Strategic management in a business is a method that helps project leaders, stakeholders in the company and team members know what their main goals are. It is essential for businesses regardless of size, since it helps build camaraderie within a team and creates a clear North Star that can be used to guide decisions.
The process involves analyzing the internal and external environment to identify opportunities, threats, and the company’s strengths and weaknesses. The company formulates a plan to achieve its long-term goals. These plans could include creating processes to increase your competitiveness, and finding unique advantages and deciding on strategies to allow the company to grow.
Once the strategy is formulated, the executive leadership team will then communicate the plan to their teams. In order to ensure that everyone is on board, it is essential for the success of any strategic plan however, it can be difficult to accomplish. The leadership team must create an ongoing system of communication to ensure that the goals are http://www.boardroomtheir.com/what-is-strategic-management always in the forefront for employees.
The process of strategic planning is constantly evolving and the company must be able to reevaluate their objectives to accommodate disruptions or new opportunities. Reassessing the strategic direction requires both external and internal analysis, and the executive leadership team must be able to swiftly redirect resources and adjust the strategic direction of the company.
Emaar Properties in the UAE is a prime example of the art of strategic management at its finest. Emaar planned and constructed Dubai skyscrapers such as Burj Khalifa and Dubai Mall to ensure that it could establish itself as a destination of top-of-the-line. Another example is Australia’s “buy now pay later” fintech Afterpay which was able to capitalize on a shift in customers’ preferences for flexible payment options.