You are on page 1of 3

Strategic management is the set of managerial decision and action that determines the longrun performance of a corporation.

It includes environmental scanning (both external and internal), strategy formulation (strategic or long range planning), strategy implementation, and evaluation and control. Strategic management has now evolved to the point that it is primary value is to help the organization operate successfully in dynamic, complex environment. To be competitive in dynamic environment, corporations have to become less bureaucratic and more flexible. In stable environments such as those that have existed in the past, a competitive strategy simply involved defining a competitive position and then defending it. Because it takes less and less time for one product or technology to replace another, companies are finding that there are no such thing as competitive advantage. Askari Bank was founded in 1992, and in the 15 years since, the growth and success patterns have far outgrown industry standards. It is a matter of pride for Askari Bank to be able to offer one of the widest arrays of products to customers through extensive branch network all over the country.

Strategic process in Askari Bank
Whenever strategic department has to make strategic plan, they ask all business division for the coming years and Strategic department in Askari bank divide whole organization in three categories: y Operational support services. y Sales & services. y Professional support services. They follow the following flow to carry out their strategic planning for the coming year:

STRATEGIC POSITIONING OF BANK INTERNALLY
When discussing the stimulus with reference to strategic management , Askari Bank has maintained the internal environment so strategically focused that the strategies , policies & procedures are aligned with the objectives and mission of the organization .When discussing internally we decided to ponder upon STAR MODEL .It would further concentrate on three main areas which include ; HR practices , Leadership & Teams and Networks.

Among these is the National bank of Pakistan .The banking industry of Pakistan is rules by 5 big banks .As far as Askari bank is concerned it is operating at such an level that it can maintain its competition well and can fight for its odd Weaknesses Promotional activities of the bank have not traditionally been as strong as some of the competitors. so we can call it as international bank but the as compare to its competitors such as Alfalah and Allied bank these are operating at small level .Star Model Teams and networking HR practises Leadership Recruitment and selection Training and development COMPETITION Askari bank has one branch in Bahrain . The all time big example is Allied Bank which spends a major part of its budget to . these are also the GIANTS banks . which has the highest deposit and gives a competing edge for its name .

A decline in the deposit base that continued at the close of 2008 after reaching a historic low in mid of 2008. at one side the slump in the economy and on other hand the rising situation of Bad Debts.However basically it is an Army Governed organization holding the maximum number of Army officials accounts so it captures a major Army share . However it is actually playing a multiplier effect. The economy fluctuation and the increase in the level of inflation has made the overall customer service cost to get increase.5years the economy has totally collapsed and this has also effected the functioning of bank. During last 4. crises have made the deposits to get decreased. hampering service .advertisement campaigns and has proved efficient in gaining a health market share. Rising costs of provision of banking services from previous years. Increasing number of non performing loans leading to rising provisions for bad debts which has a direct impact on after tax profits. . Same is the case with Bank Alfalah . However we need to understand that machines are also manmade so there are chances of spoil work but the efficient staff must be responsible in case of such emergency as this might also effect the customer satisfaction and goodwill might also be affected in a negative manner. The same situation is faced by the others banks as well.So Askari Bank should also spend some part of its budget on advertisement .High rate of technical faults in ATM machines compared to competitors. Limited ATM installations at its branches.