The core concepts presented by Luecke, (2005) in chapter five revolve around the differentiation of strategy creation and implementation. While strategy involves a plan to stay ahead of the competition, attract, keep customers and conquer markets, the application is the critical part as it consists of the conversion of this plan into action and yields desired results. While the strategy is entrepreneurial and market-oriented, implementation focuses on operations and requires continuous managerial attention. The application involves the alignment of leadership, people, structure, culture, and incentives to the strategic goals of an organization (Luecke, 2005) . Ensuring the arrangement of the strategy to these elements is what provides the success of the organization.
Luecke, (2005) outlines the action plan for the effective implementation of the strategy. To successfully implement a strategic plan, it must be turned into action plans and executed at the unit level. The actions projects need to address the significant goals by having practical steps, measuring progress with time, ensuring the presence of resources required and constant tracking of everything. Breaking down of strategic goals into action plans allows for the creation of unit goals that are easy to achieve ( Luecke, 2005) . While the company's mission and strategy are essential, it often is too broad to accomplish without breaking down.
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Mankins & Steele (2005) give seven rules to ensure the full realization of value from strategies. First, there is a clear description of simple goals to ensure the company will understand the goals. Ensuring understanding of the organization concerning the market factors and prevailing economic condition is also necessary. Thirdly, there is the communication to ensure the presence of congruence and knowledge by all business units of the goals and expectation (Mankins & Steele 2005). Finally, prioritizing and execution ability development are necessary.
(Gadiesh & Gilbert, 2005) discuss the importance of proper communication to the employee which allows for both clarity of strategic direction while also inspiring workers to take risks in acting on behalf of an organisation. Here we look at the benefits that come from pushing decision making as far as possible from the CEO down the organization, including the reflection of customer preferences in products and services and rapid seizing of opportunities. (Gadiesh & Gilbert, 2005) Proper frontline action starts with communication distillation to ensure every member of the organization properly understand the strategy is vital to successful implementation. Decentralization is key to effective strategic plan implementation and organization success.
Bowman’s strategy is a model of understanding strategic planning that allows for the analysis of an organization’s competitive position. It gives eight primary strategic options for an organization. These include low price/ low added value, small price/ medium added value, hybrid, differentiation, focused differentiation and three failure options. A company should choose a combination of the price and perceived value to determine the way forward for the organization and a way to continue the organization (Shakhshir, 2014) . The understanding of the basic strategies of the Bowman’s strategy clock, one can effectively implement their strategic goal.
When strategies are placed on Bowman's clock, one begins to understand the impact of every action that an organization will take. Depending on the level of value that an organization intends to get from strategy, it can place different strategies to accommodate this desire. For example, the hybrid strategy aims at generating high value for an organization. This is similar to differentiation. However, other strategies like increased price, standard price standard may offer low value. The fail zone is what organizations must avoid ensuring the security of their investment (Shakhshir, 2014) . The result of the clock guide organizations on the best course of action for the development of the strategic goals.
Apple on Bowman’s strategy clock
Apple is one of the most successful organizations in the world whose success comes from proper strategy and understanding of core value. Within at least thirty years of existence, the company has led as the organization of choice for top quality technology products and services including phones, computers and other accessories. The company utilizes a broad range of unique strategies that not only ensure the growth of revenue but also increased customer attraction and better product development. Using Bowman’s strategy clock, we shall determine the effectiveness of Apple in creating value and the amount of value the company seeks to gain through its strategy.
Among the eight strategies for a company, Apple utilizes focused differentiation involving high price to add a high level of value. Focused differentiation consists of offering unique features in a product to fulfil the demands of a narrow market. Apple holds that the company always aim at selling quality phones and other products to give the best user experience rather than cheap phones without value (Shakhshir, 2014) . This means that the value in the company is generated by the premium prices that the company sells to customers rather than due to the bulk of sale.
The results of the focused differentiation that Apple uses are marked by the success of the company. Customer loyalty is the first benefit that a company get from providing high-quality products. By tailoring the business to the needs of a small group of customers, a company can develop loyalty. Apple is the company of choice for millions of people all across the world for different products. However, the most loyal of Apple's customers are phone consumers who are keen to buy these products every time the company unveils a new one. Apple is a mark of quality offering for most products, and people feel the need to get its label on any product.
Another benefit that Apple enjoys from the focused differentiation strategy is high margins. A company that succeeds in providing popular products in a particular niche market can charge premium from customers and get high profits. With apple giving products that are deemed as being of more top quality than competitors, the company effectively charge higher without fear of losing business. Apple's high-profit margins have driven the company to become the world leader it is today.
Thirdly, by focusing on a specific on specific customer group, Apple also ensures limited competition. Focused differentiation allows for the ability to serve the particular tailor-made needs of a defined group, leaving competitors in the broad market. By standing as a leader in providing to the specific market niche, Apple forces competitors to look elsewhere. However, Apple does not achieve a differentiation strategy by mere chance but proper strategic planning. Apple has also been a company of priority that does not run into any technological innovation in the industry like other organizations.
Apple’s execution of its strategic goals is based on the alignment of goal with implementation. As noted in unit 5, the implementation of the goals is what matters. Consequently, Apple breaks down its strategic goal into several actionable groups, making it easier for them to be realized. Apple has several groups of activities such as talent search, development of ideas and incubation that provide clear objective goals for the deployment of the strategic goal. Through these small goals, the company achieves its innovation strategy. Another important concepts at Apple detailed in chapter five is the alignment of organization strategy and elements of successful implementation. Most importantly is how Apple ensure the buy-in of the strategic goals of employee’s right from recruitment. The result is a full force implementation that starts from the top of the organization radar down to the lowest employee. The goal of innovation is further embedded in Apple’s culture was not only employees and other internal stakeholders of the organization but also customers, competitors and government recognize Apple as an innovator.
The effectiveness of the breakdown of strategic goals in planning and execution affects the ability of an organization to realize their strategies’ potential value. At Apple, the seven rules of strategic implementation allow for ease of achievement. For example, with a simple statement of the organization’s strategic goals, employees find them easy to understand. Apple has made cross-functional teams in all their business units to periodically analyses the profitability and effectiveness of all the actions taken in reaching goals. Continuous monitoring of performance is also frequent at Apple, using a variety of adequately created metrics. Apple has a system of keeping a record of what has been achieved and needs to be realized to ensure a proper following of the process of goals achievement. Apple emphases on performance measures to determine the effectiveness proof each of their small goals and action plans to meet the overall organizational objectives.
One area that Apple has emphasized on and contributed to its success is regarding the transformation of the corner office strategy into front-line action. Apple-based its ability to achieve strategic goals on the innovativeness of employees. With proper distillation of strategic plan in employees, the members of the staff can take charge of innovation and come up with ideas that result in the realization of the organization's goals. The breakdown of roles and giving employees the tools and authority to act is vital to the success at Apple. Innovation at Apple depends on the lowest employee and his ability to take independent action in response to the needs of customers and based on overall organization goal.
References
Gadiesh, O. & Gilbert, J. L., (2005). Transforming Corner Office Strategy into Frontline Action. Harvard Business Review
Luecke, R. (2005). Harvard business essentials: Strategy: Create and implement the best strategy for your business . Harvard Business School.
Mankins, M. C., & Steele R., (2005) Turning Great Strategy into Great Performance. Harvard Business Review
Shakhshir, G. (2014). Positioning strategies development. The Annals Of The University Of Oradea , 977 , 416-437.
