In order to implement a strategic choice, organizations use structures, control systems, HR policies, and culture.
Please visit Overstock.com and analyze how the company implements the strategy (or strategies) the company currently pursues. Again, choose one implementation tactic, identify whether it concerns organizational structure, controls (e.g., budgetary control systems), HR, or organizational culture.
Finally, discuss whether or not you believe the tactic you've selected effectively supports the company's strategy at the proper level.
Strategic Controls (Systems)
Three organizational systems are essential to controlling strategy implementation:
Accounting and budgeting systems: These systems can be complex and not easily adapted. If a new strategy requires data that is not easily accessible through existing accounting systems, implementation can be slowed, and a potentially successful implementation can be jeopardized. If a new proposed strategy does not fit a familiar pattern, decision making can be become risky and unpredictable.
Information Systems: Information technology is playing an ever greater role in strategy implementation. IT provides point-of-sale information between retailers and manufacturers, streamlines logistics and distribution, and controls inventories. IT systems must be capable of providing the right information in the right format to the right people at the right time.
Measurement and Reward Systems: Rewards can be used to shape behavior in the direction of meeting strategic objectives. Rewards must be connected to measures of goal attainment (e.g., specific increases in market share), and proper time horizons (future rewards for future goals).
For a presentation on Strategic Controls by Professor Anastasia M. Luca, PhD MBA
Main strategies of Overstock.com are focused on customers. They want to make most of every customer service interaction. The implementation of customer centric strategies is through partner for customer care solution. With the help of partner, Overstock can respond to its customers quickly, effectively ...
The expert examines strategic implementation and control discussions.