User:Kimberlyanaisvegaboada/StrategicFlexibilty

Strategic Flexibility

Definition

Strategic Flexibility is the capacity that an organization has in order to identify every change in the external environment and adapting to the new courses of actions or to stop them if it is needed. It is the quickly response and handling of unexpected issues within the organization. Strategic Flexibility is used also to denote abilities to respond to several demands of dynamic competitive environments. A third definition for Strategic Flexibility is an effective reaction to changes.

Flexibility

Flexibility in the measure that the companies have whille adapting to new changes, it is also the reallocation of resources within companies and the way to thrive into the Marketplace in order to obtain profit and take the best decisions to succeed.

Aspects

There are some aspects that need to be considered in the strategic flexibility.

The Ivy Business Journal shows three components to have a successful strategy that are the following:

• A unique position.
• A defensible position.
• A clear customer need in market.

Graphic

Aspects of strategic flexibility

Components

Having component within an Strategy makes it more flexible, they are useful to satisfy the needs of the customer.

Graphic

Three components of Strategic Flexibility

Capabilities

The strategic flexibilities are based in three capabilities that help to achieve the objectives within a company which are the following:

1. Maintaining attention of the customer.
2. Completing an assessment.
3. Taking action.

Barriers

Definition

Are obstructions in the implementations of strategy flexibility that can involve managers, employeers, employees, supervisors, and external factors, which result can end with fails for the company.

Solution

For maintaining the attention of the customer, the need of an organization is to be sensitive in order to have a feedback from the market. This sensitivity also requires organizations to respond to feedback in a timely fashion. Without this, any project could lose its potential value. Managers sometimes avoid signs of strategic flexibility fails.

Appliance

Facilities

It refers to the buildings, equipment, and services provided for aparticular purpose.

Definition.

Strategic Flexibility are useful to take decisions within the company, there are some factors that Jeffrey Zweig and Jim Hatch stablished to make this process easier (2001) that are the following

Use more than one single concept.

With more concepts, the companies are able to grow in their business and increase their competitiveness. It is important that the willing to shift focus exist.

Scan the competitive environment regularly.

If a company is always aware of the competitors, there are more chances to catch new opportunities and seize it.

Maintain contact with customers.

Staying close to the customers allows the company to accept suggestions from them and gives the company and advantage among the competitors.

Communicate with the employees.

The communication with the employees should be daily to involve them in the whole process of the business within the company. The communication enhance and innovates the work of the employees.

Maintain low overheads.

If the overheads are low, the chance to invest in other sector of the company grows, also if the company keeps variable costs have a bigger chance to adopt new strategies

Limited Systems.

Limited systems limit the strategic flexibility. With a consistent growth, employees pay less attention to the process and more in the competitiveness. 

Excessive amount of Decision-makers

It is needed to have just the necessary number of decision-makers, because an excessive number take longer to choose and it’s more complicated to reach an agreement. The decision-makers should have expertise