Business Politics & Strategic Management

Strategic Management

Strategic management, as the implementation and design of an organization’s initiatives and primary goals, primarily monitors all enterprise operations (Dess, Gregory G et al 18). Some of these responsibilities include formulating plans and policies to attain the intended objectives, providing general direction, and assigning firm resources to implement the plans. As a result, this paper addresses the idea behind the importance of strategic management.

The Fundamental Business Theory

Importantly, a manager’s principal purpose is to marshal his or her company’s resources in the best way feasible in order to attain the finest goals conceivable. The above mission can only be realized the manger has a grasp of the fundamental business theory, which considers time factor and preference as the main influence of the client’s purchasing power. The theory posits that people with time and can afford to buy in departmental stores will do so, nonetheless, most shoppers prefer specialty retailer located outside malls to departmental stores when time is the factor of reference. Therefore, a focused strategic manager should organize his resource the client’s purchasing power (Dess, Gregory G et al 22).

Nonfinancial and Financial Benefits

Most of the strategic management decision making is geared towards both nonfinancial and financial benefits. The question on the involvement or engagement of strategic management can be answered without addressing the relationship between performance and strategic management. Effective and organized strategic performance leads to improved financial performance. Moreover, strategic management must be multi-purpose and all-inclusive since several effects works together with the management to improve the performance of the firm.

The Value of Strategic Management

In conclusion, strategic management is a significant and integral function of the organization progress. Nonetheless, it works hand in hand with other strategies to achieve a successful organization management. The value of strategic management lies in ability of the executive to use the tool in corporate governance.

Work cited

Dess, Gregory G et al. Strategic Management. New York, NY, Mcgraw-Hill Education, 2016,.