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Strategic Alignment

In: Business and Management

Submitted By wchaitanya
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Strategic Alignment and Core competencies
Strategic alignment refers to how an organization can create sustainable competitive advantage by linking its business strategy to its core competencies. This shows how an organization can achieve superior performance by gaining alignment between its environment, strategy, core competencies and Organization structure. There are several frameworks, which can be leveraged in this process to assist a manager in building a high performance organization. The case highlighted how Singapore Airlines(SIA) navigated through the various challenges faced by the airlines industry such as over capacity, commoditization of offering and proliferation of low cost carriers through the execution of its business strategy and dispel the notion that competition advantage can only be created either by Cost leadership strategy or a differentiation strategy.

The case show that SIA made a clear strategic choice of giving priority to profitability over growth and leveraged related diversification along with its operational practices, such as continuous people development and rigorous service design as drivers to achieve its strategic choice. SIA had unique challenges of competing solely on international routes due to the absence of domestic routes which acted as a catalyst in driving its goals of being just a little better than its competitors in the value chain and to achieve its strategic choice.

The analysis of this case provides an insight into the level of strategic management and brings to the fore the aspect that functional level strategies are very critical in achieving competitive advantage and the focus by SIA in training in Cabin crew to create “Singapore Girl”. This resonated with the current drive in my organization where we have embarked on “Thrilling the customers” initiative and highlighted on the need to focus on the…...

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