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... ... middle of paper ... ...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
. The traditional strategic planning model always matches the model of strategy making, and its goal is to obtain a relationship between internal resources and abilities and external opportunities and threats. However, this attitude can cause overemphasis on existing resources and current opportunities. On the other hand, the strategic intent can lead managers concentrate on establish new capacity to explore further opportunities.
Strategic Planning—the process of developing a plan to achieve organizational purpose—is a management tool used to focus a workforce’s energy. Strategic planning ensures that the workforce achieves an organization’s mission. It is used by large organizations to increase the chances for long-term growth and profitability (Auka, 2016). Lockheed Martin’s strategy is well-aligned with the organization’s mission, vision, and values, reviewed carefully by a well-qualified team, and regularly measured against the appropriate objectives. This has positioned the corporation for success.
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
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.
The strategic planning process is the formulation of the company’s major objectives and execution plans. This process is of particular interest in GE. Strategy formulation is the process of choosing the best methods for a company where customer needs; competitive position and internal capability are the three factors that play the main role in strategic planning. Every manager needs to have at least a simple notion of strategic planning to formulate his strategic plans. Strategic Planning is a wide and complex subject. Strategic Management background is an essential basis of any organization.
Strategic planning is done by the highest levels of an organization that goes threw three major phases. These phases include the formulation phase, the implementation phase and the evaluation phase. () These all play a great role for making the best possible way to carry out an action. The formulation phase is when a plan is initially developing and thought about as a way to help a business. The implementation phase is when the plan that was thought of is carried out. The evaluation phase goes over the success or failure of the plan and what could be changed and what shold have been done on the first place that could have helped the plan work. In order to come up with a plan, there must be a reason for it. This is known as the m...
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 Management and Planning is a course of decisions and actions which ultimately lead to the development of a strategy to help a company achieve their objectives. Strategic planning focuses on the company’s long term range and how to accomplish what is laid out. Effective planning will help to prevent problems, provide a response if problems occur, and make available information and support needed to maintain public awareness, safety, and confidence.
Fuqua and Kurpius (1993), defines strategic planning as a model that facilitates change and development within the organization. When compared to other processes of planning, the strategic planning model has been distinguished by Fuqua and Kurpius (1993) as: focussing more on the process than the product; making use of visions that can be easily distinguished from the steps that need to be taken in order to achieve those visions; placing an emphasis on the involvement of all possible stakeholders; characterizing change as a meaningful force not merely as barrier; being, fluid, long term and perceptive and being dedicated to the future survival of individuals that take part in the process of planning.
Setting goals and developing plans to attain those goals are critical components of organizational success. According to Reed and Bogardus (2012), “strategic planning is a systematic way of setting the direction for an organization and developing tactics and operational plans to ensure its success” (p. 109). The strategic plan outlines specifically where the organization wants to go and what it will do to move the organization towards that desired outcome. However, it is important to note that strategic planning is an ongoing process, not a one-time plan (Reed & Bogardus, 2012). Strategic planning evolves as organizations cope with changing conditions, problems, and demands.
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.
Undergoing the process of strategic planning can go a long way in helping to ensure the survival and growth of an organization it seeks to eliminate the weaknesses of an organization and to confirm its strengths. It also analyses the environment and other factors that might affect the smooth running of an org and tries to rectify them accordingly and also to give the organization competitive advantage.
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
In the highly competitive business environment and for an organization to be sustainable and prosperous in its business industry, an organization must engage in strategic planning which will help to place an organization’s direction in doing its business. It is a process of analyzing and developing to move an organization or destination from its current competitive position to a more desirable future competitive situation.
Business strategy starts with a mission and is a coordinated set of actions to fulfill objectives, purpose and goals and serves to set limits on what business will seek to