Strategic profiling: a visual representation of internal strategic fit in service organisations

Purpose – The purpose of this exploratory research paper is to present a strategic profiling managerial framework that enables businesses to show visually the level of internal strategic fit in their organisation. Using this framework, service operations managers are able to understand the level of fit that exists, how it is created and identify actions for improving it. Design/methodology/approach – Case-based research was conducted in eight service organisations to investigate their level of internal fit and the corresponding characteristics of their market, operating strategy and service delivery system. Based on these findings, a strategic profiling framework was developed. Findings – The strategic profiling framework allows a service organisation to compare the characteristics of its market, operating strategy and service delivery system and determine the level of internal strategic fit. This enables it to see more clearly where conflicts exist and to start to understand the steps required to improve the level of fit in its organisation. Research limitations/implications – The research used the Heskett strategic service vision and Hill's order-winner and qualifier technique to investigate the level of internal fit. It looked at how they can be applied and the insights they reveal rather than whether the elements they contain are correct. The research focused on developing and presenting a method of visualizing internal fit, rather than investigating the link between fit and performance. The strategic profiling framework developed needs to be tested on a wider sample of organisations to see whether high-fit profiles have high performance and whether the insights it reveals are true for other businesses. Practical implications – Service organisations can use the strategic profiling framework to understand their level of internal strategic fit, and why it exists, in order to understand how to improve it. Originality/value – The strategic profiling framework presented in this paper starts to address the gap in the literature around research into the field of internal strategic fit. It also meets the need for more management tools to help businesses develop strategies and understand the level of fit they create.