Step #3: Development of implementation-support policies and programs
Some call them “strategy-encouraging policies” while others refer to them as “constant improvement programs”. Nonetheless, these are policies and programs that will be employed in aid of implementation.

  1. Establish a performance tracking and monitoring system. This will be the basis of evaluating the progress of the implementation of strategies, and monitoring the rate of accomplishment of results, or if they were accomplished at all. Define the indicators for measuring the performance of every employee, of every unit or section, of every division, and of every department.
  2. Establish a performance management system. Quite possibly, the aspect of performance management that will encourage employee involvement is a recognition and reward structure. When creating the reward structure, make sure that it has a clear and direct link to the accomplishment of results, which will be indicated in the performance tracking and monitoring system.
  3. Establish an information and feedback system that will gather feedback and results data, to be used for strategy evaluation later on.
  4. Again, communicate these policies and programs to the members of the organization.

Step #4: Budgeting and allocation of resources
It is now time to equip the implementors with the tools and other capabilities to perform their tasks and functions.

  1. Allocate the resources to the various departments, depending on the results of financial assessments as to their budgetary requirements.
  2. Disburse the necessary resources to the departments, and make sure everything is properly and accurately documented.
  3. Maintain a system of checks and balances to monitor whether the departments are operating within their budgetary limits, or they have gone above and beyond their allocation.

Step #5: Discharge of functions and activities
It is time to operationalize the tactics and put the strategies into action, aided by strategic leadership, utilizing participatory management and leadership styles.

Throughout this step, the organization should also ensure the following:

  1. Continuous engagement of personnel by providing trainings and reorientations.
  2. Enforce the applicable control measures in the performance of the tasks.
  3. Evaluate performance at every level and identify performance gaps, if any, to enable adjusting and corrective actions. It is possible that the corrective actions may entail changes in the policies, programs and structures established and set in earlier steps. That’s all right. Make the changes when necessary.


The implementation stage of strategic management is often considered the most difficult stage of strategic management. This does not have to be the case, however. Understanding the causes of implementation difficulties will allow managers to avoid them and to successfully implement firm strategies.