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Strategic Implementation

Strategic Implementation. The Implementation Process. Strategic Plan Assumptions and Projections Mission Corporate Objectives Strategies. Actions Re-structuring Acquisitions/Investment Change Management Change Agents. Resource, allocation and budgeting. Strategic Choice.

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Strategic Implementation

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  1. Strategic Implementation

  2. The Implementation Process Strategic Plan Assumptions and Projections Mission Corporate Objectives Strategies Actions Re-structuring Acquisitions/Investment Change Management Change Agents Resource, allocation and budgeting Strategic Choice Maintaining Control Objectives of Targets Performance Measurement

  3. Example of a Strategic Plan(Lord Chancellor’s Department) A written document (40 pages) containing five major elements:- • Foundations • fundamental aim - to ensure efficient and effective administration of justice • strategic priorities - to contain legal aid costs • principles - to protect and advance the rule of law • Key challenges with strategic objectives (“issues”) • strategic objective: to ensure access to justice whilst reducing its cost to the parties • target: to enable parties to resolve their disputes more speedily • Plans for the future • e.g. explains more about measures taken by Lord Chancellor in July 1993 for improving procedures for judicial appointments • Facts and figures • e.g. organisation chart; allocation of resources to court services, legal aid etc; staffing numbers; cases, committals etc • Progress against plan • brief narrative on what has been achieved

  4. Actions that may be associated with Strategic Implementation Re-structuring - changing shape of the organisation and relationships Acquisitions/Investment - of third party organisations Change Management - new working practices, new relationships etc. Change agents -internal or external

  5. Types of Change Nature of change Incremental chamge Transformational change Tuning Planned Transformation Proactive Management role Forced Transformation Adaption Reactive Examples Tuning: change in procedures Adaption: new working conditions Planned transformation: re-structuring Forced transformation: privatisation, merger

  6. Schein’s Change Process UNFREEZE existing behaviour attitude/ behaviour change REFREEZE new behaviour Unfreezing tends to be the hardest part of the process. It is also the the most neglected part of the process. External threats, in a variety of different forms often help. If change involves culture this is particularly difficult because it is embedded in the organisation - hence external triggers e.g. change agent

  7. Styles of Managing Change • Education and Communication • involves explanation of the reasons for and means of change • Collaboration • involves participation by those affected by the change. It may extend to identification of strategic issues, setting the agenda and planning the implementation • Intervention • is the co-ordination of and authority over the processes of change by a change agent who delegates elements of the change process • Direction • involves the use of personal managerial authority to establish a clear future strategy and how change will occur • Coercion • is the imposition of change or the issuing of edicts about change

  8. Key Competences of Change Agents Goals • Sensitivity to changes • Clarity in specifying goals • Flexibility in responding to changes Roles • Team-building abilities • Networking skills • Tolerance of ambiguity Communication • Communications skills - transmitting ideas and listening • Interpersonal skills • Personnal enthusiasm • Motivating skills Negotiation • Selling ideas • Bargaining for resources etc. Managing upwards • Political awareness • Influencing skills • “helicopter” perspective

  9. Balanced Scorecard and Strategy “ Most companies’ operational management and control systems are built around financial measures and targets, which bear little relation to the company’s progress in achieving its long term strategic objectives” R. Kaplan and D.P. Norton (1992)

  10. The Essence of the Balanced Scorecard The Balanced Scorecard aims to provide answers to 4 questions:- • How do we look to shareholders/stakeholders? • The financial perspective made up of income, ROCE, payback etc • How do customers/clients see us? • Measures such as complaints, response times, queues etc • What must we excel at? • The internal perspective that looks at processes such as productivity, quality etc. • How can we continue to improve and create value? • Growth and learning perspective - lead times, rates of improvement etc.

  11. THE BALANCED SCORECARD LINKS PERFORMANCE MEASURES How do we look to Shareholders? Financial perspective Goals Measures What Must We Excel at? How do Customers See Us? Internal Business Perspective Customer Perspective Goals Measures Goals measures Innovation and Learning perspective Goals measures Can we continue to Improve and Create Value

  12. THE BALANCED SCORECARD Hospital Laboratory application How do we look to Shareholders? Financial perspective Goals Measures What Must We Excel at? How do Customers See Us? Survive Within budget External income % new contracts Payback Internal Business Perspective Customer Perspective Goals Measures Goals measures Quality % accuracy faults Downtime Response time Number of complaints % results on time % errors Satisfy Safety Innovation and Learning perspective Goals measures Training days per member of staff % graduates Equipment-average age Staff Eqpt Service Can we continue to Improve and Create Value

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