Alignment in Strategy Cascading: A Case Study across Manufacturing Firms

Otto Beisheim School of Management Working Paper 2013-PROD-2

38 Pages Posted: 2 Feb 2013

See all articles by Maik Schlickel

Maik Schlickel

WHU - Otto Beisheim School of Management

Arnd Huchzermeier

WHU - Otto Beisheim School of Management

Christoph H. Loch

INSEAD - Technology and Operations Management

Fabian J. Sting

Erasmus University - Rotterdam School of Management

Date Written: January 21, 2013

Abstract

This study examines the operational (improvement) benefits of strategy cascading — as well as the effects of leadership style — as embedded in the organizational context of portfolio complexity. We use multiple comparative case studies (based on nine manufacturing sites of a global automotive supplier) to analyze strategy cascading, for which theory has so far failed to established measurable constructs. We complement the case studies with archival data for performance measurement and with questionnaires to assess leadership styles, where established measurable constructs do exist. We find three clusters of sites in which improvement performance, strategy cascading quality, and certain leadership styles tend to go together. Thus, our results suggest that operations strategy execution may have the characteristics of a “package” whereby strategy cascading benefits accrue only if cascading is (i) accompanied by certain leadership styles and (ii) supported by an effort to influence the organizational context (specifically, the product portfolio).

Keywords: strategy cascading, alignment, company context, leadership style, improvement performance

Suggested Citation

Schlickel, Maik and Huchzermeier, Arnd and Loch, Christoph H. and Sting, Fabian J., Alignment in Strategy Cascading: A Case Study across Manufacturing Firms (January 21, 2013). Otto Beisheim School of Management Working Paper 2013-PROD-2. Available at SSRN: https://ssrn.com/abstract=2208986 or http://dx.doi.org/10.2139/ssrn.2208986

Maik Schlickel (Contact Author)

WHU - Otto Beisheim School of Management ( email )

Burgplatz 2
Vallendar, 56179
Germany

Arnd Huchzermeier

WHU - Otto Beisheim School of Management ( email )

Burgplatz 2
Vallendar, 56179
Germany
+49-261-6509380 (Phone)
+49-261-6509389 (Fax)

HOME PAGE: http://www.whu.edu/prod

Christoph H. Loch

INSEAD - Technology and Operations Management ( email )

Boulevard de Constance
77305 Fontainebleau
France
+33 1 6072 4477 (Phone)
+33 1 6074 6716 (Fax)

HOME PAGE: www.insead.edu/~loch/fullcv.htm

Fabian J. Sting

Erasmus University - Rotterdam School of Management ( email )

Erasmus University
PO Box 1738
3000 DR Rotterdam, Zuid-Holland
Netherlands

HOME PAGE: http://www.rsm.nl/fsting

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