Strategic Management Process

STRATEGIC MANAGEMENT PROCESS 

Strategic management process consist of four basic elements i.e. situation analysis, strategy formulation, strategy implementation and strategy evaluation. All of these four elements are essential to execute a management plan in contemplation for required changes and improvements in a plan. 

Situation Analysis

Situation analysis is a comprehensive assessment of market presence in a company that rely on internal and external parts. It helps to analyze the capabilities and effect of business climate on the company. It inspects the recent and potential consumer of business and how they counter with products and services 

Strategy formulation 

Strategy formulation is a process that includes establishing and planning the policies of companies. It is segmented into three organizational forms named operational, competitive and corporate. Operational policies are connected with several sectors like human resources, marketing, finance and production. Competitive policies describes the SWOT analysis of the company. Corporate policies are linked with products demands and profitability of a company or organization. 

Strategy implementation 

Strategy implementation decides which procedure or policies need to be performed.  It is the process in which plans are converted into the desired outcome. The inputs are processed into outputs. It is the capability of an individual or an organization to convert the procedures and policies in to success and achieve their objectives 

Strategy evaluation

It is the stage where evaluation takes place and the management and leadership of an organization check that the selected strategy is worth the outcomes. They use the performance indicators to measure the performance.