Coverage and the central idea
Strategy implementation translates a broad direction into daily action and learns from the results. The four steps are to develop operational goals, develop operational plans, implement and monitor them, and learn from strategy in action. Formulating strategy asks what to pursue; implementing it asks how people and resources will accomplish it. Both influence one another over time.
Learning goals include applying SMART and SMART 2.0, the five-part operational planning checklist, standing and contingency plans, the four goal/plan outcomes, strategic learning, and stakeholder maps. A complete answer distinguishes goals from actions and distinguishes following a plan from actually accomplishing its intended result. The chapter compares FBL, TBL and SET at each stage.
9.0 · Velo Renovation: values carried into operations
Nathaniel De Avila created Velo Renovation with ecological renovation practices and meaningful work, including opportunities for people facing employment barriers. The chapter describes cycling to jobs, reusing materials, environmentally preferable purchases, on-the-job training, shared financial information, and worker choice about hours and pay. These practices show how mission can shape operational decisions rather than remain only a statement.
Velo's goal of transferring leadership did not happen on its original timetable. Managers learned that co-workers preferred existing roles and revised recruitment. Economic changes also prompted adaptations in how people were paid. The case illustrates both minimizer and transformer elements, and the need to treat implementation as a revisable experiment. A values-based strategy still faces financial uncertainty and requires ongoing learning; the case is not proof that every unusual practice will succeed elsewhere.
9.2 · Step 1: develop operational goals
Operational goals describe outcomes for a department, workgroup or individual. They typically have a horizon of one year or less and support strategic goals of roughly one to five years, which express longer-term vision. Goals may also be called commitments or standards. A performance standard is a metric for assessing how well work is done. People generally focus on a manageable set of goals; excessive priorities undermine attention.
The chapter uses these exact versions of the two SMART frameworks:
Letter | SMART | SMART 2.0 |
|---|---|---|
S | Specific: precise accomplishment | Significant: challenging and engaging |
M | Measurable: objectively assessable | Meaningful: purpose beyond productivity |
A | Achievable: challenging but within reach | Agreed-upon: members help develop goals |
R | Results-Based: outcomes rather than activities | Relevant: important to mission and varied stakeholders |
T | Time-Specific: a completion deadline | Timely: appropriate for the situation and wider needs |
For this course source, Results-Based is the R in SMART. Do not substitute the frequently encountered Relevant expansion when the question asks for this textbook's version. Achievable does not mean effortless; goals should stretch performance without becoming so unattainable that people disengage. A result such as completed hires is more assessable than simply performing recruitment activities.
SMART aligns with FBL's emphasis on productivity and financial performance. TBL often uses it, adopting SMART 2.0 where doing so improves financial well-being. SET places greater emphasis on SMART 2.0 because purpose, participation and stakeholder relevance matter beyond the measurable financial outcome. SMART 2.0 does not prohibit measurement or achievement; it widens what counts as a worthwhile goal.
Goal displacement occurs when narrow goals draw attention away from more important purposes. An output target might encourage sacrificing quality, dignity or long-term maintenance. Managers should make priorities clear and monitor effects that are difficult to count, such as helping co-workers. A measurable target is a useful aid, not a complete description of all valuable work.
9.3 · Step 2: develop operational plans
An operational plan specifies the activities to achieve a goal, timing within constraints, and acquisition of required resources. Dependencies matter: one action may have to occur before another. Milestones identify what must be accomplished by particular dates. The five-item checklist is:
Describe the steps and actions required for the goal.
Identify constraints and factors that could hinder implementation.
Identify necessary material, financial, time and other resources.
Ensure the resources are available, obtaining those not already held.
Determine action order, timing and milestones.
The ice-cream example distinguishes recipe trials, customer tests, naming, bulk standardization, ingredient sourcing and production. A goal is the desired result; a list of activities explains the route toward it. A plan can be technically sensible yet fail because a needed resource or prerequisite was overlooked.
Standing plans guide recurring activities. A standard operating procedure specifies a sequence for a routine task; a policy offers guidelines for decisions and action; rules and regulations prescribe behavior that is permitted or required. These support programmed decisions. They should still be reviewed when circumstances or purposes change. Clear routines can protect quality and reliability without answering every novel issue.
Contingency plans prepare responses to possible future disruptions. Crises significantly affect members' ability to perform daily work. Three responses limit their impact: prevention, preparation and containment. Prevention reduces the chance or harm, such as improving trust before a labor conflict. Preparation collects information and assigns responsibilities, communications and a management location. Containment uses timely responses to reduce damage, inform affected parties and meet safety and emotional needs. A contingency response should be planned before the disruption rather than invented only when it arrives.
FBL usually plans more centrally around financial outcomes. TBL involves more people and issues where these enhance returns. SET favors broader participation, attention to externalities, and flexible, emergent plans that acknowledge complex stakeholder needs. Flexibility does not mean having no resources, goals or responsibilities; it means adapting them responsibly as evidence develops.
9.4 · Step 3: implement and monitor
Monitor two separate questions: was the plan followed, and was the goal achieved? Four combinations are possible:
Plan followed? | Goal achieved? | Textbook outcome | What to investigate |
|---|---|---|---|
Yes | Yes | Planned success | Maintain effective routines and consider next goals |
No | Yes | Accidental success | Which unplanned actions or events created success? |
Yes | No | Planning failure | Was the goal feasible and was the plan sound? |
No | No | Bungled attempt | Improve goals, planning, competence or implementation |
Success does not prove the plan caused it. A favorable external event can create accidental success; a disaster can derail a well-executed plan. Likewise, following instructions is not sufficient evidence of effective strategy. Investigate causes rather than rewarding only the outcome or punishing every deviation without understanding it.
Treat goals and plans as living documents. Revisit them periodically, considering contingencies, unexpected events, stakeholder input and possible goal displacement. Standing procedures especially benefit from planned success and predictability; novel initiatives often need greater learning and revision. Monitoring connects directly to the final step rather than functioning only as a compliance audit.
9.5 · Step 4: strategic learning
Strategic learning uses insights from actual strategy to improve intended strategy. The chapter contrasts two interpretations of Honda's US motorcycle entry. The content-school account emphasizes an analytical plan, an attractive market and a cost advantage. Managers' firsthand accounts emphasize difficulties with larger motorcycles and an unexpected opportunity for smaller bikes, leading to a new audience and approach. The learning point is to recognize an emerging pattern rather than impose a neat success story after the event.
The content school emphasizes rational analysis, top-down direction and a relatively linear formulation process. The process school emphasizes iterative learning, everyday action and management as an art or craft. Both can contribute to all three management approaches. FBL tends toward deliberate top-down emphasis; SET is more receptive to emergent bottom-up learning and external stakeholder input; TBL may balance the two. These are tendencies, not rigid categories.
Strategy term | Meaning |
|---|---|
Intended | What managers plan to do |
Deliberate | The intended parts actually implemented |
Unimplemented | Intended parts that do not get put into practice |
Emergent | Unanticipated actions that become part of the strategy |
Actual | What is carried out: deliberate plus emergent elements |
Emergent does not mean accidental success in every case; it describes an unplanned pattern of action. Unimplemented does not mean everything intended failed; some intended parts may succeed while others are dropped. These distinctions let managers compare plans with reality precisely.
Strategic learning requires three inquiries. First, why were some intended elements not implemented? Second, which emergent actions produced positive results? Third, what do these findings imply for the next intended strategy, including assumptions in the original SWOT? Listening to frontline members and external stakeholders can reveal evidence invisible at the top. Managers need to reconsider worldviews as well as change individual tasks. Deliberate direction and emergent discovery can work together.
9.6 · Entrepreneurs and dynamic stakeholder maps
A stakeholder map describes the venture's resources, important relationships and industry forces. It supports formulation, implementation and reformulation. Stakeholders contribute resources or are affected by operations. Bidirectional arrows show that stakeholders influence the venture and the venture influences them. FBL tends to view this as a power contest; SET emphasizes mutually beneficial collaboration.
Begin with mission and vision, the value proposition, organizational resources and internal stakeholders. A value proposition explains what benefits are offered to customers or other participants. Physical, human and intangible resources determine what the venture can do. Founders should discuss personal aims and how disagreements will be resolved. Key staff may hold indispensable skills, making training, succession and contingency plans important.
Map suppliers, rivals, customers and other affected stakeholders. Suppliers provide inputs, including financing; start-ups may face distrust, small order quantities and limited bargaining power. Reputation and a sound plan can help, while gaps may require producing an input internally. FBL seeks attractive prices; TBL seeks suppliers that support profitable responsibility; SET can also value relationships throughout the supply chain.
Rivals constrain product and price decisions but can become collaborators. Substitutes may reveal new offerings or channels. Customers provide revenue and shape demand; surveys, trials and ongoing dialogue reveal their needs. SET can invite co-design and educate customers about social/ecological effects, accepting appropriate limits on profit. Other stakeholders include families, communities, the ecological environment and NGOs. NGOs can contribute expertise and credibility, but the map should recognize effects beyond direct transactions.
The chapter's pizza example shows map dynamics: a missing yeast supplier can prompt sourdough, frozen pizzas can provide a new channel, meal cards can respond to cafeteria competition, and a children's menu can follow unexpected family customers. Social and ecological commitments can lead to local sourcing, composting and employment partnerships. The map is a revisable network of relationships, not just a static list of names.
Constructed teaching case and worked answer
A student cooperative aims to provide 60 repaired laptops by the end of the term. It plans weekly repair clinics, tool purchases and technician training. Only 40 units are repaired, even though every clinic and training session happens as scheduled. What outcome occurred, and what should be learned?
Worked answer: the plan was followed but the goal was not met, so this is planning failure. Check whether the target was realistic, enough repairable devices and parts were available, and the workflow matched actual defects. The activities are not themselves proof the goal was achieved. Revise resource assumptions, the plan or the goal using evidence and stakeholder input. This original teaching case differs from the source's cases and is not an official examination problem.
Quick recall with answers
Which SMART element emphasizes outcomes? Results-Based.
Which SMART 2.0 element emphasizes participation? Agreed-upon.
Goal met without following the plan? Accidental success.
Intended ideas not implemented? Unimplemented strategy.
Actual strategy consists of what? Deliberate and emergent elements.
Why use bidirectional arrows? Both the venture and its stakeholders influence each other.
Sources and attribution
Read the source chapter. Adapted study material from Bruno Dyck, Arran Caza, Patrick Adriel H. Aure, James Leaman, Joel Marcus, Shieradel Jimenez, and Anne Kato (2026), Management: Financial, Social, and Ecological Well-Being, 2nd edition, Sapajo Publishing and University of Manitoba Chiu Centre for Business Serving Community. Original: https://pressbooks.openedmb.ca/management/. Licensed CC BY-SA 4.0: https://creativecommons.org/licenses/by-sa/4.0/. This reviewer paraphrases and organizes the chapter; practice cases and questions are original study exercises. This adaptation is shared under CC BY-SA 4.0. It is not an official or predicted course exam.