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other, drove IBM’s dramatic makeover into an
integrated service provider. And major changes
in the laws governing interstate banking led to
widespread acquisitions of local financial institutions by major banks whose operations had
previously been limited to their home state or
region, prompting major strategy changes across
2. Resources: The second source of input is the
organization’s resources, including the full range
of accessible assets—employees, technology, 6 capital, and information. Resources may also
include less tangible assets, such as the organization’s reputation among key outside groups—
customers, investors, regulators, competitors,
etc.—or its internal organizational climate.
3. History: There is considerable evidence that the
way an organization functions today is greatly
influenced by landmark events that occurred in
its past. In order to reasonably predict an organization’s capacity to act now or in the future,
you must understand the crucial developments
that shaped it over time—the strategic decisions,
behavior of key leaders, responses to crises, and
the evolution of values and beliefs.
The history of Xerox is a case in point. In the
1950s, Xerox approached industry giants—IBM,
GE, RCA—looking for a partner to help it produce, sell, and distribute its revolutionary new
copier. No one was interested, so Xerox was
forced to work on its own. Ironically, the result
was one of the most successful product launches
in history. The lesson from the company’s seminal victory, which influenced its business strategy for decades, was that partnering was for other
companies, not for Xerox.
The historical lesson at Corning Inc. was just
the opposite. Since its earliest days, when
Corning Glass Works teamed up with Thomas
Edison to produce the first commercially viable
light bulbs, the company has fueled its growth
through a variety of creative collaborations
with other companies around the globe. Those
mergers, partnerships, and joint ventures provided Corning with new technologies in evolving growth businesses as well as access to new
markets for its existing products. Clearly, two
very different histories led directly to two very
different strategic philosophies.The two column layout, as illustrated here, is just one of
many ways in which the basic grid may be used.
Layouts may combine the underlying six column
structure as is appropriate to the content being
presented. Oliver Wyman – Delta Organization & Leadership Figure 3: The Organization as a Transformation Process Transformation
Process Input Organizational
Resources Output Strategy The Organization Individual
Performance History Strategy
Every company faces two levels of strategic issues.
The first is corporate strategy, involving portfolio
decisions about which businesses the company
ought to be in. For government and not-for-profit
organizations, “corporate strategy” often reflects a
combination of the legislative mandate, which
defines the public-policy ob...
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This note was uploaded on 11/22/2009 for the course HR GM600 taught by Professor Na during the Spring '09 term at Keller Graduate School of Management.
- Spring '09