Strategy implementation requires establishment of management system. Management gets the jobs done by working with & through people to implement strategy. It performs the functions of planning, organizing, staffing, leading & controlling. It manages change & conflicts. The essential of management system for strategy implementation consists of:
- Human Resource Management: People are the heart of strategy implementation. The unique competencies of people are the key strategic factors enabling the success of strategies. The components of human resource management consists of (a) putting together a strong management team (b) acquiring competent employees (c) development of employees (d) utilization of employees & (e) Retention of employees.
- Information Management: Strategy implementation requires establishment & use of information, communication, & ecommerce systems. They enable people to carry out their roles successfully & Information management enables success of strategy. Information technology is advancing rapidly. The ability of organizations to access & process information is crucial to strategy implementation. E-commerce is a vital tool for strategy implementation.
- Leadership: Leadership is guiding & influencing It establishes direction, manages change & builds a team. It makes decisions. It is essential to drive strategy implementation forward. Effective leaders carry out the following tasks to strategy into actions. (a) Benchmarking (b) performance based records (c) supportive environment (d) open communication (e) environmental adaptation (f) team building (g) conflict management & (h) leading.
- Shaping Organization Culture: Management shapes supportive organization culture for strategy implementation. Organization culture refers to a set of beliefs, values, symbols & assumptions shared in common throughout the organizations. Strategy supportive culture is developed.
- Reward System: Effective reward system encourage the employees to do better which helps sound implementation of strategy.