"Components of Strategic Management"

[Audio] WELCOME TO TOPWORKER. TODAY WE WILL BE DISCUSSING ABOUT COMPONENTS OF STRATEGIC MANAGEMENT..

[Audio] Define Strategic Management: Strategic management is the process of setting an organization's direction and allocating resources to achieve its long-term objectives. In other words, it's about making choices that will lead the organization to success. Importance of Strategic Management: Strategic management is crucial because it provides a roadmap for the organization's future. By defining where the organization is headed, it ensures that everyone is on the same page. It also helps in setting clear, well-defined goals and aligning efforts to achieve those goals. Key Objectives: The ultimate goal of strategic management is twofold. First, it aims for long-term success, which translates into sustained profitability and growth. Second, it seeks to establish a competitive advantage, giving the organization a unique edge in the market, whether it's through superior products, lower costs, or innovative services..

[Audio] External Environment (PESTEL Analysis): To make informed strategic decisions, organizations analyze their external environment using a PESTEL framework, which encompasses Political, Economic, Social, Technological, Environmental, and Legal factors. For example, a tobacco company would consider how government regulations, like taxation and advertising restrictions, affect its industry. Internal Environment (SWOT Analysis): Internally, organizations conduct a SWOT analysis, which stands for Strengths, Weaknesses, Opportunities, and Threats. This analysis helps them identify their internal strengths and weaknesses and external opportunities and threats. For instance, a tech company may recognize strengths in its innovative products, weaknesses in inefficient processes, and opportunities in emerging markets, while being aware of threats from aggressive competitors..

[Audio] Importance of Clear Objectives: Clear objectives are the foundation of effective strategic management. Objectives should be SMART, meaning Specific, Measurable, Achievable, Relevant, and Time-bound. This ensures that everyone understands what needs to be achieved and when. SMART Criteria for Objectives: An example of a SMART objective could be, "Increase market share by 10% within the next 12 months." It's specific in terms of market share, measurable in percentage, achievable with a 10% growth, relevant to business goals, and time-bound within a year. Examples of Strategic Objectives: Strategic objectives can vary widely based on the organization's goals. For instance, a company might aim to "Expand into three new international markets in the next three years" or "Reduce operational costs by 15% in the next fiscal year.".

[Audio] Importance of Clear Objectives: Clear objectives are the foundation of effective strategic management. Objectives should be SMART, meaning Specific, Measurable, Achievable, Relevant, and Time-bound. This ensures that everyone understands what needs to be achieved and when. SMART Criteria for Objectives: An example of a SMART objective could be, "Increase market share by 10% within the next 12 months." It's specific in terms of market share, measurable in percentage, achievable with a 10% growth, relevant to business goals, and time-bound within a year. Examples of Strategic Objectives: Strategic objectives can vary widely based on the organization's goals. For instance, a company might aim to "Expand into three new international markets in the next three years" or "Reduce operational costs by 15% in the next fiscal year.".

[Audio] Importance of Clear Objectives: Clear objectives are the foundation of effective strategic management. Objectives should be SMART, meaning Specific, Measurable, Achievable, Relevant, and Time-bound. This ensures that everyone understands what needs to be achieved and when. SMART Criteria for Objectives: An example of a SMART objective could be, "Increase market share by 10% within the next 12 months." It's specific in terms of market share, measurable in percentage, achievable with a 10% growth, relevant to business goals, and time-bound within a year. Examples of Strategic Objectives: Strategic objectives can vary widely based on the organization's goals. For instance, a company might aim to "Expand into three new international markets in the next three years" or "Reduce operational costs by 15% in the next fiscal year.".

[Audio] Importance of Clear Objectives: Clear objectives are the foundation of effective strategic management. Objectives should be SMART, meaning Specific, Measurable, Achievable, Relevant, and Time-bound. This ensures that everyone understands what needs to be achieved and when. SMART Criteria for Objectives: An example of a SMART objective could be, "Increase market share by 10% within the next 12 months." It's specific in terms of market share, measurable in percentage, achievable with a 10% growth, relevant to business goals, and time-bound within a year. Examples of Strategic Objectives: Strategic objectives can vary widely based on the organization's goals. For instance, a company might aim to "Expand into three new international markets in the next three years" or "Reduce operational costs by 15% in the next fiscal year.".

[Audio] Importance of Clear Objectives: Clear objectives are the foundation of effective strategic management. Objectives should be SMART, meaning Specific, Measurable, Achievable, Relevant, and Time-bound. This ensures that everyone understands what needs to be achieved and when. SMART Criteria for Objectives: An example of a SMART objective could be, "Increase market share by 10% within the next 12 months." It's specific in terms of market share, measurable in percentage, achievable with a 10% growth, relevant to business goals, and time-bound within a year. Examples of Strategic Objectives: Strategic objectives can vary widely based on the organization's goals. For instance, a company might aim to "Expand into three new international markets in the next three years" or "Reduce operational costs by 15% in the next fiscal year. THANK YOU..