4. Strategic Management Model
Create a
Vision or
Mission
Set
Objectives
Craft a
Strategy
Implement
the
Strategy
Measure
and
Evaluate
(Long-term)
Short-term
Objectives
Functional Strategy
Functional Tactics
5. Is there a difference between
strategy and tactics?
if so
How do we distinguish between
strategy and tactics?
6. Each functional area will have different
functional tactics
What is functional strategy? What is the
overall purpose of functional strategy?
Business-Level
Strategy
Functional-Level
Strategy
Functional
Tactics
7. Implementation is about action!
Once the strategy has been formulated it is initiated through
four interrelated steps:
1. Creation of short-term objectives
2. Development of specific functional tactics that create
competitive advantage
3. Empowering operating personnel through policies that
guide decisions
4. Development of effective rewards
11. Why are reward systems so important to
strategy implementation?
Which are more effective
intrinsic or extrinsic?
Which ones motivate you?
12. Strategic Management Model
Create a
Vision or
Mission
Set
Objectives
Craft a
Strategy
Implement
the
Strategy
Measure
and
Evaluate
(Long-term)
Short-term
Objectives
Functional Strategy
Functional Tactics
13. McKinsey 7-S
McKinsey 7-S is a framework for understanding
effective organizational change.
Implementation Impacts and is Impacted by the
components of McKinsey 7-S
15. Strategic Management Model
Create a
Vision or
Mission
Set
Objectives
Craft a
Strategy
Implement
the
Strategy
Measure
and
Evaluate
(Long-term)
Short-term
Objectives
Functional Strategy
Functional Tactics
Control
16. Control (Strategic and Operational)
What does control mean in an organizational context?
17. Strategic Control
Strategic control is concerned with tracking strategy once it
has been implemented, detecting changes or problems as they
occur and guiding action whose result will manifest several
years from the initial execution.
Premise control: systematically checks whether the premises
(assumptions) on which the strategy is based are still valid.
Implementation control: is designed to assess whether the overall
strategy should be changed in light of results associated with
incremental actions.
18. Strategic Control continued
Strategic surveillance: monitors a broad range of events inside and
outside of the firm that are likely to affect the course of its strategy
Special Alert Control: is a thorough and often rapt reconsideration
of the firm’s strategy because of a sudden unexpected event
19. Operational Control
Operational controls monitor performance, evaluate deviations
and initiate corrective action.
They are designed to monitor, guide and evaluate the firm’s
progress in meeting short-term objectives.
Operational controls (e.g., budgets, scheduling resources):
-set standards of performance
-measure actual performance
-identify deviations
-initiate corrective action
