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Process Of Strategic Management Essay

Strategic Management Process Describe the primary components of a strategic management process, and indicate why a strategic management process is needed for a company.

The process of strategic management, according to Alkhafaji (2013), is made up of four key components: environmental scanning, strategy formulation, strategy implementation, and evaluation and control.

Environmental scanning, in the words of the author, "consists of analyzing internal and external factors that may affect the organization and its ability to pursue a given course of action" (Alkhafaji, 2013, p. 33). Of key importance here, therefore, is the collection, scrutiny, as well as provision of information for strategic reasons. Next is strategic formulation, which has got to do with the development of strategic decisions that concern not only an entity's policies, objectives, and mission, but also the approaches to be used in achieving the said objectives and policies (Alkhafaji,...

Strategy implementation, on the other hand, "is concerned with making a variety of managerial decisions such as the type of organizational structure, the type and source of information systems, leadership 'fit,' and the type of control mechanism that should be employed" (Alkhafaji, 2013, p. 33). It largely intimates ensuring that a strategy works or functions as intended. Lastly, we have strategy evaluation. In this case, the most relevant evaluation activities include, but they are not limited to, performance measurement and addressing deviations by taking corrective action.
The strategic management process, as Harrison and John (2013) point out, is of great relevance to modern organizations. This is more so the case given that it helps a company define its strategy in a systematic manner. Given the competitive nature of global business, organizations need to have in place a continuous process that not only helps in the assessment of the industry, but also in…

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References

Alkhafaji, A.F. (2013). Strategic Management: Formulation, Implementation, and Control in a Dynamic Environment. New York, NY: Routledge

Foot Locker. (2014). Foot Locker, Inc. Announces Updated Strategic Plan and Elevated Long-Term Financial Objectives. Retrieved from http://www.footlocker-inc.com/investors.cfm?page=2012-foot-locker-announces-strategic-plan

Harrison, J. & John, C.H. (2013). Foundations in Strategic Management (6th ed.). Mason, OH: Cengage Learning.
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