Overview of

Strategic
Management
Presented by:
Jhune Clyde Pepito
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MCDonald’s Corporation

What Is Strategic Management?

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MCDonald’s Corporation
Increased its revenues from $22.7 billion in 2007 to

$23.5 billion in 2008

Jim Skinner, CEO of McDonald’s, says, “We do so well

because our strategies have been so well planned

out.”
.McDonald’s in 2009 spent $2.1 billion to remodel

many of its 32,000 restaurants and build new ones at

a more rapid pace than in recent years.

In 2009 spent $2.1 billion to remodel many of its

32,000 restaurants and build new ones at a more

rapid pace than in recent years.

McDonald’s top management team says everything

the firm does is for the long term. McDonald’s for

several years referred to their strategic plan as “Plan

to Win.”

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What Is Strategic Management?
Once there were two company presidents who competed in the same industry. These two
presidents decided to go on a camping trip to discuss a possible merger. They hiked deep
into the woods. Suddenly, they came upon a grizzly bear that rose up on its hind legs and
snarled. Instantly, the first president took off his knapsack and got out a pair of jogging
shoes. The second president said, “Hey, you can’t outrun that bear.” The first president
responded, “Maybe I can’t outrun that bear, but I surely can outrun you!”

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Defining Strategic

Management
The art and science of developing, implementing, and assessing cross-functional decisions that

help a company accomplish its goals and it's synonymously as strategic planning. While the

former is frequently utilized in academia, the latter is more frequently employed in business.

Sometimes the terms "strategic management" and "strategic planning" are used interchangeably

to describe the design, implementation, and evaluation of strategies. While long-range planning

aims to maximize today's trends for tomorrow, strategic management's goal is to seize and

develop fresh, new chances for the future.

In use from the middle of the 1960s through the middle of the 1970s, the phrase "strategic

planning" has its roots in the 1950s. During this time, it was widely accepted that strategic

planning was the solution to every issue. Strategic planning was at that time "occupied" with in

much of corporate America. But after that "boom," strategic planning was abandoned. As

different planning strategies did not produce superior profits in the 1980s. Strategic planning,

however, was revived in the 1990s, and the business world still uses it frequently today.
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