Task 1
What is Strategy?
Strategy is the long-term plan of an organization, which achieves advantage in a dynamic environment through fully utilization of available resources and competencies in order to achieve the goals of an organization.
Theories Related to Strategic Planning
Strategic planning is a management tool that is intended to support goals and objectives and making decision by allocating resources and it additionally helps to spot company’s strength, weakness, opportunities and threats. Business strategies are formulated in such a way that it meets the changing needs of organization in order to cope in a competitive environment.
Depending on each business’ unique characteristics and, importantly, their preferred outcomes, business strategies are of different types. Similarly, business strategies are also dependent on the structure and function of an organization.
An influencing strategic planning process involves defining organizations strategies, long term aims and objectives and allocating resources in order to achieve the ultimate goal of an organization. Before making the strategies of an organization one should know the current position of an organization. The current position of an organization shows where we are now and what kind of strategies we need to formulate in order to gain the competitive advantages in the future. Various tools such as PEST analysis, situational analysis, scenario planning are most helpful to formulate strategies of an organization.
Situational analysis
Situational analysis is a forecasting tool used by an ideal manager in order to forecast the internal and external environment of an organization to gaining competitive edges with in the changing environment. It helps to identify ex...
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...neral public and less restrictions from the government and consumer protectionists.
To recapitulate, business that incorporates ethics in their business strategy will ultimately achieve business success due to their long term commitment to their consumers, nay business environment.
Reference https://www.lotsofessays.com/signup.html http://en.wikipedia.org/wiki/Strategic_planning http://www.missouridevelopment.org/Business%20Solutions/Innovation%20and%20Business%20Development/Business%20Development.html http://en.wikipedia.org/wiki/Feasibility_study http://www.tutor2u.net/business/strategy/competitive_advantage.htm http://en.wikipedia.org/wiki/Kentucky_fried_chicken http://murasakibara-murasakibara.blogspot.com/2009/08/background-kfc-corporation.html Tony Proctor 1997. Establishing a strategic direction: a review. Management Decision. 35/2 [1997] 143–154
According to Thompson, Peteraf, Gamble and Strickland (2016, p. 23), a strategy is competing differently using a set of actions to perform better over rivals and achieve greater profitability. It
Now, what is strategic planning? Strategic planning is a process that redefines and strengthens the values, purpose, vision, mission, goals and objectives of an organization. The planning process an organization undergoes helps identify the outcomes it wants to achieve through its programs and the specific means by which it intends to achieve them. Some strategic planning can be a process for setting future directions, to reduce any risk, train supervisors
Numerous definitions of strategy exist, in most circumstances strategy can loosely be explained as an overall plan of deployment of resources to ascertain a favourable position within a market (Zablah, Bellenger and Johnston 2004; Grant 1994, p 14). Further, imbedded in many successful organisations are strategies, the importance of which is to remain relevant in the market, and successful in the various attributes of business; profiteering, employee motivation, maintaining sustainable core competencies, effectiveness in operation, or efficiency in the conduction of operations. Therefore challenges involved in the formulation and implementation of a strategy can revolve around the overall external market, as well as internal
Strategic planning is the organizational process of laying out the strategy, locating resources towards the implementation of these strategies for achievement. Strategic planning deals with the matter relating to the whole organization instead of a section or a unit. When one is laying out these plans there are questions they are supposed to ask in that process such as; what do you do? For whom do you, do it? How do you excel in doing it?
From the abovementioned it becomes clear that the strategic planning model shares various characteristics with other models, for instance the making of decisions, the solving of problems and process consultation (Fuqua & Kurpius, 1993). The strategic planning model does, however, have a number of distinctive features, including its emphasis on the future and its focus on cultivating a vision that view the organization in its futuristic, rather than present, state. The process of strategic planning leads to organizations that are more adaptive and that are more prepared for the future (Fuqua & Kurpius, 1993).
Strategy is the pattern of decisions determining the organization’s objectives, purposes, or goals. It outlines the principal policies and plans for achieving those goals, and clearly defines the range of businesses the organization has to pursue. Strategy as a pattern of decisions also highlights the nature of human and economic organization it intends to be, and the nature of the economic and noneconomic contribution it intends to make towards its stakeholders, mainly, the shareholders, customers, employees, and communities[1].
If asked what strategic planning is one could interpret it as simply a road map that can guide the organization in the right direction. It is very unlikely that an organization would know which direction to take without a sense of direction. Managers are faced every day with decisions that have a major impact on the direction the organization must take, therefore, strategic planning can play an important role in guiding managers in the right direction. In other words strategic planning is a tool that management can use to give them a sense of direction that will guide them in doing a better job and to ensure that all the members of the organization are working toward the same goals
Strategic planning has a focus on stabilizing the current environment, and it also support the organization's business plans and goals. Strategic planning helps to implement new projects, new technology, consolidation of data centers, data warehouses, exponential data growth, cost of ownership, and resources available in an organization to assess the future requirements. Strategic planning analyzes the business plan, potential blockage or other issues in the current architecture, processes and their implementation in new initiatives, and processes. Strategic planning helps to formulate the ideas about the key factors that are affecting the present and future development of the organization and the opportunities offered by the environment and the competence of the organization.
A good business strategy can help to identify trends in the business and marketplace in the future and present. It will also help to identify broader changes in the market like political, technological and social, and customer changes.
The importance of strategic plan is obvious in improving and maintaining the business performance, especially in financial performance. The financial performance is essential in the business, which is can gain a lot of profit to the business and can buy the asset for the business. So that, the best of the strategy are used in the organization, the better performance will get to achieve in the order to ensure the organization goal. So that, the organization should consider the strategy that will use in the organization before decide the best strategy for their
A successful business strategy will identify changes in the external trends in the market place. Plan out what the company’s future direction is. Set out the goals for the management team. It will identify a vision of where the company wants to be in the future. Keep all employees informed of the direction of the company.
Strategic planning implies establishing in advance what an individual or organization wants to achieve within a specified timeframe and deriving ways on how to achieve that. A strategic plan is basically a course of action that is used to attain desired results. It means anticipating the future and having measures on how to grow into the future. Technology is a macroeconomic factor that is rapidly growing and changing. Technology has had positive effects all over across the globe to business organization and to individuals.
The four steps that lead managers and the firm through the strategic planning process are first defining the company’s mission, then setting objectives and goals, next designing a business portfolio and lastly developing functional plans. The first step involves focusing on consumers’ needs and wants. Setting forth a market oriented mission that organizations want to reach based on consumers of the environment. After finding the mission, organizations then proceed to put together supportive objectives for every level of management to help achieve its mission. Next the company has to design a business portfolio evaluating all of its current business and future business by coming up with
Strategic Planning is looking at where you are now, knowing where you want to be in the future and planning the steps to get you there.
Strategic planning is the continuous and systematic process of guiding members of an organization to make decisions about its future, develop the necessary procedures and operations to achieve that future, and determine how success will be achieved.