Process of strategic management

The process of strategic management consists of the following steps :

1. Understanding strategic position :Environmental dynamics,organizational capabilities and stakeholder expectation provide a basis for understanding the strategic position of a organization.Environment scanning service as the basis for understanding the strategic management position.It monitors and evaluates the changes and developments in the external and internal environment .External environment provides strengths and weakness.Their impact on strategy is assessed.
2. Making strategic choices :The strategic management involves making strategic choices from among alternative.They serve as the basis for formulation the following strategic.

• Corporate level strategy:It is organization wide.it provides overall direction and scope to the organization.it is concerned with adding value to the organization.
• Business level strategy :It is about how to compete successfully in a particular market.It aims to achieve advantage over competitors.
• Functional strategy :It is function-specific,such as marketing,finance,research and development.It is concerned with resources,processes and people.

3. Implementing strategy :Strategic management is concerned about turning strategic into action.It involve :

• Designing structure :The structure for strategic management is determined.It est abilities reporting relationship,span of control,chain of command.Human resources and acquired.
• Resources planing :Resources consist of people,money,technology,time and information.Resources are matched with opportunities .
• Management system :A strong management team is put together.Competent human resources are acquired ,develop,utilized and recanted.

4. Strategic control :This aspect strategic management is concerned with monitoring of performance result.Corrective actions are taken to resolve performance problem.It takes steps to make strategy work.
5. Feedback :It provides information for revision or improvement of strategic as needs.Evaluation and control serve as the sources of performance information.Environmental changes also necessitate the revision of strategic.