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strategic management
Organizational strategy is the basis for the organization to implement project portfolio management, program management and project management. Organizational strategy is the basis for the organization to implement project portfolio management, program management and project management. Only by thinking about the position of project management at each level in the organization from the perspective of organizational strategy can we solve the problem of project portfolio management, program management and project management. Role in the implementation of organizational strategy
Edited at 2022-06-10 09:59:13
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strategic management
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strategic management
Overview
Organizational strategy is the basis for the organization to implement project portfolio management, program management and project management
Only by thinking about the position of project management at all levels in the organization from the perspective of organizational strategy can we understand the role of project portfolio management, program management and project management in the implementation of organizational strategy.
Strategic management provides specific goals for project management
organizational strategic management
Strategy and Strategic Management
organizational strategic planning
It refers to a cyclic process of formulating and implementing strategies based on the organization's external environment and its own conditions and changes, and adjusting and re-formulating new strategies based on the evaluation and feedback of the implementation process and results.
Strategic planning should be a staged and overall judgment of the organization and its environment, and based on this judgment, the organization's main goals and key tasks for the future period should be confirmed and officially released.
The strategy includes two aspects
The future direction of the organization
Organizational resource allocation strategies that match the future development direction of the organization
The role of organizational strategy
It is conducive to forming a unified understanding within the organization, gathering strength, and persuading internal and external stakeholders to support the achievement of the organization's predetermined goals.
Create a basic organizational cultural atmosphere and matching institutional arrangements and process designs that are jointly formed by the organizational vision, mission, and goals to support the realization of the organization's strategic goals
strategic management
Strategic management is an organization's decision-making regarding its overall situation, long-term development direction, goals, tasks and policies, as well as the allocation of organizational resources within a certain period of time.
and management of tracking, supervising, and changing these decisions.
Main elements of organizational strategy
Strategic objectives
Strategic goals are the expected results to be achieved by the organization's strategic actions and are the basis and starting point for formulating and implementing strategies.
Strategic goals are determined based on the strategic situation and organizational interests in a specific period.
strategic policy
The strategic policy is the overall policy that guides the organization at a specific stage. It is the program that guides the organization's actions and the basic basis for formulating the organization's strategic plan.
Specific strategic guidelines need to be formulated in a targeted manner to determine specific strategic tasks, strategic priorities, main strategic directions, organizational capability allocation and resource use, etc.
Strategy implementation capabilities
Organizational strategy implementation capability is the material basis for organizational strategy implementation
strategic measures
Strategic measures are an important guarantee for the implementation of strategies with overall significance for the preparation and implementation of strategic management. They are the needs of the organizational decision-making body for strategic implementation.
Arrangements in terms of organizational structure, power distribution, supervision mechanism, authorization environment, financial management and process management, as well as other overall practical methods and steps taken
elements of organizational strategy
Breakdown of strategy implementation process
Strategy implementation is a top-down dynamic management process
After the strategic goals are agreed upon at the top of the organization, they are then communicated to the middle and lower levels, and are broken down and implemented in various tasks.
The so-called "dynamic" mainly refers to the process of strategy implementation, which often requires achieving strategic goals in a continuous cycle of "analysis--decision--execution--feedback--re-analysis--re-decision--re-execution"
Strategy implementation is the action stage in the strategic management process and is more important than strategy formulation.
strategic start-up phase
Organize training for managers and employees
Promote new strategic ideas, new culture and concepts, the importance and urgency of implementing the new strategy, and the specific content of the new strategic plan
Strategic plan implementation stage
The organizational strategy needs to be broken down into several strategic implementation stages, each of which has staged goals.
Correspondingly, there are policy measures, departmental strategies and corresponding implementation guidelines for each stage.
It is necessary to set a timetable for phased goals, conduct overall planning and comprehensive arrangements for each phased goal, and pay attention to the connection between each phase.
Organizational strategic operation stage
Control and evaluation of organizational strategy
strategic control system established by the organization
Performance monitoring systems, assessment of monitoring deviations
control and correction
The process of converting corporate strategy into strategic actions includes 4 interrelated stages
Organizational Strategy Types and Levels
organizational strategy type
Overview
The strategic problems faced by organizations mainly include three types of problems: career problems, engineering problems and administrative problems.
Business questions focus on how the organization manages market share.
Engineering problems mainly solve the problems of how the organization implements solutions to business problems and provide engineering support for solving business problems.
Administrative issues are to solve how the organization should be structured to meet the needs of solving the first two problems. It solves the problems of authorization, communication and specific implementation structure of the organization.
Organizational business strategy type
defender strategy
The main direction of the organization's efforts is to improve the organization's operational efficiency and expand or maintain the current market share.
Prevent competitors from encroaching on the organization's original market and maintain a relatively low position in the industry
In this strategic system, the business problem faced by the organization is mainly how to maintain a stable market share.
In this strategic system, the administrative problem faced by the organization is: how to ensure organizational efficiency
Organizations generally adopt centralized and unified management, vertical integration of the industrial chain, and detailed planning of standardized procedures and functions to improve the organization's competitiveness.
Explorer Strategy
This strategy focuses on the organization's discovery and exploration of development opportunities that new products, new technologies, and new markets may provide to the organization
The core skills of the organization are market capabilities and R&D capabilities. It can have more types of technologies and longer product lines, and it may also face greater risks.
In this strategic system, the career issues faced by the organization are mainly how to explore and position possible opportunities for new products, new technologies, and new markets.
In this strategic system, the administrative problem faced by the organization is mainly how to coordinate business activities and innovation activities to provide the organization with a steady stream of innovative vitality.
Organizations that adopt this strategy generally adopt a decentralized organizational model; employ generalists rather than specialists; the organizational structure favors flat management and encourages inter-departmental cooperation and competition.
Explorer-type strategies can help organizations survive and develop in an unpredictable and ever-changing market environment, obtain new business opportunities, and obtain average profits that exceed the industry
analyst strategy
This strategy mainly ensures that the organization can provide innovative products and services while avoiding risks.
A more stable environment, emphasizing standardization and efficient operation
In a rapidly changing environment, we emphasize paying attention to competitors' developments and quickly making favorable adjustments.
Applied to both markets
In this strategic system, the business problem faced by the organization is mainly how to maintain existing market share and how to discover new market and product opportunities.
The administrative issue of the strategy is: how to manage and balance these two objectives and foster cooperation between different departments
responder strategy
This strategy mainly refers to the type of organization that lacks control over the external environment and is insensitive. It lacks the ability to adapt to external competition and effective internal control functions.
This strategy does not have a systematic strategic design and organizational planning
strategic organizational type
command strategic organizational model
Features
It is the top level of the organization that considers how to formulate the best strategy and then implements it according to the strategy. The relevant strategy executives must submit a detailed report on the implementation of the strategy to the top level of the organization.
Based on the report, the top management of the organization will make necessary adjustments to the strategy and implement it with specific managers and executives.
Restrictions
The first is the top level, which must have higher authority. Rely on its authority to promote strategic implementation by issuing various instructions
Organizational strategy is relatively simple and requires the goals of strategy makers and strategy executors to be relatively consistent
Suitable for organizational structures that are generally highly centralized and where the organizational environment is relatively stable
The organization's business is relatively simple
Information inside and outside the organization is relatively concentrated, information can be collected accurately and effectively, and information circulation channels can be smooth.
There must be support from more objective planning and supervision mechanisms
transformational strategic organizational model
The characteristic is that the organization develops on the theme of how to implement the organizational strategy
This model is generally more effective than the command-oriented organizational strategy model
In the implementation of the strategy, the organization's top decision-makers or with the help of other parties need to make a series of changes to the organization, such as establishing new organizational structures, new information systems, changing personnel, etc., and using incentive methods and control systems to promote the strategy. implementation
Cooperative strategic organizational model
This organizational strategy model requires the top level of the organization to share relevant strategic responsibilities with other top managers to leverage collective wisdom.
The specific process is that the top management of the organization must fully discuss the organizational strategy, form a relatively consistent opinion, and then formulate and implement the new strategy.
The cooperative organizational strategic model overcomes the limitations of the command model and the transformational model.
Disadvantages: Since strategy is the result of mutual negotiation and compromise between participants with different views and different purposes, the economic rationality of the strategy may be reduced.
Cultural strategic organizational model
Features: The top management of the organization considers the formulation and execution of strategy from the perspective of how to mobilize all members to participate in strategy implementation activities.
Mainly using organizational culture means to continuously disseminate strategic ideas to all members
The limitation of the cultural organizational strategy model is mainly reflected in the fact that this model is based on the assumption that all organizational members have common values and behavioral tendencies.
growth strategic organizational model
Features: The top management of the organization focuses on the formulation and implementation of strategies from the perspective of how to motivate general managers to formulate and implement strategies.
limitation
It is impossible for the company's top management to control all major opportunities and threats. It is necessary to give lower-level managers a relaxed environment, but there may be related risks.
organizational strategic level
target layer
The goal layer mainly introduces and explains the strategic goals of the organization, the main basis for determining the goals, and the high-level decomposition of the strategic goals.
Including the basic strategic goals of the organization, the phased embodiment of the basic strategic goals, the strategic goal system and its decomposition, the principles and methods of goal decomposition, the dependence between goals, and relevant explanations and explanations of goals at each level, etc.
The target layer is for the system itself
policy level
The policy layer mainly explains the main principles and guidelines that the organization should adhere to in the process of achieving organizational goals, and is a specific guide for the organization's strategic actions.
The policy level refers to some basic principles, methods and approaches recommended for the organizational system environment or general problems in the system.
Can be subdivided into various forms such as guidelines, policies, systems, etc.
action layer
The behavioral level is the specific execution level, the actions taken to implement the organization's strategic goals and policies.
The behavioral layer mainly targets specific issues at the strategic level of the organization, and appears in the form of key projects, main tasks, plans, plans, etc.
Decomposition of organizational strategic goals
concept
From a scope perspective, organizational strategies are divided into hierarchical
Organizational level strategy, business level strategy, functional level strategy
The functional-level strategy is mainly to meet the overall future development of the organization and the practical needs of the strategic development of each business layer, while hidden development strategies and organizational operating structures related to technology research and development, production and manufacturing, marketing, human resources, financial management, etc. strategy
The main issue of strategic relationships at the business level: How should this business unit compete within the overall strategic framework of the organization?
Balanced Scorecard BSC
It is a performance evaluation system whose original purpose is to find an organizational performance evaluation model that transcends traditional financial measures.
As a performance evaluation tool based on strategic management, BSC is designed for each aspect from the four perspectives of finance, customers, internal operations, and learning and growth, based on the actual situation at different stages of the organization's life cycle and the specific strategic measures taken. Develop appropriate evaluation indicators and assign different weights
Organizational Strategy and Project Management
Organizational strategy is a plan that describes how to use the organization's strengths and core competencies, including effectively managing resources, managing stakeholder interests, evaluating the value of plans, minimizing the impact of possible threats, and responding to challenges in the market, legal, and regulatory environment. , focusing on key operational activities and other aspects
Maintain project portfolio consistency
Allocate financial resources
Allocate human resources
Assign material or equipment resources
Measure portfolio component performance
Manage risk
Six aspects of the impact of project portfolio planning on strategy