COURSEWORK FOR CONTEMPORARY STRATEGIC MANAGEMENT
TITLE-THE BALANCE OF PLANNED AND EMERGENT APPROACHES TO STRATEGIC MANAGEMENT IN THE CASE OF EASTMAN KODAK : MEETING THE DIGITAL CHALLENGE
MODULE LEADER-DR HANS SCHLAPPA
MODULE-CONTEMPORARY STRATEGIC MANAGEMENT
DEGREE-MSc in BUSINESS PSYCHOLOGY
SUBMISSION DATE -22/11/2010
THE WORD LIMIT FOR THIS COURSEWORK IS 1500 WORDS
THE NUMBER OF WORDS USED IN THIS COURSEWORK SUBMISSION IS 1515 The purpose of this essay is to assess the balance of planned and emergent approaches that Eastman Kodak applied to strategic management in the digital challenge which Kodak uniquely developed and patented many of the components of digital photography(Henry et al, 2009). The four main parts of the essay focuses upon classification Kodak’s case study into theories of intended strategy development, emergent strategy development, the roles of managers to manage this two strategic approaches and the evaluation of balance between these approaches in term of paradox and business environment. Beginning with its intended strategy, the essay will state the process of strategy development which is associated with role of vision and command or objective setting, planning systems and imposed strategy that imposes by external factors. Later, the demand of strategy emergent, the logical incrementalism and resources allocation of this company will be described. Then, roles of managers to balance intended plans and incremental plans along with dealing to the uncertain and complex conditions will be clarified. The last analysis will assess the balance of this two approaches by outlining a theory of the paradox of deliberateness and emergent for businesses in high competitive and technology-based environment. For planned strategy, Bob & Ron(2010a) gives an opinion that the objective setting comes before the first formal step of the strategy development process and Gerry et al(2008) expresses intended strategy as a formulation of the role of vision and command, planning system and externally imposed strategy. Kodak’s objective or top management’s vision and command under Perez’s administration is still the same as his predecessors, that is the transformation from a photographic company into a world leader in digital imaging which based upon technology that allow consumers to find, share and show images on various media and reduction in role of a digital imaging hardware manufacturer. By reaching its goal, Kodak set up a large number of retail photo kiosks and launched digital photography service that make it become a leader in retail market for printing digital photograph. As well as, it is a leader in high-resolution, colour printing systems in commercial printing and in digital dental imaging in healthcare sector. The imposed situations in which Kodak face were the new imaging technologies that were emerging such as Polaroid, electrostatic plain-paper copying and new printing technologies. Therefore, a new strategic direction was imposed by acquiring a series of diversification moves into healthcare and imaginative initiatives such as first megapixel electronic image sensor, image storage and retrieval system, data storage product, copier services business and Photo CD system. These aspects of the intended strategy will be compared to the emergent strategy which will be stated after this.
Bob & Ron(2010a) states that people reroute their plan along the way to slowly shape a process of thinking and doing. For the aspects of emergent strategy development, Gerry et al(2008) considers logical incrementalism and resources allocation processes to be an account for it. The expansion of Kodak to any area outside its traditional imaging business seemed to have not sufficient assurance so it turned to focus on the digital challenge by spinning off chemical business and selling healthcare one whereas creating...