Interaction Between Strategy and Organizational Performance: The Influence of Family Management
That is to say, all aspects of an organization's structure, from the creation of departments to the designation of reporting relationships, should be made Other design elements, such as hiring and personnel development. organisational development Interventions and strategies of the strategies, structures, and processes that lead to organization effectiveness'. and relationships among workers, and (2) lower costs by replacing inefficient materials, methods. The Difference Between Strategic Planning & Organizational Design Organizational design, also referred to as organizational structure, provides a solid.
It generally focuses on managers and professional staff and is seen as a way of improving the quality of their work life. Important trends, such as the increasing number of women, ethnic minorities, and physically and mentally challenged people in the workforce, require a more flexible set of policies and practices. EAPs are counseling programs that help employees deal with substance abuse and mental health, marital, and financial problems that often are associated with poor work performance.
Stress management programs help workers cope with the negative consequences of stress at work. They help managers reduce specific sources of stress, such as role conflict and ambiguity, and provide methods for reducing such stress symptoms as hypertension and anxiety. They are intended to transform the organization to keep pace with changing conditions. It argues that business strategies and organizational systems must be changed together in response to external and internal disruptions.
A strategic 5 change plan helps members manage the transition between a current strategy and organization design and the desired future strategic orientation. It helps organizations recognize the need for partnerships and develop appropriate structures for implementing them. Addressing key strategic leadership and cultural issues prior to the legal and financial transaction helps to smooth operational integration. It focuses on developing a strong organization culture to keep organization members pulling in the same direction.
These interventions move the organization beyond solving existing problems so as to become capable of continuous improvement. Developing the competitive organization: American Psychologist, 45, Cummings, T. The evaluation of product innovation strategy is in a set of three sub-categories listed in the literature as product development, processes and technology used for product development.
In product development, a factor that has always been present in the relationship with partners is the constant search for projects most in need of development, which demands greater investment in innovation, machinery and formulating materials in products, and all this made the whole development process was gaining notoriety and knowledge, as well as the factories were prepared to meet a very high level of process technology applied to products MANAGER 2.
Another aspect highlighted by the Manager 3 is the relationship with international partners, since there are many inputs or materials that integrate the products produced in SPORT Group which are from abroad; however; when there is no such materials in the domestic market, the company has partnered with the national supplier to produce them.
In an innovative vision on improving processes, the widely highlighted by all managers is tool lean manufacturing, which is a very powerful tool in the product development process, and the main result is the gain in efficiency, as highlight managers 4 and 5.
According managers 4 and 5, the innovation program indicates, for example, which is a priority, set directions and mechanisms for innovation.
The implementation of the center of product development creation became a "milestone divider new era for the company, because he was born with a mission to provide new and enhanced products and cutting-edge solutions for the consumer, anticipating trends" and represents " larger core development footwear in Latin America, reproduces the state of the art in terms of technology " FIELD REPORT, DOC 7, p. Based on the documents examined in this study, there was too much emphasis on further information from the financial statements regarding the importance of innovation for products and processes and the infrastructure of innovation.
On-site visits to administrative offices located in southern Brazil, it was noted the extensive physical infrastructure and space that the group offers. It appears the occurrence of differentiation and product innovation in SPORT Group in line with the dynamic, heterogeneous and hostile environment, as advocated Miller and Friesen To do so, make investments in infrastructure and hire specialized people mostly designs to develop new products, evidence also reported by Davila, Foster and Li It appears in this case that the family entrepreneur is motivated by the desire for survival and continuity and influence the management of their businesses and raising their sons to grow and prospective their careers in that business environment.
However, the second generation appears to establish a new dynamic to work for the family business, supported by contemporary knowledge of new technologies, organizational learning opportunities and adaptability to experience new managerial experiences. In designing Sciascia and Mazzolathe academic and professional education of family members should be designed in advance and preferably outside the company so they can develop their own relationships to identify and exploit new business opportunities.
It is also observed in case of the analysis results, a close interface with the innovation potential consumer, as evidenced by the Manager 2: It appears in the account, which in an indirect relationship with the consumer family manager's reaction power is proactive, i.
While not the "change" a specific category of this study, it emerged by endogenous and exogenous characteristics of the organizational environment, i. It is understood that organizations that adopt entrepreneurial orientation generate continuous and significant changes in the environment, and in the process to create and innovate is ever-changing and the strategic adjustment becomes a condition of survival. The relationship between business strategy and financial results SPORT Group, it appears that profitability decreased and sales increased in the years under study.
The results empirical are consistent Silveira and Oliveira in the relation of innovation with the growth of the company. The Manager 2 mentions: We are restructuring many processes because we had several weaknesses, communication and efficiency of processes across products, trading markets between and among products and factories.
In an adaptation of the adjustment model, are presented the contingency factors evidenced by the case study object Figure 1.
It is inferred that the analysis of the relationship between strategy and performance based on financial indicators, there are indications adjustments in the organization, as says the Manager 2: Another factor in the need to adjust the organizational structure was indicated in the organizational records and documents consulted. It is inferred that such a decision to preserve jobs in the face of unfavorable market situation, is premised on that investment in intellectual capital can be a competitive advantage differential exploited as a resource.
It was found that the SPORT Group made significant investment in staff training in toaround 40 hours per employee year. This indicator reveals accordance with Sirmon and Hitt that among the attributes that indicate competitive advantage of family businesses and to differentiate them from unfamiliar companies are investing in human capital.
It is understood that strategy to retain talent and functional skills are critical for survival and continuity of family businesses.
It appeared that from the information generated by the managerial control systems, there was the need for the structure adjustments occurring after evaluation of the performance and strategic objectives, leading to operational changes that included the adequacy of internal variables related to structure operational, including the redefinition of people and management positions, including family members, as pointed out in the statements.
It is inferred that the adaptive adjustment Figure 1 is possible because, in business management, engages a family-run model in which the owner-driver is ahead of management as CEO, while the second generation descendants is the continuity of the company and consequently the implementation of the strategies.
The adjustment occurs, however, when there is congruence between managers and their work environment and between managers and their family environment. Rothausen states that the adaptive adjustment in family businesses is possible because: In the case study in question, the complexity of operating procedures brought a robust and expensive because of the strategy to grow and compete in international markets.
Porter states that to do so, companies need to have investment in research, innovation, design and product development. Thus, the management realized it more difficult to manage, so decided from to develop actions to adjust the structure to become more competitive, that is, realized the need for a change concerning the internal structure of the governing body and internal procedures.
The Difference Between Strategic Planning & Organizational Design | bestwebdirectory.info
The "procedures need to be simpler, practical and economical," says the Manager 4. Thus, there are indications of proposition research that fit the business strategy and family business management model positively affect organizational performance.
The results show accordance with Zahra and Amit and VillalongaAndresLindow, Stubner and Wullf and Kowalewski, Talavera and Stetsyukindicating the influence of the family, in particular the direct involvement of the owner-controller and sons, who play a key role in the realization of the strategic fitaiming at the promotion of superior performance.
The results indicate that the contingent interaction of variables strategy, structure, management processes and environment are observed by family management to promote the strategic adjustment. The results show compliance with Cruz and Nordqvist The results indicate that the perception of the competitive environment and the entrepreneurial orientation are correlated differently in family businesses, depending on the generation in charge, and are generally stronger in the second-generation family business.
It is understood that in the case under study, the entrepreneurial orientation and family influence plays an important role for the realization of structural and strategic fit and, in turn, to achieve higher performance. Again, the family-run model allows more flexibility in decisions and hence less bureaucracy, greater flexibility and simplify operations, most informal communication, greater organizational learning. The finding corroborates the above by Covin and Slevinclaim that the interaction between the entrepreneurial orientation and the organic was significantly correlated with the company's performance.
The company adopts a position to consolidate the market through differentiation and innovation of products, suggesting entrepreneurial orientation.
The study was developed as part of a large Brazilian family company with headquarters in the south of the country.
The organization has made changes and internal adjustments, for example: In this sense, there is structural adjustment with family influence to adapt and repositioning of the persons occupying strategic positions in the group. Such objective setting implement the strategies and improve financial performance.
In this case, the CEO and owner-controller aligns family interests ownership and continuity with business objectives, as well as familiar and unfamiliar managers in the execution and control of operational goals and results. While not changing a specific category of this study, it emerged by endogenous and exogenous characteristics of the study environment. Thus, there was greater flexibility in decision-making, flexibility in processes and streamlining operations, the results of which are reported in other studies: Lindow, Stubner and Wulf ; Kellermans et al.
In this case of analysis, the contingent adjustment represented a structural change of the decision-making process, restructuring departments and sectors, repositioning managers and brand and reducing operating costs, denoting more conservative attitude. It is understood that the involvement and influence of family on the property and management are relevant factors that determines the degree of centralization of decision making in the company.
The findings of this research contributes to company literature familiar to demonstrate involvement and influence of family first and second generation to adapt to the competitive environment, through the strategy of differentiation and product innovation, mainly in business processes and environment aspects little evidenced by previous studies PADILLA; DIEGUEZ; MORENO, In addition, the preparation of the next generation about academic issues, new markets and experience in other non-family business has proved as a strategic imperative for continuity and perpetuation of the family business.
The research design strategies impose limitations to the results, which may be the subject of further investigations. The family involvement in management, it is suggested to use other models with the addition of dimension culture, essential for the assessment of family interaction and business. The construct of categorical assigned in this research can be applied to other organizations and will help increase the validity of the observed results. The findings in other studies may contribute to the theoretical generalization and complement the theoretical development strategy and performance in family firms.
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The Difference Between Strategic Planning & Organizational Design
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