It is a process through which a chosen strategy is put into action. It involves design and the management of system to achieve the integration of people, structure process and resources in achieving organizational objectives

Thus the either management process is geared up according to the needs of the strategy.

The following factors are important for strategy implementation

  1.    Institutionalization of strategy – Strategy does not becomes successful until and unless the strategy formulates act as promoters and defenders. Thus, institutionalisation of strategy is important for its successful implementation. This creates essence of belongingness among the organisational members, ignites ownership rather than the strategy being imposed. This brings a lot of organizational commitment.
  2.    Setting proper organizational climate – For a strategy to work a proper organisational climate is essential. Organisational climate refers to the characteristic of internal environment which bring cooperation, individual development, extent of commitment and dedication and efficiency with which the purpose is translated into results. The top management plays an important role in shaping organizational climate by not only setting standards but also motivating people.
  3.    Developing appropriate operating plans – Operating plans are action plans that are implemented to contribute to the achievement of organizational objectives. Example: In budgeting more resources can be allocated on those factors which are critical to the success of the organization. Major programmes can be received by the appropriate committee to see if the contribute positively.
  4.    Developing appropriate organizational structure – Organisation structure is a pattern in which various paths of the organization are interrelated or interconnected. If signifies the relationship among various position and activities. For implementation strategy, the organization structure should be designed according to the needs of the strategy. In absence of a formal organization structure, there will be confusion and misdirection.
  5.    Periodic review of strategy – There should be a periodic review of strategy to find out its relevance in present context. Most of the strategies become unsuccessful if the event changes. This review process should be done at least once a year.

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