Strategy Implementation تطبيق الاستراتيجية
- 1. Strategy Implementation Marketing, Finance/Accounting, R&D, and CIS Issues By: Hussein Gibreel Musa Salih
- 2. BASIS FOR COMPARISON PLANNING STRATEGY Meaning Planning is thinking in advance, for the actions which are going to take place in the future. Best plan opted for achieving the desired outcome. What is it? Planning is a road map for accomplishing any task. Strategy is the path chosen for achieving the objectives. Related to Thinking Action Basis Assumptions Practical considerations Term Depending upon the circumstances. Long Term Nature Preventive Competitive Part of Management Functions Yes Sub-part of Decision Making Sequence Second First
- 3. Strategy Implementation • “There is no “perfect” strategic decision. One always has to pay a price. One always has to balance conflicting objectives, conflicting opinions, and conflicting priorities. The best strategic decision is only an approximation— and a risk.” • —Peter Drucker—
- 4. Strategy Implementation Some reasons for low success rate: • Failing to segment markets appropriately • Paying too much for a new acquisition • Falling behind competition in R&D • Not recognizing benefit of computers in managing information
- 5. Strategic Marketing Issues Two Variables of Central Importance to Strategy Implementation: • Market Segmentation • Product Positioning
- 7. The New Principles of Marketing • Do not just talk at consumers work with them throughout the marketing process. • Give consumers a reason to participate. • Listen to them and join the conversation outside your company’s website. • Resist the temptation to sell, sell, sell. Instead attract, attract, attract. • Do not control online conversations; let it flow freely. • Find a “marketing technologist, a person who has three excellent skill sets (marketing, technology, and social interaction). • Embrace instant messaging and chatting.
- 10. • Capital acquisition • Development of pro forma financial statements • Financial budget preparation • Business valuation Finance/Accounting Central to Strategy Implementation
- 11. Decisions that may require policies: • Raise capital with short-term debt, longterm debt, preferred stock, or common stock • Lease or buy fixed assets • Determine dividend payout ration • market-value accounting approach • To extend the time of accounts receivable • To establish a certain percentage discount on accounts within a specified period of time • To determine the amount of cash that should be kept on hand Finance/Accounting
- 12. Financial Budgets: • Cash budgets • Operating budgets • Sales budgets • Profit budgets • Factory budgets Finance/Accounting • Capital budgets • Expense budgets • Divisional budgets • Variable budgets • Flexible budgets • Fixed budgets
- 13. R&D Issues • Research and Development (R&D): Development of new products and improvement of existing products Strategies of product development, market penetration, and concentric diversification require R&D.
- 14. R@D
- 17. Conclusion Successful strategy implementation depends on cooperation among all functional and divisional managers in an organization. Marketing departments are commonly charged with implementing strategies that require significant increases in sales revenues in new areas and with new or improved products. Finance and accounting managers must devise effective strategy- implementation approaches at low cost and minimum risk to that firm. Research and development managers have to transfer complex technologies or develop new technologies to successfully implement strategies.
- 18. Thank you so much