Access over 20 million homework & study documents

Purposes of Strategic management

Content type
User Generated
Type
Study Guide
Rating
Showing Page:
1/22
Strategic Management
“Without a strategy, an organization is like a ship without a rudder, going around
in circles. It’s like a tramp; it has no place to go.” Joel Ross and Michael Kami
What is Strategic Management?
Strategic management can be defined as the art and science of formulating,
implementing, and evaluating cross-functional decisions that enable an
organization to achieve its objectives.
Purpose of Strategic Management
To exploit and create new and different opportunities for tomorrow.
Stages of Strategic Management
Strategy formulation
Strategy implementation
Strategy evaluation
Strategy Formulation Includes…
Developing a vision and mission
Identifying an organization’s external opportunities and threats
Determining internal strengths and weaknesses
Establishing long-term objectives
Generating alternative strategies
Choosing particular strategy to pursue
Issues of Strategy Formulation
Deciding what new business to enter and what business to abandon
How to allocate resources
Whether to expand operations or diversify
Whether to enter international markets
Whether to merge or form a joint venture
How to avoid hostile takeover

Sign up to view the full document!

lock_open Sign Up
Showing Page:
2/22
Strategy Implementation
It requires a firm to establish annual objectives, devise policies, motivate
employees, and allocate resources so that formulated strategies can be
executed.
It often is called the “action stage” of strategic management.
Strategic implementation includes…..
Developing a strategic supportive culture
Creating an effective organizational structure
Redirecting marketing efforts
Preparing budgets
Developing and utilizing information systems
Linking employee compensation to organizational performance
Strategy Implementation
Often considered to be the most difficult stage, it requires personal
discipline, commitment, and sacrifice.
Interpersonal skills are especially critical for successful strategy
implementation.
The challenge is to stimulate managers and employees to work with pride
and enthusiasm toward achieving stated objectives.
Strategy Evaluation
It is the final stage in strategic management.
Managers desperately need to know when particular strategies are not
working well.
Strategy evaluation is the primary means for obtaining this information.
All strategies are subject to future modification because external and
internal factors are constantly changing.
Three fundamental strategy-evaluation activities are….
1. Reviewing external and internal factors that are bases for current
strategies.
2. Measuring performance.
3. Taking corrective actions.
Strategy Evaluation

Sign up to view the full document!

lock_open Sign Up
Showing Page:
3/22

Sign up to view the full document!

lock_open Sign Up
End of Preview - Want to read all 22 pages?
Access Now
Unformatted Attachment Preview
Strategic Management “Without a strategy, an organization is like a ship without a rudder, going around in circles. It’s like a tramp; it has no place to go.” Joel Ross and Michael Kami What is Strategic Management? Strategic management can be defined as the art and science of formulating, implementing, and evaluating cross-functional decisions that enable an organization to achieve its objectives. Purpose of Strategic Management To exploit and create new and different opportunities for tomorrow. Stages of Strategic Management Strategy formulation Strategy implementation Strategy evaluation Strategy Formulation Includes… Developing a vision and mission Identifying an organization’s external opportunities and threats Determining internal strengths and weaknesses Establishing long-term objectives Generating alternative strategies Choosing particular strategy to pursue Issues of Strategy Formulation Deciding what new business to enter and what business to abandon How to allocate resources Whether to expand operations or diversify Whether to enter international markets Whether to merge or form a joint venture How to avoid hostile takeover Strategy Implementation It requires a firm to establish annual objectives, devise policies, motivate employees, and allocate resources so that formulated strategies can be executed. It often is called the “action stage” of strategic management. Strategic implementation includes….. Developing a strategic suppor ...
Purchase document to see full attachment
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Anonymous
Really great stuff, couldn't ask for more.

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4

Similar Documents