Strategic Organizational Management: Digitalization, Challenges, and Sustainable Strategies

Running head: STRATEGIC ORGANISATIONAL MANAGEMENT
Strategic Organizational Management
Name of the Student:
Name of the University:
Author note:

1STRATEGIC ORGANISATIONAL MANAGEMENT
Question- 1a.
Strategy Formulation
i. Internal resource and capabilities
The basic capabilities of the organization are related to digitalization of the services and
the products and the implementation of the innovative technologies have helped Westpac in
adhering to the changing needs of the customers while operating in diverse international markets.
The digitalization capabilities of the organization are inimitable which will be helping the
organization in maintaining the efficiency of the operations. The technological innovations that
are undertaken by Westpac have helped the same in gaining a competitive ground in the external
environments and contributed to the Valuable aspects. Teece (2012) stated that the technological
innovations help an organization in maintaining the efficiency of the operations as per the
concerns faced by the customers. The rare aspects of the technological innovation are based on
the implementation of CRM, which has helped the bank in identifying the needs of the
customers. Therefore, the different technologies that are implemented by the concerned
organization have helped the same in retaining the trust and loyalty of the customers, which
added to the competitive advantage of the same.
ii Current environmental factors
The concerned organization, Westpac, face significant issues relating to lower number of
branches in the different economies, which has restricted the operations of the business. Wang
and Feng (2012) stated that the strategy formulation stage of a business is dependent on the
research that is being undertaken by the same. Therefore, the organization face significant issues
in identifying the market base which restricted the expansion phase of the business. On the other

2STRATEGIC ORGANISATIONAL MANAGEMENT
hand, the unstable political and social environment in the different economies has restricted the
capabilities of the organization to expand in the international markets. The lack of huge amount
of branches has also affected the competitive advantage of the same. The higher amount of
competition that is faced by the concerned organization from the retail banks has affected the
capabilities of the same in maintaining the efficacy of the service propositions as per the needs of
the clients.
iii. Sustainable strategies
The corporate strategy of Westpac is to attract the attention of the international
customers in order to enhance the scopes of expansion in the different global economies. In this
connection, the organization took steps to develop unique propositions in order to suit the needs
of the customers in the international markets. On the other hand, the business level strategy of
the organization is to develop diverse range of financial services in order to suit the needs of
most of the customers (Killen et al., 2012). The diverse range of services will be helping the
organization in attracting the attention of the potential customers towards the service offerings
made by the same. It will be helping the organization in gaining a competitive edge over the
existing players in the market. The functional strategy of the organization aimed at allocating
resources as per the needs of the business. In this relation, the organization aimed at designing
the processes in order to optimize the utilization or resources and thereby support profitability of
the business.
Strategy implementation
i Leadership, management and staff structure

3STRATEGIC ORGANISATIONAL MANAGEMENT
The concerned organization must take steps to implement transformational leadership
style in order to maintain the efficiency of the operations as per the needs of the business while
operating in diverse international markets. The utilization of the transformational leadership style
will be helping the organization in bringing forth modifications in the processes without
changing the same completely (Helfat& Peteraf, 2015).
ii Monitoring and evaluating performance
The organization lacks in suitable monitoring and evaluation processes, which might
affect the quality of the processes. Lack of suitable monitoring and evaluation mechanisms has
restricted the capabilities of the organization in implementing the strategies more feasibly.
Question 1b
Product design of Toyota
The automotive organization Toyota faces different issues while designing the range of
vehicles due to poor design of the technological elements. The organization faced issues relating
to the vehicle’s acceleration system, which has affected the brand name of the business. The
issues in the product design have resulted to lack of customer retention. On the other hand, the
lack of suitable product design has affected the organizational competitiveness in the global
economies. Kor and Mesko (2013) stated that the innovative design of the processes helps an
organization in enhancing the product design. In this relation, Toyota lacked in a suitable
monitoring and evaluation system, which has affected the product design. On the other hand,
Villar, Alegre and Pla-Barber (2014) noted that the product design of an organizational offering
is chiefly based on the preferences and needs of the target customers. In this relation, the
concerned organization has taken steps to undertake systematic market research in order to