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Part - VI

Organize army into self contained units

Napoleon believed in the system of phalanx (fighting units of citizens that knew each other in daily life, and had a wide variety of skills and various skill levels). Adam Smith extended this idea to the concept of functional specialization. Decentralization, functional expertise, flexibility, quicker decision-making and accurate and unbiased perceptions of environmental factors are the advantages achieved from the use of functional organization.

Live-off country

Current businesses designed on the Japanese style of working apply the EOQ or the JIT model and have bequeathed this idea and shown splendid performances. Like Napoleon who had to manage the resources from the local population that provided him provision, businesses also stress on the need for supply chain management. However, this also puts an increased need to better relations with the channel partners.

Attack the opponent’s lines of supply

This is the commonly known flanking strategy by operating in areas of little importance to the competitor. Flanking strategy normally applies to an uncontested area by making moves quickly and stealth-fully so that the competitor will not find the move threatening enough to respond decisively to. The element of surprise is worth more than a thousand tanks. Generally most large companies partner with an exclusivity agreement with another major producer to restrict the entry of a competitor into a market or a segment.

The ‘enemy’ that is talked about as applied in marketing parlance is ‘threats’ confronting a company that exist or develop in the following areas: -

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* Contributed by: -
Minu Batish,
PGP 2003-05,
TAPMI, Manipal,
Published in Bi-annual Journal of TAPMI - 'Amartya'.