The Advantages of Strategic Management

995 Words4 Pages
In a business, there are several factors that either facilitate the success of the business or affect the achievements of the business. Strategic management is the process of studying and putting into practice any factors favorable to the business, and eradicating any factors that may adversely affect the business. Jurevicius (2012) defines strategic management as the science and art of formulating, evaluating, and implementing cross-functional decisions that are key to an organization's ability to achieve its objectives. The differences in business performance are mainly caused by management's ability to employ strategic management skills in the running of the business. Strategic management involves analyzing issues concerning the business structure and environment, making the correct decisions about how to deal with problems, and putting the decisions into practice, with the aim of countering competition and enhancing business outcomes (Dess, Lumpkin, & Taylor 2005, p. 1). In strategic management, managers need to work not only on the internal business environment, but also on the external business environment, formulating competent strategies, executing those strategies, and then assessing the effectiveness of the strategies and making the necessary adjustments, if the need arises (Parnell 2008, p. 2). In the internal business environment, strategic management involves the creation of such an environment, whereby all activities are coordinated effectively and are geared towards achieving the business objectives. During the formulation of the strategic management plan, managers define the mission of the business and lay down the strategies to be followed by all employees in working towards realizing the mission. The mission of a...

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...the strategies to handle the various needs, put the strategies into practice, and then follow up to assess the effectiveness of the strategies towards achieving the business goals.

Works Cited

Printed
Dess, G. G., Lumpkin, G.T. & Taylor M. L. 2005, Strategic Management. 2 ed. New
York: McGraw-Hill Irwin. Print
Nedelea, S & Paun A.L. 2009, The Importance of the Strategic Management Process in the Knowledge-Based Economy, Review of International Comparative Management Volume 10, Issue 1, March 2009. Print
Online sources
Jurevicius, O. 13 Feb. 2013, Strategic Management Insight; All You Need To Know About Strategic Management. Web. Retrieved from http://www.strategicmanagementinsight.com/topics/strategic-management-planning.html
Parnell 1/10/2008, Fundamentals of Strategic Management. Web. Retrieved from http://www.atomicdogpublishing.com/pdf/parnell_ch01.pdf
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