MNGT 4122 - STRATEGIC MANAGEMENT
TRADITIONAL BUSINESS MODEL
1. Profit Maximization
2. Social Problem Solution
Making solutions via business
Business Strategies • Products/services
• Integration • Unemployment
• Intensive • Tax as social capital to
• Diversification use for social benefit.
• Defensive
LECTURE 1: NATURE OF STRATEGIC MANAGEMENT
Strategic Management STRATEGY FORMULATION
Art and science of formulating, - Vision and Mission
implementing, and evaluating - External opportunities and
cross-functional decisions that threats
enable an organization to achieve - Internal strengths and
its objectives. weakness
- Long-term objectives
• Plan and planning are equally - Alternative strategies
important. - Strategy generation and
• Where there is no vision, the selection.
people perish.
• Different functional area STRATEGY IMPLEMENTATION
means different activities.
- Annual objectives
Strategic management is an - Policies
ongoing process, once the goal is - Employee motivation
achieved, set a higher goal to the - Resource allocation
next level.
STRATEGY EVALUATION
Stages of the Strategic - Internal Review
Management Process - External Review
- Performance
• Strategy Formulation
measurement
• Strategy Implementation
- Corrective action
• Strategy Evaluation
TRADITIONAL BUSINESS MODEL
1. Profit Maximization
2. Social Problem Solution
Making solutions via business
Business Strategies • Products/services
• Integration • Unemployment
• Intensive • Tax as social capital to
• Diversification use for social benefit.
• Defensive
LECTURE 1: NATURE OF STRATEGIC MANAGEMENT
Strategic Management STRATEGY FORMULATION
Art and science of formulating, - Vision and Mission
implementing, and evaluating - External opportunities and
cross-functional decisions that threats
enable an organization to achieve - Internal strengths and
its objectives. weakness
- Long-term objectives
• Plan and planning are equally - Alternative strategies
important. - Strategy generation and
• Where there is no vision, the selection.
people perish.
• Different functional area STRATEGY IMPLEMENTATION
means different activities.
- Annual objectives
Strategic management is an - Policies
ongoing process, once the goal is - Employee motivation
achieved, set a higher goal to the - Resource allocation
next level.
STRATEGY EVALUATION
Stages of the Strategic - Internal Review
Management Process - External Review
- Performance
• Strategy Formulation
measurement
• Strategy Implementation
- Corrective action
• Strategy Evaluation
