Strategic Management To Improve Core Competitiveness Commerce Essay

Published: Last Edited:

This essay has been submitted by a student. This is not an example of the work written by our professional essay writers.

Strategic management theory has engaged the brains of business leaders for centuries. Because of its importance, the strategy subject has been covered in many books and developed by many researchers. Organizations always seek to adopt dynamic and effective strategic management to secure proper growth and remain competitive (Skaik, 2009). All management activities will focus on developing and implementing strategy. Developing and implementing strategies for organization lies in the dynamic balance of external environment, internal conditions and the organization goals to ensure the organizations' strategic goals. It is necessary for any organization to implement strategic management. Under the conditions of market economy, the implementation of strategic management for organizations has very important significance. Unfortunately, it is not easily to master the strategy implementation skills. This essay will critically examine the benefits and limitations of strategy implementation in the organization and how strategy implementation could be enhanced. At last, this essay will give several recommendations to enhance the strategy implementation.

Literature Review (300)

Because of its importance, there are vast literatures on strategic management, but there is no single or unique definition. Ansoff points that strategic management is a systematic approach to position and relate the firm to its environment in a way which will ensure its continued success and make it secured from surprises (Ansoff, 1985). Coles argued that strategic management is basically concerned with setting the organization headlines aims, choosing the most suitable goals for such aims and achieving both over time (Cole, 1997). Strategic management is an ongoing process that evaluates and controls the business and the industries in which the company is involved; assesses its competitors and sets goals and strategies to meet all existing and potential competitors; and then reassesses each strategy annually or quarterly (i.e. regularly) to determine how it has been implemented and whether it has succeeded or needs replacement by a new strategy to meet changed circumstances, new technology, new competitors, a new economic environment., or a new social, financial, or political environment (Lamb, 1984).

According to the nature of strategy approach, many other different definitions generated. But they have the same aim which is to maximize the organization performance by enhancing core competitiveness of the organization. The strategic management mechanism can be used in government, business or social organizations. Strategic management is a new management thinking and management process. This management style is characterized by the implementation of strategic management to the organizations' overall current and future business activities. So, strategic management is advanced stage of the modern organization management. This essay argues that strategic management is a dynamic management process, and it is overall management to the organization's production and operation, and strategic management is a series of management decisions for the organization to develop and implement strategy. The issue is to improve the core competitiveness and seek long-term survival and development of the organization.

Strategy development in the organization (350)

Organizational development strategy is

The benefits of strategy implementation in the organization (500)

The limitations of strategy implementation in the organization (500)

Time Consuming: For taking a strategic decision, the managers make a study of internal and external environments. For this, a process of forecasting is being used. Besides this, interacting process is being done with various officers and employees. For all these works a lot of time is being consumed. Ignorance of other Managerial Functions: The responsibility of the chief officers is more who are connected with framing and implementation of strategy and due to continuously following the work of strategies they are unable to concentrate on other managerial works. Unsatisfaction in employees: The non-fulfillment of the expectations of the employees is the main reason for the unsatisfaction among employees. Many times officers use to say the employees that due lo strategies they will also have some advantages and if they do not get those advantages, then unsatisfaction takes place among them, which creates unfavourable attitude towards work and unit. Depression due to failure in target: Many times during the framing of strategy high targets are being fixed. If these targets are not achieved then dissatisfaction takes place among the employees. Protest of employees: When officers and employees are included in strate¬gic decisions process, they use to take more interest in some plans and methods. If the managers select any other plan except those which are related, then employees use to oppose them and criticize their decisions.

Demand for more reward and facilities: The extent to which the strategies depends on financial resources, to that extent the employees also demand more remuneration and facilities. If their demands are not fulfilled industrial disputes and unrest are created. Dependability: If the employees are continuously demanded for co-operation for the framing and implementation of strategy then they also feel the dependability of managers over them and in these circumstances the demands of employees go on increasing. Non-practical planning: In the strategic management by considering the external environment planning the long-term planning is done to achieve the long-term objective. After the planning done on the top level, the operational planning is being prepared by considering the special functions of the middle and bottom level. It is argued that during the planning due to the consideration of many questions of lower level it becomes non-practical. The quick changes are difficult to be done at the lower level in the technical process. Besides this the flexibility of the activities creates the question of co-ordination and control.

Political Pressure: In the strategic management at all the levels of the unit inteprocess has to be done with the working officers. Not only that but for the formation of the strategy the top level managers and experts are being included. In these circumstances, the political pressure and interference also plays an important role in decision making.

How to implement strategic management (450)

How strategy implementation could be enhanced (450)

Conclusion (200)