The Nature Of Strategic Management Journal Commerce Essay

The Nature Of strategicalal counseling Journal craft Essay strategical counsel is ideas and injunctions that enable the giving medication achieve its verifiable or long- termination target to perform a better performance. The character of strategical management is to seek the opportunities for better proximo of the organization. Gener all toldy, good strategic management practices endure improve the organization performance and achieve the organization target objectives. The strategies on an organization atomic number 18 do by the management itself to ensure the reinforcementful of the organization. The strategic management procedure consists of three stages which ar outline formulation, outline performance and outline valuation.1. INTRODUCTIONToday, in that respect atomic number 18 umteen definitions of strategic defined by discordant authors and by adduce to Mintzberg et al. (1998), the definition of strategic is universal and there is no single. The othe rs author, Chandler (1962) as the Ameri arse occupation historian is the first person that defined strategic as determination of the basic long-term goals and objectives of an enterprise, and the adoption of courses of action and the allocation of resources prerequisite for birthing out those goals. In the context of construction, Channon (1978) defined scheme in term of the extent of diversification, global activity and acquisition policy. Mintzberg (1994) portrays scheme as a plan a direction, a guide or strategic prudence Practices in Malaysian Construction Industry 142 course of action into the future and as a pattern, that is, consistent in behavior over time.Strategic management has evolved into a more sophisticated and potentially more hefty tool (St one(a)y, 2001). The strategic management stages need a person who is adequate to handle this extremity more effectually and to make sure that its victor (Stahl and Grigsby, 1992). To ensure firm success and burn ove rcome any barriers that fall during strategic management bear on, the top management of an organization must extend their roles through involvement in the process, through dialogue and participation. The range consumption of the process is to achieve the understanding and commitment from top management and employees.2. Strategic Management in General STRATEGIC MANAGEMENT IN planetaryThere ar many definitions that argon defined by various authors. According to David (1997) strategic management is the art and science of formulating, applying, evaluating cross useable decision that enable organization to achieve its objectives. Wheelen and Hunger (1984) say that strategic management is a set of managerial decisions and actions that sterilises the long-run performance of an organization. It includes surroundingsal scanning (both external and internal), outline formulation (strategic or long-range planning), dodge executing and evaluation and control. Wheelen and Hunger (20 03) noned that people at all levels, not just top management, need to be involve in strategic management scanning the environs for critical in fundamental law, suggesting changes to strategies and programs to take service of environs shifts, and working with others to continuously improve work methods, procedures, and evaluation techniques by working with other people in the organization.3. FINDINGSStages in Strategic Management system FormulationThe first phase is outline formulation. Certo and Peter (1991) give tongue to that schema formulation want to ensure that the organization achieve the objectives that they construct been made. David (1997) say that scheme formulation includes the decision on what business to conduct, how to assign the resources, and whether want the business join or enter to international market. Besides, David likewise verbalize that dodging formulation phase includes growth a deal and mission, placeing an organization external opportunit ies and threats, determining internal strength and weaknesses, turn outing long-term objectives, generating substitute strategies, and choosing the best alternative strategy to be pursue. He also said that issues in strategic management includes deciding what new business to enter, what business to abandon, how to allocate resources without hostile takeovers, whether to expand operations or diversity, whether to merge or form a joint venture, whether to enter international markets and how to avoid a hostile takeover.ROLES OF INTELLIGENCE IN STRATEGY FORMULATIONGood news is not necessarily going to make a great strategy while successful strategies ar derived from good intelligence concerning a ac orders make out business environment including the competition. There is some intelligence role in strategy formulation. Among them are Describing the Competitive Environment.Intelligence epitome must to carry out their responsibilities, so that the company can compete with the challe nging environment over time. Besides that, intelligence should also determine the causes of the companys competitive environment, including competitors, customers, products, the organise of the industry in which they all perform, and the type of competition, such as scathe performance, and technology.Forecasting the Future Competitive EnvironmentIntelligence department can provide predictions of future business for the company, especially in the competitive environment in which the company is likely to find itself. Business intelligence appraisal is the virtually subdue intelligence products to reflect the competitive environment in the future, as being one entirely different from the business environment that it competes in today.Identifying and Compensating for Exposed Weaknesses.Companys own weaknesses and vulnerabilities can be identify and pass judgment by using intelligence department. Usually when a company is intimately to launch a new strategy or enter a market or bu siness that it has never participated in before, this ability is in particular valuable because the competition is likely to have assessed the newcomers strengths and weaknesses and will exploit those weaknesses that are truly vulnerabilities. Before entering the new business arena, companies must be aware of his own weaknesses before the occurrence of a competition. This is to ensure that the company is always ready to take corrective action or organize new strategies so that the company is not affected.Using Intelligence to action and Adjust dodging to the Changing Competitive Environment.After the new strategy have been designed and tested, then it goes through dickens distinct phases of executing. sign instruction execution of the first phase is when competitors began to detect and respond to the strategys salient features. sequence the second phase is developing a more complete and appropriate set of actions to counter your strategy. The intelligence that you gather du ring both distinct phases of writ of execution are critical to the long-term viability of your new strategy because comprehensiveness, timeliness, objectivity and epitome are containd in these two phase. Few US companies are capable of managing such in effect(p) business intelligence operations and then formulating the appropriate ongoing business plans necessary to continually adjust their strategy to the changing competitive environment.DESIGNING A STRATEGY FORMULATION touch on FOR NEW, TECHNOLOGY-BASED FIRMS A KNOWLEDGE-BASED APPROACHWhen open innovation models are being introduced in the industry, innovative firms must taking more and more open forms, so that a firm can farm the innovation process in a intimacy- found society. In addition, the firm also can build holey borders to incorporate their own familiarity and competencies with others. The first step is to identify efficacious fellowship among employees and stakeholders of the NTBF (new technology based firm ), so that they do not pack further discussion. However, in the external environment, identify useful cognition is not as easy as I thought. There are several(prenominal) questions that must be answered to proceed from knowledge identification to withdraw knowledge -Who has the pass knowledge?This question is more relevant when searching among the members of the NTBF tho if also a who knows the where about(predicate)s of the bespeak knowledge? which is more relevant when the requested knowledge lies outside the firm.What are our relations with the actor holding the requested knowledge?Question like this is to identify ways to strengthen ties in the relation with the actor/partner holding the requested knowledge. What drives this relationship? Is it based on friendship, a strategic alliance, a mutually-beneficial business relationship, or a potential partnership etc.?What is the nature of the requested knowledge?The 3rd question is link to the knowledge complexity that determ ines the ability to accomplish the knowledge enthral because it is has to be regarded indoors the framework of a specific knowledge exploit, between specific persons in a specific context.How can we transfer this knowledge and what is the compensation requested for this transfer?The fourth question related to the readiness of the owner knowledge to share knowledge because knowledge transfer process cannot be determined in advance, and this depends on the complexity of knowledge and the absorptive capacity of the recipient to make the transfer.Apart from compensation, are there additional speak tos associated with the transfer?The fifth question tries to examine the non-monetary address associated with the transfer of knowledge. As mentioned earlier, a NTBFs resources are limited and valuable and the cost to absorb a knowledge transfer might prove high-priced in terms of man days of key members of the NTBF.Does this knowledge transaction contribute to the formation of a collabo rative competitive advantage?The final question concerns the examination of the probability that this knowledge transaction is part of the formation of a knowledge-based strategic alliance forming a sustainable competitive advantage that is difficult to imitate.Strategy ImplementationThe second phase is strategy carrying into action. In this phase, Sharplin (1995) said that all the organization activities or business strategies must be based on the strategic plan made. Organization must establish the objectives and policies of the company so that all the employees know what they should do to achieve the company objectives. Besides, the company also needs to do something to ensure that all the employees are motivated to do the job, and resources need to be allocating to execute formulated strategies. stiff strategy implementation is really meaning(a) to the organization. Based to Certo and Peter (1991), effective strategy implementation is really of the essence(p) to get the ben efits of performing an analysis of organizational, establishment of organizational direction and formulating.APPRAISING THE ROLE OF STRATEGY executing IN EXPORT PERFORMANCE A CASE FROM MIDDLE easternmostThey are various point of views to define and describe the strategy implementation. Strategy implementation whitethorn be define as a process inducing various forms of organizational learning, because both environmental threats and strategic responses can make something happen for organizational learning processes (Lehner, 2004). Strategy implementation is a combination process of implementing strategies, policies, programs and action plans that swear outs a firm to take the benefits of opportunities in the competitive environment by using wisely and usefully its resources (Harrington, 2006). Strategy implementation is also can be described that the companies can identify the future opportunities as a lively process (Schaap, 2006). On the vault of heaven of studies in strategy im plementation, it must be done with the international perspective. In Hrebiniak conceptual framework there are some suggestion about the key factor for strategy implementation which include of eliminateership, facilitating global learning, developing global managers, having a matrix structure and working with external companies for international environment. Besides that, there are other framework introduced by Yip, that intricate organizational structure, culture, people and managerial process (Okumus, 2003). There are two groups of variables which is operational (budgeting, structure) and managerial (culture, leadership) that had been identify in this study of measuring the strategy implementation.STRATEGY IMPLEMENTATION AND CONTROLDuring an action, strategy implementation is a managing forces and focuses on efficiency. It is primarily an operational process, requires special motivation and leadership skills and requires the combination among many individual.There are some severa l of issues that involve in strategy implementation which is Strategies are not lead to action and have to be activated through implementation.Plan should be lead in strategies. termination of plan in different kind of programmes.Formulation of projects must lead to programmes. Separate allocation of fund is requires and it must be completed within a time given.The needed infrastructure for the day-to-day operations create of Projects create within an organization.Strategies implementation is not limited to formulation of plans, programmes, and projects. resources would require in projects. After it has been provided, it would be essential to see a strait-laced organizational structure is designed, systems have been installed, devised the functional policies, and various behavioural inputs are provided to make sure the plans may work.Below is the issues in strategy implementation that are to be considered Project implementationProcedural implementationResource allocationStructura l implementationFunctional implementationBehavioural implementationTHE ROLE OF STRATEGIC LEADERSHIP IN EFFECTIVESTRATEGY IMPLEMENTATION PERCEPTIONS OF SOUTH African STRATEGIC LEADERSThe effectiveness and importance of strategy implementationIn some of organizations from South African, it was found that the strategy implementation is more important than strategy formulation and can be see that the ability to implement a strategy in an organisation is more likely important than the ability to formulate a strategy in an organisation. Strategy implementation can be more difficult than the strategy formulation. This study was founded that the effectiveness of strategy implementation in South African organizations can help the organisation to gain the effectiveness of organisation. It can show that, the strategy implementation more effectiveness to be utilize it within the organisation.Barriers to effective strategy implementationThere are some barriers to achieve the effectiveness of s trategy implementation The workforce are poorly to understanding of the strategy and the most of important barriers to effective strategy implementation is there are an unable communication of the strategy among the workforceAnother major barrier to an effective strategy implementation is strategic leadership is not perceived.Drivers of strategy implementationThe importance of the drivers of strategy implementation The most important driver of strategy implementation is strategic leadership.Strategic leadership contributes positively to the effective implementation of a strategy within an organizationMany all of authors stated that the key of strategy implementation is strategic leadership (Hrebiniak 2005 Collins 2001 Useem 1998, 2001 Locke Kirkpatrick 1991 freedman Tregoe 2003 Hitt et al. 2007 Hsieh Yik 2005 Bossidy Charan 2002 Thompson Strickland 2003 Hussey 1998 Kaplan Norton 2004). In fact, the effectiveness of strategy implementation is based on the strategic leaders of the organisation and to get the effectiveness to implementing strategy within the organisation, it is only through effective strategic leadership. (Hitt et al. 2007).The role of strategic leadership actions in strategy implementationThe most important role in effective strategy implementation is the strategic leadership. The other of the important roles in strategy implementation is culture of human capital, the exploitation and maintenance of core competencies. The development of social capital is the strategic leadership action is to play the to the lowest degree important role in effective strategy implementation.Strategy military ratingThe last phase of this management process is evaluation. Weiss (1972) define the purpose of evaluation as measuring the effects on given task whether it is accord to the goals and objective of the organization. Thus, an improvement or corrective action should be interpreted after the evaluation has been made. It is really important to use a m achinate analysis to figure out the strengths, weaknesses, opportunities and threats for both external and internal factors. This may require taking certain precautionary throwaways to change the entire strategy. enquiry methodologies need to be used to quantify the outcome from the evaluation against the goals that has been made to create a success. Weiss agree that goals are really important in an evaluation to improve the performance. Evaluation done by reviewing current strategies, measure the performance and take the corrective actions. The need of an evaluation is to know the success of the organization. Certo and Peter (1991) stated that the evaluation needs information about strategic performance to compare it with existing standards.Balanced scorecard (BSC) is an example of one of the popular approaches to evaluate the organization performance. It was first introduced by Kaplan and Norton (1992. 1996a). The BSC typically is a method that allows an organization to indicate its vision, develop and communicate a strategy to achieve the established vision and convert the developed strategy into action.4. finaleIn general, strategic management can be used to determine mission, vision, values, goals, objectives, roles and responsibilities. Strategic management is important in the organization to know the objectives and the aim of the organizations. The nature of strategic management also involve about the process or stages. This study was focused on the strategic management process. Strategic management process has three stages which is strategy formulation, strategy implementation and strategy evaluation. The strategic management process is becoming more widely used by small firms, large companies, nonprofit institutions, governmental organizations, and multinational conglomerates alike. It represents a logical, systematic, and objective approach for determining an organizations future direction. All the three stages of the process were important for all the organization. This is because those process are more likely as a guideline to the organization to manage their organization. Without a proper strategy the successful and the effectiveness cannot be occur. A good strategist plans and controls his or her plans, whereas a bad strategist never plans and then tries to control people. We can conclude that the strategy is important within the organization which as a direction for organization to manage their management.Without a strategy, an organization is like a ship without a rudder, going around in circles. Its like a tramp it has no place to go. Joel Ross and Michael Kami