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Strategic Manaement Process

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Submitted By tmanka06
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The Strategic Management Process
Strategic management is a group of actions and decisions created by a management team to help determine the long range outcome of the company. In this paper one will learn about the four phases of the strategic management process as well as why it is important for companies to have one.
Basic financial planning
Phase one of the strategic management process is Basic Financial Planning. The basic financial planning phase is also known as the formulation phase in the strategic management process because it is during this phase where the company forms and develops a well thought out strategy to help achieve the company’s main objectives for the next year and then propose a budget and develop a strategy based on little information from the sales force. While this phase is generally tackled by top executives and senior management it is often left for general management to complete.
Forecast-based planning
Phase two of the strategic management process is Forecast Based Planning. The forecast based planning phase is also known as the implementation phase of the strategic management process and its purpose is to take one project at a time from the proposed strategy and implement it into the workforce starting with senior management and working down to standard employees. This is a very time consuming part of the process as management will continuously collect feedback from others working on the project as well as they need to make sure that they are staying within their budget for that project.
Externally oriented (strategic) planning
The Externally Oriented (strategic) planning is the third phase in the strategic management process. The externally oriented (strategic) planning phase is also known as the evaluation phase because it is during this phase when senior management meet to evaluate and update their current strategic plan

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