1. What is Strategic Management?

 Strategic management is the process of establishing and implementing an organization’s

strategy for the purpose of achieving its objectives. It involves analyzing current

circumstances, preparing organizational structure, allocating resources, directing

initiatives for change, managing processes that leads to a viable plan that will be

implemented in the organization itself. In addition, this happens at broader levels like

organization-wide leadership, but it can also be implemented at a department or team

level.

2. Discuss the different stages of Strategic Management.

 Establishing Goals

Determining the goal of the organization is the first and foremost step in the strategic

management process. Effective goal-setting involves understanding what your

organization stands for and what it wants to achieve. It includes the company mission,

vision, and long-term objectives.

 Situation Analysis

Situation analysis provides the necessary information that defines the company mission

statement. The process involves “scanning and evaluating the organizational context, the

external environment, and the organizational environment”. This stage requires looking

inside your organization to understand your strengths and weaknesses and looking

outside at the market starting with customers up to the competitors to identify

opportunities and threats.

 Strategy Formulation

Strategy formulation involves designing and developing company strategies. Stemming

from what were discovered from the situation analysis, it’s now a task for device a plan

to achieve the goals that were established. This could involve diversification, market

penetration, product development, partnerships, cost leadership, or differentiation

strategies, among others. Not every strategy that will be formulated will be viable. So one

aspect of this stage includes critically assessing the pros and cons of each course of

action. Considerations include feasibility, value alignment, resource availability, market

trends, and potential risks and rewards. This stage also involves constructing a
 contingency plan that will guarantee resilience and quick adaptability in case there are

some unexpected instances.

 Strategy Implementation

The implementation stage involves allocating resources, assigning tasks, and making sure

everyone in the organization knows what they’re supposed to be doing. This also includes

developing steps, methods, and procedures to successfully implement the strategy. It

includes prioritization as well. The strategies should be placed in a hierarchy based on the

prioritization of underlying issues.

 Strategy Evaluation

This stage is about monitoring your progress, comparing it with your plan, and making

adjustments. This entails determining whether deadlines are being met, whether the

implementation steps and processes are effective and whether the expected results have

been achieved. If the evaluation shows that deadlines are not being met, processes are not

working as anticipated, or that results are not in tandem with the end goal, then the

strategy is likely to fail and needs modification or reformulation.

3. Discuss and define the Strategic Management Model.

 A strategic management model determines the development of strategies required to

define an organization’s mission and accomplish it. Furthermore, it also identifies

concepts of strategy and the elements necessary for development of a strategy enabling

the organization to satisfy its mission. Major strategic management models indicates that

they all include the following elements:

 Performing an environmental analysis.

 Establishing organizational direction.

 Formulating organizational strategy.

 Implementing organizational strategy.

 Evaluating and controlling strategy.

4. What are the benefits of the Strategic Model?

 Improved Decision-Making
 Strategic management provides a framework for better decision-making. Leaders that are

tasked to manage the company are blessed with a chance to assess the potential impact of

their decisions on the overall strategic objectives of the organization.

 Promotes Interactivity and Collaboration

Strategy management promotes a healthy environment that encourages collaboration and

interactivity between departments and functions ensuring that everyone is working

toward the same goals and objectives.

 Enhanced Organizational Performance

Strategy management also helps organizations to focus on aspects that need

improvement, identify the best courses of action to achieve their goals and objectives,

and monitor progress.

 Effective Resource Allocation

Strategic management encourages organizations to utilize their resources more efficiently

by ensuring that resources are allocated to the most important areas.

 Customer Satisfaction

Strategy management helps organizations to better understand their customers and

develop strategies to meet their needs.