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Unit IV

STRATEGY IMPLEMENTATION

MEANING AND DEFINITION


Strategy implementation refers to various activities involved in executing the strategies of an
organization. In simpler words, strategy implementation puts an organization’s strategies into
action through various procedures, plans and programs. Strategy implementation involves
actions and tasks that are needed to be performed after the formulation of strategies.

It is influenced by management’s perspective, as management sets the strategies that are


executed in the implementation stage. An effective implementation of strategy is significant
for an organization’s growth, whereas failure in effective strategy implementation may have
negative consequences for an organization.

Strategy implementation is a procedure through which a chosen strategy is put into


action. Strategies are only a means to an end i.e., achievement of organization’s objectives
which have to be activated through implementation. This is because both strategic
formulation and strategic implementation process are intervened into each other.

Strategy implementation is the sum total of the activities and choices required for the execution of a
strategic plan. It is the process by which objectives, strategies, and policies are put into action
through the development of programs, budgets, and procedures. In a simple way, strategy
implementation can be defined as a process through which a chosen strategy is put into action.

According to Glueck, “Strategy implementation is the assignment or reassignment of


corporate and Strategic Business Unit leaders to match the strategy. The leaders will
communicate the strategy to the employees. Implementation also involves the development of
functional policies about the organization structure and climate to support the strategy and
help achieve organizational objectives”.

Steiner, Miner and Gray have defined strategic implementation as “Implementation of strategies is
concerned with the design and management of systems to achieve the best integration of people,
structure, processes and resources in reaching organizational purposes”.

NATURE OF STRATEGY IMPLEMENTATION:

The characteristics described below highlight the essential nature of Strategy Implementation:
1. Action Oriented: It implies that a strategy should be actionable. A strategy is made
actionable with the help of different management processes, such as – planning and
organizing. The role of management is not just restricted to formulating the plans, but also
extends to converting these plans into actions.
2. Varied Skills: It implies that strategy implementation involves wide-ranging skills. In an
organization, vast knowledge, attitude, and abilities are required to implement a strategy.
These skills help in allocating resources, designing structures, and formulating policies.
3. Wide Involvement: It means that strategy implementation requires the participation of the
top, middle, and lower level management. The top management must clearly communicate
the strategy, which needs to be implemented, to the middle management. You should note
that the middle management plays an active role in strategy implementation.
4. Comprehensive in Scope: It involves a range of managerial and administrative activities.
In simpler words, any managerial action can be a part of the strategy implementation
process because of its wide scope. For example, implementing a marketing strategy may
involve preparing marketing budget, conducting market research, developing advertising
and promotional plan, conducting test marketing, launching product, and collecting
customers’ feedback.
5. Integrated Process: It refers to the fact that different activities in the strategy
implementation process are interdependent. Therefore, strategy implementation is an
integrated and holistic process. For example, different activities of a promotional strategy
of an organization are interrelated; therefore one needs to be executed in accordance with
other activities.

IMPORTANCE OF STRATEGY IMPLEMENTATION

Strategy implementation is crucial to the success of any business. Without a strategy,


you're just wandering around in a fog of uncertainty, trying to figure out what your
business should be doing and how it should be doing it. But with a strategy, you can
plan what you want to do and follow through. Implementation gives your business
direction and lets you focus on the things that matter most. It also shows employees that
their ideas are essential, and they'll be more likely to continue developing great ones.
Here are why strategy implementation is vital in business:

1. Strategy Implementation is Important Because It Creates Clarity In The


Process -
When you're working on a project, many things need to come together to make it
successful. You have to work with different teams, coordinate with your boss and
coworkers, and ensure everyone is on board with your work. That's why a clear strategy
is so important. It helps you organize all those moving parts into one big picture that
everyone can understand and follow. With a strategy in place, you know how much time
you need to spend on each aspect of the project, how many people need to be involved,
what resources will be required, and what kind of support you'll have from other
departments or teams. This information will help keep things organized and ensure that
nothing falls through the cracks, which means less stress for everyone involved.

2. Strategy Implementation is Important Because It Creates Accountability


When you have a strategy and then implement that strategy by putting your plan into
action, you are being held accountable for your decisions and actions. Depending on
how you look at it, this can be both a good and a bad thing. For example, suppose you're
implementing a new marketing plan that doesn't go as well as you want it to. In that
case, accountability will motivate you to try harder next time or adjust your plan
accordingly to work better in the future. On the other hand, if everything goes according
to plan without any issues or hiccups along the way, then there won't be any motivation
for change or improvement going forward, either. So while having an accountability
structure in place is necessary for success in most cases, sometimes too much pressure
can also be detrimental to productivity (especially when things aren't going exactly
according to plan).

3. Strategy Implementation is Important Because It Makes Data Actionable


Data can be helpful in many ways, but it will not do you much good if you don't know
what you're doing with it. For example, let's say you have a lot of data about your
customers and their buying habits. That's great! But if all that data is just sitting around
without being put into actionable plans for how you will use it, then it's not doing
anything for your business. Strategy implementation takes all that disparate information
and turns it into a concrete plan for how to use it to help your company gro w. It also
helps unite departments within the company to work towards a shared goal. This helps
foster collaboration and efficiency and create better customer experiences.

4. Strategy Implementation is Important Because It Helps You Make Decisions


Strategy implementation helps you make decisions in two ways. First, it enables you to
understand what your options are. Whether they're good or bad or somewhere in
between, it helps you decide which option is best for your company. Every business has
limited resources, so understanding the impact of each decision on your budget is
critical to making good ones. For example, suppose a car manufacturer has just
developed a new safety software feature that could be offered as an optional vehicle
upgrade. The manufacturer could implement this feature across its entire line of cars
and trucks or wait until they have enough data from customers who have purchased
it. The first option would mean a faster rollout of the technology. However, if there
were any software bugs or glitches, this would be an expensive mistake and potentially
put lives at risk!

5. Strategy Implementation is Important Because It Helps You Manage Your


Time Better
You might be thinking, "What does strategy have to do with time management?" It's all
about the way you approach your work. If you're not managing your time well, you're
not getting as much done as possible. You might be spending too much time on things
that don't matter. Or worse, you might be wasting time by doing a lot of stuff that
doesn't add value. When this happens, your boss will notice, and they won't be happy
with you. Strategy implementation can help prevent these problems by giving you a
plan for what needs to be done and when it needs to be done. This way, no matter how
busy life gets or how many new projects pop up in front of you, there will always be
enough room in your schedule for them. No one has to feel like they're getting
shortchanged on their workloads because someone else isn't pulling their weight (or
worse: because someone else isn't pulling any weight at all). So if you want to make
sure that everyone around is getting what they need out of their jobs and that none of
them feels like they're being taken advantage of or left behind, then you need to make
sure that everyone is on the same page.

6. Strategy Implementation is Important Because It Allows You To Be


Proactive, Not Reactive
The pace of business change is faster than ever before. As a result, businesses need to
be able to respond quickly to changes in their environment if they want to stay ahead of
the competition. This can mean reacting quickly and adapting to new challenges as they
arise. However, being proactive also has its advantages. Proactively addressing issues
before they become problems is integral to any business's thriving ability. This means
that strategy implementation is necessary because it allows you to be proactive rather
than reactive when dealing with challenges that arise. Implementing strategies means
taking action on the things that matter most for your company and finding ways to
achieve success with them before issues appear. You may not know what challenges will
come up next, but by using strategic approaches like plans and processes, you can
prepare yourself for whatever comes along so that you don't have any surprises!
7. Strategy Implementation is Important Because It Helps You Avoid Missteps
And Mistakes That Could Have Been Avoided In The First Place
One of the most common reasons for failure is a disconnect between strategic planning
and implementing those plans. The reason for this is simple: it's hard to tell whether or
not your strategy is working, so you can't course correct and get back on track if your
implementation efforts are off-target. This leads to wasted time, money, energy, and
sometimes even more extensive problems for your company's reputation. The
implementation helps you avoid those issues by ensuring that everyone on your team
knows what they're supposed to be doing at all times, so there's no confusion about
what's expected from them. The implementation also ensures that everyone has access
to the necessary resources (both internal and external) needed to complete their tasks
effectively and efficiently. Finally, the implementation guarantees that everyone
understands why they're doing what they're doing. When people know why they're
doing something, they'll be more likely to do it well!

8. Strategy Implementation is Important Because It Provides Structure For


Your Organization
Strategy implementation translates your organization's goals and objectives into
tangible results that can be measured. It involves looking at where your organization is
now and figuring out how to get from where you are to where you want to be. This
means setting benchmarks and timelines, defining success, and determining what
resources will be needed for this plan to succeed. Strategy implementation also helps
ensure everyone knows their role in achieving the company's goals. It allows everyone
to understand how their work contributes towards achieving those goals. This helps
them feel more invested in those goals, which helps with motivation and morale
throughout the organization. Finally, strategy implementation helps ensure that
everyone knows what they need from one another for their tasks to contribute towards
achieving organizational goals effectively and efficiently.

FACTORS THAT SUPPORT STRATEGY IMPLEMENTATION

The success of your strategy implementation depends on many factors. The most
important are: good teamwork and communication, proper planning and
management system, availability of resources, and the organization's culture,
vision, values, and structure. Let's look at these five factors in more detail.
1. Good Teamwork And Communication - Teamwork and communication are
essential to exemplary strategy implementation. When team members are not on
the same page, or if they're not communicating effectively, it can lead to
confusion and frustration. This can make it difficult for them to work together
effectively, which impacts productivity and morale. Team members need to be
able to communicate what needs to be done and how they will do it. They must
also understand their roles and how their actions affect other team members'
roles. If there's confusion about these issues, it puts the whole project at risk of
failure or poor execution. Good teamwork also means knowing how each
member contributes to the success of the team as a whole and appreciating each
person's unique strengths. This helps everyone feel valued and motivated, which
boosts productivity even further!
2. Proper Planning And Management System- A proper planning and
management system is needed in strategy implementation because it helps to
determine how to execute the plans, perform activities, and monitor for results . It
also helps in achieving the strategic goals and objectives of the organization.
Also, it provides a framework for decision-making on managing resources and
processes to achieve business objectives. This factor can help ensure that all
departments work together towards organizational goals. It will also ensure that
everyone knows his/her role in helping achieve organizational goals and
objectives. Strategy implementation requires teamwork among employees from
different departments to work together toward achieving organizational goals
and objectives. This can be achieved by having proper planning and management
system, ensuring everyone knows their role and responsibilities towards
achieving organizational goals and objectives.
3. Availability of Resources -To successfully implement a strategy, you must
have the resources available. If you don't have the necessary resources to
implement your system, then it's pretty much impossible. Resources include
money, equipment, people, and time. If you don't have enough of those things,
your business will be in trouble and unable to compete with other companies that
do have the resources they need. It's important to note that you may not always
have these resources at once. For example: if your business is still small, then
there may not be enough money available for everyone who works there, and
therefore, some of them might have to work part-time or full-time jobs
elsewhere. Until enough funds are available for everyone to work full-time at
your company instead (or until more customers start coming through the door).
4. The Organization's Culture, Vision, And Values - An organization's culture
is a huge factor in strategy implementation success. It's a huge factor because it
influences how people feel about the company, their role, and what they believe
they should be doing. If employees don't buy into the company's culture, vision,
and values, they cannot work together as a team successfully. A company that
wants to be successful must have a clear idea of its culture, vi sion, and values so
that everyone knows its role within that framework. This can be done through
meetings where leaders talk about what it means to be part of this team and how
each individual fits into it.
5. Structure Of The Organization - The organization's structure is one of the
factors that support strategy implementation. The structure of an organization
can be defined as its arrangement of management functions, lines of authority,
and reporting relationships. The structure must be in place so that employees
know who has what responsibility, their tasks, and how to get them done. This
allows for efficient use of time and resources within an organization by enabling
employees to focus on their designated roles instead of figuring out where they
fit within the company. The structure should also be flexible enough to adjust
when necessary. To do this efficiently and effectively, there must be a clear
understanding between employees about how they should interact with each
other as well as how they should deal with outside stakeholders such as clients or
suppliers.

STEPS IN STRATEGY IMPLEMENTATION

Strategy implementation is a process that takes time and effort to get right. To ensure
that you have a successful strategy implementation, you need to follow these eight
steps:
Step 1. Identify The Goals And Objectives Of Your Strategy
The first step in implementing a strategy is identifying what you are trying to achieve.
For example, if you want to increase sales by 10% over the next three months, you will
want to ensure that your strategy will help you reach that goal. You can use the SMART
approach when writing down your goals. This stands for Specific, Measurable,
Attainable, Relevant, Timeline-based, and Time-Bound. If you are going to use this
approach, then you should be able to measure how much of an impact your strategy will
have on reaching these goals by implementing it.

Step 2. Define Who Is Involved In Implementing The Strategy


The next step in strategy implementation is to identify the people who will be involved.
This includes everyone from your CEO to your front-line employees, customers, and
even the janitorial staff. If you're implementing a new technology or process, you'll
want to include those responsible for its development. It's also important to be clear
about who will be responsible for what parts of the process. For example, suppose three
different departments must work together on a project. In that case, it will help if each
department has a representative to discuss their responsibilities at this meeting. The
more people you involve in this step, the easier it will be to get buy-in from everyone
else down the line. They'll feel like they have a stake in the outcome and will better
understand what's expected of them when it comes time to implement these processes.

Step 3. Identify The Benefits And Risk Of Achieving Your Goals


One of the essential steps in strategy implementation is identifying the benefits and
risks of achieving your goals. You need to know what you can gain from achie ving your
goals and what will happen if you don't reach them. This is because some people may
be tempted not to work towards their goals due to the risk involved. Identifying the
benefits and risks of not achieving your goals is essential because this coul d motivate
you even more. If you know that there are great benefits and risks, you will feel
motivated to do everything possible to achieve your goals.

Step 4. Determine What Resources You Have


When planning your strategy, it's crucial to understand your available resources clearly.
This can include things like money, labor, and time. If you don't know what resources
you can access, devising the right action plan will be impossible. If your company isn't
doing well financially, there might be insufficient money for advertising campaigns or
other branding efforts. On the other hand, if your company is doing well financially,
there's a good chance that plenty of money will be available for marketing campaigns.
Either way, everyone must know precisely how much money is available for each
project so they aren't surprised when their budgets are approved at the end of every
month!

Step 5. Create A Detailed Plan For How To Get From Where You Are Now To
Where You Want To Be In The Future (The Goal)
Creating a detailed plan for how to get from where you are now to where you want to be
in the future is an essential step in strategy implementation. The plan should be specific
and include concrete action steps and a timeline for when each step will happen and
what resources will be needed. If any obstacles or potential issues may occur along the
way, it is best to address them before beginning the plan so that they do not become
roadblocks later.
Step 6. Implement Your Plan
Now that you've completed your strategy and action plan, it's time to start executing it.
If you want to get the most out of the process, ensure you clearly understand how to put
your ideas into practice and how long it will take. It can be helpful to break down the
implementation into several smaller steps so that it doesn't seem so daunting, which will
help keep you motivated and focused on what needs to be done next.

Step 7. Monitor Progress, Analyze Results, And Make Adjustments As Needed -


This is a crucial step in the strategy implementation process. If you don't monitor your
progress and analyze the results, you won't be able to make adjustments as needed. In
other words, if you are not monitoring your progress, you won't know if it's working or
not! So how do you monitor progress? Well, there are many ways. You can use visual
tools like graphs or charts. You can also use surveys or questionnaires with customers to
get feedback on their experience with the new product or service offering. You should
also analyze data from various sources: sales reports, customer surveys, etc. This will
help you understand what's working and what isn't so that you can adjust accordingly!

Step 8. Review Your Results


After implementing your strategy, you need to review how well it worked. The most
important thing when examining the results is not just measuring the outcome but
understanding why the outcome happened. This means looking at whether or not your
strategy was effective at achieving its goals and why it was effective (or ineffective).

BARRIERS TO STRATEGY IMPLEMENTATION

Why do you think so many companies fail to implement their strategies? They could be
unclear on executing the strategy or have not developed a plan for getting from here to
there. It could also be that they have adopted a strategy not aligned with the company's
culture or capabilities, which is vital for success. Or maybe this just isn't something the
company needs at this time. Perhaps it's more of an idea than a strategy. There are many
reasons a company might be unable to execute a strategy. Here are some:

1. Lack of Clarity About The Strategy


One of the main reasons why a strategy is difficult to implement is because employees
do not understand it. When instructions are unclear, it makes it hard for people to follow
them. For example, if you are given an assignment and have no idea what you should do
or how you should do it, you will be unable to complete the task successfully. When
employees do not understand what they need to do to achieve their goals, they cannot
get anything done. This can also cause problems for businesses because if employees
are confused about their tasks, they will be unable to complete any work efficiently,
which means mistakes will be made. To avoid this problem, companies need to provide
clear instructions so that everyone knows what needs to be done and how they should
do it.

2. Lack of Commitment To The Strategy


Lack of commitment to the strategy can have several consequences for strategy
implementation. First, it makes it difficult for employees to see how their actions
contribute to the overall strategy's success or failure. Second, it makes it difficult for
employees to feel invested in the strategy's success. They may not feel proud of their
work or organization if they don't see a clear connection between their work and its
impact on the company's goals. Finally, a lack of commitment will likely create
resistance among employees who don't believe in what they are asked to do. This means
that even if you have enough people doing what needs to be done right now. You may
lose them over time as they become frustrated by how things are being run.

3. Lack of Communication And Engagement With Employees


Communicating your strategy to employees is critical for its successful implementation.
If employees don't know or understand the strategy, they will not be able to help
implement it. This can cause many problems: employees doing their jobs incorrectly or
inefficiently, or not at all, will slow down the company's progress toward the goals set
by the strategy. A lack of communication also means that employees don't know what
they're supposed to do and when making them less productive and more likely to make
mistakes.
It also makes it hard for them to plan their workday or week as they won't know how
long they should spend on each task. Instead, they'll spend too much time on one task
and have no time for another critical task. Finally, a lack of communication between
managers and employees can cause conflict, Which isn't good for morale or productivity
either!

4. Inability To Deliver On The Strategy's Goals And Objectives


When creating a strategy, it is essential to clearly understand how the goals and
objectives will be achieved. This can be challenging regarding strategy implementation
because many barriers can prevent this from happening. One barrier is an inability to
deliver on the strategy's goals and objectives. If a company does not have all of the
resources necessary for success, it may not be able to complete its tasks successfully.
This can be especially true if the strategy requires a lot of time or money to implement
successfully. It won't happen as planned if there aren't enough employees or funds
available.

5. Lack of Integration With Other Strategies Or Initiatives


One of the most common reasons that strategies are difficult to implement is a lack of
integration with other initiatives or strategies. This can happen for several reasons, but
one of the most common is simply not being aware of all the initiatives underway at
once.
When looking at your strategy, it's easy to miss things like this because you don't have a
bird's eye view. An excellent way to avoid this problem is by ensuring everyone
involved in implementing your strategy knows what else is happening. If several people
are working on different parts of your strategy, ensure they're getting together regularly
and sharing information about what they're doing and how it fits into the big picture.

6. Failure To Measure Progress Against Key Performance Indicators (KPIs )


(Ineffective Performance Management)
Strategy implementation is a continuous improvement process; any new strategy will
come with unique challenges to overcome. But one of the biggest hurdles to overcome
in implementing your strategy is the failure to measure progress against your key
performance indicators (KPIs). A KPI is an objective metric or actionable goal
indicating how well your company performs against its objectives. KPIs are critical
because they help you keep track of your progress toward achieving those objectives so
that you can make adjustments along the way if necessary. For example, if one of your
KPIs is "increase sales by 10%," then you should be able to see whether or not you're on
track for that increase every month. If you're not measuring KPIs, it's hard to know if
you're progressing toward your goals!

7. Weak Leadership
Even with all the best intentions, a strategy may fail without strong leaders who can
guide the team. Leaders must be able to motivate, inspire and direct others for a strategy
to be implemented appropriately. Leaders also need good communication skills so
everyone involved is on the same page and understands the company's goals. Without
strong leadership, team members may not understand their roles or how they fi t into the
big picture. This lack of understanding can lead to confusion and misalignment,
impeding successful strategy implementation. It is also essential for leaders to be able to
delegate tasks effectively so that everyone has enough time and resources to do their
part of the job. Without this, strategy implementation can halt, and the desired results
may never be achieved. In conclusion, weak leadership is one of the most common
barriers to successful strategy implementation. Companies need to recogniz e the need
for strong leaders who can help guide teams through a successful implementation
process.

8. Lack Of Resources
Lack of resources is a significant barrier to successful strategy implementation. It often
manifests as a lack of financial, human, or technological resources. If your company
doesn't have enough money to support its strategy, it will be tough for you to implement
that plan. If you don't have enough people on board or don't have the right people in
place to execute your vision, then you'll struggle too. And if your technology isn't up to
snuff (or lacking), you'll find yourself in a pickle when it comes time for you to take
action.
Implementing a strategy is not an easy task. You have to know what you're doing, you
have to be able to follow through on it, and you need to keep track of the progress that
you make. If any one of these three things falls short, it can mean trouble for your
strategy.
9. Ineffective Strategy
10. Ineffective Change Management
11. Working against the organisational power structure

To help ensure that your strategy succeeds, here are a few tips:
 Make sure you understand the strategy yourself. How can you expect them to
execute if you don't understand enough to explain it in detail to others?
 Make sure everyone involved is on board with the plan and understands what they
need to do. If they don't buy into the plan as much as they should or are unclear
on their role in the project, there will likely be problems down the road.
 Track your progress so adjustments can be made sooner rather than later if
something goes wrong or doesn't work out as expected. This will help ensure that
everything stays on track until completion!
 Make sure that your team is ready for change. If they haven't been involved in the
process, they do not understand why something needs to change or if it's essential
for them. Then they may be unable to stay on board with the changes when push
comes to shove. Be sure everyone knows why this change is necessary and what
it will mean for them before implementing any changes.
 Know your audience. It's important to know who you're selling to and what they
like, so you can give them what they want.
 Set goals. You need to know what you want from the campaign to measure it.
This is also important because if you don't have goals, it might be hard to tell
whether something is working out as planned!
 Do some research ahead of time. It's always best to have background knowledge
about your audience ahead of time so that when it comes time to implement
strategies and tactics explicitly related to them (such as demographic research),
there won't be any surprises!

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