Why Is Strategy Important to Business?

dodging is determining where you ar now, where you want to go, and how to get there. Its the art of growth and implementing specific actions and decisions that will help a headache to achieve goals and objectives as set out by the owners. Through the strategy process the boilers suit direction of the company is set including opportunities and threats in the outside world and the familiar strengths and weaknesses of the business. The aim of a business strategy is to ensure that the threats posed by the external environment are minimized and also to strengthen or minimize the effects of internal weaknesses.The opportunities and strengths are combined to ensure utmost productivity is achieved. The more the external environment changes the more opportunities there are likely for a company, but the more threats drop be a problem if non prepared for. Without a business strategy, it would be unvoiced for an owner to realize the opportunities available. Strategic wariness in contra st with business policy is a technical approach having a five dance step model. Strategic management is a set of managerial decisions and actions that determine the pine run performance of a company.Strategic management does not use up to be just a part of the over demand level management. In fact, musical arrangements should focus on strategic management at all levels of the management and the entire power structure of the company should be involved both in programning and exe press cuttinging phases. Strategic management does not have to be just a part of the top level management. Organizations should focus on strategic management such that all levels of the management and the entire hierarchy of the company should be involved in both planning and implementation phases.The basic theory of strategic management involves the action of creating and implementing plans and decisions for the benefit of the organization and to help it achieve its objectives. Strategic management an alyzes and scan the environment so future problems and opportunities could be well anticipated, allows a firms top management to anticipate changes and provide track and control for the enterprise, provides clear cut mission, also gives mickle and objectives of enterprise to all the employees, and allows a firm to take decisions on the basis of long range forecast.Your vision must be future-oriented it has to paint a picture that attracts employees through the use of visual imagery. This is what gets pot hooked into buy-ins, followership, and implementation of the plan. So it means you just have to moot outside the box of today and describe the world of the future. With the current point of the economy the fact that some business establishments have stopped their achievement and closed has caused big drop in small and large corporations.Having backward up plan would be the idea should the original plan does not succeed businessmen could have alternative options or backed up p lans for the continuity and success of the business. Since businessmen are bonkledgeable of the business processes, they know the importance of having back up plans. Without a contingency plan, and should the original plan fail, businessmen and the business could experience a lot of trouble. The Mission bidding is important because it describes the reason for the existence of an organization and what it hopes to achieve.While mission statements take leave from organization to organization and represent the distinctness of each one, they all administer similar components. Before writing a mission statement, leaders in the organization must have an idea of what is in store for the future. This vision is the foundation for the mission statement. Most statements include descriptions of the organizations target commercialize, the geographic domain, their have-to doe with for survival, growth and profitability, the company philosophy, and the organizations desired public image.In a ddition, it is a asshole that conveys the goal, organizational structure and strategy, legitimacy, values, participation and ownership among employees, leadership, responsibility to the community, ethical priorities, and freight to the public and stakeholders. The organizational decision making process involves proper and in effect(p) implementation of strategic plans and methods to achieve desired business objective. Often one difficulty facing an organization is that multiple divisions are involved in the overall decision making process.Making a decision can have different implications for each respective division. With the businesses of today facing reduce product lifecycles, organizations are facing intense competitive pressures to build market share to stay ahead of rivals. Process changes, the introduction of new and better disruptive technologies are forcing companies to adapt new business goals and objectives in sawn-off timeframes, this alone places stresses on all org anization.ReferencesKarger (1991). Strategic Management The Key to embodied SuccessPearce II, J.A., & Robinson, Jr., R.B. (2008). Strategic management. (11th ed.). New York, NY McGraw-Hill.Mission and Vision Statements http//www.referenceforbusiness.com/management/Mar-No/Mission-and-Vision-Statements.htmlixzz1LGZLzvbI