Strategic Management: Formulation and Implementation

Relationship Of Implementation To Life Cycle

The stages in a product's life cycle are often expresses as embryonic, growth, maturity, and decline (or precommercialization, introduction, growth, maturity, and decline).

Organizations have a cycle identified as entrepreneurial, growth, maturity, and decline. Industries also have a life cycle, consisting of fledgling, growth, maturity, and decline.

Strategists must be sensitive to these changes and use implementation processes to match the strategies to each stage.

Harold Fox has shown how implementation will vary depending on where the firm's main product or service is in the product-service life cycle (see Exhibit 1-3).

A multiple-SBU firm may have a number of products, each of which is in different stage of development. The Exhibit 1-3 does illustrate how policies can be meshed with different demands imposed by a strategy change.

Selecting An Implementation Approach

On the basis of their research on management practices at a number of companies, David Brodwin and L. J. Bourgeois III have identified five distinct basic approaches to strategy implementation and strategic change.