these activities are
linked together is shown in Figure 17.1.

THE IMPLEMENTATION PROCESS

Basic elements of the implementation process

Implementation issues need to address the
following questions:
What activities need to be undertaken in order
to achieve the agreed objectives?
What is the timescale for the implementation
of these plans?
How will progress be monitored and
controlled?

THE BASIC IMPLEMENTATION

PROCESS
To turn general strategies into specic implementation plans involves
four basic elements:
1. Identication of general strategic objectives specifying the
general results expected from the strategy initiatives;
2. Formulation of specic plans taking the general objectives and
turning them into specic tasks and deadlines (these are often crossfunctional);
3. Resource allocation and budgeting indicating how the plans are
to be paid for (this quanties the plans and permits integration across
functions);
4. Monitoring and control procedures ensuring that the objectives
are being met, that only the agreed resources are spent and that
budgets are adhered to.
The relationship between these activities is shown in Figure 17.2.

Types of basic implementation programme

Implementation programmes will vary according to the
nature of the strategic problems which the organization
faces.
These problems will range from the extreme and urgent
need for change, such as at a bankrupt to the more
ongoing strategic development processes.
The two essential causes of variation in implementation
programmes are:
1: The degree of uncertainty in predicting changes in the
environment;
2: The size of the strategic change required.

 In response to these issues, several types of basic

implementation programme can be carried out. At one
extreme, there is the comprehensive implementation
programme for fundamental changes in strategic direction.
At the other extreme, there is the incremental
implementation programme, where implementation is
characterised by small changes and short time spans within
the general direction implied by the strategy.Both these
approaches have their difculties, so a compromise may be
chosen in practice: the selective implementation
programme.
Comprehensive implementation programmes are
employed when the organisation has made a clear-cut,
major change in strategic direction, as in the crisis faced by
bankrupt etc. Other reasons might include a new
competitive or new technological opportunity.

 Incremental implementation
programmes may be used where there
are conditions of great uncertainty for
example, rapidly changing markets or the
unknown results of R&D.
Selective implementation programmes
may be used where neither of the above
represents the optimal way forward.
Selective programmes represent the
compromise required: a major programme
developed in selective areas only.

Implementation in small and medium-sized businesses

The basic elements of the implementation process the

identication of general strategic objectives; the formulation of specic
plans; resource allocation and budgeting; monitoring and control
procedures are equally applicable to smaller organisations.
All organisations need to specify the tasks to be undertaken and
monitor progress. Moreover, choosing the correct type of
implementation programme comprehensive, incremental or
selective according to the nature of the problem and the particular
environment of the organisation is also important to small and mediumsized businesses. Indeed, any small or medium-sized business that
attempts to obtain nance for a new venture will be asked to supply the
essential information outlined above. Banks and other lending
institutions no longer rely on vague promises and good intentions.

Key strategic principles

Implementation covers the activities required for an
organisation to put its strategies into practice. There are
several basic elements to this process: general objectives,
specic plans and the necessary nances, coupled with a
monitoring and control system to ensure compliance.
Within the implementation process, it is useful to draw a
distinction between different types of implementation. There
are three major approaches: comprehensive, incremental
and selective.
Implementation in small and medium-sized businesses may
be less elaborate but needs to follow the same general
principles.