What is Strategic Management?

Based on the previous reportings, the over-all approach for strategic

management are

 From the word itself, strategic management is tactical approach

of commitments and actions designed to exploit core competencies and
gain competitive advantage in business setting.

 Strategy is formal and emergent at the same time meaning that

there needs to be formal planning as well as elbowroom for spontaneous
evolution of the strategic planning process.

 While formulating the organization’s strategy, managers must

also consider competitor analysis to measure/ assess its standing amongst
the competitors.

 It is a truism that strategic management is all about gaining and

maintaining competitive advantage when an organization does something
that the rivals cannot do or owns something that the rival firms desire.

 Another advantage of having strategic management is for the

organization to engage in international environment which obviously
requires wider strategy.

 Managers/ Top-Level Management plays vital role in conducting

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.

 These Managers/ Top-Level Management are also called

strategic leaders that develop an environment for the employees to
forecast the organization’s needs in context of their own job, and
encourage employees in an organization to follow their own ideas.
 Another method an organization should practice/have is
Corporate Governance to develop added value to the stakeholders and to
ensure that the relationship between the owners and the managers in an
organization are healthy and that there are no conflict between the two.

 Corporate Governance also deals with determining ways to take effective

strategic decisions which gives ultimate authority and complete
responsibility to the Board of Directors.

 Overall, 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.