Identify and explain four actions that top executives can take that are key elements in directing organizational action and building capabilities behind the drive for good strategy execution to meet or beat performance targets.
What will be an ideal response?
Management's action agenda for executing the chosen strategy emerges from assessing what the company will have to do to achieve the targeted financial and strategic performance. In most situations, managing the strategy execution process includes the following principal aspects:
• Creating a strategy-supporting structure.
• Staffing the organization to obtain needed skills and expertise.
• Developing and strengthening strategy-supporting resources and capabilities.
• Allocating ample resources to the activities critical to strategic success.
• Ensuring that policies and procedures facilitate effective strategy execution.
• Organizing the work effort along the lines of best practice.
• Installing information and operating systems that enable company personnel to perform essential activities.
• Motivating people and tying rewards directly to the achievement of performance objectives.
• Creating a company culture conducive to successful strategy execution.
• Exerting the internal leadership needed to propel implementation forward.
You might also like to view...
Reflector Glass Company prepared the following static budget for the year:
If a flexible budget is prepared at a volume of 8400 units, calculate the amount of operating income. The production level is within the relevant range.
A) $23,500
B) $12,600
C) $42,200
D) $4000
Which of the following statements about brand equity is NOT true?
A. Brand equity refers to the brand's value to an organization. B. The highest level of brand equity involves establishing product benefits. C. Brand equity can provide a competitive advantage. D. Brand equity means a brand has customer loyalty. E. Brand equity gives a firm the power to capture and hold onto a larger share of the market and to sell at prices with higher profit margins.
One of the pros of ________ organizations is a lower cost of entry and overhead.
A. divisional B. matrix C. hollow D. learning E. functional
Germano Products, Inc., has a Pump Division that manufactures and sells a number of products, including a standard pump that could be used by another division in the company, the Pool Products Division, in one of its products. Data concerning that pump appear below: Capacity in units 87,500?Selling price to outside customers$91?Variable cost per unit$32?Fixed cost per unit (based on capacity)$38?The Pool Products Division is currently purchasing 23,000 of these pumps per year from an overseas supplier at a cost of $86 per pump.Assume that the Pump Division is selling all of the pumps it can produce to outside customers. Does there exist a transfer price that would make both the Pump and Pool Products Division financially better off than if the Pool Products Division were to
continue buying its pumps from the outside supplier? A. No, the minimum transfer price that the selling division should be willing to accept exceeds the maximum transfer price that the buying division should be willing to accept. B. Yes, the minimum transfer price that the selling division should be willing to accept is less than the maximum transfer price that the buying division should be willing to accept. C. Yes, both divisions are always better off regardless of whether the selling division has enough idle capacity to handle all of the buying division's needs. D. The answer cannot be determined from the information that has been provided.