MANAGEMENT

STRATEGY
BY: AHMAD RAIHAN HAKIM
WHAT IS STRATEGY?

• The term Strategy came from the Greek strategos meaning “general.”
• In business, strategy refers to specific actions to solve actual or potential acton by
competitors.
• Richard Vancil stated that Concept of Strategies as a a conceptualization, expressed or
implied by the organization’s leader, of the long-term objectives or purposes of the
organization, the broad constraints and policies
ELEMENTS OF STRATEGIC DECISION

• Basic Mission
• Basic purpose of the organization

• Target Groups
• The one who benefit from program activites

• Goals and Objective

• What the organization seeks to accomplish. With Goals as General and Objective as a specific

• Program or Service mix

• Types of program to accomplish the goals & objective

• Geograpical Service Area

• Physical Boundaries of the program

• Comparatice advantage
• Differential advantage with other competitors with same objective
FRAMEWORK OF STRATEGIC MANAGEMENT

• Strategic Management Define

• Basic Components of Strategic Management
• Resource Management
• Control & Evaluation
• Information Management System
• Objective Methods and Subjective Ability
STRATEGIC MANAGEMENT DEFINED

• Fred R. David define strategic management as the art and science of formulating, implementing,
and evaluating cross-fungtional decision that enable an organization to achieve its objectives.
• David suggesting three stages of strategic management
• Formulation
Formulating strategies of organization
• Implementation
Running, motivating, and creating a good team to make the formula success
• Evaluation
Reviewing external and internal factors that affect current strategies,
BASIC COMPONENTS OF STRATEGIC
MANAGEMENT
• Strategic Planning
• Deciding what should organization do in the future

• Resource Management
• Determining how will be done and who will executing.

• Control & Evaluation

• Monitoring and enhancing ongoing activities and operation.

These formula involve the combined with other components to meet the goals and objective
of organization.
STRATEGIC PLANNING

• Strategic planning is that component of the strategic management system designed to:
• clarify goals and objectives
• determine policies for the acquisition and distribution of organizational resources
• Establish a basis for translating policies and decisions into specific action commitments

• Major Purpose of Strategic Planning is to support decision making with the formulation
of alternative courses of actions that will have long-term, desirable consequences.
RESOURCE MANAGEMENT

• Programming goals and objective into specific program, projects, and activity.
• Designing organizational processes to carry out programs, projects, and activity.
• Stagging these processes and procuring the necessary resource to execute plans and
program.
CONTROL & EVALUATION

• Early definitions of management control tend to emphasize the need for corrective action when
deviations occur from some predetermined course of events.
• As for right now, the role of public accounting is expanding because of more economic need.
• The standard of doing evaluation including:
• before and after comparisons
• time–trend–data projections
• with and without comparisons
• comparisons of planned versus actual performance
• Controlled experimentation
INFORMATION MANAGEMENT SYSTEM

• Information management system (IMS) involves processes to organize and communicate

information in a timely fashion to resolve management problems
• Many managerial decisions require information that cannot be easily computerized. Thus,
information management and decision support systems must be designed to include explicit
attention to nonquantifiable inputs as well as to data that may result from computerized
applications
• Large centralized data processing centers are not a prerequisite to or concomitant of an IMS.
The desirability of such large “figure factories” or “number crunchers” depends more on the
size and nature of the organization than on the purposes of the IMS
OBJECTIVE METHODS AND SUBJECTIVE ABILITY

• Strategic Management can be use as conceptual framework for making the basic decision
making and as a analytical tools to facilitate making the decisions.
• Using the appropriate method in various problem is the key responsibility for strategic
manager
• The objective of strategic management is to make a balance between the sophisticate
methodological and easy to utilize.
THANK YOU