STRATEGIC MANAGEMENT

“THE STUDY ON STRATEGIC MANAGEMENT AND ITS IMPACT”

PROJECT REPORT

SUBMUTTED BY:

SUMI MURUGAN P K

ROLL NO: 52
3rd Trimester

SUBMITTED TO:

PROF. SOUMYA.B

MBA DEPARTMENT
MES College of engineering

MALAPPURAM DT, KERALA

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 TABLE OF CONTENTS

CHAPTER TITLE PAGE NO.

1 INTRODUCTION 3

2 COMPANY PROFILE 7

3 RESERCH METHODOLOGY 9

4 DATA ANALIYSIS AND 11

INTERPRETATI0N
5 FINDING, SUGGESTION 13
&CONCLUSION
BIBLOGRAPHY 15

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 CHAPTER-1
INTRODUCTION

INTRODUCTION
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 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 objective.” Strategic Management is all about identification and
description of the strategies that managers can carry so as to achieve better performance and
a competitive advantage for their organization. An organization is said to have competitive
advantage if its profitability is higher than the average profitability for all companies in its
industry.

Strategic management can also be defined as a bundle of decisions and acts which a manager
undertakes and which decides the result of the firm’s performance. The manager must have a
thorough knowledge and analysis of the general and competitive organizational environment
so as to take right decisions. They should conduct a SWOT Analysis (Strengths, Weaknesses,
Opportunities, and Threats), i.e., they should make best possible utilization of strengths,
minimize the organizational weaknesses, make use of arising opportunities from the business
environment and shouldn’t ignore the threats.

Strategic management is nothing but planning for both predictable as well as unfeasible
contingencies. It is applicable to both small as well as large organizations as even the smallest
organization face competition and, by formulating and implementing appropriate strategies,
they can attain sustainable competitive advantage.

It is a way in which strategists set the objectives and proceed about attaining them. It deals
with making and implementing decisions about future direction of an organization. It helps us
to identify the direction in which an organization is moving.

Strategic management is a continuous process that evaluates and controls the business and
the industries in which an organization is involved; evaluates its competitors and sets goals
and strategies to meet all existing and potential competitors; and then reevaluates strategies
on a regular basis to determine how it has been implemented and whether it was successful or
does it needs replacement.

Definition: 

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Strategic management is the management of an organization’s resources to achieve its goals
and objectives. It involves setting objectives, analyzing the competitive environment, analyzing
the internal organization, evaluating strategies and ensuring that management rolls out the
strategies across the organization. Strategic management is not static in nature; the models
often include a feedback loop to monitor execution and to inform the next round of planning.

Strategic Management Process:

 The strategic management process helps company leaders assess their company’s
present situation, chalk out strategies, deploy them and analyse the effectiveness of the
implemented strategies. The strategic management process involves analysing cross-
functional business decisions prior to implementing them. Strategic management
typically involves:

 Analysing internal and external strengths and weaknesses.

 Formulating action plans.
 Executing action plans.
 Evaluating to what degree action plans have been successful and making changes
when desired results are not being produced.

Strategic Management is all about specifying the organization’s vision, mission and
objectives, environment scanning, crafting strategies, evaluation and control.

IMPACTS OF STRATEGIC MANAGEMENT

A Complex Process
Strategic management involves continuous assessments of critical components, such as
external and internal environments, short-term and long-term objectives, organizational
structure, and strategic control. These components are interrelated, so a change in one
component may affect other areas.
For example, in an economic downturn, a company may need to reduce its workforce. The
external factor, which is the poor economy, changes the internal environment, which is the
number of people employed. Then, a company may need to review objectives and make
necessary adjustments. All of these factors ultimately influence a company’s management,
leadership and structural systems, which have a bearing on decision-making.
Time Consuming

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Managers spend a great deal of time preparing, researching and communicating the strategic
management process, which may impede day-to-day operations and negatively impact the
business. For example, managers may overlook daily issues needing resolution, and
inadvertently cause a decrease in employee productivity and short-term sales. When issues
are not resolved in a timely manner, higher employee turnover can result. This could force a
company to redirect critical resources, putting strategic management initiatives on a sidetrack.
Difficult to Implement
The implementation process requires a clearly communicated plan, implemented in a way that
requires full attention, active participation, and accountability of not only company leaders, but
also of all members across the organization. Managers must continuously develop and
improve synergies among employees to ensure buy-in and to garner support for the
company’s objectives and mission. There are instances where this can become particularly
challenging. For example, if a manager was involved in the strategic formulation process, but
not equally involved in the implementation process, he in turn may not feel accountable for
decisions made.
Requires Skillful Planning
Although strategic plans help reduce uncertainty in meeting long-term objectives, the planning
process itself provides opportunities for missteps. An organization needs to anticipate the
future, which involves various degrees of change as well as risks. In order to avoid pitfalls,
managers need to have the right skill sets to plan the strategy and mitigate risk factors. For
example, managers should monitor as well as develop business contingency plans to address
possible future changes in the external environment, such as market conditions, competitive
forces, and economic factors that may negatively affect the business.

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 CHAPTER-2

COMPANY PROFILE

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 COMPANY PROFILE

BENCO COCONUT OIL

Benco Coconut oil brings the goodness and purity of coconut oil from God's own
country. In an effort to counter adulteration in the coconut oil market and to make pure
coconut oil available in the country, Akbar Group ventured to the Food & Beverage industry by
launching the company – Benzy Food & Beverages Pvt. Ltd.

Benco coconut oil is a trusted brand name that is synonymous with purity. This product
has received the AGMARK approval from Ministry of Agriculture, Government of India. The
Company has also obtained ISO 9001-2000 certification for its management and
manufacturing process.

Benco coconut oil is manufactured in the modern plant at Ponnani, Kerala under
stringent hygienic conditions. Best quality Malabar copra (dry coconut) is fed into the oil
extraction machines through conveyers. Benco coconut oil is so pure that it can be used for
various purposes like cooking, body massage and application on hair and scalp. It can also be
used in open lamps as it does not result in a smoky flame.

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 CHAPTER 3
RESEARCH METHODOLOGY

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RESEARCH

Research means a search for facts- answer to questions and solutions to problem .It is
a purposive investigation. A research can be defined as a scientific and systematic search for
pertinent information on specified topic

RESEARCH METHODOLOGY
Research is defined as “the collection and analysis of data from a sample or census of
individuals or organizations relating to their characteristics, behaviors, attitudes, opinions or
possessions”. Research methodology is a way to systematically solve the research problem. It
may be understood as a science of studying how research is done scientifically. The data
collected for analysis is in secondary manner.

OBJECTIVES OF THE STUDY

1. To study on strategic management and its impacts

SOURCE OF DATA COLLECTION

PRIMARY DATA

Primary data will be collected through structured questionnaire which may be filling up
by respondent

SECONDARY DATA

Secondary data will be collected from various books, journals, and internet

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 CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

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Importance of Strategic Management:
 The strategic management process is a management technique used to plan for the
future: Organizations create a vision by developing long-term strategies. This helps to
identify the necessary processes and resource allocation to achieve those goals. It also
helps companies strengthen and support their core competencies.

 It guides the company to move in a specific direction. It defines the organization’s goals
and fixes realistic objectives, which are in alignment with the company’s vision.
 It assists the firm in becoming proactive, rather than reactive, to make it analyse the
actions of the competitors and take the necessary steps to compete in the market,
instead of becoming spectators.
 It acts as a foundation for all key decisions of the firm.
 It attempts to prepare the organization for future challenges and play the role of pioneer
in exploring opportunities and also helps in identifying ways to reach those
opportunities.
 It ensures the long-term survival of the firm while coping with competition and surviving
the dynamic environment.
 It assists in the development of core competencies and competitive advantage, that
helps in the business survival and growth.

Strategic management actually focuses on assessing the opportunities and threats,

keeping in mind the firm’s strengths and weaknesses and developing strategies for its
survival, growth and expansion.

Interpretation of data

Benco oil practices strategic management. The data shows strategic

management helps to improve their performance. They have a proper mission ,We aim to
improve the quality of people’s lives by providing constantly improved quality products with full
customer satisfaction it is their mission. They does not have any back-up strategy in case an
implemented strategy fails

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 CHAPTER 5

FINDINGS, SUGGESTION AND CONCLUSION

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 FINDINGS

 Benco oil practices strategic management

 The data shows strategic management helps to improve their performance.

 They have proper mission:

* We aim to improve the quality of people’s lives by providing constantly improved

quality products with full customer satisfaction.

 They does not have any back-up strategy in case an implemented strategy fails.

SUGGESTIONS

 Prepare and conduct a strong strategic management

 Must have any back up strategy in case an implemented strategy fails.

CONCLUSION

A good strategic management plan goes beyond the

improving a business bottom line .A good plan also gives the company a valid social license
for operations. In today’s environment ,this is becoming an ever –more important aspect for
each business , because businesses have multiple internal and external stockholders .For
example, consumers are seeing an increase in their awareness of their products being sold by
companies they are also becoming increasingly more interested , not only in the products or
service a business produces ,but also in the way that a company conducts its business
activities .This includes operations from an environment stand point as well as from an ethical
one. All of this aspects should be consider it strategic management and should be included in
the business plans, which should ensure that the business will survive in the long run

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 BIBLIOGRAPHY

 https://searchcio.techtarget.com/definition/strategic-management
 https://searchcio.techtarget.com/definition/strategic-management
 https://managementstudyguide.com/strategic-management-process.htm
 https://smallbusiness.chron.com/impact-strategic-management-organizational-performance-
69836.html

APPENDIX

QUESTIONNAIRE

1. Is strategic management practiced by benco?

2. What is the effect of strategic management on level of competition?

3. What is the effect of strategic management on organizational performance?

4. Does your organization have a clear and well defined mission statement?

5. Does your organization have any back-up strategies, in case an implemented strategy fails?

6. What are the major strategy implementation activities common in your organization?

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