Business Integration refers to a strategic placement which aims at synchronizing the technology of information and market networking, as well as the business cultural cues and goals. It also focuses on how the technological advance is aligned with the business objectives and strategy. In essence, business integration refers to the reflection of the absorption and functional ability of IT. It is indeed an indispensable aspect of management. As a matter of fact, technology has become highly embedded in business, which further implies that successful business enterprises is currently taken as a domain for business leaders other than the resounded technology experts. With this in mind, Virgin group has embarked on integrated technology across the precinct of its business. As the business organization expands, there is a subsequent increase in challenges affecting management which should be streamlined with its subsequent growth. This move has engineered expansion through the Virgin enterprises, which has led to its unique competitive advantage and a sound rate of expansion. This paper will use the case of Branson business strategic placement in various levels of its analysis for case illustrations.
The management is faced with the challenge of establishing a concrete organizational structure which absorbs and promotes the intent of the organization at large. Indeed, sound organization structure frames up organizational controls as well as financial controls, which help it in implementing the strategic business activities. The controls also dictate and underpin the business performance with respect to their relationship with both the business structure and strategy.
As a matter of fact, the structure of an organization puts a framework of the organizational procedures, authority and controls in reporting rapport and the entire business management process. Indeed, it is the organizational controls that sets a framework for the implementation of the strategy and provides for the comparative exercise of the business goals and achievement. This helps in identifying the strategic resolutions that would ensure improvement from underperformance and thus a competitive advantage. In particular, Virgin group has been able to expand both locally and internationally to Australia among other business hubs of the world.
However, through the basic framework of business activities, the structure and strategies of the business are closely related. Indeed, the adoption of a particular strategy has a significant impact on the business structure that results. According to business research findings, organizations structure change often when the performance declines. Consequently, for the management to hold after the decline, it should modify the general structure in order to give room for restoration. This means that the organization must adopt positive structural changes that would enable it accommodate its respective business strategy. This is done following a stable research which unveils the need for such an action. Through a feasibility test of business performance in different fields, one enterprise diversifies across other profitable ventures within and without its area of specialization a profile taken by Virgin group.
In order to enhance the business performance through structural and strategic synchronization, the organization must adopt positive techniques in hiring and further development of employees. Business operating capital is essential for the success of any prospective venture. However, the growth for such capital is far much valuable and rather the root cause of expansion of the enterprise. For instance, Richard Branson’s Virgin Group is a case example that emerges from little capital investment to a huge chain of supply side business investment. To begin with, the business adoption of a broad structure was preceded by a constrained business structure. In essence, Branson began through the publication of a ‘student’ magazine which emitted a thorough exposition which gave rise to a chain of investment fronts.
In the tender investment stage, Branson’s Virgin operated at a small scale prospect while the management structure proved quite simple with the involvement of a limited number of personnel. This was an easy structure where strategic business engagement and implementation was easy to manipulate. However, the structure of the business was gradually changed following some of the expansion that followed the installation of the recording studio at his home in Oxford shire home. Consequently, this increased the output generation to millions of magazines and, therefore, necessitated a devised selling mechanism which saw the sales go worldwide. This also means that Branson must have recruited employees into the organization following the strategic expansion prospects which would see the structural transformation of the organization and graduation from a simple structure to a functional structure of the enterprise.
Through the structural transformation prior further establishment of chain business premises, Branson was also able to manipulate strategic placement that saw the establishment of the highly capital intensive business with the airlines contrasting sharply with the former investment in low capital investments of recordings. The financial control emanated mainly from the investment focus that aimed at expanding the business prospects through the established business strategy. In the attainment of a competitive business framework, it is also important for the recognition of a well established workers recruitment and retention in order to streamline the business objectives with the workers ability and proficiency.
Workers recruitment is also an essential function to consider during the adoption of certain business structure. Recruitment involves the identification process for prospective workers from the time of application for posts to the time of arrival of application to the organizations’ management. This followed by the selection process for the most acclaimed employee to join the organization’s taskforce. This also provides a chance for identification of fit workers for the sake of operation proficiency. Technological integration means that the organizational taskforce must be able to employ the contemporary technology. This also implies that the workers must be creative enough to sufficiently warrant the cognitive engagement in the operational aspect of the business as well as taking advantage of new insurgence of technology, which provides a sounding corporate culture and a competitive advantage as a result. For instance, Branson was acquitted to technology advancements. In the view of advancements in digital technologies, Branson expanded its retail outlets interest through the onset of online retailing following the advent of the Internet. A product of this intervention includes the Virgin money and the joint investment with the Norwich Union. Furthermore, Branson also took advantage of the cellular communications which further led to the establishment of Virgin Mobiles in collaboration with Deutsche Telekom.
The integrated business framework is a function of various factors. The implementation of basic organizations’ strategy works hand in hand with its formulation. Indeed, the structure and systems of an organization is mapped as the most influential and resolute sources of competitive advantage as well as the choice of a strategy. This implies that the capacity for the organization is quite essential in outlining and implementation of the strategic objectives as well as adopting sound structural adjustment in favor for enterprise development. However, across the entire framework of business integration, businesses have to have refined harmonization prospects of cooperation, specialization as well as coordination which would further provide a refined guide into selecting the best enterprise structure. Indeed, effective systems of business management are fundamentally anchored on tactful financial planning, and control as well as well acquitted human resource management practices through a strong team of management.
The success of management activities can also be dictated by the developed or the pre-existing policies which further defines the course of activities taken by the organization. The policies of undertaking the activities therein levels a guidance on the manner in which various activities need to be done for the organization to achieve its goals as per its prospective objectives. Furthermore, policies enhances consistency in the approach to various activities besides creating a conducive environment upon which the work is done and thus the effectiveness in execution of the various business strategies. For instance, Branson was able to establish and surface through the Virgin’s Cell enterprise due to the aspects of deregulations and privatization. Indeed this venture was enabled through the deregulation of telecommunications in Britain among other global players.
Furthermore, Branson brand exploitation was further enhanced through the privatization and deregulations that came about in 1980s and enabled Branson to acquire a rail Franchises which gave rise to the Virgin Rail in collaboration with stagecoach. This also means that Branson was able to identify the competitors in the field of investment and, therefore, strategic means of combating competition, which included the various collusions and collaborations that the enterprise established with competitors. In any business environment, competition is an aspect that can result to a failure if not checked with urgency. Consequently, for any business enterprises to succeed, it must lay fortified prospects of countering competitions while holding the industry constant and increasing its market share. Furthermore, loosened regulations also paved way for the Branson to open the Virgin Blue in Australia. These were strategic ventures that succeeded among other unsuccessful ventures such as attempts by Virgin group to operate the British National Lottery.
The process of instituting concise systems such as information systems also enhances the logical and timely flow of information which further enhances the performance of the business. This means that the report on daily operations and emergencies are essential in analyzing the performance of a strategy with a view of improving it and the realization of a complete circuit of business activities. This mean that report regarding the customers, operations, purveyors, workers as well as the financial report should be discreetly and timely availed for the business management purposes. This scenario enables the management to track and remit most optimal implementation initiatives as far as the daily operations and internal and external environment are concerned. This aspect also ensures that an organization is capable of identifying other prospective investment areas and evaluating the suitability of the latter.
In the light of the above, Virgin group was actively involved in analyzing structural information from across the globe. This ensured that the business identified new markets as well as business opportunities. Furthermore, the organizations’ initiative further enabled the tracking of highly competitive forces in the industry of interest and thus helping it define the optimal strategies to use in encroachment of the business. Through information sharing and remittal, Virgin was in a position to expand outside the UK between 1998 and 2011 through a series of replicated Virgin Ventures worldwide as well as new ventures. Finally, from the organizational structure, the business forms a legal agency upon which decision-making and the governance procedures are emphasized.
Finally, for any business enterprise to capture and manipulate the market, the essentials of providing distinct services such are mandatory. This is one of the aspects that enabled Branson’s Virgin Group to penetrate markets successfully through the provision of quality, competitive, and brilliant services to all clients. Indeed, communication between managers and the concept implementing personnel in an organization is a powerful tool as it provides for the effective analysis of the level of implementation particularly for the strategic controls. This also enables organizations to a formal assessment initiative which focuses on evaluating the progress of implementation of strategies besides providing the supplementary remedies that would inspire successful implementations thus fostering the business’ propensity to achieve its laid down objectives. A business venture that allows the interplay of both external factors is paramount in the attainment of a singled out success from the competitive advantage that results. This also implies that the social connectivity between the implementation taskforce and the management is highly emphasized.
