Nadler-Tuchman Congruence Model of Whole Foods

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Abstract

Everycompany or organization joins the world of business with set goalsand objectives. Formulating the best policies to realize suchoutcomes normally involves proper planning, execution, and thoroughreview. This paper focuses on Whole Foods strategy of differentiationcoupled with the Porter’s Genetic Strategies.

Introductionof the Whole Foods Market Strategy

Inthe current economy, the Whole Foods Market, commonly known as, WFM,is the most valued and respected organization in the food industry.The Whole Foods has implemented one of the best market strategies toensure that it can achieve its set goals and objectives within thestipulated time. As in the case with many organizations, Whole Foodsis also faced with challenges and obstacles, which have, in manyinstances, delayed its achievement of the set goals and objectives(Whole Foods, 2012).

Someof the most recent obstacles and challenges that have reduced theorganization’s capacity to achieve its goals include stiffcompetition as there are many other companies in the food industry,the subjugated economy, and difficulty in the company’s locationacquisitions. For Whole Foods to prevent and offset thesechallenges, it focuses its energy on the implementation of differentmarket strategies, such as devotion to the surrounding community,environmental responsiveness, quality standards, healthy competitionand growth model, and highly rated or motivational practices (WholeFoods, 2012).

TheWhole Foods Company aims to develop and build its market reputationon solid ethical practices, and the delivery of high-quality standardservices and products to its clients. The Whole Foods businesspractices are anchored on its core values, such as caring about thesurrounding communities and environment (Whole Foods, 2012).

Theorganization focuses on providing its clients with the best services.Whole Foods provides its customers with the finest natural andorganic food products, such as poultry and meat, fresh seafood,bakery items, beer, wine, cheese, among other food items.

Themarket strategy of the company mainly focuses on the desire toimprove the overall efficiency and quality in the acquisition ofservices and products delivered to its clients. This strategy is thecritical part of how the company maintains its competitive advantagein the market industry (Whole Foods, 2012).

ClassificationSelection: The Porter’s Three Generic Completive Strategies

Aftera thorough research and due considerations, the best market strategyfor the company is the Differentiation Strategy. It is selectedaccording to the Porter’s strategies (Ormanidhi &amp Stringa,2008). The Differentiation Marketing Strategy mainly focuses on theexpansion of the services and products with unique attributes orelements. The strategy aims to expand the provision of goods andservices with the high value, and leave long-lasting impressions withthe customers (Gurau,2007).

For the company to manage the stiff competition, it has devised amethod where the customers are asked to rate the goods sold andservices offered to them as either of good quality or bad quality.The company also requires its customers to compare the prices of thegoods and services with other companies in the food industry. TheDifferentiation Strategy presents the company with the opportunity tofacilitate its pricing system, which would, in turn, make it remainrelevant in the market (Gurau,2007).

Also,the strategy enables the company to conduct an effective market andscientific research so as to diversify its goods and services. TheDifferentiation Strategy may also increase the company’s capacityto incorporate a highly-skilled and motivated workforce, which inturn, enable the company to offer high-quality goods and services(Gurau, 2007).

Thecompany, in theory, has implemented some of its key plans through itscreative and highly skilled workforce, remaining relevant in theextremely competitive market. The differentiation market strategyfocuses on the risks associated with the company’s operations, suchas imitations by its competitors, continuous change in tastes andpreferences by the customers, and diversity. Also, the strategyallows the company to manage the ever fluctuation of the prices ofgoods and services in the market place (Gurau, 2007).

TheThree Critical Inputs of the Whole Foods Company

TheWhole Foods Company must turn its focus and attention on theimplementation of its inputs. The inputs include history,environment, and the environment. By doing a thorough analysis ofthese input parameters, it is of importance for the company to putmore emphasis on its resources, historical factors (Whole Foods,2012)

Theenvironmental factors include factors include management, culture,motivational tactics, culture, technological inputs, financialmanagement, and company’s equipment and machinery. All theorganization’s environmental aspects are vital in theaccomplishment of the company`s set goals and objectives.Implementation of these aspects through the differentiation strategywill help the company to realize and maintain its competitiveadvantage in the food industry (Whole Foods, 2012)

Theorganization’s internal resource factors include favorableenvironment, human capabilities, technological aspects, incentives,quality management and control, and capital inputs. On the otherhand, the historical factors include the company’s values, vision,targets and objectives, reputation or image, and mission. As a whole,the environmental, internal, and historical factors create a greatopportunity for the organization to realize and maintain thecompetitive advantage in the industry (Whole Foods, 2012)

WhyThese Inputs Are Critical

WholeFoods Company is organized as a layering system, with each layerintermingled so as to realize the company’s overall objectives andgoals. The organization’s culture is crucial in helping theorganization’s to maintain its competitive advantage, hence remainrelevant in the house. The culture guides the company’s ability toeffectively implement new ideas and strategies, which, in turn,enables the company to accomplish its mission and vision. Thecompany’s culture acts as a guideline through which it conducts itsbusinesses in the market place.

Datacollection and analysis are important to the organization’ssuccess, thus making the technological factors vital. They areessential for the company as they act as the parameters for improvingthe company’s operation effectiveness and efficiency. The absenceof the technological factors will reduce the capacity of the companyto expand, thus eliminating its opportunity to implement its plans.Also, the organization’s technical factors enable it to improve itscapacity to effectively distribute its products (Whole Foods, 2012).

Thecompany’s motivational factors are equally important. It is ofimportance for the company to put more emphasis on its employee’sperformance. Developing and setting the principle guidelines arevital and should be utilized by the company’s members of staff toaccomplish the company’s set goals and objectives. The formulationand development of such guidelines also enable the company to realizethe Differentiation Strategy (Whole Foods, 2012).

Environmentalfactors that provide a motivational opportunity enable the company’spersonnel to perform their duties in a manner that is desired by thecompany, hence enabling the company to realize its mission andvision. The company`s mission, vision, and culture fall underhistorical inputs that enable the company to formulate and developits procedures and policies, which are, in turn, used by the all thecompany’s workforce so as to perform their duties in line with thecompany’s standards (Whole Foods, 2012).

TheRelationship among the Three Organizational Inputs

Thereis a relationship among the three critical inputs of theorganization. For instance, the company’s historical inputs, suchas mission, vision, and culture influence the implementation andrealization of the technological factors. On the other hand, thetechnological factors are directly related to the internal resourcefactors. Also, the technological factors promote the interactionamong the company’s workers. For instance, the technologicalfactors such as communication devices enhance vertical and horizontalcommunication within the company. When all the three inputs are puttogether, they create a conducive work environment, hence improvingthe employee’s performances

Thehistorical inputs, such as mission, vision, and culture are crucialto the organization`s development as they influence theimplementation of the technological inputs. Also, the historicalinputs reveal the company`s historical development regardingperformance. For instance, through the historical inputs, one cantell the company`s mission and objectives, thus establishing whetheror not the company has company has achieved such objectives at anygiven time.

Theinternal resource inputs enable the company to build its reputationand image. Proper coordination of the company’s internal inputsenables it to increase its competitive advantage in the industry.

It is evident that there exists a triangular relationship between thethree critical inputs. As can be seen, one input directly impacts onthe other, enabling effective production and distribution of theproducts, and the overall management of the company’s operations(Nadler&amp Tushman, n.d).

TheCongruence of the Three Organization’s Inputs

Theinternal resource, historical, and environmental inputs align welland fit appropriately within the Differentiation Strategy. The threeinputs focus on the accomplishment of the delivery of qualityproducts and services that are free from any manufacturing ordistribution- associated errors. The core objective of the strategyis to develop a market strategy for the company’s products,irrespective of their prices, thus enabling the company to competefavorably. The three inputs are congruent with the organization’smarketing strategy. The implementation of the Nadler-TushmanCongruence Model will enable the organization to effectively evaluatethe relationship among the three inputs and the differentiationstrategy. Consequently, the company will be able to achieve its goalsand objectives.

Conclusion

Everycompany, regardless of its size, enters the world of business withcertain goals and objectives. Therefore, an organization needs tochoose the most effective strategies to realize such outcomes. Theadoption of the Differentiation Strategy with the Porter’s ThreeGeneric Strategies will enable it to increase its ability to maintainits competitive advantage in the food industry.

References

Gurău,C. (2007). Porter`s generic strategies: a re-interpretation from arelationship marketing perspective.&nbspTheMarketing Review,&nbsp7(4),369-383. http://dx.doi.org/10.1362/146934707×251128

Nadler,D. &amp Tushman, M.&nbspAmodel for diagnosing organizational behavior.[S.l.]: [s.n.].

Ormanidhi, O., &amp Stringa, O. (2008).Porter`s Model of Generic Competitive Strategies

BusinessEconomics, 43(3),55-64. Retrieved July 27, 2014, from

http://www.highbeam.com/doc/1G1-186321913.html

Whole Foods Market, Inc. SWOT Analysis.(2012). Whole Foods Market, Inc. SWOT

Analysis,1-8. Retrieved July 28, 2014, from http://connection.ebscohost.com/c/company-reports/76618135/whole-foods-market-inc-swot-analysis

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