STRATEGY-MAKING

Strategy-Making in Organizations

Strategy-Making in Organizations

Introduction

The value of strategic management, enabling businesses to survive the competition in the long term, increased dramatically in recent decades. All companies in the highly competitive and rapidly changing situations should not only focus on the internal state of affairs in the company but also produce long-term survival strategy that would allow them to keep pace with changes occurring in their environment. In the past, many firms are able to operate successfully, focusing mainly on the daily work on domestic issues related to the increased efficiency of resource use in current operations. Now, though, and not removed the problem of rational use of the potential in the current work is an essential exercise of such control that the organization adapts to the rapidly changing environment. Whereas previously it was thought that large has the best chance to win the competition as compared with the small, it is now becoming increasingly clear fact that the competitive advantage gets more rapid. Acceleration of changes in the environment, the emergence of new demands and changing the position of the consumer, increased competition for resources, the internationalization of business, the emergence of new, often quite unexpected opportunities for business development of information networks that allow for lightning-fast spreading and receiving information, the widespread availability of modern technology, the changing role of human resources, as well as several other factors have led to a sharp increase in the value of strategic management. Business practice has shown that there is a strategy common to all companies, as there is no single universal policy management. Each company is unique in its kind, and the process of developing a strategy for each firm is unique because it depends on the firm's position in the market, the dynamics of its development, its potential, the behavior of competitors, the characteristics of the goods it produces or services rendered by it, the economy, the cultural environment and much more. At the same time, there are a number of fundamental points that suggest some generalized principles of strategic management. Of course, you should always remember that strategic management is primarily a product of creative executives, but at the same time we can talk about some of the theory of strategic management, knowledge of which allows for more effective management organization.

The essence of strategic management The term “strategic management” was introduced into use in the late 60s of the twentieth century in order to identify the difference between the current management at the level of production and management carried out at the highest level. The need to fix this difference was caused primarily by changes in business conditions. The leading idea, reflecting the nature of the transition from operational to strategic management, was the idea of ??the need to shift the center of attention of top management on the environment, in order to adequately and timely respond to the changes occurring in it.

Case Study

PCWorld, at the Staples Corner, is a medium-sized branch with around 70 full time and ...