Assignment 2
Semester 2 2025
Due 15 September 2025
, MNG3702
Assignment 2
Semester 2 2025
Due 15 September 2025
Strategic Implementation and Control IIIB
Michelin: Strategic Control, Governance, Risk, and Responsible Leadership
Question 1: Type of Strategic Control
The strategic control evident in Michelin’s transformation from a pyramidal to a flat
organizational structure is best classified as implementation control. Implementation
control ensures that strategic initiatives are executed in alignment with organizational
objectives by continuously monitoring their progress. This was exemplified when Jean-
Dominique Senard, upon assuming leadership in 2015, dismantled the rigid command-
and-control model and introduced a structure that emphasized empowerment,
accountability, and autonomy. Employees were entrusted with responsibilities such as
scheduling, target-setting, and managing absenteeism—functions previously
monopolized by upper management. This deliberate redistribution of decision-making
authority directly addressed critical issues of low productivity, safety failures, and
excessive waste that had characterized the pyramidal structure. The tangible results—
improved safety metrics, reduced operational inefficiencies, and a 38% increase in
gross profit between 2009 and 2021—underscore how implementation control ensured
the restructuring remained aligned with Michelin’s strategic imperatives of agility,
collaboration, and adaptability in the digital age.