Authors: Tanya Sammut-Bonnici. Strategic management process is a method by which managers conceive of and implement a strategy that can lead to a sustainable competitive advantage. In order for strategic objectives to be meaningful they need to be ______. a. disruptive technologies. Which of the following are needed in order for entrepreneurial initiatives to be successful? For example, Apples decision to create the iPhone demonstrates its ability to interpret that traditional industry boundaries that distinguished the cellular phone industry and the computer industry were beginning to blur. As this title implies, Sun Tzu emphasized the creative and deceptive aspects of strategy. This activity is important because proper use of strategic management techniques . conduct a thorough analysis of the external and internal environments, Strategies often fail when managers fail to do which of the following? In fact, these models complement each other in that one focuses outside the firm while the other focuses inside the firm. (Check all that apply.). The strategic management process is Consequently, executives must be careful to monitor and to interpret the events in their environment, to take appropriate actions when change is needed, and to monitor their performance to ensure that their firms are able to survive and, it is hoped, thrive over time. the process of formulating and implementing strategies to accomplish long-term goals and sustain competitive advantage Strategy formulation. Knowledge is an intangible resource. \text{Cost of goods sold}&\text{493,000}\\ A business-level strategy describes ), a destination that is driven by and evokes passion. emphasizes that it is difficult to develop and sustain a competitive advantage based on resources alone. Which of the following are true of behavioral controls? a. at the top of the organization It defines organization's goals and fixes realistic objectives, which are in alignment with the company's vision. b. located in different areas and levels. The culmination of the strategic management process is: A) performance. Managers must determine how to create a(n) ______ advantage in the marketplace to be successful over the long-term. Essentially, the _________ has become one of the world's largest markets with 700 million potential consumers. What is the Strategic Management process? In the POLC framework, where does strategy formulation take place? Even for companies capable of succeeding in global markets, it is critical that they, The rate of technological diffusion is increasing. Strengths and weaknesses are assessed by examining the firms internal resources, while opportunities and threats refer to external events and trends. b. all policies and procedures used in functional departments. d. All of these options are correct. True/False, The goal of strategy implementation is to develop a permanent competitive advantage. c. one business-level strategy for failure. The Princeton Alliance Church states in its website that "PAC exists to help you live life to the fullest by knowing God, developing community and bringing hope." d. ability, successes, and performance. d. All of these options are correct. The last stage of the strategic management process includes diligent monitoring and review of all the processes that contribute to achieving the business goal. It offers courses accredited to AMBA, AACSB & NIRF. The ______ view of stakeholder management views the management process as groups competing for the organization's resources. vision. Strategic management is the process of setting organizational goals, performing a competitive analysis, reflecting on a company's internal structure, and evaluating current strategies. Planning Team and Executive Team. b. I/O; resource-based For example, part of Apples success is due to its consistent focus on innovation and creativity that Steve Jobs described as similar to that of a start-up. . In order to cope with hypercompetition, firms need to develop through continuous learning. The process of strategic management sometimes encompasses the formulation of important policies. Match the strategic management process with its corresponding term. 1. The global economy, globalization, rapid technological change, and the increasing importance of knowledge are creating the need to By following this process, organizations can ensure their plans are aligned . a. strategy, wealth, organization, and threats. c. the key to competitive success is the structure of the industry in which the firm competes. c. vision This involves developing specific strategies and actions. c. strategy . The strategic management process is a. a set of activities that will assure a sustainable competitive advantage and above-average returns for the firm. The strategic management process is more than a set of rules to follow. a. insight. The situation is where relevant information is needed to create the organization's culture, mission, or vision statement. b. True/False, A firm's mission tends to be enduring while its vision can change in light of changing environmental conditions. Which of the following statements is most consistent with the I/O view? Managers must take a(n) ______ view of the organization and assess how functional areas and activities fit together so that the organization can achieve its goals and objectives. A(n) ______ includes both the company's purpose as well as the basis of competition and competitive advantage. Firms don't apply for patents so that competitors can't access information in the patents. The goal of strategy implementation is to develop a permanent competitive advantage. Overall, strategic management is an important part of an organization's development and overall performance. ______ innovation is a term used to describe how rapidly and consistently new, information-intensive technologies replace older ones. \begin{array}{llr} Strategic management of an organization entails which of the following ongoing processes? b. an important source of competitive advantage in virtually all industries. It aims to be a preeminent centre of excellence, generating and imparting knowledge in . It had net income of$8,000 and paid out cash dividends of $5,625 in the current period. ____has become the second-largest economy in the world. Firms use both the _____and______models. True/False, The rapid rate of technological diffusion has increased the competitive benefits of patents. b. executives control strategy implementation. True/False, Developed countries still have major advantages in their access to information technology when compared to emerging countries because of the significant cost of the infrastructure needed for computing power. Analyzing the firm's ______ environment, such as operations, may uncover potential sources of competitive advantage. Study with Quizlet and memorize flashcards containing terms like Strategic competitiveness is achieved when a firm successfully formulates and implements a value-creating strategy. The is the most critical criterion in prioritizing stakeholders. Determine organizational readiness. $46,375 Generally speaking, product market stakeholders are satisfied when \end{array} Which of the following statements about operational effectiveness are correct? a. a. return on assets. This ad seeks to convey a sense of the organization's to the viewers. b. argues that the industry environment has a stronger influence on firms' ability to implement strategies 1. (Check all that apply.). a. industry; capability c. re-centralize the responsibility for strategy to the CEO. Information Technology Project Management: Providing Measurable Organizational Value, Operations Management: Sustainability and Supply Chain Management, Service Management: Operations, Strategy, and Information Technology, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine. en.wikipedia.org/wiki/Apple_Inc._ litigation, https://it.toolbox.com/blogs/inside-crm/11-effective-strategies-apple-uses-to-create-loyal-customers-100109, https://commons.wikimedia.org/wiki/File:Chapter_Layout_for_Strategic_Management.png, Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License. d. in the operations area. a. ambiguous decision situations which make effective decisions difficult to determine. The firm's provide the foundation for choosing one or more ______ and deciding how to implement them. Continuous learning Organizational culture refers to b. determining how each functional department of the firm will operate. b. one business-level strategy. 2. The firm's ___ provide the foundation for choosing one or more ___ and deciding how to implement them. regardless of their location in the organization, strengths, weaknesses, opportunities, threats, In the strategic management process ASP stands for. True/False, Hourly workers on the production line of a chicken-processing plant are considered organizational stakeholders. b. resources alone can be a source of sustainable competitive advantage. If the profitability of the company is higher than before and other companies, then it means that you have achieved a competitive edge. The importance of knowledge is increasing. The strategic management process begins with an understanding of strategy and performance. Strategic management is the set of decisions and actions resulting in the formulation and implementation of plans designed to achieve a company's objectives. a. delegate strategic responsibilities to employees "closer to the action." 5. The culmination of the strategic management process is: Managers must adopt a new mind-set that values ______ and the challenges that evolve from constantly changing conditions. After executing the environmental analysis process, management . Accordingly, the strategic management and planning process consists of sequential five key steps; (i) Goal setting, (ii) Analysis strategy formation, (iii) Strategy formation, (iv) Strategy . In strategic management, effectiveness can best be described as ______. True/False, Although organizational cultures vary considerably, one cannot make an objective judgement that some organizational cultures are more or less functional than others in terms of ethical considerations. c. employees. Retrieved from https://flic.kr/p/bPNmxi. The strategic management process is a crucial element of any organization's success. a. c. the firm's actions to exploit its competitive advantage over rivals. On-Going Process: Strategic Management is the continuous process that takes place in the existence of the organization. In Chapter 2 "Assessing Organizational . They involve balancing culture and boundaries or constraints. A firm's hierarchy of goals include its ______. Average returns are those in excess of what an investor expects to earn from other investments with a similar amount of risk. A comprehensive & ongoing management process aimed at formulating and implementing effective strategies; a way of approaching business opportunities and challenges such that the firm achieves its vision and mission. What is the difference between strategy formulation and strategy implementation? . Collect and review information to help make the upcoming strategic decisions. economic downturns or upturns, government legislation, new technologies. The strategic-planning process is never truly completed. c. core competence. How is chess relevant to the study of strategic management? a. emphasizes that it is difficult to develop and sustain a competitive advantage based on resources alone. Your company's core competencies. The modern competitive environment requires an iterative approach to strategic management where execution informs planning and planning guides execution. The three primary participants in corporate governance are the ______, management, and board of directors. How to develop a strategic management process. d. strengths, weaknesses, opportunities, and threats. Figure 1.8: Shirinsokhan, Mahmoudreza. d. emphasize profit maximization. b. rapid technological diffusion. d. organization's stakeholders. Strategic management relies on a proven process comprising five key elements: goal-setting, information analysis, strategy formulation, strategy implementation and evaluation and control. Returns can only be measured in accounting terms such as return on assets, return on equity, or return on sales. Efficiency, in terms of strategic management, can best be described as ______. Follow this guide to create and implement an effective strategic management plan: Clarify your vision. (Check all that apply.). Planning. c. speed b. customers pay the highest sustainable price for the goods and services they receive. The strategic leader's work is characterized by: ambiguous decision situations where the best course of action is not always easy to identify. b. tighten loan covenants. University of Malta. Strategic Management can be defined as a decision-making process that leads to the development of the strategic position, i.e., which helps to determine the future sustainability and the profitability of the organization, simultaneous with the integration of managerial capabilities, responsibilities, motivation . c. the lack of an organizational mission for the school board. a. defining the boundaries of the pool. A firm's mission Strategic planning aims to create . The rate of technology diffusion has been steadily increasing over the last two decades. Analyzing a firm's strengths and relationships within its value chain can uncover potential sources of its competitive ______. c. avoid too much managerial hubris. . b) The process of strategic management requires that strategists lay down the objectives of the organization and then formulate the strategies to achieve them. ______ provides the firm with new and up-to-date skill sets, which allow it to adapt to its environment as it encounters changes. (Michael, R, & Robert, 2009, p.6) Tiger Airways Australia was chosen as the object of study. (2014, November 29). The set processes involved in creating or determining the strategics of the organization; if focuses on the context of strategies. Successful strategic leaders are d. 20; 36. d. competitive dominance. c. in the finance area True/False, Strategic leaders must have a strong strategic orientation while embracing change in the dynamic competitive landscape. d. Diffusion, provides the firm with new and up-to-date skill sets, which allow it to adapt to its environment as it encounters changes. It is important to emphasize that, primarily because they are related to how a firm interacts with its stakeholders, almost all strategic management process decisions have b. the resources the firm possesses. Which of the following statements regarding strategic management is true? b. return on equity. Chapter 3 Evaluating the External Environment examines the topic of evaluating the external environment in detail, and Chapter 4 Evaluating the Internal Environment presents concepts and tools for managing firm resources. a. power of each stakeholder Strategic management is when you identify and develop strategies developing strategies for employees to follow in order to perform better and achieve a competitive edge. b. ______ strategies are those organizational decisions that follow from analysis and rarely survive in their original forms. 98.:A business-level strategy describes (A) the businesses in which the company intends to compete. c. employees. d. culture. The development of these goals, however, requires a strategic management process to be done correctly and thoroughly. Explain the difference between negative reinforcement and punishment, and provide several All businesses can benefit from strategic management to help them meet long-term objectives. c. ability, strategies, and purposes. The final chapter explores how to lead an ethical organization through corporate governance, social responsibility, and sustainability. d. Organizational intelligence. b. achieve strategic competitiveness. In the POLC framework, where does strategy implementation take place. Strategic management can also be described as a bundle of decisions and acts which a manager undertakes and which determine the result of the business's performance.