Implementing Strategy in an Organisation Free Samples for Students

Question: What are the Suggestion You will give to IKEA to make an Organizational Chart that IKEA can Consider to better support its International Strategy. Answer: Introduction Strategy implementation is core to a company's success; it typically occurs after a critical analysis of an organizations micro and macro environment, carrying a SWOT analysis and thus identifying key issues and objectives (Fred, 2013). Therefore strategy implementation would be defined as the manner in which an organization develops, utilize and amalgamate the organizational structure, control systems and organizations culture to follow strategies that will maintain or lead the team to a competitive edge and better the performance. Erica Olsen (2012) implementation is the process where you turn plans into actions to accomplish the laid down strategic goals and objectives. Organization charts refer to a diagrammatic structure of the organization and the relationships and hierarchical ranks of the various jobs and positions in the organizations. The organizational structure covers a hierarchical arrangement that defines the communication order, the authority and responsibilities of employees, the rights, and duties of the organizations. A team chooses the structure that is best for it. How individual and team work within an organization is to be coordinated. Best to mean it does not interfere with the overall achievement of organization's goals. The various body structures are Divisional, functional and matrix. In the hieratical category, there is traditional, flat, flatter, flat Archies, and hold cratic organizations. IKEA is a furniture manufacture. Being a multinational company, it has an equally tough competitor, for instance, the American Wood Mark company. With a weak organizational structure, the company would easily be driven out of business as end consumers, and other retailers would prefer to work with your competitors. Organization Chart: This organization chart shows that the company has a flat organization structure. Flat structure means the hierarchy is not tall and therefore there are less managerial levels. The retailers, industrial groups, group staff function, the supply chain and product development team are at the same horizontal level, and they all report directly to IKEA group management, which in turn reports to INGKA Holding B.V, that reports to Stichting INGKA Foundation both at same horizontal level with Stichting IKEA Foundation. IKEA was founded on values of simplicity, humility, cost consciousness and innovations. Therefore the strategic objectives of IKEA are to produce cheap and affordable products. To better the life of those who cannot afford flashy and expensive products. The goals ensure that the products the company offers are not only cheap but also of high quality. The corporation's goal is to make sure that the retailers and end consumers will always find whatever they are looking for I store and finally offer low prices. In fact, IKEA is the leading in the industry with cheap, high-quality products. Reasons to continue using the current organization structure I support the current body structure. Research shows that flat structures provide greater need satisfaction for employees and a higher level of self-actualization (Porter Siegel, 2006).A flat organization structure is the best structure especially with multinational organizations this is because the bureaucracy that comes with size reduces. Bureaucracy leads to time wastage, meaning some operations end up derailed. With the international market, there is great need to perform all operations as fast; this fast operation creates a right image to the target market. Everyone wants to work with a company that has a good picture (Lim and Sambrook, 2010). The structure also divulges the news about the company's economic and social role, which is a critical role. Therefore, despite the environment being hyper-competitive, there is a vast audience already good relationship with the media that publicizes the positive things about the organization (Michael, 2008). Unlike the usual norm where the media is more inclined to making headlines that are wrong and full of scandals, in this, the case is different. The good news has created a good image and increased the market share. The structure does give the organization the ability to take part in corporate social responsibilities. Consider a core value such as humility; the company has continually participated in CSR. The raw materials needed are trees, and the company is not very arrogant that it cuts down trees and walk. The company has adopted and ethical code, IKEA intends to be moral and ethical,' so after cutting down trees, it plants two more. Following the massive global warming effect, it is moral to cut and plant more than you have cut down. CSR has increased the like-ability of the company, and everyone is full of praises. There are many other CSR activities that the business engages in and has continually put it a competitive advantage (Pollach et al., 2012). Also, the organization uses matrix structure. There is a dual reporting strategy; the information can flow in either across or upward, and resources are well utilized. This method ensures employees are in contact with many people. The movement of information is quite fast, and with a fast flow of communications, decisions making process becomes faster. If a need or a gap arises into market it is possible to tap the opportunity before the company's competitor does it since the decision on how to' and when to' is quickly discussed. Finally, on the issue of innovations, the company has continually upgraded the products. The global market provides significant needs for consumers; some are high quality while others are not. The needs of the high-quality customers keep changing with the advancement of technology, as they have to be at par, the company can cover this need. It not only meets the technological requirements of the consumers but also the needs of the employees as a whole. The methods to make the furniture change and advanced equipment are adapted to make it easy and fast for employees to do their jobs. Conclusion In conclusion, the organization structure for IKEA need not change, this is because the current structure has not deterred the team from innovating and advancing globally, rather it is providing an opportunity for the same. The company is in a competitive edge; however, more strategies need to be employed primarily by the hyper-competitive environment, so the company remains in a competitive advantage with the upper advantage over the competitors References Alexis writing (2015) Different types of organization structures.Retrieved from 26th April 2017, from https://smallbusiness.chron.com/different-types-organizational-structure-723.html Erica Olsen (2012) implementation strategy Fred, D. (2013). Strategic Management: Concepts and Case, 12thedition. Pearson Prentice Hall Jacob, M. (2013). The 5 Types Of Organizational Structures: Part 1, The Hierarchyhttps://www.forbes.com/sites/jacobmorgan/2015/07/06/the-5-types-of-organizational-structures-part-1-the-hierarchy/#42bb4f845252 Lim, M., G. Griffiths, and Sambrook, S. (2010). Organizational structure for the twenty-first century: Presented the annual meeting of The Institute for Operations Research and The Management Sciences, Austin. Marquez, J (2007) Big bucks at door for Depot HR leader Workforce management Michael, P. (2008). The Five Competitive Forces That Shape Strategy: The Harvard Business Review Pollach, I., Johansen, T. S., Nielsen, A. E., Thomsen, C. (2012). The integration of CSR into corporate communication in large European companies: Journal of Communication Management, 16(2), pp. 204216. Porter, L. W, Siegel, J (2006) Relationship of tall and flat organization structures to the satisfaction of foreign managers. Personnel Psychology Sine, W Kirsch D.A 2006 Revisiting Burn and Stalker: Formal structure and new venture performance in emerging economic sectors. Academy of Management journal.