Strategic Integration

I think there is a no set formula to have a successful strategy. For an organization to grow it need to bring many elements together that I call as DNA.

These elements are broadly classified as Positioning elements and Execution elements. Within those elements there exists some synergies that an organization can leverage to create a sustainable competitive position.

Looking at many successful organizations around there does not seem to be anything exceptional in what they do. But the fact that whatever they do .. is done so smoothly day-in day-out that the ability to execute on desired strategy consistently becomes their strength. Few examples that stand out are Wal-mart and Dell. Walmart sell cheap products by having large warehouse type sale outlet within a community of certain size and usually out of city location. Yet other companies find it so difficult to replicate or better this model. Because the strength is not in model but the company's ability to deliver consistently on a certain model.

This notion of delivering consistently requires an organization to strategically integration all its resources such that they are aligned to deliver desired strategic position. For example, if company aims to be innovative then its organization and incentive structure must encourage innovation. Additionally, necessary resources should be provided to support such innovation. This is just one basic example where multiple elements of strategy need to come together to deliver on organization's strategy.


Reference: Fuchs, P.H., Mifflin, K.E., Miller, D. & Whitney, J.O. 2000, ‘Strategic integration: Competing in the Age of Capabilities’, California Management Review, vol. 24, no. 3, pp. 118–147.