Thesis (MBA (Business Management))--University of Stellenbosch, 2006. / ENGLISH ABSTRACT: Since packaging materials comprise a substantial percentage, namely 35% of the entire input cost on a fruit farm, the four largest fruit producers in the Western Cape decided in 1988 to erect their own corrugated cardboard plant at Worcester, namely A P L Cartons. The driving force of the company is to minimise the longterm input cost of packaging material in a sustainable manner. Therefore cost effectiveness and competitiveness had to be a distinct characteristic of the company. The company's corporate strategy is aimed at strong growth by means of a best value strategy that adds to the value of clients' products and production processes. Despite a well formulated strategy, it has been found that key targets are not met according to expected standards. While profitability, productivity, cost effectiveness and the workers' moral are on the decline, there is a constant rising in downtime, quality rejections and waste at the plant. The problem is further complicated when one takes into account that the company still succeeds in maintaining its specific growth performances. Yet, this take place at the expense of effectiveness in the plant. A literature study will be conducted to establish the general causes for strategic gaps at companies. Against this background the reasons for the gap between the strategic direction and the company results at A P L Cartons will be identified. A literature study will also be conducted to determine the project management and strategic management approach to goal achievement. This will be developed into a management model for bridging the strategic gap at A P L Cartons. An investigation into companies that have experienced project failures revealed two main causes, namely that such companies: a) Don't have a framework for projects; or b) Don't have a distinct strategic direction. Therefore strategic, as well as project managers must act as facilitators who rely on delegating and co-ordinating in order to create conditions for performance instead of failure. From the study it appeared that the main reasons for strategic gaps at A P L Cartons are the following, namely : a) Although a definite strategic direction has been formulated, the company does not have a proper framework for the implementation of its strategy, projects and initiatives. b) Functional managers do not contribute on a cross-functional basis to the training and development of skills lacking in other departments. c) The development of functional and competitive strategies don't go further merely than their formulation. Therefore they can't support the implementation of corporate strategy. d) Senior management is too intent on operational detail, so much so that a helicopter like vision of a strategic direction and its implementation mostly is lacking. e) There doesn't exist a procedure for the identification, handling and managing of critical issues for strategy implementation. The study suggests two related tools for the handling of critical matters, namely a critical issue management form and a critical issue register. This forms part of a management tool that can be utilised alongside a management model and management framework, especially developed for A P L Cartons to strive for reaching strategic goals. The framework was developed after discovering that both strategy and projects can be managed within the same framework of reference since both share the same origin and substructure. The origin is found in corporate objectives, while a directional value system provides its substructure. / AFRIKAANSE OPSOMMING: Aangesien pakmateriaal 'n wesenlike gedeelte, naam1ik 35 persent van totale boerdery insetkoste in die vrugtebedryf beslaan, het die vier grootste vrugteprodusente in die Wes-Kaap in 1988 besluit om hul eie riffelkarton vervaardigingsaanleg, naamlik A P L Cartons te Worcester op te rig. Die dryfkrag van die maatskappy is om pakmateriaal insetkoste oor die langtermyn handhaafbaar te minimiseer. Daarom moes kostedoeltreffendheid en mededingendheid 'n onderskeidende kenmerk van die maatskappy wees. Die korporatiewe strategie van die maatskappy is ingestel op versnelde groei by wyse van 'n waarde-strategie wat waardetoevoegend tot kliente se produkte en produksieprosesse is. Ondanks 'n goed geformuleerde strategie, word gevind dat sleuteldoelstellings nie teen verwagte standaarde bereik word nie. Terwyl winsgewendheid, produktiwiteit, kostedoeltreffendheid en werknemermoraal afneem, styg staantye, kwaliteitsafkeurings en afval in die aanleg. Die probleemstelling word verder gekompliseer indien in ag geneem word dat die maatskappy steeds daarin slaag om sy reele groeiprestasie voort te sit. Dit vind egter plaas ten koste van doelmatigheid in die aanleg. Daar sal op 'n literatuurstudie staatgemaak word om die algemene oorsake van strategiese gapings by ondernemings vas te stel. Teen die agtergrond sal die oorsake vir die gaping tussen die strategiese rigting en maatskappyresultate van A P L Cartons identifiseer word. 'n Verdere literatuurstudie sal onderneem word om vas te stel wat onderskeidelik die projekbestuursbenadering en strategiese bestuursbenadering tot doelwitbereiking is. Daaruit sal 'n bestuursmodel vir die oorbrugging van die strategiese gaping by A P L Cartons ontwikkel word. 'n Ondersoek na projekmislukkings by maatskappye identifiseer twee hoof-oorsake daarvoor, naamlik dat sulke maatskappye : a) Nie oor 'n raamwerk vir projekte beskik nie; of b) Nie oor 'n duidelike strategiese rigting beskik nie. Daarom moet strategiese en projekbestuurders optree as fasiliteerders wat staatmaak op delegering en koordinering om die omstandighede te skep vir prestasie pleks van mislukking. Uit die ondersoek is vasgestel dat die hoof-oorsake vir strategiese gapings by A P L Cartons die volgende is, naamlik : a) Alhoewel 'n duidelike strategiese rigting geformuleer is, beskik die maatskappy nie oor 'n raamweek vir die implementering van strategie, projekte en inisiatiewe nie. b) Funksionele bestuurders dra nie kruisfunksioneel by tot die opleiding en ontwikkeling van vaardighede wat in ander departemente ontbreek nie. c) Funksionele en mededingende strategiee word nie verder as die formulering daarvan ontwikkel nie. Gevolglik rugsteun dit nie die korporatiewe strategie tot implementering nie. d) Senior bestuur is te ingegrawe in operasionele detail, sodat 'n helikoptervisie oor strategiese rigting en implementering meestal ontbreek. e) Daar bestaan nie 'n werkswyse vir die identifisering, hantering en bestuur van kritiese kwessies vir strategie-implementering nie. Die ondersoek stel twee instrumente wat met mekaar verband hou voor vir die hantering van kritieke kwessies naamlik 'n kritieke kwessie bestuursvorm en 'n kritieke kwessie register. Dit vorm 'n bestuursinstrument wat saam met 'n bestuursmodel en -raamwerk, wat vir A P L Cartons ontwikkel is, gebruik kan word om strategiese doelwitbereiking na te streef. Die raamwerk is ontwikkel nadat vasgestel is dat strategie en projekte binne dieselfde verwysingsraamwerk bestuur kan word, omdat beide dieselfde oorsprong en onderbou deel. Die oorsprong word gevind by korporatiewe doelstellings, terwyl 'n rigtinggewende waardestelsel die onderbou daarvoor verleen.