Reference no: EM131234999

Learning Activity # 2 You are hired as a strategy consultant and given the strategic decision case below, for you to know the current strategic decision making process at your client company. The CEO wants to enhance behavioral control in the strategic decision making process at the senior management level. Your assignment is to identify two or three organizational strategic habits to be formed among senior managers making strategic decisions at the company. These strategic habits are expected to enhance the strategic decision making process in quality, speed, and flexibility. Which strategic habits will you recommend need to be formed among senior managers making strategic decisions? Please, describe your proposed strategic habits in detail. Grove drove strategy-making when he was CEO of Intel Corporation. His intended strategy was to make videoconferencing an integral capability of the PC. Hence, he favored a frontal assault on the entire PC market segment and assigned Patrick Gelsinger to lead a project named ProShare, but continued to be deeply involved in the venture. A manager’s view is indicative: “There wasn’t a debate about it, there wasn’t even a discussion. Grove had already trained managers that periodically he gets all these flashes of an idea." Grove’s support to the ProShare meant authorization of funding of its development –– Intel spent about $750 million on the venture –– and shielding the venture from the strong selection pressures of the structural context, e.g., Intel’s rigorous financial reviews. Grove’s support to ProShare reduced the degrees of freedom of the executives in charge of the new business development effort. Technical and need-linking efforts were limited in their effectiveness, discipline-instilling product-championing efforts were not required to secure resources internally, and the effectiveness of strategic forcing efforts to secure a fast-growing beachhead in the market was limited. Finally, as a consequence of the early and sustained support from the CEO, the opportunity costs associated with ProShare were not considered until 1996, when the decision to scale the venture down was taken.