Hierarchical Levels of Strategy
Strategy can be formulated on three different levels:
While the corporation must manage its portfolio of businesses to grow and survive, the success of a diversified firm depends upon its ability to manage each of its product lines. While there is no single competitor to Textron, we can talk about the competitors and strategy of each of its business units. In the finance business segment, for example, the chief rivals are major banks providing commercial financing. Many managers consider the business level to be the proper focus for strategic planning.
Corporate Level Strategy
Corporate level strategy fundamentally is concerned with the selection of businesses in which the company should compete and with the development and coordination of that portfolio of businesses.
Corporate level strategy is concerned with:
Corporations are responsible for creating value through their businesses. They do so by managing their portfolio of businesses, ensuring that the businesses are successful over the long-term, developing business units, and sometimes ensuring that each business is compatible with others in the portfolio.
Business Unit Level Strategy
A strategic business unit may be a division, product line, or other profit center that can be planned independently from the other business units of the firm.
At the business unit level, the strategic issues are less about the coordination of operating units and more about developing and sustaining a competitive advantage for the goods and services that are produced. At the business level, the strategy formulation phase deals with:
Michael Porter identified three generic strategies (cost leadership, differentiation, and focus) that can be implemented at the business unit level to create a competitive advantage and defend against the adverse effects of the five forces.
Functional Level Strategy
The functional level of the organization is the level of the operating divisions and departments. The strategic issues at the functional level are related to business processes and the value chain. Functional level strategies in marketing, finance, operations, human resources, and R&D involve the development and coordination of resources through which business unit level strategies can be executed efficiently and effectively.
Functional units of an organization are involved in higher level strategies by providing input into the business unit level and corporate level strategy, such as providing information on resources and capabilities on which the higher level strategies can be based. Once the higher-level strategy is developed, the functional units translate it into discrete action-plans that each department or division must accomplish for the strategy to succeed.
example of hierarchy of Information technology department
it is obvious that strategy makers implements the strategy they made, strategy makers can lead the strategy to a level of succession.
There are several different types of business strategies that include acquisition strategy and competitive strategy. Other types of strategy are cost strategy, niche strategy, and growth strategy.
aligning compensation strategy with hr strategy and business strategy would simply mean that the designing of a company's compensation strategy should be in such a way that it should support its HR as well as business strategy.
A company's hierarchy affects how goals and strategies are pursued because of leadership. With a wide hierarchy, an organization gives more freedom and empowerment to their employees, allowing them to be more creative.
no
Induced strategic behavior is a top-down process that link current strategy and structure to create innovation intertwined with that strategy and structure. This form of venturing filters strategy a structural hierarchy and results in internal innovation that is highly consistent with the firm's current strategy.
There is no hierarchy.
hierarchy
Hierarchy
what is ment by a hierarchy of a settlement
Hierarchy is a noun
Acquisition hierarchy and Financial hierarchy
Acquisition/Procurement hierarchy and Financial hierarchy
Its basically a hierarchy just for quadrilaterals.
The plural form of hierarchy is hierarchies.
Acquisition/Procurement hierarchy and Financial hierarchy