Table of Contents
Define the contexts of business strategy (1.1) 2
The importance of a written vision/mission statement for a company 4
If a student is able to provide an overview of findings using the following queries as guide (M1) 6
Select four organizations and find their mission Statements and complete the following exhibit by identifying stakeholders that are mentioned and evaluate the differences between firms in the private sector and those in the public sector (M2) 7
Explain the significance of stakeholder analysis (1.2) 8
Managing and partnering with external stakeholders and clear delineation of traditional management tactics and partnering tactics are ...view middle of the document...
Conducting an environmental and organizational audit helps an organization know more about its external and internal environment. It is also a way to assess the current standing of their organization among its competitors and also to their market.
The different strategic positioning techniques are also tackled in this paper. Knowing the positioning of an organization gives us an idea on what strategy to use in order to guide an organization towards its organizational goals. These techniques are commonly used by different organizations to focus on their organization’s shortcomings so that they could address these problems. It is a way of controlling their business to prevent it from going towards a downward slope.
Define the contexts of business strategy (1.1)
According to Thomas Bateman & Scott Shell (2007), business strategy defines the major actions by which an organization builds and strengthens its competitive position in the marketplace. A business strategy can be a low-cost strategy or a differentiation strategy in which it can be a competitive advantage to a business. A low-cost strategy is a strategy in which an organization uses to build competitive advantage by being efficient and offering a standard, no frills product. While a differentiation strategy is a strategy in which an organization uses to build competitive advantage by being unique in its industry or market segment along one or more dimensions.
Strategic planning is the process done by companies to formulate strategy, implement the strategy, evaluate the progress, and make adjustments as necessary to stay on track. Nowadays, a new term for strategic planning has emerged: strategic management. Thomas Bateman & Scot Snell (2007) defined strategic management as a process that involves managers from all parts of the organization in the formulation and implementation of strategic goals and strategies. Strategic planning becomes an ongoing activity in which all managers are encouraged to think strategically and focus on long-term, externally oriented issues as well as short-term tactical and operational issues.
The figure above shows the six major components of the strategic management process (Bateman & Snell, 2007): (1) establishment of mission, vision, and goals; (2) analysis of external opportunities and threats; (3) analysis of internal strengths and weaknesses; (4) SWOT analysis and strategy formulation; (5) strategy implementation; and (6) strategic control. These components are being used by different organizations and benefits from it. Either a large or small firm can benefit from this kind of planning framework.
Strategic Management has three stages namely:
* Strategy Formulation
* Strategy Implementation
* Strategy Evaluation
These stages are being implemented in the three levels of an organization: corporate, divisional or strategic business unit, and functional. (David, 2011)
Strategy formulation includes developing a...