The strategy-making, strategy-implementing process consists of five inter-related managerial tasks:
1. Developing forming a strategic vision and establishing a clear mission to be achieved.
2. Converting the strategic vision and mission into measurable objectives and performance targets.
3. Crafting a strategy to achieve the desired results.
4. Implementing and executing the chosen strategy efficiently and effectively.
5. Evaluating performance, reviewing new developments, and initiating corrective adjustments in long term direction, objectives, strategy, or implementation in the light of actual experience, changing conditions, new ideas, and new opportunities.
1. Developing a Strategic Vision and Business Mission
"Who we are, what we do, and …show more content…
In effect, strategy is the pattern of actions managers employ to achieve strategic and financial performance targets. The task of crafting a strategy starts with solid analyses of the company's internal and external situation. Only when armed with hard analysis of the big picture are managers prepared to make a sound strategy to achieve targeted strategic and financial results. A company's strategy is typically a combination of (1) deliberate and purposeful actions and (2) as-needed reactions to unanticipated developments and fresh competitive pressures. Strategy is more than what managers have carefully set it out in advance and intend to do as part of some important strategic plan. New circumstances always emerge, whether important technological developments, rivals' successful new product introductions, newly enacted government regulations and policies, widening consumer interest in different kinds of performance features, or whatever. There's always enough uncertainty about the future that managers cannot plan every strategic action in advance and pursue their intended strategy without alteration. Company strategies end up, therefore, being a composite of planned actions (intended strategy) and as-needed reactions to unforeseen conditions ("unplanned" strategy responses). Consequently, strategy is best considered as a combination of planned actions and on-the-spot adaptive reactions to fresh developing industry and competitive events. The strategy-making task involves developing a game plan, or intended strategy, and then adapting it as events occur. A company's actual strategy is something managers must craft as events arise outside and inside the