Question

Effectively implementing strategy requires manipulating three key control levers: culture, rewards, and boundaries. What are the compelling reasons for an increased emphasis on culture and rewards in a system of behavior controls?

Answer 1

Answer: The culture has a direct relationship with the behaviors of the people. The culture is the set of common beliefs, attitudes and values that are shared by a group of people. These beliefs, attitudes and values determine the way in which a particular person will act in a given situation. In the current business environment the workplaces are becoming culturally diverse and hence there are people from different cultures present. This means that they may have a different response and behavior during a situation based on their cultural values. The people from different cultures may respond differently while implementing an organizational strategy. Therefore in order to effectively implement the strategies, a cultural understanding is must. Similarly the rewards because of their motivational value have a capacity to cultivate desirable behaviors in the people. Hence they also play a very important role in the implementation of strategy because of their potential to transform the behaviors of the people. Thus both these factors are directly linked with the behavior control.