File Name: strategy implementation evaluation and control .zip
Strategic management is all about identification and description of the strategies that managers can carry so as to achieve better performance and a competitive advantage for their organisation.
- Chapter – 7 : Strategy Evaluation and Control
- Chapter – 7 : Strategy Evaluation and Control
- What is Strategic Management Process?
- Strategy Effectiveness
Strategic management is a continuous process that centers on the analysis, decisions, and actions an organization performs in order to create and sustain competitive advantages. It deals primarily with making and implementing decisions about the future direction of an organization and creating a strategic plan to achieve their goals.
Chapter – 7 : Strategy Evaluation and Control
Strategic management is all about identification and description of the strategies that managers can carry so as to achieve better performance and a competitive advantage for their organisation. An organisation is said to have competitive advantage if its profitability is higher than the average profitability for all companies in its industry.
It is also the process which helps managers make a choice of a set of strategies for the organization that will enable it to achieve better performance. Strategic management is a continuous process that appraises the business and industries in which the organization is involved, its competitors; and fixes goals to meet all the present and future potential competitors and then reassesses each strategy.
In this article we will discuss about the various steps, stages and phases involved in the strategic management process. The steps, stages and phases involved in strategic management process can be studied under the following heads:. Developing a Strategic Vision and Business Mission 2.
Setting Objectives 3. Crafting a Strategy 4. Environmental Scanning 5. Strategy Formulation 6. Strategy Evaluation and Control. Defining the Mission Statement 2. Analysing the Environment 3. Organisational Self-Assessment 4. Establishing Goals and Objectives and 5. Formulating Strategy.
Establishing Strategic Intent 2. Formulation of Strategies 3. Implementation of Strategies and 4. Evaluation of Strategies. The manager must have a thorough knowledge and analysis of the general and competitive organisational environment so as to take right decisions. Strategic management is nothing but planning for both predictable as well as unfeasible contingencies. It is applicable to both small as well as large organisations as even the smallest organisation faces competition and, by formulating and implementing appropriate strategies, they can attain sustainable competitive advantage.
Strategic management is a way in which strategists set the objectives and proceed about attaining them. It deals with making and implementing decisions about future direction of an organisation.
It helps us to identify the direction in which an organisation is moving. Strategic management is a continuous process that evaluates and controls the business and the industries in which an organisation is involved; evaluates its competitors and sets goals and strategies to meet all existing and potential competitors; and then revaluates strategies on a regular basis to determine how these have been implemented and whether these were successful or require replacement.
Strategic management gives a broader perspective to the employees of an organisation and they can better understand how their job fits into the entire organisational plan and how it is correlated to other organisational members.
It is nothing but the art of managing employees in a manner which maximizes the ability of achieving business objectives. The employees become more trustworthy, more committed and more satisfied as they can correlate themselves well with each organisational task. They can understand the reaction of environmental changes on the organisation and the probable response of the organisation with the help of strategic management. Thus, the employees can judge the impact of such changes on their own job and can effectively face the changes.
The managers and employees must do appropriate things in appropriate manner. They need to be both effective as well as efficient.
Strategic management process has following five steps:. Goals are the desired ends sought through the actual operating procedures of the organization. It typically describe short-term measurable outcomes. Environmental scanning refers to a process of collecting, scrutinizing and providing information for strategic purposes and helps in analyzing the internal and external factors influencing an organization.
After executing the process, management should evaluate it on a continuous basis and strive to improve it. Strategy formulation is the process of deciding best course of action for achieving organizational objectives. After conducting environment scanning process, managers formulate corporate, business and functional strategies. Evaluation assure the management that the organizational strategy as well as its implementation meets the organizational objectives.
These steps are carried by the businesses, in chronological order, when creating a new strategic management plan.
Strategic management involves certain functions or activities. The systematic way of doing these functions or activities is described as strategic management process. Strategy formulation is the first phase in the strategic management process. It is concerned with devising a suitable plan of action after studying the external business environment, analysing the industry and assessing the internal capabilities of the business concern.
It involves six important steps. The steps to be followed for the formulation of a strategy are explained below:. Defining the Company Mission :. The first step in the formulation of a strategy is a clear definition of the mission of the company. This is necessary to formulate an ideal strategy. Otherwise, the strategy will not produce the desired results.
An ideal strategy is one which reflects the mission of the company. A mission is the long-term vision of what an organisation wants to be and to whom it wants to serve and what impact on the society.
The mission is, thus, the basic, unique purpose that differentiates a business from others. Analysis of the External Business Environment :. The second step in the formulation of a strategy is an analysis of the external business environment.
It is concerned with studying or observing what is prevailing in the external business environment and what changes have taken place. Such an assessment is necessary because every incident or change will have either positive or negative impact on the business.
It involves — a analysis of remote environment and b analysis of operating environment. The external business environment thus provides opportunities or threats to the business concerns. The business concern must formulate a suitable strategy to exploit the opportunities or manage threats depending up on its strengths or weaknesses.
Analysis of the Industry :. The third step in the formulation of a strategy is an analysis of the industry. It involves the examination of certain forces operating in an industry to understand the nature and the degree of competition in that industry.
The level of competition in an industry depends on five basic forces which determine the profit potential of an industry.
They are a the threat of new entrants, b The bargaining power of buyers, c The bargaining power of suppliers, d The threat of substitute products, and e Rivalry among the existing firms. The study of these forces indicates the trend of industry, the strength and weakness of the company in the industry. Such a study will be useful to formulate a suitable strategy to utilise the opportunities or threats. Internal Analysis of the Firm :.
The fourth step in the formulation a strategy is a thorough internal analysis of the firm. It is concerned with a systematic appraisal or examination of the internal capabilities of a firm. Such an appraisal is necessary to know the strengths and weaknesses of the firm in the areas of finance, production, marketing, technology, research and development, and human resource management.
A systematic internal analysis of the firm involves a identification of strategic internal factors and b evaluation of the strategic internal factors to identify the key strategic strength and weakness.
A factor is considered a strength only when a firm has a distinct competency in it than the competitors in the industry. A factor is considered a weakness only when a firm performs it poorly than the competitors in the industry.
A new strategy therefore has been formulated after considering the internal strategic strengths and weaknesses of the firm to utilise the external opportunities or minimise its activities to overcome threats.
Strategic Alternatives :. The fifth step in the formulation of a strategy is developing strategic alternatives. For example, growth strategy may be achieved by intensive growth strategy of market penetration, market development, and product development or integrative growth strategy of horizontal integration and vertical integration or diversification strategy depending upon the internal strengths and weaknesses provided the external business environment is favorable.
Strategic Analysis and Choice :. The last step in the formulation of a strategy is strategic analysis and choice. Strategic analysis involves a systematic evaluation of strategic alternatives with reference to certain criteria. Each alternative has its own merits and demerits but all alternatives cannot be equally appropriate. Each alternative should be examined to determine its:.
Relevancy :. Relevancy of a strategy refers to the examination of the appropriateness of a strategy with reference to certain aspects. So, the strategists should examine whether —. Feasibility :. Feasibility of a strategy refers to the possibility of achieving the strategy.
For testing the feasibility of a strategy, the strategists should examine before the selection of a strategy whether —. Acceptability :. Acceptability of a strategy refers to the examination of the agreeableness of a strategy to certain interested parties in an organisation. Strategic Choice :. Strategic Choice is concerned with the selection of the best strategy among alternatives.
The process of strategy formulation, thus, comes to an end with the choice of an appropriate strategy. Strategy implementation is the second phase in the strategic management process.
Chapter – 7 : Strategy Evaluation and Control
The final stage in strategic management is strategy evaluation and control. All strategies are subject to future modification because internal and external factors are constantly changing. In the strategy evaluation and control process managers determine whether the chosen strategy is achieving the organization's objectives. The fundamental strategy evaluation and control activities are: reviewing internal and external factors that are the bases for current strategies, measuring performance, and taking corrective actions. Definition Strategic evaluation and control could be defined as the process of determining the effectiveness of a given strategy in achieving the organizational objectives and taking corrective action wherever required. Nature of Strategic Evaluation Nature of the strategic evaluation and control process is to test the effectiveness of strategy.
Strategy implementation is the activities within a workplace or organisation designed to manage the activities associated with the delivery of a strategic plan. There are several definitions, most of which relate to the process of managing activities associated with the delivery of a strategic plan such as the following:. Other definitions concern the processes by which an organisation identifies and allocates the actions associated with the delivery of a strategic plan such as the following:. The term first became well known following the publication in of "Strategy Implementation,"  a highly regarded book on the topic by Lawrence G. Hrebiniak and William F.
Implementation, evaluation and control are like the three legs of a stool; remove one, and the stool wobbles and crashes to the ground. If you remove one of these items from a marketing plan, it falls apart, and the plan won't succeed. All three are necessary for the successful completion of marketing activities that help businesses achieve their strategic goals. The strategy section of a marketing plan describes the market position the business hopes to achieve given the current economic climate and competition. The implementation section outlines the exact steps the business will take to achieve the strategy. Both are equally important. A great strategy with poor implementation won't help the business achieve its goals, because it won't take the proper steps to achieve the strategy.
strategic needs. STRATEGY EVALUATION AND CONTROL. Strategy evaluation is the process by which management.
What is Strategic Management Process?
Definition : Strategy Implementation refers to the execution of the plans and strategies , so as to accomplish the long-term goals of the organization. It converts the opted strategy into the moves and actions of the organisation to achieve the objectives. Simply put, strategy implementation is the technique through which the firm develops, utilises and integrates its structure, culture, resources, people and control system to follow the strategies to have the edge over other competitors in the market. Strategy Implementation is the fourth stage of the Strategic Management process , the other three being a determination of strategic mission, vision and objectives, environmental and organisational analysis, and formulating the strategy. It is followed by Strategic Evaluation and Control.
Skip to search form Skip to main content You are currently offline. Some features of the site may not work correctly. Gomes Published Nucor Corporation, one of the most successful steel firm operating in the united states, keep its evaluation and control process simply and easy to manage: According to Kenneth Everson, Chairman of the Board: Our Focus: bottom line performance and long-term survival Our wants: people to be thinking about organizational success Our Management: takes care not to distract the company with a lot of talk about other issues. Save to Library.
To measure the effectiveness and efficiency in an organization strategy, you have to examine how it links your objectives to the way you plan to achieve them and the means you plan to use. A strategy is effective if it uses the resources you allocate according to your plan and delivers the expected results.
Everything you need to know about strategic control. Strategic controls are intended to steer the company towards its long-term strategic direction. After a strategy is selected, it is implemented over time so as to guide a firm within a rapidly changing environment. Strategies are forward-looking, and based on management assumptions about numerous events that have not yet occurred. Strategic control is concerned with tracking the strategy as it is being implemented, detecting problems or changes in the premises and making necessary adjustments. In contrast to post- action control, strategic control is concerned with controlling and guiding efforts on behalf of the strategy as action is taking place.
Strategy Formulation Implementation And Evaluation. This is necessary so as to ensure consistency between implementation and the planned strategic directions. Strategic management is the process of employing that kind of large-scale, objective-oriented approach through the use of three major components: environmental scanning, strategy formulation and implementation and strategy evaluation. Environmental Scanning 2. After a brief introduction, where I detailed the structure of the report and the methodology, the report began with the analysis of the complementary components, starting by looking at the organizational design, then describing the. To respond to these lessons, a final stakeholder assessment process can best generate specific recommendations. Managers formulate strategies that reflect environmental analysis, lead to fulfillment of organizational mission, and result in reaching organizational objectives.
Strategy evaluation is the final stage in the ongoing process of strategic management. The process entails determining the areas of the strategic plan to measure after strategy implementation, and setting benchmarks for measurement. The strategist or manager in charge then compares the anticipated results of the strategic plan and the actual results and makes recommendations. Through strategic evaluation, an organization determines whether it is in compliance with its business goals and objectives. It is not uncommon for organizations to change their strategic plans during evaluation.
Quick and effective feedback will enhance monitoring and evaluation and facilitate successful strategy implementation. Organizations should.
View All Articles. Strategy Implementation involves all those means related to executing the strategic plans. In short, Strategy Formulation is placing the Forces before the action. In short, Strategy Implementation is managing forces during the action.
Результатом стали смерть и предательство. Теперь начнутся судебные процессы, последуют обвинения, общественное негодование. Он много лет служил своей стране верой и правдой и не может допустить такого конца. Я просто добивался своей цели, - мысленно повторил .
Двести тридцать восемь? - воскликнула Сьюзан. - Разве мы не знаем, что в хиросимской бомбе был другой изотоп урана. Все вокруг недоуменно переглянулись. Соши лихорадочно прогоняла текст на мониторе в обратном направлений и наконец нашла то, что искала. - Да.
- Положите на место. Офицер еще какое-то время разглядывал паспорт, потом положил его поверх вороха одежды. - У этого парня была виза третьего класса. По ней он мог жить здесь многие годы. Беккер дотронулся до руки погибшего авторучкой.
Я был ослеплен своими амбициями. Стоя над Хейлом и стараясь унять дрожь, Сьюзан услышала приближающиеся шаги и медленно обернулась. В проломе стены возникла фигура Стратмора. Он был бледен и еле дышал.
Халохот отчаянно пытался протиснуться к концу улочки, но внезапно почувствовал, что тонет в этом море человеческих тел. Со всех сторон его окружали мужчины в пиджаках и галстуках и женщины в черных платьях и кружевных накидках на опущенных головах. Они, не замечая Халохота, шли своей дорогой, напоминая черный шуршащий ручеек.
Это может быть не вашим делом! - раздался зычный голос у них за спиной. Мидж от неожиданности стукнулась головой о стекло.
Ему все время казалось, что Беккер совсем рядом, за углом. Одним глазом он следил за тенью, другим - за ступенями под ногами. Вдруг Халохоту показалось, что тень Беккера как бы споткнулась. Она совершила судорожный рывок влево и вроде бы закружилась в воздухе, а затем снова прильнула к центру лестницы. Халохот сделал стремительный прыжок.
Хейл подтянул ноги и немного приподнялся на корточках, желая переменить позу. Он открыл рот, чтобы что-то сказать, но сделать этого не успел. Когда Хейл перестал на нее давить, Сьюзан почувствовала, что ее онемевшие ноги ожили.
Вызовите службу безопасности. И давайте выбираться отсюда. Стратмор поднял руку, давая понять, что ему нужно подумать.
Они сразу же затвердели. Это было одной из ее многочисленных хитростей: мужчинам казалось, что она сгорает от страсти, поэтому они стремились прийти к ней снова и .
Бринкерхофф застонал, сожалея, что попросил ее проверить отчет шифровалки. Он опустил глаза и посмотрел на ее протянутую руку. - Речь идет о засекреченной информации, хранящейся в личном помещении директора. Ты только представь себе, что будет, если об этом станет известно.
В этот момент в нескольких метрах под помещением шифровалки Стратмор сошел с лестницы на площадку. Сегодняшний день стал для него днем сплошных фиаско. То, что началось как в высшей степени патриотическая миссия, самым неожиданным образом вышло из-под контроля. Коммандер был вынужден принимать невероятные решения, совершать чудовищные поступки, на которые, как ему казалось раньше, не был способен.
Сьюзан отпрянула. О Боже. Значит, она слышала звук выстрела Хейла, а не коммандера. Как в тумане она приблизилась к бездыханному телу.