CONCEPT OF STRATEGY STRATEGIC MANAGEMENT Dealing with the following questions: What is Strategy? What is Strategic Management? What is the difference between Strategy and Strategic Management? Give an example to clarify this idea.
I CONCEPT OF STRATEGIC MANAGEMENT What is STRATEGY? - STRATEGY is all about integrating organizational activities and utilizing and allocating the scarce resources within the organizational environment so as to meet the present objectives (satisfying demand of market, benefit assurance between stakeholders…) - More simply, STRATEGY is a plan about long-term goals and actions that managers take to attain one or more of the organization’s goals - STRATEGY is the result of the detailed strategic planning process What is SM? - SM is a management process that includes forming a strategic vision, setting goals, drafting a strategy, implementing that, and over time, and adjusting strategies to suit the situation - “SM is the art and science of formulating, implementing and evaluating cross-functional decisions that will enable an organization to achieve its objectives.” (Fred David) Example: My objective was passing the college entrance exam to enter my dream university NEU So what should I to achieve that? Strategy: Study step by step, carefully each parts of the learning program; then try my best to overcome all exam in my high school, learn my lessons and improve myself SM: All above and things that I did in reality though my learning process until passing the exam