Achievement of successful differentiation strategy

A corporation must consider several factors in order to implement an effective differentiation strategy.

One of these is research. The type of market category into which the company intends to introduce its products and services determines differentiation (Brown, 2017). As a result, marketing research approaches such as surveys, questionnaires, and focus groups should be utilized to set limitations and exact product differentiating features that buyers will find worth paying for due to the high price associated with it.

Differentiation is chosen. A company’s distinctiveness must be based on specific traits that its competition does not have. It can also do so by evaluating those elements of production such as processes and unique materials used (Brown, 2017). To be successful, a company should choose a type differentiation that can target its market desires, financial capabilities and its ability to improve the products on these proportions.

Buyer purchasing criteria. A company should understand its customer’s perception of value by creating standards that will assist it to be successful in the differentiation strategy. Such measures include use and signaling.

Uphold customer performance. By raising the buyer’s performance, a company needs to formulate products that go beyond expectations and satisfaction of customers. Hence, will lead to success in differentiation strategy.

Product features. Customers will always look for those products that solve their problems faster and a minimum cost. Such products are worth paying for (Brown, 2017). Therefore, brand managers should concentrate their efforts in determining what the cost and benefit analysis ratio is before embarking on putting additional features on products to enhance differentiation.

Question two

Enterprise resource planning is a term used n organizational setup, and it encompasses a set of activities that help a business to carry out its operations in an organized manner. It is a process used by organization managers to integrate important functions that it runs (BrandUniq, 2017). In other words, enterprise resource planning is most of the time referred to as a software system which connects firm’s activities such as human resource management, sales, and marketing, purchasing and planning.

The system functions as a central control point for the organization by storing information in databases that can be accessed by workers in different departments when the need arises. It also synchronizes and automates reports and links diverse technologies used by every department, eliminating replica and unsuitable technology that is expensive to the corporation.

Enterprise resource planning affects feedback and control in organizational strategy in such a way that it allows for a fast completion of tasks which leads to positive feedback, and the organization can monitor its activities with ease (BrandUniq, 2017). Moreso, it breaks down communication barriers present among departments hence, allowing each subsection to work as a whole organization using enterprise resource planning language. Also, a company can reduce costs of resources used and data management practices.

Question three.

Control measures can differ from one organization to another. One firm can use an objective measure which is independent and verified, and another company may use a subjective measure that does not entail independence and verification. Also, one can decide to embark on a financial measure that is formulated directly through the organization’s books of account, profit and loss statement as well as the balance sheet (Business Performance Measurement, 2017). On the other hand, a different company can use non-financial control process that is not there in books of accounts such as customer satisfaction score and product quality measures.

Nevertheless, the various organizations can use leading or lagging measures. A lagging control process provides feedback on past performance of the organization and does not predict the future occurrence while a primary control process measures future performances especially the future financial performance based on customers defection rates, satisfaction scores and changes in their preferences.

Organizations can also use control procedures and metrics like complete or incomplete. Whereby complete measures take into account all relevant attributes of good performance, incomplete measures does not (Business Performance Measurement, 2017). Also, other measures are responsive and nonresponsive, critical and non-critical and also tangible and intangible. About such control processes and metrics, organizations use the type that helps them sort out management issues efficiently.

A pyramid organization can use either lagged or leading control process because the manager is responsible for making all decisions that may affect the organization in one way or the other. A matrix organization can suitably use financial metrics since its primary aim is to maximize benefits of functional and decentralized organizational structures.

Question four.

If metrics and measurements are well planned and examined on a continuous basis, they can result in useful tools that management can use to translate a strategic plan into action and help in decision making that leads to the attainment of organizational goals.

Metrics drive control and feedback loop. After the required state of the process is determined through analytics, it has to be articulated in the form of a metrics given that metrics are the numbers measured all the time (Klubeck,2015:90). Hence metrics measure the appropriateness of a process by forming the basis of control in an organization.

They make the process objective. Metrics help convert undetailed organization strategy requirements into a series of numbers that can be used to precisely enhance the efficiency of the process. Metrics and measurements assist in deciding whether a process is safe enough to meet the organizational strategic requirements or some improvements should be made (Klubeck,2015: 95).

There is an improvement of goals. For the development of goals to be effective, it is of importance that they are measured using numbers. Therefore metrics play a vital role in transforming both the strategy requirements and operational performance to figures that can be compared. Hence, management can empirically determine whether the strategic plans are being met or not.

If a company decides not put metrics and measurements into its strategic plan, it will be faced with failure such as the inability to allocate resources appropriately towards affecting the objectives of the plan (Klubeck,2015:105). Wrong frameworks can be adopted which can not help to identify performance areas resulting in a company’s financial outcomes.

Question five.

Globalization has affected measurement process in an organization strategy some ways. The effect on the management and strategic planning regarding the movement of workers across borders rapidly change the performance measures. For organizations with capacity and elasticity to include new vision, the benefits may include the use of new measurement processes (Successful Globalization,2017). Therefore, organizations need to interact with others so as to have a strategic advantage in embrace diversified measures and move to form combined enterprises within and outside their boundaries and refine their organizational strategy.

Globalization deals mainly with the integration of various measurement process, and facilitate the smooth implementation of corporate strategy such that competitive advantage of the business to a global market is enhanced by the operations measurement processes of the global trade (Successful Globalization,2017). The strategy of the organization adapts the new processes, like monitoring within the global setting.

By its very nature, globalization promotes interdependence and incorporation between regulatory measuring process. Its significance for the strategic planning concerns the requirements of the organizational leadership, important stakeholders on effectively, and efficiently scanning of both internal and external environments for the success of strategic planning.

MacDonalds is an example of a company that changed its measurement processes due to globalization. It did so by determining what will work in a country and what will not work (Successful Globalization, 2017). They showed remarkable flexibility to their local food production processes. For instance, it managed to produce a vegetarian big Mac in some states of India.

Question six.

Social value organizations have traits such as; they are connected with many individuals. Therefore it is through the efforts of the people that the activities of the organizations are enhanced. They have aims and objectives that guide activities resulting in social relations and human interactions.

There are order and pattern amid various integral entities. Such units do not just come together, but they are guided by arrangements, patterns, and order (Firth, 2016: pp31). Functional relations link the fundamental units forming a whole organization. Also, social value organizations include physical or environmental aspects which mean they are located in a given geological place. They are joined with cultural systems that are as a result of the organizational members who hail from different cultural and religious backgrounds.

They are made up of individuals with both implied and expressed aims. Such people are motivated with by their goals and objectives when performing their functions in the organizations. They can adjust to various changes as they are dynamic in nature(Firth, 2016: pp34). This feature is attributed to the constant changes in human needs, historical conditions as well as the environment.

Social value organizations differ from other organizations in that they have strategies to generate revenue from commercial activity in as much as their primary objective is social goal attainment, for example, trading goods and services and contracting for services. They depend on grants, donations, and endowments (Firth, 2016: pp35).Thus, social value organizations might rely on a combination of unearned income and commercial revenue to achieve their objectives, unlike other agencies that depend entirely on commercial activities to generate income.

Ther do not operate with the aim of making a profit but to create positive social and environmental externalities. Any surplus of revenue is redirected back I the system so as to improve social lives of the communities (Edwards, 2008: pp36). But other organizations use the surplus to maximize profits for owners and shareholders. Unlike other organizations, social value organizations integrate socially excluded and disadvantaged individuals into the workforce. Thy include in them division of labor, structure, unity and flow of communications among members.

They also deal with activities that aim at satisfying the need of social classes at large by providing those services that other organizations can not offer because they are not profit oriented. Moreover, they are revolutionaries and reformers with a social mission. They have bold visions that aim at attacking the underlying cause of problems (Edwards, 2008: pp40). They work by minimizing needs instead of fully meeting them. Nonetheless, they stimulate changes and improvements and have the ability to effect global changes, unlike other organizations.

References

BrandUniq. (2017). Strategic Marketing Ideas from BrandUNIQ. Retrieved 23 May 2017, from http://branduniq.com/2011/differentiation-strategy-how-to-gain-com

Brown, P. (2017). Differentiation and its role in Competitive Advantage. Retrieved 23 May 2017, from http://culttt.com/2013/05/22/differentiation-and-its-role-in-competitive-advantage

Business Performance Measurement. (2017). Kellen.net. Retrieved 24 May 2017, from http://www.kellen.net/bpm.htm

Edwards, J. (2008). Hybrid Organizations (1st ed., pp. 36-40). Miami, Fla: Atlantic International University.

Firth, R. (2016). The Elements of Social Organization (1st ed., pp. 31-36). [S.l.]: Forgotten Books.

How to Create Strategic Planning To Drive Strategy. (2017). Pacific Crest Group. Retrieved 24 May 2017, from http://www.pcg-services.com/how-to-create-metrics-for-strategic-objectives.

Klubeck, M. (2015). Planning and designing effective metrics.pp 90-105: New York: Apress.

Prasad, K. (2015). Strategic management: Prentice-Hall Of India

Successful Globalization: If McDonald’s Can Do It, Any Company Can! |. (2017). Beyondphilosophy.com. Retrieved 24 May 2017, from https://beyondphilosophy.com/successful-globalization-mcdonalds-can-company-can