PTMBA2026 Strategy Execution

Participation Prerequisites

None

Course Content

Strategy execution matters. In a lot of cases, it is the critical bottleneck to successful strategic management. However, there is no magic formula, and “one size fits all” techniques are rarely adequate solutions. Tough, uncomfortable choices need to be made. Therefore, this class discusses the key challenges in strategy execution by asking the seven questions stated below. Additionally, management control systems associated with each of the questions will be presented.

Part One: Build a strong foundation for strategy execution:
1. Allocation resources to customer: Who is your primary customer?
2. Prioritizing core values: How do your core values help to execute strategy?

Part Two: Focus everyone's attention on your strategic agenda:
3. Creating accountability: How do you manage performance?
4. Strategic boundaries:What strategic boundaries have you set?

Part Three: Facilitate the behaviors needed for success:
5. Spurring effort and innovation: How do you generate creative tension?
6. Building commitment: How do you foster collaborative behavior?

Part Four: Develop your company's ability to master future change:
7. Adapting to change: What strategic uncertainties keep you awake at night?

The class will cover aspects of capital budgeting, belief and boundary systems, diagnostic control systems such as the Balanced Scorecard and performance measurement, accountability issues, interactive control systems, stretch goals, performance rankings, cost allocation and compensation issues.

Intended Learning Outcomes and Competencies

Upon completing this course, students will have learned to critically evaluate and address the key challenges in strategy execution, such as resource allocation, performance management, and risk management.

Instruction Type

Presence

Form of Examination

30% Group case assignments

30% of your evaluation will be based upon your written solutions to the Volkswagen, Henkel, and Hydro One cases. Each case carries an equal weight of 10%. The Citibank and Sydney IVF cases will not be graded.

70% Final written exam (closed book)

The course does not want you to focus on learning facts by heart, but to reflect and critically think about the concepts of this class and their execution in a corporate context.

Literature

The course primarily draws on the following two books which are available in the library of WHU.

• Simons, R. (1995): Levers of control: How managers use innovative control systems to drive strategic renewal. Boston: Harvard Business School Press.
• Simons, R. (2005): Levers of organizational design: How managers use accountability systems for greater performance and commitment. Boston: Harvard Business School Press.

The relevant chapters  and additional (optional) readings will be announced in class, and the copies will be distributed electronically or can be found in the library of WHU. These are updated from time to time.