Well-conceived policies and operating procedures facilitate good strategy execution by quizlet

Chapter 11: Managing Internal Operations

Allocating Resources to the Strategy Execution Effort

A company's ability to marshal the resources needed to support new strategic

initiatives has a major impact on the strategy execution process. Too little funding

and an insufficiency of other types of resources slow progress and impede the efforts

The funding requirements of good strategy execution must drive how capital

allocations are made and the size of each unit's operating budget. Underfunding

organizational units and activities pivotal to the strategy impedes successful

strategy implementation.

A company's operating budget must be strategy-driven (in order to amply fund the

performance of key value chain activities) and lean (in order to operate as cost-

effectively as possible)

Allocating Resources to match strategy important

oResources are always limited

oPeople always want more (Jim L experience)

Possible Adverse Resource Allocation Outcomes:

oToo little funding may slows progress & impedes the efforts to execute pieces

of the strategic plan proficiently.

oToo much funding that wastes organizational resources and reduces

financial performance

Screen resource requests carefully .

Approve only those that contribute to strategy execution.

Provide the level of resources necessary for the success of strategic initiatives.

Shift resources to higher-priority activities where new execution initiatives are

needed.

Instituting Polices and Procedures that facilitate strategy execution

Well-conceived polices and procedures

oProvides top down guidance about how certain things need to be done

Channel individual and group efforts along a strategy-supportive

path

Align the actions and behavior of company personnel with the

requirements for good strategy execution

Place limits on independent action and help overcome resistance to

change

oHelp enforce consistency in how strategy-critical activities are performed

Improve the quality and reliability of strategy execution

Help coordinate the strategy execution efforts of individuals and

groups throughout the organization

oPromote the creation of a work climate that facilitates a good strategy

execution

How well designed policies and procedures can facilitate good strategy execution?

Which of the following steps is a useful guideline in designing strategy facilitating policies and operating procedures?

How does providing top

Which of the following are important factors of effective incentive compensation?