Why do some corporate strategies succeed? And why do some of them fail? The answer is in effective strategic management. While most managers and executives are quite familiar with what strategic or institutional management is, many of them do not really have a good grasp of what this concept really means. And also, many of them fail to see that an understanding of strategic or institutional management should not only be kept within the managerial or executive level. This concept should be understood by all the people who are part of the company.
Strategic management is simply the formulation, implementation, and evaluation of cross-functional decisions and strategies that are aimed to help the company or organization achieve its long-term goals or objectives. It involves developing and specifying the mission, vision, objectives, policies, and plans of the company or organization. More often than not, these are expressed in terms of projects and programs designed to achieve the goals or objectives of the company or organization.
It also involves the proper allocation of resources so that the policies, plans, projects, and programs can be successfully implemented. In this manner, the mission, vision, and objectives that have been set can be fully realized. To help check whether the company or organization is on track, a balanced scorecard is often used. Through this balanced scorecard, the overall performance of the company or organization can be evaluated to check its progress towards the achievement of its goals or objectives.
While strategic management is meant to be a level of managerial activity, it also involves everyone in the company or organization. It involves the formulation of goals by thinking about doing more than just tactics. It helps give an overall direction to the company or organization. And more than just having a strategic alignment within the company, it also seeks to have a strategic alignment between the company or organization and its environment.
Simply put, strategic management is an ongoing process that seeks to evaluate and put control on the different businesses and industries that a company or organization might be involved in. It also helps evaluate competitors to help set specific goals and strategies so that existing and potential competition can be met or addressed. More importantly, it re-evaluates the each of the different corporate or organizational strategies regularly to help determine how it has been implemented, and whether the strategies have succeeded or they need to be replaced with new ones to better address different corporate or organizational and environmental changes.
Strategic management is simply the formulation, implementation, and evaluation of cross-functional decisions and strategies that are aimed to help the company or organization achieve its long-term goals or objectives. It involves developing and specifying the mission, vision, objectives, policies, and plans of the company or organization. More often than not, these are expressed in terms of projects and programs designed to achieve the goals or objectives of the company or organization.
It also involves the proper allocation of resources so that the policies, plans, projects, and programs can be successfully implemented. In this manner, the mission, vision, and objectives that have been set can be fully realized. To help check whether the company or organization is on track, a balanced scorecard is often used. Through this balanced scorecard, the overall performance of the company or organization can be evaluated to check its progress towards the achievement of its goals or objectives.
While strategic management is meant to be a level of managerial activity, it also involves everyone in the company or organization. It involves the formulation of goals by thinking about doing more than just tactics. It helps give an overall direction to the company or organization. And more than just having a strategic alignment within the company, it also seeks to have a strategic alignment between the company or organization and its environment.
Simply put, strategic management is an ongoing process that seeks to evaluate and put control on the different businesses and industries that a company or organization might be involved in. It also helps evaluate competitors to help set specific goals and strategies so that existing and potential competition can be met or addressed. More importantly, it re-evaluates the each of the different corporate or organizational strategies regularly to help determine how it has been implemented, and whether the strategies have succeeded or they need to be replaced with new ones to better address different corporate or organizational and environmental changes.
About the Author:
CMOE has been helping companies with strategic thinking and team building since 1978. Through a strategic thinking workshop and other innovative business techniques CMOE has established themselves a leader in the business world. Visit www.cmoe.com for more information.
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