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Organizational Dynamics, Vol. 35, No. 1, pp.

12–31, 2006 ISSN 0090-2616/$ – see frontmatter


ß 2006 Published by Elsevier Inc. doi:10.1016/j.orgdyn.2005.12.001
www.organizational-dynamics.com

Obstacles to Effective
Strategy Implementation
LAWRENCE G. HREBINIAK

F ormulating strategy is difficult. Making


strategy work – executing or implement-
ing it throughout the organization – is even
real and serious are they? This paper pro-
vides answers to these questions from two
separate, but interdependent sources. First,
more difficult. Without effective implemen- my research and consulting work over the
tation, no business strategy can succeed. past two decades has allowed me to observe
Unfortunately, most managers know far many execution-related problems firsthand.
more about developing strategy than they Second, I undertook an empirical study of
do about executing it. implementation issues in which data were
Theories and advice abound in manage- collected from 443 managers involved in
ment literature about the requisites of good strategy execution. No armchair musings
planning and strategy formulation. A vast here; the data reflect the real implementation
array of planning models and techniques experiences and problems of managers actu-
has been paraded before managers over the ally trying to make strategy work. Let’s look
years, and managers for the most part under- first at some general, overarching issues that
stand them and know how to use them effec- impede strategy execution, and then turn to
tively. However, the problem with poor the empirical survey data and the opinions of
performance typically is not with planning, the practicing managers.
but with doing. Making strategy work is more
difficult than strategy making. Sound plans
founder or die because of a lack of execution Managers are Trained to Plan,
know-how and the ability to confront difficult not Execute
organizational and political obstacles that
stand in the way of effective implementation. One basic problem is that managers know
What are the obstacles to successful more about strategy formulation than imple-
execution? What problems must be con- mentation. They’ve been trained to plan, not
fronted and overcome to make strategy execute plans. For example, in most M.B.A.
work? This article summarizes my recent programs, students learn a great deal about
research on implementing strategy. It iden- strategy formulation and functional plan-
tifies the main obstacles to effective execution ning. Core courses typically hone in on com-
or implementation, and briefly describes petitive strategy, marketing strategy,
what managers must do to overcome the financial strategy, and so on. The number
impediments and achieve strategic success. of courses in most core programs that deal
exclusively with execution or implementa-
tion? Usually none. Execution is most cer-
tainly touched on, but not in a dedicated,
OBSTACLES TO EFFECTIVE
elaborate, purposeful way. Emphasis clearly
STRATEGY IMPLEMENTATION
is on conceptual work, primarily planning,
The road to successful strategy implementa- and not on doing.
tion is full of potholes that must be nego- The lack of training in execution is due to
tiated. What are these problems, and how the fact that strategy and planning in most
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business schools are taught in ‘‘silos,’’ by implementation process. This view holds
departments or disciplines. Execution isn’t that one group of managers does innovative,
emphasized in these courses. The view that challenging work (planning), and then
marketing strategy, financial strategy, ‘‘hands off the ball’’ to lower-levels for execu-
human resource (HR) strategy, competitive tion. If things go awry and strategic plans are
strategy, and so on is the only ‘‘right’’ not successful (which often is the case), the
approach is deleterious to the integrative problem is placed squarely at the feet of the
view demanded by execution. If this is true ‘‘doers,’’ who somehow couldn’t implement
– if managers are trained to plan, not to a perfectly sound and viable plan.
execute, and if they acquire functional exper- Every organization, of course, has some
tise, but not how to coordinate across the separation of planning and doing, of formu-
disparate functions – then the successful lation and implementation. However, when
execution of strategy becomes less likely such a separation becomes dysfunctional –
and more problematic. Execution is learned when planners see themselves as the smart
in the ‘‘school of hard knocks,’’ and the path- people and treat the doers as ‘‘grunts’’ – there
ways to successful results are likely fraught clearly will be execution problems. The truth
with mistakes and frustrations. is that implementation demands ownership at
One could argue, of course, that execution all levels of management. From C-level man-
cannot be taught, that implementation agers on down, people must commit to and
involves ‘‘doing’’ and on-the-job experience. own the processes and actions central to
Even so, managers can be taught the key effective execution. The implementation of
steps, actions, or variables that lead to execu- strategy is not a trivial part of managerial
tion success. They can benefit from a model work; it defines the essence of that work.
of implementation that lays out the process, Execution is a key responsibility of all man-
the steps or decisions involved, and a logical agers, not something that ‘‘others’’ do or
approach to making strategy work. Such a worry about.
model can inform and guide subsequent
implementation actions.
Planning and Execution are
Interdependent
Let the ‘‘Grunts’’ Handle
Strategy formulation and implementation
Execution
are separate, distinguishable parts of the
Another problem is that some top-level strategic management process. Each can be
managers believe strategy implementation differentiated and discussed separately, con-
is ‘‘below them,’’ something best left to ceptually and practically. Logically, imple-
lower-level employees. Indeed, the heading mentation follows formulation; one cannot
of this section comes from an actual quote implement, carry out, or ensure fulfillment
from a high-level manager who believed that of something until that something exists. Mak-
it was top-management’s role to plan and ing strategy work implies the existence of
think strategically, and the role of lower-level strategy. But formulation and implementation
‘‘grunts’’ to simply carry out the top level’s are also interdependent, part and parcel of an
demands and implementation requirements. overall process of planning-executing-adapt-
What a picture of the planning and execu- ing. Planning affects execution. The execution
tion process! The planners (the ‘‘smart’’ peo- of strategy, in turn, affects changes to strategy
ple) develop plans that the ‘‘grunts’’ (not and planning over time. This relationship
quite as smart) simply have to follow between planning and doing suggests two
through on and make work. ‘‘Doing’’ critical points.
obviously involves less ability and intelli- First, successful strategic outcomes are
gence than ‘‘planning,’’ a perception of man- best achieved when those responsible for
agerial work that clearly demeans the implementation are also part of the planning
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or formulation process. The greater the inter- Whereas planning may take weeks or
action between ‘‘doers’’ and ‘‘planners,’’ or months, the implementation of strategy is
the greater the overlap of the two processes usually played out over a much longer per-
or tasks, the higher the probability of execu- iod of time. The longer time frame can make
tion success. it harder for managers to focus on and con-
Second, strategic success demands a trol the execution process, as many things,
‘‘simultaneous’’ view of planning and doing. some unforeseen, can materialize and chal-
Managers must be thinking about execution lenge managers’ attention. Interest rates may
even as they are formulating plans. Execu- fluctuate, competitors don’t behave the way
tion or implementation is not something to they’re supposed to, customers’ needs
worry about later. Execution issues or pro- change, key personnel leave our company,
blem areas must be anticipated as part of a etc. The outcomes of changes in strategy and
‘‘big picture’’ dealing with planning and execution methods cannot always be easily
doing. Formulating and executing are parts determined because of ‘‘noise’’ or uncon-
of an integrated strategic management trolled events. This obviously increases the
approach. This dual or simultaneous view difficulty of execution.
is important, but difficult to achieve, and it The longer time frame puts pressure on
presents a challenge to effective implementa- managers dealing with execution. Long-term
tion. needs must be translated into short-term
Consider, for example, an analysis of strat- objectives. Controls must be set up to provide
egy and structure. While emphasis is right- feedback and keep management abreast of
fully placed on the costs and benefits of external ‘‘shocks’’ and changes. The process
competing organizational designs, given of execution must be dynamic and adaptive,
the business strategy being pursued, a focus responding to and compensating for unanti-
on only strategy and structure is not suffi- cipated events.
cient. Issues that come later in time or in the A point just made is critical and should be
logical flow of implementation activities repeated: implementation is a process. It is not
must also be on the decision makers’ minds. the result of a single decision or action. It is
For example, the strategy–structure rela- the result of a series of integrated decisions or
tionship may hold implications for control actions over time. Execution is a process that
or management information systems (MIS) demands a great deal of attention to make it
requirements, due to the interdependencies work. Managers who seek a quick solution to
and coordination needs inherent in a execution problems will surely fail in their
new structural configuration. Actual choices attempts. Faster is not always better; success-
of information systems hardware, re- ful integration takes time and attention. This
engineering requirements, and coordination presents a real challenge to managers and
mechanisms will not be made for some time. increases the difficulty of strategy implemen-
Yet, analysis of strategy and structure must tation efforts.
have decision makers thinking ahead and
considering future choices and costs. Deci-
Execution Involves More People
sions about strategy and structure in the
than Strategy Formulation
present are affected, in part, by a simulta-
neous view of related future decisions, In addition to being played out over
needs, and costs. longer periods of time, strategy implementa-
tion always involves more people than strat-
egy formulation. This presents additional
Implementation is a Process that
problems. Communication down the organi-
Takes Longer than Formulation
zation or across different functions becomes
The execution of strategy usually takes a challenge. Making sure that incentives
longer than the formulation of strategy. throughout the organization support strat-
14 ORGANIZATIONAL DYNAMICS
egy execution efforts becomes a necessity ADDITIONAL CHALLENGES
and, potentially, a problem. Linking strategic AND OBSTACLES TO
objectives with the day-to-day objectives and SUCCESSFUL
concerns of personnel at different organiza- IMPLEMENTATION
tional levels and locations becomes a legit-
The issues previously noted are serious,
imate, but challenging task. The larger the
potentially impeding execution. Yet there
number of people involved, the greater is the
are still other challenges and obstacles to
challenge to effective strategy execution.
the successful implementation of strategy.
I recently was involved in a strategic plan-
These need to be identified and confronted
ning project with a well-known bank. A
if execution is to succeed.
strategy was articulated and a plan of execu-
To find out what problems managers
tion developed to educate key personnel and
routinely encounter in the execution of strat-
to set goals consistent with the new thrust.
egy, I developed two research projects to
Branch managers and others dealing with
provide some answers. My goal was to learn
customers were brought in to corporate for
about implementation from those most qua-
training and to create widespread enthu-
lified to give me the data—managers dealing
siasm for the program.
with strategy execution. I felt that a wide-
After a few months, the data revealed that
spread approach – surveys directed toward
not much had changed. It clearly was busi-
many practicing managers – would yield
ness-as-usual, with no change in the out-
additional positive results and useful
comes that were being targeted by the new
insights into execution issues.
program. The bank decided to do a brief
survey to canvas customers and branch per-
sonnel to determine reactions to the program Wharton–Gartner Survey
and see where modifications could be made.
This was a joint project involving Gartner
The results were shocking. Few people knew
Group, Inc., a well-known research organi-
about the program. Some branch personnel
zation, with data collection and analysis a
did mention that they had heard about
couple of years ago. The purpose of the
‘‘something new,’’ but nothing different
research, from the Gartner introduction, was:
was introduced to their daily routines. A
few said that the new program was probably ‘‘To gain a clear understanding of
just a rumor, as nothing substantial had ever challenges faced by managers as
been implemented. they make decisions and take actions
Communication and follow-through for to execute their company’s strategy
the new program were obviously inade- to gain competitive advantage.’’
quate, but the bank admittedly faced a daunt-
ing task. It is a big bank. It has many The research instrument was sent to 1,000
employees at the branch level. Educating individuals on the Gartner E-Panel database.
them and changing their behaviors was The targeted sample comprised managers
made extremely difficult by the bank’s size. who reported that they were involved in
Decentralized branch operations ensured strategy formulation and execution. Com-
that problems were always popping up in plete usable responses were received from
the field, challenging employees’ attention a sample of 243 individuals, a return rate that
and making it difficult to introduce new is more than sufficient for this type of
ideas from corporate to a large group of research. In addition, the survey collected
employees. A large number of people responses to open-ended questions to pro-
involved, added to the longer time frames vide additional data, including explanations
generally associated with strategy imple- of items covered in the survey instrument.
mentation, clearly creates problems when Twelve items on the survey dealt with
trying to make strategy work. obstacles to the strategy-execution process.
15
They focused on conditions that affect exe- Panel Discussions
cution, and were originally developed in
In subsequent executive programs after the
conjunction with a Wharton Executive Devel-
data collection, we hosted informal panel dis-
opment Program on strategy implementation.
cussions to collect additional insights into
Let’s briefly consider this program and the
what the data were saying. Managers were
survey it generated, and then we’ll look at the
asked why, in their opinion, people respon-
items involved.
ded the way they did. ‘‘What are the surveys
telling us about execution problems or
Wharton Executive Education issues?’’ was the predominant question.
Survey These discussions forced managers to
read between the lines and interpret the for-
I have been running an executive program
mal data. They also enabled me to probe into
on strategy implementation at Wharton a
what could be done to overcome the obsta-
number of times a year for many years.
cles and achieve successful execution out-
Hundreds of managers with responsibility
comes. Insights were collected, then, not
for strategy execution, many of whom con-
only on the sources of execution problems,
fronted major hurdles in their attempts to
but their solutions as well.
execute strategy successfully have attended
these programs. As part of the formal pro-
gram, managers brought their real-world Survey Results: Ranking the
problems with them. Time was allocated to Obstacles
air out the problems and focus on their solu-
tions in the course of the program. Table 1 shows the top five obstacles to
Based on these presentations and my strategy implementation that resulted from
discussions with managers, a list of execu- the two surveys. Failure to recognize and
tion hurdles or challenges to the execution handle the obstacles would surely lead to a
process was crafted. This list was discussed failure of implementation, according to the
with managers, asking them to rank the managers surveyed. Let’s consider each of
problems or obstacles in order of impor- the major obstacles in turn.
tance. Over time, items were modified,
added to, or deleted from the list, until 12 Inability to manage change effectively. The
items were chosen that made sense and importance of managing change well is
had face validity. These items, managers clearly important for effective strategy imple-
felt, clearly had a relationship to strategy mentation. The inability to manage change
execution. and reduce resistance to new implementation
Using the 12 items to gather opinions over decisions or actions and their consequences
a large number of executive education pro- was ranked as the topmost obstacle in both the
grams provided me with responses from a Wharton–Gartner and Wharton-Executive
sample of 200 managers. They provided a Education surveys. Although culture was
ranking of the items’ impact on strategy not mentioned explicitly in the item, the
execution. Open-ended responses to ques- open-ended responses and panel discussions
tions about implementation issues, pro- placed culture at the core of many change-
blems, and opportunities were also related problems. To many of the respon-
collected over time, providing additional dents, ‘‘change’’ and ‘‘culture change’’ were
valuable data. Coupled with the data col- synonymous.
lected in the Wharton–Gartner Survey using Another change-related issue that emerged
the same 12 items, I had complete responses from the discussions with managers deals
from 443 managers involved in strategy with ‘‘speed’’ in the execution process. How
implementation who told me about their fast is too fast when implementing strategy is a
problems and solutions. critical issue. The demands that strategy
16 ORGANIZATIONAL DYNAMICS
TABLE 1 TOP FIVE OBSTACLES TO STRATEGY EXECUTION
RANKINGS
WHARTON EXECUTIVE WHARTON–GARTNER
OBSTACLES EDUCATION SURVEY (n = 200) SURVEY (n = 243)
Inability to manage change effectively and 1 1
overcome resistance to change
Poor or vague strategy 2 5
Not having guidelines or a model to guide 2 –
strategy implementation efforts
Poor or inadequate information sharing among 4 2
individuals/units responsible for strategy execution
Trying to execute a strategy that conflicts with 5 2
the existing power structure
Unclear responsibility or accountability for 5 4
implementation decisions or actions

makes in the execution process on structure, requisite critical skills and capabilities neces-
incentives, new information requirements, sary for success are emphasized even more.
feedback mechanisms, etc. often are huge Strategy defines the arena (customers,
and complex. How fast must managers react markets, technologies, products, logistics.)
to these demands and institute new methods in which the execution game is played.
or systems? In the opinion of managers sur- Execution is an empty effort without the
veyed, excessive speed is dangerous and often guidance of strategy. What aspects of strat-
injurious to the implementation process. Their egy and planning impact execution outcomes
point is that often ‘‘speed kills,’’ an issue I the most is a critical question that needs
address again below. answering. Another critical question deals
with the relationship between corporate-
Poor or vague strategy. Strategy is the pri- and business-level strategies and how their
mary driver. Implementation begins with interaction affects execution outcomes.
strategy. Execution cannot occur until one
has something to execute. Bad strategy begets Not having a model to guide implementation
poor execution and poor outcomes, so it’s efforts. Managers sorely need and want a
important to focus first on a sound strategy. logical model to guide execution decisions
A poor or vague strategy severely limits and actions. The survey results and panel
implementation efforts and thus presents a discussions with managers highlighted this
major obstacle, according to the survey point emphatically.
results. Good execution cannot overcome Without guidelines, execution becomes a
the shortcomings of a bad strategy or poor labyrinth. Without guidance, individuals do
strategic planning effort. the things they think are important, often
Good people are important for execution. resulting in uncoordinated, divergent, even
It is vital to get the ‘‘right people on the bus in conflicting decisions and actions. Without
the right seats, the wrong people off the bus,’’ the benefit of a logical approach, execution
so to speak. But it’s also important to know suffers or fails because managers don’t know
where the bus is going and why. Strategy is what steps to take and when to take them.
critical. It drives the development of capabil- Managers need to know what comes first,
ities and which people with what skills are second, etc., in the execution process, and
chosen to sit in what seats on the bus. If one why it’s critical to focus on these steps at all.
substitutes ‘‘jet airplane’’ for ‘‘bus’’ – given Having a model or roadmap positively
today’s highflying, competitive markets – the affects execution success; not having one
importance of strategy, direction, and the leads to execution failure and frustration.
17
Poor or inadequate information sharing and coalitions and gain the support of influential
unclear responsibility and accountability. people in the organization will help immen-
Poor sharing of information or poor knowl- sely with the execution of formulated plans.
edge transfer and unclear responsibility and These, then, are the major obstacles to effec-
accountability also can doom strategy-execu- tive strategy implementation identified by the
tion attempts. These two items suggest that 443 managers in my research sample. The next
attempts at coordination or integration across question, of course, deals with how to con-
organizational units can suffer if unclear front and negate the obstacles. Explaining just
responsibilities and poor sharing of vital how to do this resulted in an analysis and
information are the rule. discussion that literally took the best part of a
This makes sense because complex strate- book, and to do so presently would not be
gies often demand cooperation and effective possible due to space and time limitations.
coordination and information sharing. Not Still, identification of the obstacles alone is
achieving the requisite knowledge transfer incomplete and insufficient. Therefore, an
and integration certainly cannot help the attempt is made presently to derive the critical
execution of these strategies. A lack of clear decisions and action steps from the empirical
responsibility or accountability muddles the data that allow managers to confront obstacles
picture even further. Effective coordination and successfully implement their organiza-
cannot occur if managers don’t know who is tions’ strategies. Specifically, the following
responsible for what and with whom they are discussion identifies two critical solutions,
interdependent in task-related implementa- actions, or steps that encompass and confront
tion activities. Knowledge transfer and inte- many of the major obstacles to the effective
gration simply cannot be effective given execution of strategy.
ambiguity in roles and responsibilities and
unclear direction as to who must receive and
employ critical information.
OVERCOMING THE
OBSTACLES AND
Working against the power structure. Suc-
IMPLEMENTING STRATEGY
cessful strategy implementation indicates an
SUCCESSFULLY
ability to gain support for a particular course
of action or execution plan. Making strategy The first critical realization among the man-
work often entails getting others to perform in agers surveyed is that implementation efforts
certain ways or change their behavior. Lead- require guidelines. The execution of strategy
ing execution presupposes an ability to influ- should not be a helter–skelter affair. It should
ence others. Leading effective change, the not be an unstructured process that relies on
number one requisite for successful strategy good people taking the initiative on their own
implementation, also presupposes an ability and, hopefully, making strategy work. Arm-
to influence and move others into purposeful chair philosophy and managerial musings are
action. not sufficient to inform the difficult task of
Trying to execute a strategy that conflicts strategy execution. Thus, the first step in con-
with the prevailing power structure clearly is fronting the formidable implementation
doomed to failure, according to the managers obstacles previously identified is to develop
surveyed. Confronting those with influence at guidelines to lead and support the implemen-
different organizational levels who disagree tation process.
with an execution plan surely will have dys-
functional consequences. Working against the
Developing and Using a
power structure clearly presents a major
Model of Execution
obstacle to effective implementation and mak-
ing strategy work. On the positive side, the As a result of this and previous re-
survey results suggest that an ability to form search, an approach or model to guide
18 ORGANIZATIONAL DYNAMICS
FIGURE 1 IMPLEMENTING STRATEGY: KEY DECISIONS AND ACTIONS

the implementation process (Fig. 1) was ward-only flow of communication or a lack


crafted. It’s impossible to cover every aspect of participation.
of the model in this article. Accordingly, Second, there are feedback loops in the
this discussion will focus on the most model, though they are not obvious. The
important findings of the research. ‘‘controls’’ portion of the model comprises
Two general comments about Fig. 1 are in feedback and change. Execution is a dynamic,
order. First, the model shows that there is a adaptive process, leading to organizational
logical flow of execution decisions or actions. learning. For learning and change to occur,
The arrows in the figure show this flow. feedback about performance against strategic
Incentives, for example, are last in the model, and short-term objectives is necessary. Con-
because they must be. Incentives cannot be tinuous monitoring of performance, conduct-
set until prior decisions about strategy, short- ing ‘‘autopsies’’ when implementation
term objectives, and structure are made. struggles or fails, and managing change are
Logically, incentives must reward and rein- critical aspects of the execution process. The
force the right decisions, which must clearly present model is not static by any means, a
precede the development of those incentives. notion I wish to stress strongly at the outset.
Similarly, corporate strategy is of paramount
importance. If the strategy of a business unit Corporate strategy. The model in Fig. 1
is inconsistent with (or contradictory to) cor- begins with corporate strategy, which is con-
porate strategy, the latter must prevail. The cerned with the entire organization and
arrows, then, show a logical order to execu- focuses, accordingly, on such areas as port-
tion decisions. They show which decisions folio management, diversification, and
precede others when executing strategy. resource allocations across the businesses
They do not suggest a unilateral, down- or operating units that make up the total
19
enterprise. The corporate role is financial and decentralized resources, with the choice
strategic, weighing how to invest scarce capi- being driven by their strategic focus.
tal and how to grow the entire enterprise
(e.g., mergers and acquisitions, vertical inte- Need for integration. The integration com-
gration, and the allocation of capital across ponent of corporate structure noted in Fig. 1
business units). refers to the methods used to achieve coordi-
nation across the units comprising organiza-
Corporate structure. Corporate strategy tional structure. In the previous example,
drives the choice of corporate structure. corporations and universities both were
Alternatively, the choice of structure is vital marked by centralized functions that allowed
to the implementation of corporate strategy. for scale economies and low costs of duplica-
To see this relationship, consider the age-old tion across operating units. To achieve these
structural issue of degree of centralization benefits, the work of the centralized units
and decentralization in an organization. must be shared by decentralized units. Coor-
Over time, a corporation creates or acquires dination or integration of functional expertise
the businesses that make up and define the laterally, across units relying on that expertise,
organization. Some corporate acquisitions is absolutely essential to the efficiency goals of
become relatively independent, decentra- the entire organization and the effectiveness
lized units competing in different industries. goals of the decentralized units. Structural
Yet there usually are activities or functions choice creates an interdependence among dif-
that cut across different businesses that allow ferentiated units that places a premium on
for centralization, reduced duplication of integration efforts.
resources, and the scale economies so often
sought by corporate strategists. Different Business strategy. Fig. 1 shows that busi-
businesses must be sufficiently independent nesses create strategies of their own, and this
to respond quickly to market demands, com- represents the next element of the model. At
petitors’ actions, and customer needs. Yet the business level, strategy is focused on
they can’t be so independent as to create products, services, and how to compete in
an unnecessary duplication of resources a given industry. Emphasis is on industry
and destroy all chances for synergies or scale analysis and industry forces external to the
economies across businesses. The corpora- organization as the business attempts to posi-
tion, then, must create the right balance of tion itself for competitive advantage. Atten-
centralization and decentralization to exe- tion is also paid to internal resources and
cute its strategy and achieve its strategic capabilities as the business tries to create
goals. skills and competencies that differentiate it
Universities face issues similar to those from competitors. In essence, business strat-
faced by corporations. They are marked by egy deals with how to compete and gain
decentralized units (colleges) but have cen- advantage in a given market, and much
tralized staff functions such as HR that ser- has been written on the topic.
vice all colleges to avoid duplication and What must be stressed presently is that
generate cost savings. Like corporations, uni- business strategy is important to the imple-
versities too are characterized by shared mentation of corporate strategy. Business
resources that define the ‘‘corporate center.’’ strategy is important in its own right because
Simultaneously, they are decentralized it helps achieve competitive advantage and
around colleges (business units) that com- profitability for the business unit and, ulti-
pete in different product markets, usually mately, the entire organization. But business
with large amounts of autonomy and local strategy is also important to the execution of
control in a decentralized structure. Corpora- corporate strategy, a role not often assigned
tions, universities, indeed, most organiza- to it by those interested in execution. Indeed,
tions, must choose a mix of centralized and business strategy and corporate strategy are
20 ORGANIZATIONAL DYNAMICS
interdependent; each affects and is affected Consider, for example, the well-known
by the other. generic strategy, that of the low-cost produ-
Consider for a moment the well known cer. To execute this strategy successfully, it is
portfolio approaches to corporate strategy. necessary for the organization to invest in,
‘‘Cash cows,’’ for example, generate cash. nurture, and reward the right functional
Corporate ‘‘milks’’ them and uses their cash skills and managerial capabilities (Table 2).
to feed and grow other business units, such Low cost, companies (e.g., Wal-Mart Stores,
as ‘‘stars’’ with growth potential. Corporate Dollar General Corp., Dell Computer Corp.)
needs the ‘‘cash cows’’ to grow parts of its usually invest heavily in up-to-date equip-
portfolio, consistent with its strategy. Simi- ment or technology, as Table 2 shows. Com-
larly, the university routinely ‘‘milks’’ its puterized production controls and robotics
profitable business school in order to support reduce variable costs of production by repla-
other important, but financially strapped col- cing labor, a more expensive factor of pro-
leges. What would happen if ‘‘cash cows’’ duction (Ford Motor Co., Toyota Motor
did not meet corporate expectations? What if Corp.). Airlines (e.g., Southwest Airlines
they fail to produce the requisite cash nour- Co., JetBlue Airways, United Airlines, Rya-
ishment for the internal funding of growth nair) seek larger planes with fewer, more
and acquisition? Clearly, funds would have fuel-efficient engines to reduce the operating
to come from elsewhere; otherwise, corpo- cost per passenger mile. Even movie theaters
rate strategy could not be executed success- (e.g., Carmike Cinemas Inc.) invest in large,
fully. centrally located popcorn machines to serve
The point is that business strategy is essen- all of the theaters in their multiplex model.
tial to the successful execution of corporate The major need or demand under the low-
strategy. Corporate planning assigns roles cost strategy – indeed, the holy grail of sorts –
and goals to business units, the performance is to achieve high volume, standardization,
of which affects the execution of corporate and repetition of work, for these lead invari-
strategy. Poor strategic performance at the ably to economies of scale and scope, the
business level detracts from corporate’s abil- basis of a low-cost position.
ity to achieve its strategic aims, while good Other investments are also suggested in
performance helps make corporate strategy Table 2 in companies’ quest for a low-cost
work. position. Effective and efficient IT or MIS
Business strategy also makes important systems are needed to provide up-to-date
‘‘demands’’ that must be met to execute suc- information about costs, production, ship-
cessfully. The business must create the func- ments, and inventory. Accounting controls
tional skills, capabilities, and competencies and methods are developed to provide valid
that make sound implementation possible. information about costs in a timely manner. IT
Failure to respond to the demands of strategy systems aid in knowledge transfer, so that
will usually result in poor implementation, headway in cost reduction in one part of the
while success in implementation usually fol- organization can be understood and deployed
lows the satisfaction of these demands. in other, more remote parts of the company.

TABLE 2 THE ‘‘DEMANDS’’ OF THE LOW-COST STRATEGY ON


ORGANIZATIONAL ASSETS, SKILLS, OR CAPABILITIES
 Capital investment in equipment, technology
 Emphasis on volume, standardization, and repetition of work
 Focus on economies of scale and scope
 Choosing organizational structures that produce efficiency and economies
 Development of MIS or IT systems and processes and appropriate accounting methods and controls
 Fostering incentives and controls that motivate and support cost reduction

21
Organizational structure must be consis- Most managers in complex organizations
tent with strategy. Choice of structure face and deal with local, short-term issues. The
usually focuses on functional structures to focus is on what’s needed daily, weekly,
maximize repetition, volume, and economies monthly, or quarterly, as managers confront
related to scale and scope. Incentives are tied the usual problems and opportunities asso-
to cost reduction to support the strategy and ciated with customers, competitors, and
‘‘reward the right things.’’ Again, to achieve employees. It is impossible, even at the highest
a low-cost position, decisions about invest- levels of a business, to manage effectively
ments, capabilities, and operations must sup- armed only with a strategic plan. Key issues,
port and be consistent with that strategy. elements, and needs of the business strategy
Successful implementation requires that the must be translated into shorter-term objectives
‘‘demands’’ of business strategy be met and and action plans, and this translation process
the right capabilities and competencies be is an integral and vital part of the execution of
developed. strategy. Short-term thinking is okay if it’s tied
to long-term, strategic thinking. Fig. 2 shows
Integrating strategy and short-term this translation process and a few examples of
objectives. Fig. 1 shows that business strat- measurable long- and short-term metrics that
egy must be translated into short-term oper- can be used to integrate strategic and operat-
ating objectives or metrics in order to execute ing objectives. Insert Fig. 2 here.
the strategy. To achieve strategic objectives,
an organization must develop short-term, Business structure. Fig. 1 shows that struc-
measurable objectives that relate logically ture and integration methods are as important
to, and are consistent with, business strategy for the implementation of business strategy as
and how the organization plans to compete. they are for corporate strategy.

FIGURE 2 TRANSLATING STRATEGY INTO SHORT-TERM METRICS

22 ORGANIZATIONAL DYNAMICS
In a sense, it is necessary now to talk about tion and coordination. Different units and
organizational ‘‘designs’’ or ‘‘structures.’’ functional areas within a business are often
Different businesses in the same company characterized by differences in goals, percep-
can face very different competitive situations tions, and time frames for action. They often
and thus have a need for different structures have very different cultures. Integration of
(e.g., Johnson &Johnson, General Electric these diverse, differentiated units (‘‘silos’’) to
Co., Asea Brown Boveri). Imposing the same achieve superordinate goals is certainly a
structure on all businesses or divisions sim- challenging task, but it is central to the suc-
ply because they are part of the same orga- cessful execution of business strategy.
nization is not a logical and appropriate way In brief, lateral communication and mana-
to determine structure. Corporate should ging across organizational boundaries are
avoid this execution error at all costs. The important to successful strategy execution.
figure does show that corporate structure can Transferring knowledge and achieving coor-
constrain business structure. For example, a dination across operating units within a busi-
centralized research and development ness are vital to strategic success. Information
(R&D) unit creates a dependency on the sharing and integration methods can increase
corporate unit and affects coordination the flexibility of structure and the organiza-
between businesses and the corporate staff. tion’s ability to respond to implementation-
Still, this is a vastly different situation from related problems.
corporate imposing the same structure on all
its businesses. Business structure should Incentives and controls. The picture of strat-
reflect, and be driven primarily by, the nature egy execution is not yet complete because the
of business strategy in order to implement creation of strategy, objectives, structure, and
that strategy successfully coordinating mechanisms is not sufficient to
Integration again comes into play at the ensure that individuals will adapt their own
business level, just as it did at the corporate goals to those of the organization. Some
level. Once again, structure defines the major method of obtaining individual and organi-
functions or operating units that make up the zational goal congruence is required. Prior
business. Once more, the issue is one of decisions and actions can be negated by a
coordination or integration, as businesses lack of commitment among individuals
develop processes or methods of achieving charged with execution. Execution will suffer
lateral coordination across these major oper- if people are rewarded for doing the wrong
ating units or functions to foster successful things. Execution will fail when no one has a
strategy implementation. stake in the game.
In geographically dispersed businesses, Feedback on performance is also needed
managing across organizational units is so the organization can evaluate whether the
of paramount importance. Coordinating right things are indeed being accomplished
work flows, transferring relevant knowl- in the strategy execution process. Feedback is
edge effectively from one part of the busi- absolutely essential to organizational change
ness to another, and achieving integration or adaptation over time. In essence, what is
so as to meet business objectives are neces- required for successful strategy implementa-
sary ingredients for successful performance tion is the careful development of incentives
(e.g., CitiBank, Asea Brown Boveri, McKin- and controls, the last component of the
sey & Co.). A focus on knowledge transfer, model in Fig. 1.
information sharing, and effective integra- On one hand, incentives motivate or guide
tion or coordination is vitally important, performance; on the other, controls provide
as the present survey data showed rather feedback about whether desired perfor-
convincingly. mance outcomes are being attained. Controls
Size and geographical dispersion are not allow for the revision of incentives and other
the only challenges to effective communica- execution-related factors if desired goals are
23
not being met. Incentives support the key cesses and outcomes. Consistent with the
aspects of the strategy-execution model. views reported by managers in the present
They must reinforce the ‘‘right’’ things if research, there are four contextual factors that
implementation is to succeed. Controls, in deserve attention when explaining the success
turn, must provide timely and valid feedback of the execution decisions and actions just
about organizational performance so that considered in the model: (1) the change man-
change and adaptation become part and par- agement context, (2) the culture of the organi-
cel of the implementation effort. zation, (3) the organizational power structure,
and (4) the leadership context (Fig. 3).
It’s impossible presently to consider all four
The Implementation Context
contextual factors in depth. Instead, the pre-
This, then, is a model or conception of the sent paper will briefly consider one of them
strategy implementation or execution process because of its critical importance for strategy
and its key variables or action steps. It lays out execution—namely, change management.
the major elements or stages in the process
and focuses on the logical connections and
order among them. It takes a step to begin
CHANGE MANAGEMENT AND
addressing the implementation-related obsta-
STRATEGY IMPLEMENTATION
cles identified in the current research surveys.
The last point to emphasize about the Table 1 showed that the biggest obstacle to
model is that the decisions and actions in successful strategy implementation is the
Fig. 1 take place within an organizational or inability to manage change. The 443 managers
environmental context. This context is impor- involved in the execution of their companies’
tant because it can affect implementation pro- strategy unequivocally listed change manage-

FIGURE 3 THE CONTEXT OF IMPLEMENTATION DECISIONS

24 ORGANIZATIONAL DYNAMICS
ment as the most critical skill or capability ‘‘Speed’’ is important when executing
required to make strategy work. This, of changes related to strategy implementation.
course, makes sense. Strategy execution often A short implementation horizon – the time
involves change. Execution may demand period within which managers feel that the
changes in job responsibilities, organizational changes must be made – suggests different
structure, coordination methods, people, problems or challenges than a long imple-
incentives, or controls. These changes may mentation horizon. For example, the effects
be vital to the success of execution outcomes, of shorter time horizons include increasing
thus the ability to manage the change process the number of change components that must
well is a prime requisite for success. be considered simultaneously. Generally,
Some aspects of change management the shorter the time horizon, the greater
have received ample attention in the organi- the complexity of the change process, as
zations and management literature—e.g., more and more critical factors must be taken
overcoming resistance to change. This paper into account at once. Table 3 shows that
will focus on just one aspect of change there are two different approaches to mana-
management that is absolutely critical to suc- ging the large changes associated with strat-
cessful strategy implementation, but one that egy implementation—sequential or complex
has received little formal attention—namely, change.
how to manage large, complex, execution-
related changes, including how fast to make Sequential change. If managers believe that
these requisite changes. Mergers and acquisi- the time available for execution is long,
tions, for example, often flounder or fail Table 3 indicates that a sequential change
because of poor management of the integra- intervention is employed. A sequential inter-
tion process, including the speed or alacrity vention means that the organization reduces a
with which an acquired organization is large change into smaller, more manageable
melded into the parent organization (e.g., pieces or proportions. It handles each piece or
AOL/Time-Warner, Costco/Price, Matsush- aspect of the change process before moving on
ita/MCA, Quaker Oats/Snapple, Morgan to the next. Under sequential change, what we
Stanley/Dean Witter). Similarly, the pace see is a chain of activities or steps, with move-
and methods of change when introducing a ment to the next step determined by analysis
new organizational structure or new incentive or outputs at a prior step in the process, as
programs often affect the success of these shown in this simple graphic:
changes. Let’s consider the relationship
between change and implementation success.

Managing Execution-Related
Change
Discussions with managers revealed two
critical variables in the strategy implementa-
tion process—the size of the change and the
time managers felt they had to achieve positive TABLE 3 MANAGING LARGE
results. For present purposes, let’s assume IMPLEMENTATION-RELATED
that a looming prospective change is large; CHANGES
indeed, most implementation-related changes IMPLEMENTATION
in structure, incentives, controls and people in HORIZON
response to strategic change are usually large, SIZE OF IMPLEMENTATION LONG SHORT
formidable, and challenging. The deciding Large change Sequential Complex
critical factor, then, is how fast managers wish change change
to execute the changes.
25
To solve a strategic problem and initiate a new product. The success of the first stages
change, market research, industry analysis, in the change process can be used to win over
or interviews with customers might deter- doubters who were originally against the
mine that a particular type of product, ser- entire change initiative. Positive results also
vice or competitive strategy could work in a affect buy-in and ownership in a positive
defined market segment (A). Two prototypes way. A ‘‘pat on the back’’ can be given to
(B and B1) of a product or service are devel- those achieving positive interim results,
oped and field tested in a sample market, and which reinforces their motivation and com-
product performance and customer reactions mitment to the planned change.
are observed. Modifications are made, result- Sequential interventions allow for clear
ing in a new product or service (C), which is cause–effect analysis. The effects of an incre-
tested further. A decision is made, and the mental change can be more readily observed
product is placed in mass production (D), than the effects of many simultaneous
with the company ultimately expanding dis- changes. Coordination and learning are thus
tribution to yet additional market segments easier to achieve in this more controlled
(E). version of change management.
Or employing the present model of execu- A sequential process also allows for incre-
tion, a change in corporate strategy may mental investments of time and money.
necessitate a change in structure or even a Everything need not be invested and put at
change in business strategy for a unit in the risk all at once. Small portions of an invest-
corporate portfolio. A revised business strat- ment can be done with minimal risk, low-
egy could precipitate possible changes in ering the overall risk profile and uncertainty
business structure or the coordination for the organization. There is no need to ‘‘bet
mechanisms employed to achieve effective the entire house’’ on a new venture. Under a
integration and unity of effort. Incentives, sequential change process, management is
then, would at minimum have to be exam- betting on smaller pieces and only after
ined to see if they adequately support the achieving some measure of prior success.
new strategic and short-term objectives of the There are also some problems with
company. These are examples of a sequential sequential change. The first obvious one is
logic and approach to change. Large pro- that it takes time. The different parts of the
blems are reduced to smaller more manage- change process are spread out over months,
able proportions, and the analysis focuses on even years. One danger is that people lose
one element of the process before moving on sight of the ultimate goals of the change. The
to the next. desired execution outcomes lose their sal-
ience or significance because short-term
Benefits and costs of sequential chan- issues dominate managerial work. Leaders
ge. This process of change has some obvious of change must constantly reinforce execu-
benefits. It is methodical and paced. It repre- tion efforts, remind individuals of the ulti-
sents a type of planned or rational change, as mate outcome being pursued, and keep
each step is engaged only after the prior step people focused on the change process.
is satisfactorily completed. Bank of America The long implementation horizon pre-
followed a sequential change process after sents an additional problem for sequential
acquiring Fleet Boston, as did Kraft/General change. Simply, other factors come into play.
Foods after their merger, and the results Exogenous forces change. Competitors’
generally were well planned and positive. actions or plans change, consumers become
The step-by-step process allows managers more price conscious, or government anti-
to celebrate success and reduce resistance to trust decisions hold implications for a com-
change. Naysayers and doubters can be pany’s own strategic scenarios. The
shown the results of market research and sequential change process must always be
the initial positive reactions of customers to adapting to these external shocks.
26 ORGANIZATIONAL DYNAMICS
Managers may see sequential change pro- be avoided. Unless it’s absolutely inevitable, a
cesses as less than exciting. They see the logic complex intervention should rarely be used.
of serial changes that feed one into another. Complex change courts disaster and, more
They espouse the benefits of planned or often than not, guarantees the poor execution
rational change. Still, the logical, sequential of strategic change. Why? There are four
process is seen at times as mundane, an exer- major problems with complex change inter-
cise in project management more than an ventions that are omnipresent and difficult to
exciting challenge in managing strategic overcome.
change. Again, to combat this situation, the First, coordination and control are extremely
leaders of change must often celebrate suc- difficult. Under complex change, it is difficult
cesses and achievements in the change pro- to set up effective coordination mechanisms
cess. They must also constantly reinforce and controls. Too much is going on at once.
execution efforts and keep people focused Different managers are responding to
on the ultimate positive outcomes for the change-related issues in real time, simulta-
organization. neously, and this ongoing, at-once treatment
of multiple problems in multiple functional
Complex change. If the time available for areas or geographical settings defies easy and
large-scale, strategic change is deemed to be effective coordination.
short, complex change is the result (Table 3). Second, cause–effect analysis is difficult, if not
The large change facing the organization, impossible. Assume that an organization is in
coupled with a short implementation horizon, the throes of a complex change. By defini-
means that many aspects or elements of tion, time is of the essence, and many things
change are needed to respond to and cope are going on at once. If one were to depict
with the problem. And given the short time for the complex change, it might look like the
execution, they all must be handled or done following:
simultaneously. This, then, is a defining char-
acteristic of complex change: everything impor-
tant is going on at once during the intervention.
The short time frame demands the simulta-
neous consideration of key change variables in
order to beat the time constraint.
Engaging in a complex change can seem
exciting and beneficial. Large problems can
be confronted faster. Complex change is sel- What we see is an organizational ‘‘black
dom, if ever, boring. Managers at all levels of box’’ of sorts with many activities, tasks, or
the organization roll up their sleeves and change programs (a–j) going on at the same
pitch in to confront and solve a major stra- time, the intention being to solve a problem
tegic problem. This pervasive, overriding or achieve some goals as quickly as possible.
approach often breeds a camaraderie of sorts, Assume next that the change process fails
an esprit de corps, as top-level managers toil miserably. The goal isn’t attained, and the
with middle managers, get their collective organization suffers major, but hopefully not
hands dirty, and solve the organization’s irreparable, damage. Clearly, an autopsy is in
vulnerability before a large strategic threat. order and the reasons underlying the failed
These seemingly positive aspects of com- change must be identified and understood.
plex change notwithstanding, this change The problem is that a clear cause–effect
process teems with problems. It flirts with model cannot be drawn. It is nearly impos-
disaster. It creates a number of issues that sible to explain with great certainty exactly
virtually guarantee the failure of change what happened. It is difficult to explain what
and poor execution outcomes. Indeed, my went wrong. Did single elements in the
research argues that complex change should ‘‘black box’’ of tasks, activities and programs
27
affect goal attainment independently of the made? Which tasks or activities would be
others? Did ‘‘a’’ through ‘‘j’’ have separate, eliminated or reinforced?
independent effects on the outcome? Or were There obviously are no simple answers to
there interactive effects? Did a subset or var- these questions. Learning is not an easy option
ious subsets of the ten tasks, activities, or when failure results under complex change.
programs interact with each other to nega- Top management surely will try to make some
tively affect the outcome, as the following educated guesses as to what needs fixing or
suggests? whom to blame for the failure, but this repre-
sents an exercise in judgment, at best.
Fourth, it is necessary to relax the perfor-
mance criteria against which people are held
accountable. The only way to make a complex
change work is to reduce its complexity. The
need is to focus on a small subset of simulta-
neous tasks, activities, or programs and not
hold individuals accountable for performance
in other areas. In other words, set priorities,
Considering that there are a huge number focus on key performance outcomes, and let
of possible binary combinations of ‘‘a’’ other performance measures slide.
through ‘‘j’’ and a host of other combinations Why is this cure listed as a problem of
or permutations of three or more variables in complex change? Because organizations usually
interaction, explaining what caused the fail- aren’t willing to relax or eliminate the performance
ure is virtually impossible. What explains the criteria against which people are held accountable.
outcome when so many things are going on They insist that managers continue to do it all.
simultaneously? Nothing does, at least not They won’t let managers focus on some
easily and transparently. Cause and effect aspects of change and let others slip. They’ll
remain uncertain and unclear. usually ask the overworked and embattled
Third, Learning suffers. The result of an managers involved with complex change to
unclear model of cause and effect leads logi- ‘‘do the best you can.’’
cally and inexorably to yet another problem: Being asked to ‘‘do the best you can’’ is
learning cannot occur. usually the wrong goal to set. Without relax-
A contentious or failed major change is ing the number of measures that managers
serious (e.g., K-Mart, AT&T). Many resources are responsible and accountable for, the com-
are usually dedicated to a complex change, plex change won’t work. The change will be
including a great deal of management’s time, seen as a failure, and the managers involved
efforts, and commitment. At minimum, the will often be tainted by it and seen as failures
organization wants to learn from its mistakes by the organization.
and prevent the recurrence of such a huge In sum, faced with large strategic pro-
change-related failure in the future. blems, an organization should rely on
The problem is that it can’t learn. The sequential change, despite its pedestrian nat-
unclear cause–effect relationship when many ure. If complex change is inevitable, then the
tasks or activities are being attended to warnings and issues presented on the vag-
simultaneously prevents learning. Given aries and difficulties of complex change must
the difficulty of determining the independent be acknowledged and addressed by manage-
and interactive effects of a through j on ment in as effective a way as possible. At
change outcomes in the previous example, minimum, top management must reduce the
what would the organization do differently number of performance criteria against
in the future? What corrections in the set of which individuals are held accountable to
tasks and activities that were handled con- give the change a chance and increase the
currently in the complex change would be probability of success.
28 ORGANIZATIONAL DYNAMICS
There, of course, are other factors that – Poor or inadequate information sharing
affect the success of change management, – Unclear responsibility and account-
including handling culture change and resis- ability, and
tance to new strategy implementation pro- – Working against the organizational
grams. The present emphasis is on the power structure
management of large-scale change and how
complex changes can threaten the success of Also discussed were the contributions of
multiple execution plans, tasks, and pro- other conditions to ineffective execution,
cesses. The inability to handle large changes including (a) the time required for imple-
related to strategy implementation clearly is mentation, (b) the separation of planning
the number one obstacle to success, according and doing, (c) managers’ formal education
to our sample of managers, and the present that favors planning and conceptual devel-
treatment of the management of large-scale opment over analysis of execution-related
change actually is a worthwhile and impor- needs, and (d) the difficult requirement for
tant focus, given these research results. simultaneous thinking in the planning-
execution process.
The latter portion of this article focused
on two responses to address the obstacles or
SUMMARY
problems: a model of strategy implementa-
There are a number of daunting challenges to tion to guide execution tasks, and a discus-
effective strategy implementation, and the sion of how to manage the large-scale
present article has identified the key obstacles changes often inherent in the implementa-
in this process. The empirical data collected as tion process. Following the suggested model
part of this research have earmarked, among and change guidelines, it is argued, can intro-
other problems or challenges, the following duce a sense of logic and rationality to the
critical roadblocks: difficult task of confronting the major obsta-
cles to making strategy work.
– An inability to manage change
– Poor or vague strategy
– Not having guidelines or a model to
guide implementation efforts

29
SELECTED BIBLIOGRAPHY

The material in the present article is derived by Lawrence Hrebiniak and William Joyce
primarily from the research reported in Mak- (MacMillan, 1984) is one of the early, pioneer-
ing Strategy Work: Leading Effective Execution ing works in strategy implementation that
and Change (Wharton Publishing, 2005), by laid the foundation for much of the current
Lawrence G. Hrebiniak. This book presents approach to strategy execution. What Really
in greater detail the data collection and ana- Works by William Joyce, Nitin Nohria, and
lysis methods underlying this research, as Bruce Roberson (Harper Business, 2003) pre-
well as the identification and elaboration sents an empirical analysis of the factors
of implementation problems or obstacles affecting firm performance, including factors
and the ways to confront and solve them related to strategy implementation.
effectively. Other works have focused on aspects of
Not a great deal of attention has been the implementation process, but with vary-
devoted exclusively to strategy implementa- ing degrees of empiricism and analytical
tion in the management and organizations rigor. Execution by Lawrence Bossidy and
literature. The issue of implementation or Ram Charan (Crown Business, 2002) is a
execution is implied, to be sure, but dedi- popular book, but one that relies more on
cated, formal attention to the topic has been ‘‘war stories’’ and managerial musings than
lacking. A good review of the OB-OT-man- empirical data. Good to Great by Jim Collins
agement literature and the implications for (Harper Business, 2001) likewise touches on a
implementation can be found in Lawrence few key execution issues but it takes a less
Hrebiniak and William Joyce, ‘‘Implementing extensive and more subjective view of the
Strategy: An Appraisal and Agenda for topic than some of the other works men-
Future Research,’’ in Michael Hitt, R. Edward tioned. An early work by Tom Peters and
Freeman, and Jeffrey Harrison (eds.), Hand- Robert Waterman, In Search of Excellence
book of Strategic Management (Blackwell Busi- (Warner, 1988) also touches upon some
ness, 2001), 602–626. Implementing Strategy implementation issues.

Lawrence G. Hrebiniak is a professor in the department of management


at The Wharton School of the University of Pennsylvania. A member of
the Strategy Group, he teaches courses in competitive strategy and
strategy implementation in the Wharton M.B.A. and Executive Education
programs. He is a past president of the Organization Theory Division of
the Academy of Management, and for two years was one of five Wharton
faculty providing commentaries on the ‘‘Wharton Management Report,’’
a program that appeared daily on national television on the Financial
News Network. Hrebiniak’s current research is concerned primarily with
strategy execution, but he is also interested in strategic adaptation as
organizations change over time to remain competitive. He has written
five books and has published numerous articles in professional journals,
contributing to his reputation as an international authority on strategy
implementation, organizational design, and organizational adaptation.
His latest book from Wharton School Publishing (2005), Making Strategy
30 ORGANIZATIONAL DYNAMICS
Work: Leading Effective Execution and Change, is a comprehensive,
integrative work that ties together planning and execution, identifies
the major obstacles to effective execution, and shows how to overcome
them to implement strategy successfully. He has applied the principles
and insights gained from his empirical research on strategy execution
while acting as a consultant to many companies inside and outside the
U.S.A. (Tel.: +1 215 898 8254; e-mail: Hrebiniak@wharton.upenn.edu).

31

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