BISMILLAHIRRAHMANIRRAHIM
Alhamdulillah, this is the second last chapter for this subject Strategic Management. This week Miss Ummi covered two topic, for the first topic, Miss Ummi describe about building an organization capable of good strategy execution. Before she started the lecture, she ask all the student to answer a few question that related to ourselves. The test called MBTI, it stand for Myers Briggs Type Indicator which test the people personality. The result from the test will show us which job scope that suitable for our personality.
After answer the question and we know which job scope that suitable for us, Miss Ummi started the lecture. Capability means a measure of the ability of an entity such as department, organization, person and system to achieve its objectives, specially in relation to its overall mission. Based on the definition we can see that building an organization capable of good strategy is really important so that every mission, vision, and objective of the company can be successfully achieve.
 |
The
Action Agenda
for Executing Strategy |
Building an organization capable consist in hiring a correct people for their job. The company also need to prepare a continuous training so that the employee understand the company objective. There are three types of action inn building an organization capable of proficient strategy execution which is :
- Staffing the organization
- putting together a strong management team
- recruiting and retaining talented employees
2. Acquiring, developing, and strengthening key resources and capabilities
- developing a set of resources and capabilities suited to the current strategy
- updating resources and capabilities as external condition and the firm's strategy chance
- training and retaining company personnel to maintain knowledge-based and skill-based capabilities
3. Structuring organization and work effort
- instituting organizational arrangements that facilitate good strategy execution
- establishing lines of authority and reporting relationship
- deciding how much decision-making authority to delegate
After finish discuss this chapter, Miss Ummi continue with the last topic for this subject which is Managing Internal operations: Action that promote good strategy execution. In this chapter, we learn about why resource allocation should always be based on strategic management. Every organization in this world would like to have an improvement, not just only improvement but a continuous improvement. Firm objective is to avoid any failure so they can generate their business by their good strategy.
There are several tools firm can use for managing a continuous improvement, which is stated below:
- benchmarking
- best practice
- process reengineering
- six-sigma quality programs
- total-quality management
Six-sigma quality programs is the business management strategy used in many different industries in an effort to improve the quality of products or services produced by the business through the removal of defects and errors. The strategy involves creating groups of people within the business or organization who have expert status in various methods, and then each project is carried out according to a set of steps in an effort to reach specific financial milestones. In six-sigma quality programs, they need to follow five step which is:
- define
- measure
- analyze
- improve
- control
