Strategic Planning in the Small Business

Unit 1

HO  1-5 (continued)

12 Part I The Concepts
and Techniques
of Strategic Management

Corporate

Strategies

I.  Invest to accelerate

internal

growth. Direct and

focus investment

spending on

strategic opportunities

to build share

and to accelerate

unit

volume growth

in key product positions.

2.

Develop the lowest

cost position

in all product categories.

Empha­

size and measure operating

efficiencies

and cost structures

in all

areas of the corporation

to reduce

costs consistently

and to in­

crease return

on sales without

sacrificing quality.

3. Make acquisitions.
   Acquire
   businesses which
   fit Sara Lee Corpora­

tion's strategic

focus and which

provide increased

opportunity

for

growth consistent

with our mission.

4. Leverage brand
   names and
   strategically link businesses
   for syn­

ergy. Generate

growth by building

and extending

brand positions,

and improve

returns by strategically

combining

divisions and

devel­

oping synerf -ts

among businesses.

5. Pursue
   cross-channel distribution
   for established
   products,
   brands

and positions.

Increase unit

volume and return

on sales with

cross­

channel distribution.

Source 1987 Annual

Report

Strategy Implementation

and Execution

The

strategy-implementing

function consists

of seeing what

it will take to

make

the     strategy

work and then

getting it done

on schedule-the

skill coine. in

knowing

how to achieve

results. The job of

implementing strategy

is primarily

an

action-driven administrative

task

that cuts across

many internal matters.

The

specific administrative

elements

necessary to

put the strategy

into place include:

" Building

an organization

capable of carrying

out the strategy

successfully.

" Developing

budgets that steer

resources into those

internal activities

criti­

cal to

strategic success.

* Motivating

people in ways that

induce them tro

pursue the target

objectives

energetically

and,

if need be, modifying

the;r duties

and job behavior

to

better fit

the requirements

of successful stategy

execution.

" Tying the

reward structure

to the achievement

of the targeted

results.

• Creating a work
  environmnt that
  is conducive to successful
  strategy

implementation.

" Installing

strategy-supportive

policies and procedures.

*

Exerting the internal

leadership needed

to drive implementation

forward

and

to keep improving

on how the

strategy is beintg

executed.

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