Tactical Mistakes

In all cases, when the team makes a tactical blunder, at least two functional managers are responsible. Here are some common mistakes:

• The company invents a product but forgets to buy plant and equipment for it (R&D and Production breakdown).
• The company takes an emergency loan because inventory levels increase (Marketing, Production and Finance breakdown).
• The company selects performance measures inconsistent with their strategy. For example, a "niche" company chooses to be measured by overall market share (Marketing and Finance breakdown).
• The company repositions a product from the High End segment to the Traditional segment, but does not address their material and labor costs (Marketing, R&D, and Production breakdown).
• The Finance Manager makes decisions before knowing the budget demands of all R&D, Marketing and Production decisions (Finance breakdown).