Objectives of knowledge management

Strategy process 
model
A framework for 
approaching strategy 
development.
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Part 2
Strategy and applications
Figure 5.4
A generic strategy process model
1
Strategic analysi
s
External
environment
Internal
resources
Monitoring, evaluation and r
esponse
2
Strategic objectives
• Vision
• Mission
• Objectives
3
Strategic definition
Option
generation
Option
selection
Option
evaluation
4
Strategic implementation
Planning
Control
Execution
Table 5.1
Continued
Jelassi and Enders (2008) 
Digital business strategy 
framework
Johnson and Scholes
(2006) Parallel corporate 
strategy model
McDonald (1999) 
Sequential marketing 
strategy model
Smith (1999) 
SOSTAC
®
 Sequential 
marketing strategy 
model (see Chapter 8)
Strategy implementation 
including internal organisation, 
interaction with suppliers and 
users or customers
Resource allocation and 
monitoring (budget,
first‑ year implementation 
plan)
Tactics
Actions
Control
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Chapter 5
Digital business strategy
Prescriptive strategy
Strategic analysis, 
strategic development 
and strategy 
implementation are linked 
together sequentially.
Emergent strategy
Strategic analysis, 
strategic development 
and strategy 
implementation are 
interrelated and are 
developed together.
Table 5.2
Summary of approaches used to support emergent strategy
Aspect of emergent strategy
Approaches used to support emergent digital strategy
Strategic analysis
• Staff in different parts of organisation encouraged to monitor introduction of new 
approaches by competitors in‑sector or out‑of‑sector
• Third- party benchmarking service reporting monthly or quarterly on new functionality 
introduced by competitors
• 
Ad hoc
customer panel used to suggest or review new ideas for site features
• Quarterly longitudinal testing of usability to complete key tasks
• Subscription to audience panel data (comScore, Netratings, Hitwise) reviews changes 
in popularity of online services
Common elements include:
1 
Internal and external environment scanning or analysis is needed. Scanning occurs both 
during strategy development and as a continuous process in order to respond to competi-
tors. Digital business requires a more continuous review of opportunities and threats as 
new digital platforms are created and adopted by businesses and consumers.
2 
A clear statement of vision and objectives is required. Clarity is required to communi-
cate the strategic intention to both employees and the marketplace since digital business 
requires a major long- term transformation. Objectives are also vital to act as a check as to 
whether implementation of strategy is on track.
3 
Strategy development can be broken down into strategy option generation, evaluation and 
selection.
4 
After strategy development, enactment of the strategy occurs as strategy implementation.
5 
Control is required to monitor operational and strategy effectiveness problems and adjust 
the operations or strategy accordingly. With digital business, optimisation is possible 
using digital analytics (as described in Chapter 12). This includes tracking of audience 
behaviour using desktop and mobile services and qualitative feedback via social media. 
Harnessing this insight is useful to refine the implementation, for example to gain ideas of 
how to increase conversion rate to sale for e-commerce services.
Although the models suggest that these elements, are generally sequential, in reality they are 
iterative and require reference back to previous stages.
Jelassi and Enders (2008) suggest that there are three key dimensions for defining an 
e-commerce strategy:
1 
Where will the organisation compete? (That is, which markets within the external 
micro- environment.)
2 
What type of value will it create? (Strategy options to generate value through increased 
revenue or reduced costs.)
3 
How should the organisation be designed to deliver value? (Includes internal structure and 
resources and interfaces with external companies as discussed in Chapter 10.)
The arrows in Figure 5.4 highlight an important distinction in the way in which strategy process 
models are applied. Referring to the work of Mintzberg and Quinn (1991), Lynch (2000) distin-
guishes between prescriptive and emergent strategy approaches. In the