Influencing Organisational Strategy

Influencing organisational
strategy

Table of Contents
INTRODUCTION...........................................................................................................................3
1) Common resources and capabilities that link different Virgin companies.............................3
2) Business which should be considered by Branson for divesting............................................4
3) Criteria that should be applied by Branson in deciding new diversification..........................5
4) Recommendations for changes in financial structure, organisational structure and
management system....................................................................................................................6
5) How does Virgin adds value as a corporate parent.................................................................7
6) Challenges faced by the successor to Richard Branson and what can they do.......................7
CONCLUSION .............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
Organisational strategy is sum total of all the actions which an organisation intends to
take to achieve their long term goals. It depends upon the mission of the company with which the
company is being established. All the actions are dependent upon the aim with which the
company is being established. On the basis of these strategy the policies and procedure of the
company is being decided. Businesses consider various factors while formulating their strategies
which sometimes can lead to failure of the business. In this report the case study of the Virgin is
taken into consideration for which various analysis is done. The common resources and the
capabilities among various company of the group are identified while businesses which can be
divested by the group are identified so that their profitability can be increased. Along with this
the challenges which can be faced by the successor of the company are analysed and
recommendations are made for the changes which can be made in the financial structure,
organisational structure and management system of the company.
1) Common resources and capabilities that link different Virgin companies
Resources of the company helps them to operate which can be done by utilising the
capabilities of the company. The most common resources which link all the Virgin companies
are the intangible resources. Such as the brand value that includes both how the people view the
brand and how the management perceive the brand (Gonzalez-Brambila, Jenkins and Lloret,
2016). Another common intangible resources which link all the Virgin companies are the
corporate culture of the organisation and their structure. As all the policies are formulated by the
Richard Branson for all companies, this makes the all the group companies follow the same
rules and regulations. Also the structure of all the companies are same as they are all organised
and managed on the basis of one red line developed by the owner of the group. The human
resource of the company is the another common resources of the Virgin group. The company is
managed by the common managers as they have the ability to manage the company as a whole.
Otherwise they had to use different managers for their different locations and offices. The other
tangible resources which are commonly used by the companies are the financial resources of the
company, innovations which is introduced in the businesses etc. Such resources are procure by
the management for the entire group which facilitate them in their operations. Also if the group