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Benefits Of Strategic Planning Essay

¶ … chief components of a concept like strategic management consist of directing a situational analysis so a business or organization can determine the existing condition within the business/organization in relation to what direction or avenue the leader wants the organization/business to go in the future. This means that these components help steer a business/organization through processes and strategies that promote communication and progress towards objectives. The first component thus becomes goal setting. Goal setting helps an organization clarify their vision of their business. During this stage, the organization will identify both long-term and short-term goals. Then the organization must recognize the process of how to achieve these goals. Lastly, customization of the process lends to communicating to employees what steps to implement for successful completion of goals. The next component of strategic management means developing a specific mission through analysis in order to concentrate efforts into the completion of explicit mission-based aims. The organization during this stage understand the needs of the business within the context of a sustainable entity and develop its strategy to identify initiatives the promote growth. A business/organization can do this by examining internal or external issues that may prove as a hindrance to goals.

A third component relies in developing an execution plan that an organization may use in order to achieve the strategic initiatives or objectives set forth by the leadership of the business/organization. This may be identified as a strategy formulation. By reviewing information gathered from analysis, the organization determines what resources it currently has that may assist in reaching the defined objectives/goals. By identifying areas that may need to...

This means everyone within the organization should be made clear their expected job duties so proper implementation can take place. The fifth and final component of strategic management ensures directives communicated in the previous phase to staff and departments throughout the organization are done so in an effective and efficient manner on an ongoing basis. By constantly monitoring through evaluation and assessment, the organizational outcomes and operations, the organization makes sure employees are meeting objectives.
An organization's values and missions are vital to strategy formulation due to the manner in which strategy formulation must be conducted. Incorporation of the organization's values and mission through its execution methodologies as well as desired outcomes allow for a smoother transition and implementation process. Since employees were hired and made aware to keep the organization's values and missions in mind, they will have a better understanding of what is needed and what to do when strategy formulation considers these things. Focused efforts come from clarity and unity. When an organization is unified under the same values and mission, implementation of processes happens faster with less resistance.

A strategic management process may benefit a health care organization by creating the organization less wasteful and more efficient ways to conduct its operations designed at accomplishing strategic management objectives. For example, a hospital implements a strategic management process to train new nurses. In doing so, everyone responsible…

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References

HUSELID, M. (1995). THE IMPACT OF HUMAN RESOURCE Management PRACTICES ON TURNOVER, PRODUCTIVITY, AND CORPORATE FINANCIAL PERFORMANCE. Academy Of Management Journal, 38(3), 635-672. doi:10.2307/256741

Zahra, S. (1993). Environment, corporate entrepreneurship, and financial performance: A taxonomic approach. Journal Of Business Venturing, 8(4), 319-340. doi:10.1016/0883-9026(93)90003-n
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