In this week’s reading material, we are given a look inside of what business are doing in todays economy to stay both competitive and relevant to the paying customer. As we all know our economy is moving at a fast with technology constantly advancing each year companies both manufacturing and service. They both have to be able to adapt and improve their current process in place to have a competitive advantage in current markets.
1) What is the definition that the authors use for the concept of strategic ambidexterity?
Both judge and blocker defined strategic ambidexterity as “a firm’s ability to combine exploration and exploitation strategies across product, market, and resource domains”. In the line of business, it means that organization are able to multitask and work on exploring and improving current business strategies that increase profitability and productivity. The author describes strategic ambidexterity as we ability of an organization to simultaneously explore and effectively pursue New Market opportunities while efficiently exploiting existing markets. The concept of strategic ambidexterity is meant to facilitate better understanding and application of achieving a balance between both market exploitive and exploratory strategies.
2) What do the authors have to say about organizational capabilities and exploitive strategies?
An exploitive strategy is the effective customer satisfaction achieved through and accurate identification of the needs of the customer and creating value through substituting these needs within a product or service. For this to be achieved effectively the organization has to have a framework of processes within the organization which provides accurate data on market intelligence with comprehensive analysis facilitating rational decision making. Another important facet is quality customer service through implementation of customer requirements within the product to ensure value within the product along with a network assign to providing efficient customer service for addressable of complaints and names which ensure customer retention and repetition by forging strong relationships with customers. It is essential that the focus not be on serving the present customer base only but utilize all market intelligence for innovation and expansion. Exploit a strategy is meant for superior value delivery along with availing significant advantage over the competition.
3) What do the authors have to say about organizational capabilities and exploratory strategies?
exploratory strategies involve creation of value through innovation which requires experimentation and taking rest why identification of new opportunities, which may exist within the current market in new market as identified by market intelligence. Exploratory strategies require an organization to be flexible and dynamic bye maintaining linkages with existing customers sufficient to avoid distance tricks on the periphery of the market but identifying and seizing all available opportunities. Most farms are unable to successfully implement exploratory strategy as a major disadvantage exist in the inability of organizations for effective financial appropriation of the value created through innovation as claims by competitors through imitation and customer migration make it difficult to realize adequate profit from the value created. Over emphasis in the technology aspect and creation of value may not allow sufficient implementation of customer feedback into product or service modification to ensure continued benefit.
4) What do the authors have to say about organizational capabilities and strategic ambidexterity strategies?
Organizational capabilities and strategic ambidextrous in the author’s opinion, is defined by the capacity of the organization to adapt to change. Authors over the years have described organizational capability as its ability to successfully balance both exploitive as well as exploratory strategies effectively and successfully. This results in achievement of strategic ambidexterity through successful management and implementation of organizational change through optimal productivity without compromise on quality along with adequate flexibility in innovation and Exploration of available opportunities. Therefore, organizational capacity for change can determine the ability of an organization to achieve strategic ambidexterity.