Institutional Supremacy Strategy ISS©
Implementation Model and Road map
Zaher B. Alabdo PTST
Founder & Honorary President of the Arab Management Organization
Innovative: MBI© Theory, Leadership_21© Approach and ISS© Strategy
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seventh chapter
Organizational Structure by Supremacy OSS©
«Institutional Supremacy Strategy ISS© imposed the development of the content of the strategic management structure by integration IOS© – one of the five pillars of the implementation of strategic management by integration MBI©[1]– to become Organizational Structure by Supremacy © OSS to ensure the integration between its components and the content of the Institutional Supremacy Strategy ISS©. »
And now it consists of three basic components: See Figure 7-1-2
- Decisions making Managements.
- Operations Managements.
- Supporting managements
Figure 7-1-2
I took from my book “Integration or death… Strategic Management by Integration © MBI” all what I dealt with regarding the contents of these components due to the importance of their content for clarity of this topic. Then I developed those concepts -in particular- decision-making departments in line with the concepts that were developed, or It was created in this book and in my book “Leadership21 and Institutional excellence in a competitiveness environment “, Then I explained in it the role of these departments and their integration and classifications in a brief and appropriate manner that achieves its purpose in this chapter.
“See Figure 2-7-2.”
The content of this chapter is considered an advanced development of what I have dealt with in the same context in my book “Integration or death…” Therefore, there are many changes and developments on that in line with and consistent with what was discussed, in my book “Leadership21 and Institutional excellence…” and what I discuss it in this book.
Let us take a more detailed look at these components, noting the role of the organization’s CEO as a top decision maker: “See Figure 2-7-2.”
Decision Making Managements
It is headed by the Chief Decision Officer CDO© for Decision Making. Its main function and mission is to support decision-making for its decision-makers by providing data, information and analyzes, and all that is required to develop and amend plans, decisions, procedures and necessary structures to ensure the optimal investment of the organization’s resources, noting that the work of the three Decision Making “DM” departments «Professional Competencies Management PCM©, Strategic Leadership Management SLM©, Continuous Supremacy Management CSM© [2]» are integrated and sequential in its tasks during the pre-operation phase and synchronized[3] during the operation phase in some aspects, and the tasks of all these departments in general are:
That is, these departments are concerned with carrying out the tasks of analysis and development through planning, monitoring implementation and continuous development through evaluation and assessment to lead the organization to develop a more effec-ient “effective and efficient” than it was in accordance with the variables and controls of the work environments surrounding the organization, and these departments are:
- Professional Competencies Management PCM©:
We can consider that this department is the guide for the compass of investing the human resources of the organization, and therefore the content of its main mission has been developed from the Organization’s Knowledge Awareness Management KAM© from the organizational structure to analyze the reality of the knowledge level, identify its deficiencies, and suggest what is required to build creative competencies Fit the needs of achieving the objectives of the organization and the aspirations of the leadership derived from its vision and mission, and on this basis we can summarize its tasks as follows:
A. Measuring and analyzing the reality of the level of cognitive awareness of useful and renewable knowledge URK© for Human Resources with its “driving and uplifting[4]” powers in the relevance of their role at different levels, identifying its shortcomings, and proposing what should be done on the organization’s leadership, in line with the organization’s goals.
B. Analysis of training needs «interactive learning programs, at its basic levels, key interactive learning programs KILP and Comprehensive interactive learning programs CILP, to serve the achievement of the organization’s goals and priorities.
C. Drawing the Creative Professional Competencies model CPC© according to the levels required by the nature of the activity of each organization.
D. Supervising and controlling the implementation of human resource management activities in all its classifications «Attracting – Employment – Maintenance …» as well as evaluating the results of implementing interactive learning programs and motivation programs, to ensure the provision of the appropriate Creative Professional Competencies CPC©[5] for the employees of the organization and to meet the Institutional Supremacy Strategy needs of those competencies, Consequently, its analytical and supervisory role over the activities and plans of human resources management.
E. Intervention according to the results of the analysis of the implementation of the work of human resources management to ensure the evaluation process to correct any negative deviation, or to support any positive deviation.
It is worth noting that I named this department the Professional Competencies Management PCM© because it specializes in everything that would build, correct, and restore these competencies, whether through its current tasks mentioned above, or any other future tasks that are necessary, and for this reason we devoted more space to it in our book “Training plan…”.
It should be noted that the tasks of this department begin in the organization’s first production cycle -in particular- after completing the tasks of the two departments of Strategic leadership management SLM© and the Continuous supremacy management CSM© for their tasks because it derives its objectives from the results of the analysis of SLM© management and the goals of the management plan CSM©[6].
- Strategic Leadership Management SLM©
We can consider that this management is the laboratory of the organization under which everything that affects it internally and externally is analyzed and determines the direction of the organization’s leadership compass in terms of investing its resources.
Its main tasks are:
- The activities necessary to analyze the organization’s position at the level of the internal, competitive, and general environment.
- Participation of the organization’s leadership in defining its strategic direction.
- Participation of the organization’s leadership in defining its competitive strategy.
The reason for calling it the Strategic Leadership management instead of the Research Department or the Research and Studies Department is that it is concerned with the tasks of providing all leadership requirements according to the strategic scope, strategic thinking and strategic planning based on the foundations of strategic management by integration MBI.
Its mission extends to analyzing the internal data of the organization – in general and what it needs to collect and classify to suit the targeted analysis process, as well as the implementation of research, especially related to the external environment of the organization and its coverage of marketing research, consumer research, competition research or market research to include:
Analysis of the elements of the internal environment: It includes analyzing the components of the inputs[7], operations, and outputs, as well as analyzing and reviewing the results of the implementation process “feedback” as dealt with by systems theory and then the situational theory.
Analysis of the elements of the competitive environment: It includes the analysis of the elements of the competitive environment with its trilogies “trilogy of competitors and the trilogy of competition”.
Analysis of the elements of the general environment: It includes an analysis of the two “the local’s trilogy and the international’s trilogy”.
It should be noted that I named this department the strategic leadership to highlight its pivotal role in the process of directing the organization towards excellence and then supremacy, and It’s identify the most appropriate strategy from the general competitive strategies on the other hand, and then re-allocate them in a way that achieves the optimal investment of the organization’s resources and directs its objectives, and the impact of this on the development of the better distribution of its organizational and functional structure on the one hand, and its discretionary balance on the other hand.
Continuous Supremacy Management CSM©
We can consider that this administration is the steering wheel according to which the direction of the organization’s compass is determined in terms of investing its resources, it integrates with the role of the strategic leadership management and invests the results of its analysis[8].
The primary role of this department revolves around two planning and control dimensions:
First: planning:
It is concerned with strategic planning to develop the strategic plan after defining the objectives according to the results of the analyzes pro-vided by the Strategic Leadership Department as mentioned above, and then defining the objectives of the operational plan.
We can define the most important of these tasks according to the stages of the IMM scheme by: «See Figure 3-7-2»
Interrogating the results of the organization’s position analysis “phase 2” and analyzing its results in a manner that serves the development of strategic objectives for the organization consistent with its strategic direction and competitive strategy.
Make these goals a part of the strategic plan and define the cards to score © ZEECards on “Stage 5”.
Defining the operational plan and its leading objectives “Stage 5” according to the © ABCD rule.
Building the organizational structure with supremacy OSS© “Stage 7”.
Preparation of the estimated budget for the “Stage 7” plan.
Continue with the remaining steps of the seventh stage, as mentioned in the IMM scheme (see Figure 3-7-2).
(see Figure 3-7-2).
The second: supervision “Assessment and Corrective”[9]:
It is the third stage “Develop” in the previous scheme “Strategic Development = Corrective Assessment” concerned with following up the results of the organization’s departments implementation of its operational plans, and comparing them with what is planned, and then conducting the evaluation process, and making recommendations about what should be taken towards any deviation that appears in the evaluation process.
Of course, the oversight role that the Continuous Supremacy Management CSM© will exercise will focus on the operating and support departments, relying on the Winning indicators ZowI’s©[10] that have been adopted in the strategy formulation stage, which is based on taking the time factor as a basis for its classification and content, with its three types:
Done indicators ZOWd© measure completed and finished activities.
Present’s indicators ZOWp© relate to indicators that just happened or occurred during the previous day.
Future indicators ZOWf© are about indicators that are planned to be realized in the future.
That is, the use of the timeline to describe the relationship between these three classifications, “see Figure 4-7-2.”.
see Figure 4-7-2.”.
Accordingly, the role of the Continuous Supremacy Management CSM© has a planning, monitoring and development nature, which includes Assessment and Corrective of the work of the organization’s departments, especially the operating and support departments, so its main task is:
Managing the planning process in the organization in cooperation with other departments to develop the strategic plan and operational and execution plans.
Establishing the appropriate organizational and functional structure for that.
Determine the necessary estimated budget, timetable, and those involved in the implementation in accordance with a mechanism that ensures communication with all management to review with them and their participation in defining the objectives, initiatives, programs, and events needed to implement the plan.
Doing everything necessary to analyze what has been implemented in the departments of the organization in comparison with the plans, decisions, procedures, and directives which are approved by the organization’s leadership, and to detect deviations, and to intervene to correct them.
Consequently, its role works as a cycle that begins with the start of developing and implementing plans and continues to evaluate implementation and suggest what ensures the evaluation of deviations, and coordinate with the Professional Competencies Management PCM© and the Strategic Leadership Management to propose decisions and amendments in plans that provide continuous development and achieve the required institutional Supremacy, and in this regard it invests outputs Analyzing the strategic leadership Management to build its operations in planning, implementation follow-up, Assessment and Corrective, and then it returns to be an important entry point for other decision-making departments to update and renew their data and monitor their variables, in order to facilitate the process of building new cycles in planning, decisions, procedures, and … in a more effec-cient manner “effective and efficient”, .
The process of planning and monitoring implementation through measurement, Assessment and Corrective includes:
Effective planning: includes the process of developing the strategic plan of the organization based on the results of analysis © 3CG according to the stages of the Integrated Management Model © IMM «See Figure 3-7-2».
Development: The implementation monitoring includes all departments of the organization for the approved plan, reviewing and evaluating its results, and proposing to constantly evaluate it according to the variables of the organization’s environment, in conjunction with the pursuit of higher rates of the organization’s resources invested with greater efficiency and effectiveness.
Noting that the development process will be at the levels of measurement (vertical analysis and horizontal analysis), whether by internal comparison or benchmark comparison in the market, according to the nature of the component that is being evaluated and developed.
Noting that the reference to the relative importance of the depth of measurement, analysis, Assessment and Corrective is related to the extent of the importance of that component and the link of Its indicators are in Institutional Excellence Cards© ZECards and Winning indicators ZowI’s© according to our classifications related to their timeline.[11]
Operations Management
It is headed by COO©, and the mission of these departments[12] is to produce the outputs “goods and services” of the organization and work on deliver them to target customers, and it includes the two functions of production management and marketing management are two main departments responsible for implementing the operational plan that the decision-making departments participated in preparing, after their approval, which was translated by decisions that must be implemented through the implementation plans generated from the implementation of the leading objectives derived from the operational goals according to each department.
In the context of implementation with these plans, Operations Management needs support from the Supporting Departments that were found and designed to play the role of support to achieve the objectives of Operations Managements, which are originally based on the decision-making management DM.
So, the operations Managements consist of:
Production Operations Managements POM:
It specializes in implementing production plans according to what has been approved by the plan, which I have been involved in the stage of preparation in terms of providing the requirements for its implementation of resources, energy, time and technology … meaning that the production management is primarily an executive department, but its duty and right to participate and express opinion in everything related to its work With the decision-making departments concerned with their activities as required by the organization’s interest, especially in continuous improvement processes, reducing waste and the level of quality …
This department is responsible for providing the organization’s outputs of products, whether its products are tangible “commodities”, or intangible “services”, and in this sense it includes all departments that are distinguished by being a source for:
The cash flows out of the organization because of it, which are directly related to providing the requirements to produce the products or services it provides.
The cash inflows to the organization because of it and resulting from selling its products and achieving a return to the organization due to the added value that these departments added to their inputs during the operation process.
And we can more precisely identify these departments from the components of their cash inflows and outflows that make up the accounts of the operating account statement.
It is worth noting that the content of the production mission can include any department that can achieve cash inflows for the organization through its activity, and in this expanded sense it may include, for example, managing real estate investment or stocks, bonds, etc., even if it does not fall within the organization’s primary activity of products. Or services, and in this case, these production departments that we can call “indirect production” to differentiate between them and the basic production departments in the organization “direct production departments” and the benefit of naming these production departments “indirect” is to facilitate the processes of monitoring and controlling the resulting investments. The proposal to separate it as an independent activity at a time when it becomes an important source of cash inflows for the organization. Of course, this separation will give it more opportunities for development, growth, specialization and achieving more success.
Marketing Operations Managements “MOM”:
As it is known, the marketing mix is basically based on four components: production – pricing – promotion – distribution. Therefore, it must be noted that according to what we presented in the integrated management structure model IMM, the role of analyzes, studies and research on products, consumer behavior and competition analysis … will be among the tasks Strategic leadership management SLM, as we have already explained, and the effects and results of those studies and research will extend to the pricing, promotion and distribution tasks concerned with their implementation by the Marketing Department in line with the directions of plans and decisions in this regard.
So, the Marketing Operations Departments is responsible for carrying out the pricing, promotion, and distribution operations[13], and the marketing operations management in this sense is characterized by:
The cash flows out of the organization because of it, which are directly related to providing pricing, promotion, distribution, and sale requirements for products / services provided by Production Operations Management “POM”.
The cash inflows for the organization resulting from the sale of the organization’s products / services.
We can define more precisely these departments from the components of their cash inflows and outflows that make up the trading statement accounts.
Third:
Supporting Management[14]
It is headed by Chief Supporting Officer © CSO and its role is to provide support to operations[15] departments to do their role better.
It consists of account management, human resources management, financial management and … and the rest of the departments that the nature of the organization’s activity requires from the supporting departments as basic support departments «See Figure 2-7-2» Which demonstrates integration and harmony in the roles of the main departments in the organization.
And a group of supporting departments is created as necessary to support productive departments in achieving their tasks:
Human Resource Management: It is concerned with providing and qualifying the human element necessary to all the departments of the organization in terms of quantity and quality that suits the building and development the organizational structure necessary to achieve the goals of all departments, as well as the participation in the motivation and maintenance programs of these HR according to the requirements of implementation and development.
Account Management: It is the department responsible for recording accounting entries operations and preparing its final accounts within the controls of the unified accounting system and making use of the data of those reports to identify costs in all their forms that all departments of the organization need as an important source for their programs and plans, and to review and evaluate their work.
Finance Management: It is concerned with studying and evaluating the mechanisms of obtaining cash inflows, whether from external financing or resulting from the sale of the organization’s outputs, as well as studying the cash outflows, whether operational or investment, and then setting the optimal distribution to control the movement of those flows in both directions, in order to achieve optimal use of the organization’s resources, especially financial[16].
I would like to point out that I classify the Financial Department as responsible for:
(1) Financial analysis, preparation of financial reports, and study of financial indicators on the one hand.
(2) On the other hand, proposing sources of financing for the organization’s investments.
(3) A third party proposes new investments for the organization’s resources more than its need in its main activity.
This department, with its analytical part of the financial statements, integrates with the tasks of decision-making departments, whether as an independent department concerned with financial affairs, its analysis, and indicators, or as part of it. Its responsibilities in (item1) under the tasks of the Strategic Leadership Management SLM©, and its responsibilities in (item 2, 3) under the tasks of Continuous Supremacy Management CSM©[17], this way its tasks and work team can be within the decision-making departments and the distribution of that tasks according to the nature of each one.
Within the context of the support departments, we add that there are many support departments, such as facilities management, computer management, technical management, and,,,, which are imposed by the nature of work and specialization of each organization, and what we mentioned above about the organization’s departments such as accounting and human resources is with the intention of clarification and not limitation, being the most priority For the organization in general.
In the context of our projection of the formation of the human being on the entity of the integrative organization, we can say that the spirit of the organization is represented by a set of controls that achieve the interest of all positive role holders © PRH that influence and positively affect the development of the organization, and the mechanism of its formation and functioning is determined according to what we have proposed in the theory of strategic management by integration © MBI and its components that It must work in harmony to ensure the conscious progression of the organization forward, and the policies of decision-making and motivation for employees and dealers with the organization in particular and all those who have a positive role © PRH in general on the one hand, and the philosophy of the organization on the other hand has the greatest role in the success of this task in which all the components of the organization participate from Organs, and minds in varying degrees that suit the role of each.
[1] Previously mentioned, Abdo, Zaher. (2018). Integration or death… Strategic Management by Integration. p. 34 and later.
[2] There is a similar approach in today’s organizations in the so-called Research and Development Department, which is called in short as R&D, and the new thing we are discussing is the location and importance of this department and expanding its role to include the administrative process and not being limited to the research and development process in products and their requirements.
[3] Synchronization here is intended as the process of analysis and development side by side in the implementation phase.
[4] We mean the driving force is the workforce, and the levering force is the leadership competencies available to those with authority in the organization, we used the term incitement and moving power in our book ” Leadership21 and Institutional excellence…”
[5] It includes the provision of useful and renewable knowledge, the correct implementation, and the appropriate environment for the investment of creativity to be a generator of the creative Professional Competencies needed by the Supremacy Strategy.
[6] It was necessary to be reminded in order not to understand that the role and tasks of this department take precedence over the rest of the departments, as may be understood from the previous two figures, Figures 7-1-2 and 7-2-2.
[7] We exclude here the research and analysis of human resources since we have assigned an independent department to this task, namely the Professional Competencies Management PCM©.
[9] As we mentioned earlier that the development process includes the Assessment and Corrective processes, for more, the ninth chapter of this book … where we dealt with the development process as part of the three-dimensional excellence “wheel of excellence PDD”.
[10] Previously mentioned, Abdo, Zaher. (2018). Integration or death… Strategic Management by Integration. Chapter 8.
[11] Previously mentioned, Abdo, Zaher. (2018). Integration or death… Strategic Management by Integration. p. 292 and later.
[12] In this sense, they represent the productive organs in the human body “hands and legs” that perform the muscular effort in terms of formation, transfer or transformation if the work is muscular or the use of the mind if the work is intellectual or all of that if the work is mixed between the muscular and the intellectual, and so We called it Operation Managements = OM and it’s headed by COO = Chief Operation Officer
[13] More detail in this regard is covered in our book, “A Practical Guide to Developing a Training Plan and Models of Professional Competencies Management PCM©.”
[14] In this sense, they represent the “respiratory – digestive – nervous – muscular – – -” organs in the human body that maintain human safety and provide him with the requirements for his growth, survival and work through the harmony of their work so that the person is able to perform the work and tasks assigned to him, or that It is required for him to be present and continue to be efficient and effective. That is why we called it Support Management = SM and headed by CSO = Chief Supporting Officer
[15] It is also responsible for providing the necessary support for the activities of the decision-making department and providing all necessary data and information that related directly or indirectly within its competence.
[16] This department in this context is similar in its role to what the human heart does through its role in regulating blood flow to all organs of the body, according to the need needed by the work of the body, both muscular and intellectual.
[17] I left this classification in its final form until the issuance of this book and discuss its content with a wider base of specialists in this regard for further verification and scrutiny and ensuring the correctness of our thinking in this regard.