for report in strategic management..................smwjgddshudchsacqwertyuiopasdfghjklhyhfghjkl;xcvbnm,
dfvThe Capabilities of Market-Driven Organizations
George S. Day, 1993 [93-123]
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Understanding Market Orientation
Considerable progress has been made in identifying market-driven organizations, understanding what they do, and measuring the bottom-line consequences. The next challenge is to better understand how this organizational orientation can be achieved and sustained.
The emerging capabilities approach to strategic management offers a rich array of ways to design change programs ...view middle of the document...
Mastering this capability so that it becomes a competitive advantage requires (1) close communication, (2) joint planning, (3) the coordination of joint activities, and (4) joint problem solving and conflict resolution.
Enhancing Market-Driven Capabilities
A comprehensive change program aimed at enhancing market-sensing and customer-linking capabilities has the following elements:
• diagnosis of current capabilities, using mapping and benchmarking methodologies
• anticipation of future needs for capabilities in light of the strategy for creating customer value
• bottom-up redesign, based on the formation of teams responsible for continuous improvement or radical redesign of underlying processes
• top-down direction from senior managers, who demonstrate a clear, continuing commitment to putting customers first
• use of information technology to enable the organization to do things it couldn't do before
George S. Day is the Geoffrey T. Boisi Professor and Director of the Huntsman Center on Global Competition and Innovation at the Wharton School of the University of Pennsylvania.
Aligning Strategy, Structure and Process with EHS
Due to increased uncertainty since the financial meltdown, companies have shrunk their strategic planning cycles, making it challenging to align internal structures and processes with changing strategies. EHS professionals have had to respond with greater flexibility and innovation in breaking down organizational silos to help generate alignment between strategy, structure, and process.
The recent issue of the McKinsey Quarterly included interviews with four corporate Chief Strategy Officers (CSOs). While the companies are diverse (Estee’ Lauder, Visa, Boeing, and Smith International) and the CSOs diverge on issues, there are several common points that EHS professionals should note. All of the CSOs discussed shrinking planning cycles—in many cases, what were once annual cycles are now quarterly or even monthly ones. They also echoed that business assumptions that once seemed indisputable are now coming into question.
Estee’s CSO cited flexibility and adaptability as being front and center in running a business today. Visa’s CSO elaborated on this, discussing the importance of aligning all parts of the organization—if a...