Formalisation in Strategy Implementation – the Key to Success or an Unnecessary Limitation?
Journal Title: International Journal of Contemporary Management - Year 2013, Vol 12, Issue 3
Abstract
[b]Background. [/b]Research on the process of strategic management, particularly the implementation phase, does not give a definite recommendation regarding the aspect of formalization in each of its stages. Therefore, it seems important to examine this issue, especially in the context of its impact on the quality of the implemented strategies. The article presents the results of research on the practices of companies in the process of strategic management.[b]Research aims. [/b]I examined whether formalization is a desirable and recommended factor in the implementation of strategic concepts or whether it does not contribute to the degree of their realization.[b]Method.[/b] The quantitative research has been based on an open and standardised collection of data and involved 150 subjects grouped into 3 samples. The enterprises under examination were divided into two groups – the first one was composed of the subjects that confirmed using formal tools facilitating strategy implementation and the second consisted of the subjects that denied using those solutions. As the study used an ordinal scale, as a measure for the correlation of the investigated variables, the Kendall tau-b test was used.[b]Key findings.[/b] The research results showed that having a formal strategy document often resulted in the use of formal systems of strategy implementation. Moreover, it also proves the importance of the applied tools since they allow periodic verification of the progress made in strategy implementation and its conformity with the set vision. I also pointed out that the formalization of the implementation of the strategy stems from the formalization of the whole process of strategic management, as evidenced by the regularity of the work at all stages. The results showed, however, that the decision about introducing formalisation may facilitate strategy implementation but is not a factor determining the success of implementing the devised development concepts.
Authors and Affiliations
Joanna Radomska
Keywords
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