MGMT 449 - CH10 - FINAL

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MGMT 449 - CH10 - FINAL
2015-05-04 01:06:01

MGMT 449 - CH10 - FINAL
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  1. Crafting the Strategy
    nPrimarily a market-driven activity
  2. Executing the Strategy
    nPrimarily an operations-driven activity

    nTougher and more time-consuming than crafting strategy
  3. What  Top  Executives Have  to  Do in Leading  the  Implementation  Process
    nCommunicate the case for change

    nBuild consensus on how to proceed

    nArouse enthusiasm for the strategy to turn implementation process into a companywide crusade

    • nEmpower subordinates to keep process
    • moving

    nEstablish measures of progress and deadlines

    • nReward those who achieve implementation
    • milestones

    nDirect resources to the right places

    • nPersonally lead strategic change process
    • and the drive for operating excellence
  4. The  Three  Components  of  Building  an
    Organization  Capable  of Proficient  Strategy  Execution
    Staffing the Organization

    Building core competencies and competitive capabilities

    Structuring the organization and work effort
  5. nCrafting the strategy involves
    • vIdentifying the desired competencies
    • and capabilities to build into the strategy to
    • help achieve a competitive advantage
  6. nGood strategy execution requires
    • vPutting desired competencies and
    • capabilities in place, 

    vUpgrading them as needed, and

    vModifying them as market conditions evolve
  7. Three-Stage  Process  of Developing Competencies  and Capabilities
    1. First develop ability to do something

    2. Build experience and gradually transform the ability into a core competence and proven capability

    • 3. Continue to refine and polish the competence/capability, striving to perform the activity better than rivals, thereby turning the core competence into a distinctive competence and providing a path to competitive
    • advantage
  8. When it is difficult or impossible to out-strategize rivals (beat them with a superior strategy), the
    other main avenue to competitive advantage is to
    • outexecute them (beat them by performing
    • certain value chain activities in superior fashion).
  9. nA company operating in one business
    vFunctionaldepartment structure
  10. nA company with operations in various parts of
    the world
    vGeographicorganizational units
  11. nA vertically integrated company
    vDivisional organizational structure
  12. nA diversified company
    vIndividualbusiness units, with each business unit operating as independent profit center
  13. nIn a centralized structure
    vTopmanagers retain authorityfor most decisions
  14. nIn a decentralized structure
    vManagersand employees areempowered to make decisions
  15. nTrend in most companies
    vShiftfrom authoritarian to decentralizedstructures stressing empowerment