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Chapter 10 - Building an organization capable of good strategy execution: People, capabilities, and structure. In this chapter students will be able to: Gain command of what managers must do to execute strategy successfully; learn why hiring, training, and retaining the right people constitute a key component of the strategy execution process; understand that good strategy execution requires continuously building and upgrading the organization's resources and capabilities;. | CHAPTER 10 BUILDING AN ORGANIZATION CAPABLE OF GOOD STRATEGY EXECUTION: PEOPLE, CAPABILITIES, AND STRUCTURE STUDENT VERSION EXECUTING STRATEGY Strategy Execution Is operations-driven, involving management of both people and business processes. Is a job for the whole management team, not just a few senior managers. Can take years longer to develop as a real proficiency than implementing strategy. Requires a determined commitment to change, action, and performance. A FRAMEWORK FOR EXECUTING STRATEGY Committing to Executing a Strategy: Entails figuring out the specific techniques, actions, and behaviors necessary for a smooth strategy-supportive operation. Following through to get things done and deliver results. Making things happen (leadership) and making them happen right (management). 10–3 BUILDING AN ORGANIZATION CAPABLE OF GOOD STRATEGY EXECUTION: THREE KEY ACTIONS Staffing: Assemble a strong management team and a cadre of competent employees. Developing: Renew, upgrade, and revise resources and capabilities to match chosen strategy. Structuring: Create strategy-supportive organization capable of good strategy execution. 10–4 ACQUIRING, DEVELOPING, AND STRENGTHENING KEY RESOURCES AND CAPABILITIES Develop capabilities internally Acquire capabilities through mergers and acquisitions Access capabilities via collaborative partnerships Approaches to Build Building and Strengthening Capabilities 10–5 DEVELOPING CAPABILITIES INTERNALLY Coordinate and integrate the efforts of work groups and departments Strengthen the firm’s base of skills, knowledge, and intellect Managerial Actions to Develop Competencies and Capabilities 10–6 SETTING STRETCH GOALS: FROM CAPABILITY TO COMPETENCE Thinking strategically about a firm’s knowledge and skills base Thinking strategically about a firm’s opportunities and challenges Setting a stretch goal of developing an organizational ability to do something well Evolving the ability into a competence or capability by performing | CHAPTER 10 BUILDING AN ORGANIZATION CAPABLE OF GOOD STRATEGY EXECUTION: PEOPLE, CAPABILITIES, AND STRUCTURE STUDENT VERSION EXECUTING STRATEGY Strategy Execution Is operations-driven, involving management of both people and business processes. Is a job for the whole management team, not just a few senior managers. Can take years longer to develop as a real proficiency than implementing strategy. Requires a determined commitment to change, action, and performance. A FRAMEWORK FOR EXECUTING STRATEGY Committing to Executing a Strategy: Entails figuring out the specific techniques, actions, and behaviors necessary for a smooth strategy-supportive operation. Following through to get things done and deliver results. Making things happen (leadership) and making them happen right (management). 10–3 BUILDING AN ORGANIZATION CAPABLE OF GOOD STRATEGY EXECUTION: THREE KEY ACTIONS Staffing: Assemble a strong management team and a cadre of competent employees. Developing: Renew, upgrade, and revise
