1.

The strategy formulation is the first step of strategic management which involves establishing a vision
and mission, identifying external opportunities and risks for an organization, identifying internal
strengths and weaknesses, setting long-term goals, proposing potential strategies, and selecting specific
strategies to be followed.

Strategy implementation involves establishing a plan-supporting culture, building an efficient

organizational framework, redirecting marketing activities, preparing budgets, designing and using
information systems, and connecting employee compensation to organizational results. It also includes
setting up policies in order to attain the annual objectives of the company, reward system in order to
motivate employees as well as the effectively and efficiently allocation of resources.

Strategy evaluation is the final step of strategic management where the strategists conduct internal
review and external review for possible suggestions and recommendations, measure the performance of
every employees from the hierarchal level of organization from corporate, divisional to functional to
assess how they performed their designated work and lastly to apply the recommendations and
corrective actions for the betterment of operation in the future.

2. First and foremost, to properly address the person who has the authority to influence, motivate and
guide the subordinates inside the company. Aside from that, employees can easily identify who should
they obey, ask for assistance, seek for appropriate actions in the operation. Also, to know that there is
someone who will lead the organization in different decision-making that will be made in the future and
for representation purposes outside the company. When employees know that there is someone who
will lead them along the process of operation, they will feel motivated and determined to achieve the
goals of the company.

3. Organizational structure increases operating performance by offering transparency to workers at all

levels of the organization. By taking into account the organizational structure, teams will function more
like well-oiled machines, spending time and resources on efficient tasks. Organizational frameworks
shall decide what acts are most feasible and optimal. Good strategy includes taking into account where
the business is situated in terms of the external market and the internal organizational structure.

4. Vision statement answer the question "What do we want to become?" and is usually a future-
oriented and single sentence only. It is also the first step in strategic management done by the
strategists. The role of vision statement in strategic management is that it allows the company to have
basic foundation on what they wanted to become in the future or how they want to see their company
or business in the future. Mission statement answers the question "What is our business?", and is
commonly known as creed statement. It should be also reconciliatory and has broad scope to allow the
stakeholders to modify it and improve it. It is also an enduring statements of purpose that distinguish
one business from other similar firm and also identifies the scope of a firm’s operations in product and
market terms. The role of mission statement in strategic management is that it gives direction to the
company and helps the employees behind the existence of the mission statement to strive harder and
innovate more just to achieve what are included in the mission statement.
5. Many companies are creating both a mission statement and a vision statement. Whereas the mission
statement addresses the question, "What is our business?" The vision statement addresses the
question," What do we want to become? "The two statements are key to a firm success. Vision is one
sentence, while task is one sentence, which contains nine components such as Customers, Products or
services, Markets, Technology, Concern for survival, growth, and profitability, Philosophy, Self-concept,
Concern for public image, Concern for employees.