The

The Blue
Blue Ocean
Ocean Strategy;
Strategy; Case
Case Study
StudyAnalysis
Analysis of
of its
its
Implementation
Implementation in
in 14
14 Different
DifferentAgencies
Agencies in
in Malaysia
Malaysia

Journal:
Volume:
Issue No:
Authors:

Developing Country Studies

4,
1, 2014
Zainal Abidin Mohamed
Haim hilman
Ummi Salwa Bahaman

Introduction
Introduction
At the present time, Blue Ocean Strategy (BOS) has
become a burning issue for the corporate world.
There are many studies conduct all over the globe that has
explored the concept of Blue Ocean Strategy (BOS) and its
significance.
The Blue Ocean Strategy (BOS) is still relatively new and
had been introduced only in 2004 by W. Kim and R.
Mauborgne. Its principles are simple but its
operationalization and implementation has yet to be
properly synchronized.
Zainal Abidin and his colleague (2014) conducted this is a
study on 14 agencies who take risk to indulge and join the
Blue Ocean challenge to achieve competitive advantage.
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Objectives
Objectives of
of the
the Paper
Paper
Gathers information on companies that have claimed to be
in the know-how of BOS strategy and that they are already
into the implementation phase.

They are also willing to share:

The kinds of analysis that they did,
the experience that they went through and
The effectiveness of the principles used.

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Literature
Literature review
review
As in most other strategic models, the ultimate aim of
strategizing is that by the action, the company can be
better than the competitors (Porter, 1980).
But what is most common are that all the models utilize
two sets of variables, namely the external and the internal
variables. (David 2006).
But when BOS model was introduced, it is probably the
first time that pairing of external and internal variables was
not found to be necessary.
On X axis take companys factors that have competitive
value, on Y axis its relative performance scores evaluated
by the market.
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Methodology
Methodology
Total 23 companies who claimed that they already applies
BOS principles,
in 23 only 6 companies selected and these 6 companies
named Group A
While 20 other company that are near to implement the
BOS and wanted to participate in and these 20 called
Group B.
After workshop and meeting with these company top
management, follow up schedule made and at the end 14
companies agree to share the information with a promise
that their name and other respective strategies not directly
used.
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Data
Data Analysis
Analysis
All the ERRC tables of the 14 companies were gathered
and a qualitative analysis then applied to understand the
characteristics of data from the corresponding grids.
Use ERRC as it is easier to the memory and the vocal
cord!
E= Eliminate
R= Reduce
R= Raise
C= Create

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Findings
Findings
The analysis of study shows some commonalities, as the
number of cases were small, the Elimination and
Reduce utilities and the Raise and Create
components were grouped.
The qualitative analysis of the study also indicate that the
14 companies strategic actions with regard to the
ERRC Grid components show some commonalities.
Results of the study also shows that the companies costs
components seem to be the main focus followed by
activities that are not giving
good returns. This could
be seen in the form of programs for the academic
institutions and product diversity and variations for the
private companies in the study analysis
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Activities
Activities into
into the
the ERRC
ERRC Grid
Grid

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Conclusion
Conclusion
It has to be assumed that they all practiced and
implemented with full understanding of the principles
as proposed by BOS. But it was noted that nobody in
the study has got any recognized BOS certified
recognition. Therefore their level of understanding
needs to be verified and it may be due to exploratory
concept of the modern era.

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stored in a

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