7.3. How to Control Strategy Implementation
In order to attain successful strategy implementation, it is necessary to introduce systematic assessment (control) for strategy implementation. In reality, SMEs usually neglect to systematically and regularly control strategy implementation. In most cases, strategy implementation is only taken into consideration when it has become apparent that the strategy is not succeeding (Červený et al., 2013).
It is then clear that even SMEs can benefit from implementing and systematically working with a reporting system (even if it is a very simple one), which allows for the company to monitor the implementation of its strategic objectives. When setting up a reporting system, it is necessary to consider which objectives should be monitored in the report in terms of managing the company, processing costs, as well as the frequency of report processing. While monitoring the implementation of sales objectives can be carried out on a weekly or in some cases daily basis, monitoring profit or turnover development in a relatively stable company that is not experiencing any severe complications, on the other hand, does not require close monitoring and is often carried out via quarterly or bi-annual reports.
It is also necessary to determine who will be responsible for creating reports and how they will be created. In SMEs, manual report processing may be sufficient, e.g. Excel spreadsheets using readily available data, or investing into SW (financial and book-keeping SW, CRM systems, private information systems etc.), through which reports can be generated.
It is important to define processes and actively work with reports, incl. assessing the fulfillment of objectives, identifying the causes of potential problems and problem-solving. Problems can be identified in the strategy itself – primarily in the case of newly implemented strategies, as there is a high chance that some mistakes were made in the early stages of the implementation process, requiring certain adjustments to be made. Problems can also be identified by assessing the way the strategy is implemented in the company’s daily operations.
