Time-Based Strategies and Practice
90
Long Range Planning, Vol. 26, No. 4, pp. 90 to 101, 1993 Printed in Great Britain
0
0024-6301/93 $6.00 + .OO 1993 Pergamon Press Ltd
Time-Based Strategies and Practice
Gary E. Spanner, Josh Pablo Nun”0 and Charu Chandva
Theory
As firms compete in a global environment, the need for integrating functions in organizations is being felt more than ever. Firms are realizing that to sustain long-term competitive advantages, business strategies have to be linked to functional strategies. ‘Time’ provides this.missing link. Recent research supports the use of time-based competition strategy in defining corporate objectives, outlining strategic programmes and measuring productivity and performance in ‘time’ units rather than money. A time-based model of strategies is described. Time is used in conjunction with other strategies to offer a strategic mix which best suits various market segments of a companys product portfolio. In this way, companies may create a prolonged record of success and be highly focused to market needs.
examples of time-based strategies which lead to our framework. Finally, the implications of this research for competitive strategies are noted.
Generic Strategies
Many authors and practitioners recognize that firms utilize various degrees of differentiation and scope in order to position their products in various market segments.* These characteristics represented as dimensions of a matrix combine to identify strategies which are generally available to firms for competing in various market niches. Di$erentiation typically has a continuum of low cost to high differentiation. Firms often position products based on this scale in an effort to gain competitive advantages best suited to their product life cycles and production technologies.
Scope is shown as a range of (narrow to broad) target markets. Firms use this dimension to identify a market base and distribution channels.
The competitive strategies of firms have long been
Long Range Planning, Vol. 26, No. 4, pp. 90 to 101, 1993 Printed in Great Britain
0
0024-6301/93 $6.00 + .OO 1993 Pergamon Press Ltd
Time-Based Strategies and Practice
Gary E. Spanner, Josh Pablo Nun”0 and Charu Chandva
Theory
As firms compete in a global environment, the need for integrating functions in organizations is being felt more than ever. Firms are realizing that to sustain long-term competitive advantages, business strategies have to be linked to functional strategies. ‘Time’ provides this.missing link. Recent research supports the use of time-based competition strategy in defining corporate objectives, outlining strategic programmes and measuring productivity and performance in ‘time’ units rather than money. A time-based model of strategies is described. Time is used in conjunction with other strategies to offer a strategic mix which best suits various market segments of a companys product portfolio. In this way, companies may create a prolonged record of success and be highly focused to market needs.
examples of time-based strategies which lead to our framework. Finally, the implications of this research for competitive strategies are noted.
Generic Strategies
Many authors and practitioners recognize that firms utilize various degrees of differentiation and scope in order to position their products in various market segments.* These characteristics represented as dimensions of a matrix combine to identify strategies which are generally available to firms for competing in various market niches. Di$erentiation typically has a continuum of low cost to high differentiation. Firms often position products based on this scale in an effort to gain competitive advantages best suited to their product life cycles and production technologies.
Scope is shown as a range of (narrow to broad) target markets. Firms use this dimension to identify a market base and distribution channels.
The competitive strategies of firms have long been
References: Strategic Management Journal, 10, 21 I-231 (1989). York (1980) York (1985) (3) George Stalk, Jr, TimeThe next source of competitive advantage, Harvard Business Review, 41-51, July/August (1988). Wickham Skinner, Manufacturing in the Corporate John Wiley & Sons, New York (1978). New York (1984); Link manufacturing and process and product life cycles, Harvard Business Review, 133-I 40, January/February (1979); and The dynamics of process-product life cycles, Harvard Business Review, 127-l 36, March/April (1979). How managers can succeed through 13 February (1989). The merit of making things fast, Sloan 7, Fall (1988). New York (1978). in strategic planning, (1991.)