7.4. Linking Performance to Strategy: An Example
Baldwin Drug Stores, Inc. (a fictional company), is a retail pharmacy and sundries chain. To succeed in its highly competitive industry, Baldwin's executives realize that they need to establish a strategy that clearly guides day-to-day performance. They use the eleven questions to be sure that all of the bases are covered. We can summarize the results of top management's strategy formulation decisions:
They establish a list of value statements. Among them are:
Baldwin will sell only the highest-quality products.
Baldwin employees will go the extra mile to provide service that meets or exceeds customers' expectations.
Because employees are the best source of ideas, the business will be run in a participative, ...