The Three Levels of Enterprise Strategy


Enterprise strategy can be formulated and implemented at three different levels: Corporate level, Business unit level, and Functional or departmental level... More





Corporate Level Strategy

Corporate level strategy fundamentally is concerned with selection of businesses in which your company should compete and with development and coordination of that portfolio of businesses... More



Strategic Business Design

Strategic business design is a powerful tool of Strategic Management and strategy formulation. It deals with a "big picture". Strategic business design is as an effective way to bridge innovation, research, management and design based on  the analysis of external and internal trends and data... More



Business Unit Level Strategy

A strategic business unit may be any profit center that can be planned independently from the other business units of your corporation. At the business unit level, the strategic issues are about both practical coordination of operating units and about developing and sustaining a competitive advantage for the products and services that are produced... More




Functional Level Strategy

The functional level of your organization is the level of the operating divisions and departments. The strategic issues at the functional level are related to functional business processes and value chain. Functional level strategies in R&D, operations, manufacturing, marketing, finance, and human resources involve the development and coordination of resources through which business unit level strategies can be executed effectively and efficiently.

Functional units of your organization are involved in higher level strategies by providing input into the business unit level and corporate level strategy, such as providing information on customer feedback or on resources and capabilities on which the higher level strategies can be based. Once the higher level strategy or strategic intent is developed, the functional units translate them into discrete action plans that each department or division must accomplish for the strategy to succeed.