Using Hustle As A Cogent Business Strategy Business Essay Example

sustainable competitive advantages are practically non-existent in the field of financial services. Financial services companies cannot rely on having unique and superior product ideas, so they must secure customers by outperforming their competitors. However, Porter (1996) disagrees and argues that operational effectiveness alone is insufficient for organizations, as these tactics may result in some companies outlasting others but do not provide a real advantage in the market. Recognizing this, Bhide (1986) suggests that financial services companies need to implement a review system to avoid being irresponsible. He emphasizes the need for continuous performance evaluation and risk assessment. Supporting this idea, Whittington (2001:24) proposes that organizations with an emergent strategy require adequate structure to allow patterns to emerge without being too rigid or costly. It can be said that emergent strategy is not about the absence of authority but rather about discovering better ways of doing things. Management's role is to align the daily actions of the organization to provide a direction rather than imposing a rigid plan of expectations. "Hustle as Strategy" is based on several assumptions about the environment and organizations.The writer believes that the universe is chaotic and uncertain. This belief forms the basis for the following premises. Due to the unpredictable nature of the environment, new opportunities arise for organizations. The article emphasizes that organizations can quickly adapt to take advantage of these opportunities. Bhide (1986:62) argues that companies need to be able to rapidly adjust tactics to suit changing conditions in order to consistently succeed in the market. Noe et al (2003, as cited in Downs et al 2003:7) further support this idea by discussing how emergent strategies rely on an

organization's ability to learn. Mintzberg (1978) suggests that strategies evolve through patterns of actions over time, which can be seen as a form of organizational learning. Johnson et al (2005) describe a learning organization as one that continuously renews itself through the knowledge, experience, and skills within its culture. This renewal process occurs internally within the organization, leading to the emergence of strategies from within. It is recommended that organizations unlock individual knowledge by sharing information and allowing employees to become more responsive to ongoing changes. Stacey (1996:188) also supports this premise, describing organizations as "complex adaptive systems."The text suggests that administrations should learn how to adapt and evolve in order to shape their futures. Stacey also suggests that individuals within the organization play a significant role in the system, and their behavior can ultimately affect the organization's ability to adapt. Bhide (1986:60) assumes that employees within a financial institution are a diverse resource and can quickly adjust their tactics. The author emphasizes the importance of operations employees in the success of other areas of the business. Thus, the recruitment of skilled employees is a crucial activity. Organizations with emergent strategies seek employees who can bring about process revolution and therefore need to foster a culture that embraces change. This emphasis on human capital aligns with the resource-based theory of strategy, where focus is placed on utilizing valuable resources available to the organization (Barney, 1991). It can be argued that when companies have similar resources, but differing performance, one company is effectively utilizing its resources compared to others. In a knowledge-based economy, the knowledge and skills of the workforce are intangible resources that are difficult

for competitors to imitate.Prahalad and Hamel (1990) argue that by developing core competences, organizations can gain a competitive advantage. This implies that if employees are given more responsibility for decision making, they need to adjust their tactics and become more flexible. In order to facilitate change, the organization needs to be decentralized so that bureaucracy does not hinder the speed of innovation. Empowering employees with more responsibility allows those closest to the customers to generate practical and realistic ideas for success. The article discusses both the strengths and weaknesses of emergent strategy, using the example of "Hustle as Strategy" in a prominent industry. It provides insights into how organizations formulate strategy and compares it with other industries to support the argument for this strategy. While it includes examples and quotes from successful organizations, it does not explore unsuccessful approaches to this kind of strategy. One strength of the article is that its assumptions are based on widely discussed and generally accepted ideas about organizations and their environments. There is ample theoretical support for the claims and assumptions made. However, a weakness of the article is that it solely focuses on emergent strategy.Strategians argue that administrations fall somewhere in between being absolutely normative or absolutely emergent (Moncrieff, 1999). The strength of an emergent strategy is that it allows administrations to adapt in real-time and acknowledge their inability to know everything beforehand. This understanding enables senior management to relinquish some control to employees who have a better grasp of daily operations and can shape strategy more effectively than a traditional top-down approach (Faulkner, 2002). However, not every context is suitable for an emergent strategy, especially in industries

requiring significant upfront capital investment, such as the driving industry. Another drawback is that managers often find it threatening to give up decision-making authority and responsibility to their subordinates, hindering their flexibility and adaptability. Additionally, creating a clear vision and organizational culture is necessary for a suitable environment where employees can feel a sense of purpose and goals.Bhide (1986) has effectively demonstrated the need for emergent strategy in financial services organizations by dismissing the traditional normative approach. In an industry where competition is meaningless due to easy entry and copycat products, financial institutions have found a way to stand out in their execution. The article's premises are realistic as strategists have long agreed that the business environment is rapidly changing and organizations must adapt to it. Bhide (1986) argues overall that financial services organizations should select the best "hustlers" to constantly challenge the administration's vision by finding new and improved ways of doing things. The administration must allow this change to occur in order to learn and evolve; otherwise, they will become stagnant and uncompetitive.