Leveraging Process for Strategic Advantage

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LEVERAGING PROCESS FOR STRATEGIC ADVANTAGE ARTICLE ANALYSIS Abstract When Professor David A. Garvin had a roundtable discussion with managers of diverse industries, the result was revealing. They discussed strategy and management practices critical to process function organization. Below are itemized discussions based on the outcomes of their round table interaction: The kind of shifts the managers made in their companies, the capabilities which enabled their shift of operations and the main steps they used in their process reengineering. Conclusions and recommendations are also made. LYDIA OSA-ANDREWS Lydia.OsaAndrews@sdstate.edu 1. What kind of shifts did those companies make? The companies made a shift from a functional based organization to a process organization.This shift was as a result of modifications in customer expectations, improvements in information technology and competition of international companies. The functional organization form of operations could not help those organizations to improve on their product and services because the functional organization focused more on the departmental achievements rather than working on system improvement for customer satisfaction and also for the benefit of the entire organization. . 2. Describe critical capabilities of the companies which led to the new processes In the case of Smithline Beecham, The outcome from their market survey assisted them to focus on three business areas namely, health care delivery, care management and care coverage. Theses caused them to define new business strategy for each area of the businesses. But again these new strategies could not be actualized without assessing their capabilities in terms of the skill of people to perform the tasks, the processes available for the task to be carried out and whether they have the required technology for

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