Strategic Management Process



Strategic Management Process

Introduction

Strategic Management Process is very broad concept which is designed to facilitate companies to best meet the requirements and needs of their workforce and employees as promoting goals of the company. Strategic management refers to the industry of Business Administration, which is engaged in developing, planning and implementation of the content, purpose and direction of the organization. The period of time in strategic management generally contain two to five years, and not strategically equivalent to a shorter term, because it is based on the strategic implications. Because of the strong overlap with the objects of policy and the importance of product marketing for the company's strategic stakeholder management is strongly consistent with the concept of corporate governance (Johnson, G, Scholes, K, Whittington, R. 2008).

Discussion

The strategic management process is a continuous and systematic processes during which company executives make decisions that will have outcomes in the future. Additionally they develop plans and programs to implement the decisions and achieve the goals and finally, evaluate the performance. The strategic management process is a unique opportunity to unite the management, employees and stakeholders and customers in a common reflection to understand where the company and where it goes.

Corporate governance in strategic decision making

Corporate governance basically deals with the purpose and scope of the business as a whole in order to meet the expectations of the stakeholders. It is very important as it is highly affected by investors and stakeholders in the business and behaves to direct strategic decision making in business as a whole. It developed a formal decade ago with the rise of large companies, which have had to make both a dilution of their capital to acquire the financial strength necessary for their expansion and multiplication of their centers internal initiative to meet their organizational requirements: business leaders became less identifiable when their decisions have grown in impact force. Synchronization in overall department is very crucial for any business from the top level management to the operational level. The decisions are made on the corporate level to decide on what business to enter and what business is required to keep in the portfolio. Gradually, more and more questions have been raised regarding value that each business group adds to individual business, and most of the groups have stressed on HR for an area to change.

Environmental analysis

While conducting an environmental analysis for any organization, different variables and trends need to be kept in mind. For instance, for any organization/business it is necessary to conduct a thorough analysis of the market in which it operates, the consumer behavior of the area, the market trends, the strategies and operations adopted by its competitors functioning in the same market.

Every organization should include a thorough environmental analysis of the area in which it plans to operate. Environmental analysis certainly helps the organization in developing a good strategic management plan for the company's future endeavors and business operations.

Challenges in strategy implementation

Contemporary organizations constantly face several challenges in their modern organizational ...