Strategic Management

Strategic Management Strategy is the term used for integration of the organizational activities and utilization and allocation of the scarce resources within the organizational environment so as to meet the present objectives. While planning a strategy it is essential to consider that decisions are not taken in a vacuum and that any act taken by an organization is likely to be met by a reaction from those affected, competitors, customers, employees, suppliers or other stakeholders. Strategy is an action that managers take to attain one or more of the organization’s goals. Strategy can also be defined as ‘A general direction set for the company and its various components to achieve a desired state in the future. Strategy results from the detailed strategic planning process’. Strategic planning Strategic plan is a document which is used to communicate with the organization the goals of the organization, the actions needed to achieve these goals and all of the other critical elements developed during the planning exercise. Strategic planning is a management activity that is used to set priorities, to focus on energy and resources, to strengthen operations, to ensure that employees and other stakeholders are working toward common goals, to establish agreement around intended outcomes/results, and to assess and adjust the organization’s direction in response to a changing environment. It is a disciplined effort that produces fundamental decisions and actions that shape and guide what the organization is, who it serves, what it does, and why it does it, with a focus on the future. Effective strategic planning articulates not only where the organization is going and the actions needed to make progress, but also how it will know if it is successful. The Association for Strategic Planning (ASP), a U.S.-based, non-profit professional association has developed the following criteria for strategic planning and management. Uses...