Strategic Management Process

Strategic Management Process

Latoya Glover

MTG 498

November 3, 2012

William Dickie

Strategic Management Process

Strategic management is a set of actions and decision on a managerial level that helps determine the longevity of a company or corporations performance (Wheelen & Hunger, 2010). Writer will describe the primary components of a strategic management process. Writer will also indicate why a strategic management process is needed for a company. Lastly, the writer will describe the strategic management process that a company uses.

Primary Components

“The study of strategic management, therefore, emphasizes the monitoring and evaluating of external opportunities and threats in light of a corporation’s strengths and weaknesses. Originally called business policy, strategic management incorporates such topics as strategic planning, environmental scanning, and industry analysis” (Wheelen & Hunger, 2010). With that being said strategic management is a process that continues to evaluate the business as well as the industries that the organization or company is engaged in. The strategic management process also evaluates the competition and it allows goals to be fixed in order to meet present and future competition. There are four key components to the strategic management process which are environmental scanning, strategy formulation, strategy implementation, and strategy evaluation.

Environmental Scanning

Environmental scanning is the part of the process that helps with the analyzing the external and internal factors that sway a business or organization. One of the easiest ways to execute environmental scanning is through SWOT analysis (Wheelen & Hunger, 2010). SWOT simply describes the strengths, weaknesses, opportunities, and threats for a company or organization. To dissect SWOT further, the external aspects consists of opportunities and threats within a company or organization and the internal aspects consists of the strengths...