What is Strategic Management?
Strategic management begins by identifying where the firm is right now, what it stands for and creating a vision for where you want to the firm to be in the future. Next, the leadership of the firm must develop a mission statement defining the corporate values and culture. The next step is to set up plans and objectives in order to meet the outlined performance goals covered in the mission statement. These performance goals can be based on financial performance like return on investments, profits, cash flow, or strategic objectives like becoming a market leader, or gaining an advantage in the areas of research and development, productivity, or social awareness.
Developing a Strategy
First, there are three levels a firm must consider when implementing a strategy. Number one is the corporate level which deals with management strategies across the organization and determining areas of the business to actively compete with. Next, is …show more content…
If the firm realizes that they have made an error in their evaluation this is the time to realign their strategy. It is imperative that the firm develops a forward thinking approach and incorporates a strategy that can keep up with the fast-changing market in our new global economy. By providing checkpoints along the way the firm can make the necessary changes to adapt to the changing marketplace and ensure their objectives are in line with the mission and have the built-in adaptability to meet changes in consumer behavior, trends, and economic instability. It is extremely important when a firm reaches its overall goal to find a way to sustain its success. Sustainability is a true measure of a firms achievement. Just look at companies who have been able to sustain their competitive advantage and build a huge customer base of loyal
Strategic management begins by identifying where the firm is right now, what it stands for and creating a vision for where you want to the firm to be in the future. Next, the leadership of the firm must develop a mission statement defining the corporate values and culture. The next step is to set up plans and objectives in order to meet the outlined performance goals covered in the mission statement. These performance goals can be based on financial performance like return on investments, profits, cash flow, or strategic objectives like becoming a market leader, or gaining an advantage in the areas of research and development, productivity, or social awareness.
Developing a Strategy
First, there are three levels a firm must consider when implementing a strategy. Number one is the corporate level which deals with management strategies across the organization and determining areas of the business to actively compete with. Next, is …show more content…
If the firm realizes that they have made an error in their evaluation this is the time to realign their strategy. It is imperative that the firm develops a forward thinking approach and incorporates a strategy that can keep up with the fast-changing market in our new global economy. By providing checkpoints along the way the firm can make the necessary changes to adapt to the changing marketplace and ensure their objectives are in line with the mission and have the built-in adaptability to meet changes in consumer behavior, trends, and economic instability. It is extremely important when a firm reaches its overall goal to find a way to sustain its success. Sustainability is a true measure of a firms achievement. Just look at companies who have been able to sustain their competitive advantage and build a huge customer base of loyal