Strategy Decoding In CAH Company

Nowadays more and more business leaders are starting to focus oncorporation strategy and deeply understanding the significance of strategicmanagement for the corporate future development. However, after spending a lotof time and money to develop a strategy, most enterprises find that the strategy isdifficult to be effective. The reason is due to the problem in strategy execution.How to establish an effective strategy implementation system which can helpenterprise efficiently carry out the strategy becomes an important issue for everybusiness corporation.CAH Company (Capital Airport Holding Company) was established onDecember28,2002. CAH Company is a large state-owned enterprise affiliated toCAAC (Civil Aviation Administration of China). From the formation to thepresent, the development strategy of CAH Company has been adjusted severaltimes. In2008, CAH Company developed a new development strategy, inaccordance with the regulatory requirements of the CAAC. However, after morethan one year, the implementation effect of the strategy is not ideal. In Jun.2010,through the assessment of research on the implementation of strategy, CAHCompany found that there are three main problems in strategy execution: lowstrategic consensus, non-clear division of strategic responsibilities, lack ofstrategic tracking and feedback mechanism. Focused on the problems above, thethesis builds a strategy execution system using strategic decoding method toimprove the implementation of the strategy. The strategy decoding system ofCAH Company includes four strategic key process factors and one full-timestrategic management agency, which are strategic consensus, strategic taskdecomposition, execution monitoring, performance evaluation adjustment andstrategic management office. In the last part, the paper presented the detailedsteps for implementation of strategy decoding system in CAH Company. Throughthe implementation of the strategy decoding system, the development strategy ofCAH Company is combined with the daily operations closely and the executioneffect of the whole enterprise has been highly enhanced.Starting from research on strategic management theory, the thesis discusses the problems exist in the CAH Company strategy implementation and s trategyexecution system, using literature study, questionnaire survey and interviews,comparative analysis, qualitative analysis, theoretical analysis and empiricalresearch combining research methods. This article attempted to make somesuggestions for improvement in strategic execution system, in order to play anactive role in offering a more efficient and effective strategic execution systemfor other state-owned corporation.