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STRATEGY

IMPLEMENTATIO
N
Are we dealing with failure of strategy? or a failure of implementation?
Company whose strategy was good but implementation was a failure

Kodak developed a digital camera in 1975 and even filed for a patent
on it in 1978.

Kodak failed to implement its digital camera technology due to


concerns about cannibalizing their profitable film business.

Despite recognizing the importance of digital photography early on,


Kodak was unable to execute its plans effectively and ultimately missed
out on a massive opportunity
Company whose strategy was good but implementation was a failure

Nokia was a Finnish multinational telecommunications company that


was once the world's largest vendor of mobile phones

Nokia was slow to adopt the smartphone trend and its Symbian operating system
was considered outdated compared to iOS and Android.

Nokia's implementation of its strategy was slow and clumsy. Its decision to
partner with Microsoft for its smartphone operating system proved to be a
mistake as Windows Phone failed to gain traction in the market.
Successful Strategy Implementation

STRUCTURES MANAGERIAL
GOALS AND MEASURES
SKILLS
COMMUNICATION AND
KNOWLEDGE SHARING

ORGANIZATIONAL
MANAGING
STRUCTURE
RESISTANCE TO
CHANGE

ORGANIZATIONAL POWER AND INFORMAL


CULTURE NETWORKS
SETTING GOALS AND
OBJECTIVES

Performance MONITORING PROCESS

Management IDENTIFYING SKILLS AND


TRAINING NEEDS

System PROVIDING FEEDBACK

REWARDING
PERFORMANCE
BALANCED
SCORECARD
BALANCED SCORECARD
Financial Perspective Customer Perspective
This perspective measures financial This perspective measures how well the
performance, such as revenue growth, organization meets the needs and
profitability, return on investment, and cost expectations of its customers. Measures
reduction. might include customer satisfaction,
retention rates, and market share.

Internal Processes Perspective Learning and Growth Perspective


This perspective measures how well the This perspective measures how well the
organization is performing in terms of its organization is developing its employees,
internal processes. Measures might infrastructure, and other resources.
include cycle time, process efficiency, and Measures might include employee
product quality. satisfaction, training and development, and
innovation.
Imagine a retail company that wants to implement a strategy of improving customer experience and
increasing sales.

Financial Perspective Customer Perspective

measures such as revenue growth, profit measures such as customer satisfaction,


margins, and return on investment. These customer retention rates, and repeat sales
measures would be used to track the
financial impact of the strategy on the
organization

Internal Processes Perspective Learning and Growth Perspective

measures such as average order measures such as employee satisfaction,


processing time, average time to resolve training and development, and innovation
customer complaints, and inventory
turnover
Imagine a healthcare organization that wants to implement a strategy of improving patient care and
outcomes.

Financial Perspective Customer Perspective

measures such as revenue growth, cost include measures such as patient


per patient, and return on investment satisfaction, patient retention rates, and
referral rates

Internal Processes Perspective Learning and Growth Perspective

include measures such as patient wait measures such as employee satisfaction,


times, time to diagnose and treat, and training and development, and innovation
readmission rates
OBJECTIVES
& KEY
RESULTS
OBJECTIVES & KEY
OKR for a food industry company:

RESULTS
Objective: Increase market share by 5% in the current quarter
Key Results:
1.Increase sales revenue by 10% through targeted marketing and
promotional campaigns.
2.Increase distribution to new retail locations by 15% through targeted
partnership agreements.
3.Launch two new product lines and generate 20% of total sales from
these products.
4.Increase customer satisfaction score by 5 points through targeted
customer feedback initiatives and product improvements.
OBJECTIVES & KEY
OKR for a retail industry company:
Objective: Increase customer satisfaction and loyalty by 80% in the
RESULTS
current quarter
Key Results:
1.Increase the number of positive customer reviews on social media
platforms by 50% through targeted engagement and follow-up.
2.Increase the percentage of repeat customers by 50% through targeted
loyalty programs and promotions.
3.Decrease the average customer complaint resolution time by 12%
through targeted employee training and process improvements.
4.Increase the overall Net Promoter Score (NPS) by 55 points through
targeted customer surveys and feedback initiatives.
ALIGNING STRATEGY
AND
ORGANIZATIONAL
STRUCTURE
What comes first? Strategy or
your organizational structure?
Generic Organizational Structure
Mechanistic Organic
Centralization: decision kept at the Decentralization: employees at any level
top; vertical communication can control tasks; horizontal communication
High formalization (standardization): Low formalization (mutual adjustment):
coordination of tasks through rules; work coordinated through face-to-face and
predictable work process informal contact
Individual specialization: employees Joint specialization: employees coordinate
work separately Thein host
clearly defined to find the best way of performing
will take a moment to determine the winner.
a task
areas
Simple integration: clearly defined Complex integration: integration through
hierarchy of authority teams and task forces
Dimension of
Structure
Dimension of Structure

HEIRARCHY
FORMALIZATI
ON
CENTRALIZATIO
N
SPECIALIZATIO
N
SPAN OF
CONTROL
HEIRARCHY
The degree to which an organization is structured
hierarchically. This can range from a flat structure with
minimal levels of management to a highly hierarchical
structure with multiple layers of management.
FORMALIZATION

The degree to which an organization has formalized


procedures, policies, and rules. A highly formalized
organization will have detailed job descriptions,
standardized procedures, and strict protocols, while a less
formalized organization will rely more on informal
communication and decision-making.
CENTRALIZATION

The degree to which decision-making authority is


centralized in the organization. A highly centralized
organization will have decision-making power
concentrated at the top levels of management, while a
less centralized organization will have decision-making
power distributed more broadly across the organization.
SPECIALIZATION

The degree to which tasks are divided into specialized


roles within the organization. A highly specialized
organization will have employees with narrow job
responsibilities, while a less specialized organization will
have employees with broader job responsibilities.
SPAN OF CONTROL

The number of employees that report to a single manager.


A narrow span of control will have fewer employees
reporting to a single manager
ORGANIZING THE
STRUCTURE
Functional Structure
Divisional Structure
Matrix Structure
Network Structure

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