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Levels This activity focuses on IBM and how it uses corporate strategy,business

ID: 398399 • Letter: L

Question

Levels This activity focuses on IBM and how it uses corporate strategy,business strategy,and functional strategy to build competitive advantage. This activity is important because it illustrates how such strategies are created through the the strategy process, the goal of this activity is to recognize at which levels of strategy key amembers of IBM act on behalf of the firm, and what questions they must ask to build competitive advantage. Read the short case below and then complete the questions that follow Minicase current Chief Executive Officer at IBM is Virginia Rometty who rose to the post in late 2012 Before her tenure the office was held by Sam Palmisano. The example below comes from actual strategic decisions made at the firm. As the Chief Executive Officer, Mt. Palmisano decided to invest in an Emerging Business Organization (EBO). This was established to help select what new industries IBM should be entering This group was formed specifically to expand quickly and successfully into new markets for IBM. Bruce Harreld, a sepior vice president, was tapped to lead this new business for IBM. One of hi desired superior performance levels for the EBO. Mr Harreld neededt to approach business with a variety of points of view to navigate a successful pathway both commercially and intermalily for IBM. Inside the EBo business unit crol Kovac, a life science director, was tapped to build a buiness in the life sciences area for IBM. She had to address concems about developing the customers. Over a six-year period, Ms. Kovac built an organization from no revenues and one direct organization with more than $5 billion in revenues and hundreds of PhOs and other support is main roles was to assess the possible approaches for achieving the customer base and implementing successful products and services for particulr report into an This example is drawn from OReilly,.C. A. B. Harreld, ang M. Tushman (2009). "Organizational ambide and emerging business opportunites, California Management Revwew 51: 75-99 Prey 8 of 10 scoreanswer > 9 PrtScn Home End 4 5 Ul

Explanation / Answer

Sam Palmisano, CEO

Level: Corporate Strategy

Question: Where to compete ?

Bruce Harreld, SVP

Level: Business Strategy

Question: How to compete ?

Carol Kovac, Life Sciences Director

Level: Functional Strategy

Question: How to implement ?

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