How can improving process alignment help bridge the gap between strategy and strategy execution in innovation-oriented companies?

(2026)

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Abstract
Abstract : Despite decades of research on strategy, a persistent gap remains between strategic intent and organizational reality. Organizations consistently fail not because their strategies are flawed, but because they cannot translate strategic priorities into coordinated action. This challenge is particularly acute in innovation-oriented companies, where uncertainty, rapid change, and cross-functional interdependence make execution inherently complex. This thesis examines how improving process alignment can help bridge the gap between strategy and strategy execution in innovation-oriented companies. Drawing on a review of the strategy, business process management, and innovation management literature, it identifies process alignment as an underutilized yet critical execution mechanism — and highlights the limited operational guidance available for organizations competing on the basis of continuous innovation. To address this gap, eleven semi-structured interviews were conducted with senior managers, middle managers, and operational employees across a range of innovation-oriented organizations, including IBA, Odoo, Microsoft, AstraZeneca, Roche, JEMA, Alpega, and Inchcape. The findings confirm that execution failures are rarely caused by poor strategy, but by breakdowns in translation between strategic intent and operational action. They also reveal that effective process alignment operates across three interconnected dimensions: technical process design, governance, and communication. Critically, the appropriate level of process formalization is contingent on organizational size, the nature of the work, and the exploration–exploitation balance of each context. This research contributes an integrated and dynamic understanding of process alignment as a practical execution capability, sensitive to the specific challenges of innovation-oriented organizations.