STRATEGIC MANAGEMENT Name of University: Executive Summary Commonwealth Bank of Australia

Running Head: STRATEGIC MANAGEMENT
STRATEGIC MANAGEMENT
Name of the Student:
Name of University:
Author Note:

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Executive summary
Commonwealth Bank of Australia has come into the limelight due to its lack of quality
leadership and decision making procedure that damaged the goodwill of the company highly and
effectively. As a result of that it requires a great deal of measures to be taken into process that are
resembled with the process of procuring strategic management effectively. In this regard, the
report clearly mentions its purpose with the vision to provide efficacy into the organisational
structure and aiding to facilitate a better framework for the benefit of Commonwealth Bank of
Australia. In this context, the report segregates the discussion into a series of factors in terms of
capability strategy, system strategy, structural strategy, leadership strategy, cultural strategy and
change management strategy. Furthermore, the discussion cares to generate an in-depth
evaluation of the mentioned strategies and find out the possible issues during implementation. In
a conclusion, the report comes up with a recommendation part with the motive to execute the
strategies effectively.

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Table of Contents
Introduction......................................................................................................................................4
Discussion........................................................................................................................................4
Major strategies...........................................................................................................................4
Capability strategy...................................................................................................................4
System strategy........................................................................................................................5
Structural strategy....................................................................................................................6
Leadership strategy..................................................................................................................7
Cultural strategy.......................................................................................................................9
Change management strategy................................................................................................10
Evaluation of the strategy..........................................................................................................11
Implementation issues...............................................................................................................11
Recommendation...........................................................................................................................12
Conclusion.....................................................................................................................................13
Reference.......................................................................................................................................14
Appendices....................................................................................................................................17
Appendix 1.................................................................................................................................17
Appendix 2.................................................................................................................................18
Appendix 3.................................................................................................................................19
Appendix 4.................................................................................................................................20

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Introduction
Entering into a business without having proper and effective strategies is consider to be a
fatal outcome for the business organisation. As a result of that most of the business organisations
incorporates and enlists series of strategies to ensure their smooth business activities in a high
competitive market. In this context, the Commonwealth Bank of Australia has been suffering
with a number of problems and issues since 2014 in not only organisational framework but the
entire business decorum is facing severe threat to exist in the international market. The issue was
related to the data breach in CBA system that cost huge reparation and turned upside down for
the business orientation of CBA.
In this regard, the purpose of this report is to identify proper strategic planning coupled
with relevant and effective strategies in order to procure a better framework for Commonwealth
Bank of Australia. Therefore, the report discusses the strategies from different aspects like
capability strategy, system strategy, structural strategy, leadership strategy, cultural strategy and
change management strategy. Moreover, an overall evaluation and the possible issues are also
taken into the discussion in order to recommends the company some pro-active measures before
implementing the strategies.

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Discussion
Major strategies
Capability strategy
As far as the capability strategy is concerned, Helfat and Peteraf (2015) argued that the
bridging strategy will play a pivotal role to enrich and increase the capabilities of the business
organisation. In this regard, there are some key factors that has to be focused in order to ensure
the success for the business organisation. As the Commonwealth Bank of Australia is facing
serious threat to its business due to the data breach in 2014 therefore it is the time for the
organisation to emerge as a new and coincided with the moral and ethical business practices. It is
associated with the overall aspect of the organisation where skills, mission, vision, integration,
process and technology are contributed robustly. Based on this understanding, Beske, Land and
Seuring (2014) advocated that the root cause of the failure can be turned into the strength of the
organisation by putting light on every aspect of the business operation. On the contrary, Villar,
Alegre and Pla-Barber (2014) advocated that before implementing a strategy it is important for
the organisation to figure out the origin of the problem. On the basis of the problem the company
can take a series of effective measures in order to eradicate the threat and solidify the business
orientation effectively.
Therefore, at first putting emphasis on the talent or skills are identified as one of the
major aspect for Commonwealth Bank of Australia. It is resembled with the interests and
integration of the employees with the organisational decision making process and ventilate the
mission and vision of the company so that they can measure the objectives and goals that can
lead the company towards success. Moreover, a strategic planning mechanism is also required

5STRATEGIC MANAGEMENT
that will deal with the efficacy of the strategy. According to Helfat and Martin (2015) the
enhancement of the capability within the company will follow a proper framework that can
elucidate the objective of the company and its long and short term goals as well.
System strategy
In the words of Simon, Fischbach and Schoder (2014) system and process are the core
elements for the success of tan organisation. In this regard, lack of efficiency in the top level
management in Commonwealth Bank of Australia perturbed the entire process of effective
business orientation for future business sustainability. It was found that the CBA executives and
the management was incapable to identify the threat. As a result of that the growing threat
continuously hampering business activities of the organisation and it was beyond the ability of
the management to fix it. In this regard, Purce (2014) asserted that putting emphasis on the top-
line performance will facilitate better outcome for future business success. Therefore, the first
step will be dealt with the confirmation goals and objectives that coincide with the analysis of the
issues extensively. In addition to this, current diagnosis of the present situation in CBA
management will put some light on the crisis and incompetence of the managers. Moreover,
reviewing the skills and talents of the higher management is also considered to be an important
aspect for the organisation. Furthermore, it is essential for the company to define the solutions
and its primary elements so that all the people associated with the strategy will get an idea of the
implementation of the strategy. As a matter of fact, defining the solution will lead towards the
planning of the solution. In this regard, Wheelen et al. (2017) mentioned that creating a solution
planning for the development of the top-level management is associated with the in-depth
knowledge in resource plan and estimated deadline and financial expenses. Finally, the entire
process will be concluded with underlining the deliverables in terms of future relevance of the