Essay on Strategic Management
UNIT – I STRATEGY AND PROCESS
|Conceptual Framework for Strategic Management – Concept of Strategy and Strategy Formation Process – Stakeholders in Business – Vision, |
|Mission and Purpose – Business Definition – Objectives and Goals – Corporate Governance – Social Responsibility |
CONCEPTUAL FRAMEWORK FOR STRATEGIC MANAGEMENT
Strategic management deals with decision making and actions which determine an enterprise’s ability to excel survive or die by making the best use of a firm’s resources in a dynamic environment. The main purpose of study of strategic management is to examine why some organization succeed while others fail and yet others completely change.
Consider the following …show more content…
Conceptual Framework for Strategic Management: ➢ Strategic Advantage ➢ Organizational capability ➢ Competencies ➢ Synergistic Effects ➢ Strengths and weaknesses ➢ Organizational Resources ➢ Organizational behavior
THE CONCEPT OF STRATEGY AND THE STRATEGY FORMATION PROCESS
Concept of Strategy
The term strategy is derived from a Greek word strategy which means generalship. A plan or course of action or a set of decision rules making a pattern or creating a common thread.
Strategy is a framework through which an organization can assert its vital continuity whilst managing to adapt to the changing environment to gain competitive advantage.
According to Igor Ansoff (1984), “Strategic Management is a systematic approach to the major and increasingly important responsibility of general management to position and relate the firm to its environment in a way which will assure its continued success and make it secure from surprises”.