Strategy implementation

• Strategy implementation refers to putting the formulated strategies into action to achieve the organizational objectives.
• Strategy implementation forms the most important part of strategic management process because the entire success of the organization depends on the efficient execution of formulated strategies.
• Strategy implementation involves actions and tasks that are needed to be performed after the formulation of strategies.
• It is influenced by management’s perspective, as management sets the strategies that are executed in the implementation stage. An effective implementation of strategy is significant for an organization’s growth.

Strategy implementation should have the following features,

1. Action Oriented: Implies that a strategy should be actionable. A strategy is made actionable with the help  of different management processes, such as planning and organizing. The role of management is not just restricted to  formulating the plans, but also extends to converting these plans into actions.
2. Varied Skills: Imply that strategy implementation involves wide-ranging skills. In an organization, vast knowledge, attitude and abilities are required to implement a strategy. These skills help in allocating resources, designing structures, and formulating policies.

• Wide Involvement: Means that strategy implementation requires the participation of the top, middle,  and  lower level management.  top management must clearly communicate the strategy, which needs to be implemented, to the middle management. You should note that the middle management plays an active role in strategy implementation.

1. Integrated Process:  Refers to covering a wide range of activities for strategy implementation. These activities include allocating budgets, designing training programs, launching advertising campaigns, and controlling costs.

Link between the formulation and implementation

Strategy implementation also affects strategy formulation because organizations try to formulate the strategies that can be easily implemented.

Four possible combinations that serve as a link between the formulation and implementation of a strategy are shown in Figure

 Barriers to Strategy Implementation

The success of an organization mainly depends upon how different strategies are implemented. Efficient strategy implementation requires rigorous and continuous efforts.

An organization may face the following barriers while implementing a strategy :

• Unclear communication in the organization
• Inadequate support from the top level management
• Discord among management teams about what to do and how to do
• Inflexibility, resulting in resistance to change
• Incomplete information about the strategy
• Improper guidance about the process of implementation
• Insufficient time devoted in strategy formulation, which results in inefficient strategy implementation

An organization can overcome preceding barriers with the help of the following measures:

• Approving the strategy implementation process by top management to facilitate clarity
• Managing the change in complex situations where change can be any modification in human behavior, culture, and nature of the organization. The managers often fail to adapt to the changes in an organization.

Process of Strategy Implementation

The implementation of strategies involves the application of strategies designed by the top management of the organization.

According to  Steiner;  “the implementation process covers the entire managerial activities including such matters as motivation, compensation,  management appraisal, and control processes.”

According to  Higgins,  “almost all management functions- planning, controlling, organizing, motivating, leading, directing, integrating, communicating and innovation are in some degree applied in the implementation process. ”

Successful strategy implementation can be initiated by following a three-stage process. In the three-stage process, every stage involves different tasks and activities. The process of strategy implementation is shown in Figure

1. Activating Strategies

After formulating a strategy, it is activated by dividing the strategy into plans, programs, projects, policies, procedures, and rules and regulations.

2. Managing change

change management involves identifying a required change and preparing the organization to manage that change. The organizations should see change as a positive process rather than a negative thing because it results in experience and learning. The change also offers various opportunities, such as

deregulation of strict laws that hinder the organization’s work process.

3. Achieving Effectiveness

Achieving effectiveness refers to achieving the organizational effectiveness, which specifies the degree to which an organization a able to fulfill  its objectives.

For instance, an organization has planned to achieve a sales growth of 15% in a year, and as the year

passes  by, the organization achieves 18% sales growth. In this case, it can be said that the organization has achieved effectiveness.The organization would be called ineffective if its sales growth is less than 15%.

Different types of implementations

It is a broad concept that consists of different types of implementations such as project, procedural, structural, behavior, and leadership implementation.

project  implementation : Strategy implementation starts with project  implementation, which emphasizes on executing the predetermined plans and programs of the organization.

The project implementation is done through project management that is defined as the functional discipline of management that involves planning, organizing, leading, and controlling activities.

PMI has defined the project management as “the discipline of planning, organizing, and managing resources to bring about the successful completion of specific project goals and objectives.” The process of project management consists of the following phases.

Procedural implementation specifies a set of guidelines that helps in the efficient implementation of projects. Procedural implementation cannot be completed smoothly without the efficient allocation of resources.

Structural implementation involves formulating the structure of an organization that supports strategy implementation. Some of the organizational structures are entrepreneurial structure functional structure, and divisional structure.

Behavioral implementation involves the behavior of employees that is influenced by the type of culture, politics, and values and ethics of an organization.

Leadership implementation helps in implementing the strategies by performing important functions, such as planning, organizing, staffing, and controlling.