After studying this chapter you will be able to: Learn why resource allocation should always be based on strategic priorities; understand why policies and procedures should be designed to facilitate good strategy execution; understand why and how benchmarking, best-practices adoption, and tools for continuously improving the performance of value chain activities help an organization achieve operating excellence and superior strategy execution. | CHAPTER 11 MANAGING INTERNAL OPERATIONS: Actions That Promote Good Strategic Execution Student Version McGraw-Hill/Irwin Copyright ®2012 The McGraw-Hill Companies, Inc. PROMOTING GOOD STRATEGY EXECUTION Allocating resources to the drive for good strategy execution. Instituting policies and procedures that facilitate strategy execution. Using process management tools to drive continuous improvement in how value chain activities are performed. Installing information and operating systems that enable personnel to carry out their strategic roles proficiently. Using rewards and incentives to promote better strategy execution and the achievement of strategic and financial targets. INSTITUTING POLICIES AND PROCEDURES THAT FACILITATE STRATEGY EXECUTION Policies and operating procedures facilitate strategy execution by: Providing top-down guidance regarding how things need to be done. Helping ensure consistency in how execution-critical activities are performed. Promoting the creation of a work climate that facilitates good strategy execution. USING PROCESS MANAGEMENT TOOLS TO STRIVE FOR CONTINUOUS IMPROVEMENT Managing for Continuous Improvement Best Practices Benchmarking Process Reengineering Total Quality Management (TQM) Six Sigma Quality Programs Reengineering the Organization Business Process Reengineering Involves radically redesigning and streamlining work effort, flows and processes to achieve dramatic improvements in performance. Uses cross-functional teams, cutting-edge technology and information systems to reset and refocus the organization’s strategy. Achieving Continuous Improvement Total Quality Management (TQM ) Creating a total quality culture bent on continuously improving the performance of every task and value chain activity. Is a long-term race without a finish in which success comes slowly in small steps forward (kaizen). A Statistical Approach to Achieving Continuous Improvement Six Sigma Programs Utilize statistical methods to improve quality by . | CHAPTER 11 MANAGING INTERNAL OPERATIONS: Actions That Promote Good Strategic Execution Student Version McGraw-Hill/Irwin Copyright ®2012 The McGraw-Hill Companies, Inc. PROMOTING GOOD STRATEGY EXECUTION Allocating resources to the drive for good strategy execution. Instituting policies and procedures that facilitate strategy execution. Using process management tools to drive continuous improvement in how value chain activities are performed. Installing information and operating systems that enable personnel to carry out their strategic roles proficiently. Using rewards and incentives to promote better strategy execution and the achievement of strategic and financial targets. INSTITUTING POLICIES AND PROCEDURES THAT FACILITATE STRATEGY EXECUTION Policies and operating procedures facilitate strategy execution by: Providing top-down guidance regarding how things need to be done. Helping ensure consistency in how execution-critical activities are performed. Promoting the creation of a .
