2. What is strategy implementation? Strategy implementation as the act of turning strategies, plans or ideas into actions that are tangible, so that certain goals can be achieved. It includes allocating resources, organising, assessing appropriate authority to the key managers, setting policies & developing procedures Management issues:- Annual objectives Policies Resource allocation Restructuring & re-engeneering Rewards & recognition
3. Annual Objectives Annual objectives are serve as guidelines for action, directing & channelizing efforts and activities of the organizations Reasons for annual objective settings in strategy implementation:- It allows proper resource allocation They are a primary mechanism for evaluating managers Monitoring progress To establish organizational, divisional and departmental priorities
4. Policies Policy refers to specific guidelines, methods, procedures, rules, forms, & administrative practices established to support and encourage work toward stated goals Policies set boundaries, constraints, and limits on the kinds of administrative actions that can be taken to reward & sanction behaviour
5. Resource Allocation Resource allocation is a plan for using available resources . It is the process of allocating resources among the various projects or business units. There are four types of resources:- Financial resources Physical resources Human resources Technological resources
6. Managing Conflict Conflict is a disagreement between two or more parties on one or more issues. It arises whenever there is interdependency of objectives & competition for limited resources Various approaches to manage & resolve conflict:- Avoidance Defusion Confrontation
7. Matching organizational structure with strategy Reasons for changes in strategy often requires changes in structure:- Structure largely dictates how objectives & policies will be established Structure dictates how human resources will be allocated There are three types of organizational structures: Functional structure Divisional structure Matrix structure
8. Functional structure It groups tasks and activities by business functions. Advantages:- It is simplest & least expensive Allows rapid decision making It promotes specialization of labour Disadvantages:- Minimizes career development opportunities Low employee morale Line /staff conflicts Poor delegation of authority
9. Divisional Structure The divisional structure can be organized in four ways: By geographic area By product or service By customer By process
10. Matrix structure Matrix structure depends upon both vertical & horizontal flows of authority and communication Advantages: Project objectives are clear Employees can clearly see results of their work Facilitates uses of special equipment/personnel/facilities Disadvantages: Requires excellent vertical & horizontal flows of communication Costly Creates dual lines of budget authority
