What it Implies to Apply Strategic Management for Organizational Success

INTRODUCTION

Strategic management can be defined as the art and science of formulating, implementing and evaluating cross-functional decisions that enable an organization to achieve its objectives. As this definition implies, strategic management focuses on integrating management, marketing, finance or accounting, production or operations, research and development, and information system to achieve organizational success. Sometimes the term strategic management is used to refer to strategy formulation, implementation, and evaluation with strategic planning referring only to strategy formulation, (David, 2013).

(David, 2013), the strategic management process consists of three stages namely strategy formulation, strategy implementation, and strategy evaluation. Strategy formulation includes developing a mission and vision, identifying an organization’s external opportunities and threats, determining internal strengths and weaknesses, establishing long-term objectives, generating alternatives strategies and choosing particular strategies to pursue. Strategy implementation requires a firm to establish annual objectives, devise policies, motivate employees, and allocate resources so that formulated strategies can be executed. Strategy implementation includes developing a strategy-supportive culture, creating an effective organizational structure, redirecting marketing efforts, preparing budgets, developing and utilizing information systems, and linking employee compensation to organizational performance. Strategy evaluation is the final stage in strategic management. Managers desperately need to know when particular strategies are not working well. Strategy evaluation is the primary means for obtaining this information. All strat...

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...ewrite the music (fix the system). In life and in art, Deming simply wanted to make it easier for people to sing.

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