Strategic
planning is the process carried out by an organization to define its direction
and making decisions on supply allocation to chase its strategy. The strategy
explains in what way the end goals will be achieved and through what means. A
strategy involves setting objectives and laying down a well-defined path on how
to attain those objectives through resource allocations and implementation of
actions. Strategic management comprises charting out a clear distinct map on
goal achieving by specifying the company’s objectives, developing plans and
policies, allocating resources to implement the plans.

Components
of the Strategic Management Process

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              This is a process that happens,
in order to evaluate the company and its direction. This is the process through
which directors decide on a specific approach that can be used to improve enactment
in an organization. The process has four steps. The first one is environmental examining.

This entails decisions solely focused on strategy. It entails gathering,
providing information, and analyzing information for the strategy. It assists
in evaluating the external and internal factors influencing the company. Once
conducted, the procedure should be visited frequently to try and improve it. Secondly
we have strategy creation. With the relevant information gathered up, a
particular direction that best suits the strategy is then picked and followed.

Here executives frame the business, and practical strategies. Thirdly,
strategic implementation comes in place. This means placing the specific chosen
approach into action. This phase involves nurturing policymaking process, planning
the establishment’s makeup, spreading of resources, and managing human
resources. Finally we have strategy evaluation. Here, the strategy is verified
as to whether its employment assembles the company’s objectives. Its main
activities are: measuring performance, taking corrective measures, and evaluating
internal and external factors that are the source of present policies.

Internal
and External Analysis

Internal
analysis concentrates on the factors inside an organization that are either
advantages or disadvantages in meeting the needs and goals of that organization
and its target market. Advantages are those factors that deliver the company assets
in meeting the needs of its marketplace. These should be client-oriented since
they are useful when they assist the firm in meeting customer desires.

Weaknesses, on the other hand, refer to the limitations an organization
experiences in implementing or developing a strategy. These should also be
examined and dealt with to keep the strategy firm (Rowe, J A, 1993).

The
external analysis focuses on threats and prospects in a firm’s external
environment. Opportunities bring favorable conditions to implement the
company’s strategy to customers and consumers. Weaknesses bring with them the
opposite: reduced sales, poor interaction, and poor sales. These are issues
that can be spoken on to improve the external business approach.

Duties
and Responsibilities of the Strategic Manager

The
strategic manager’s exclusive role is to achieve business results. He/she
achieves this by project portfolio administration, resource portfolio
management, project mentoring programs, and project organization of tool valuation.

He/she handles projects that contribute to a firm’s success in developing new
products, fixing problems and launching initiatives designed to cub wastage and
losses. He/she guarantees that the best personnel up for the tasks manage
resources effectively. Also, those managers with more experience get to mentor
those with less experience. Through sharing of ideas and tips, improvement of
quality in results might be achieved. A manager evaluating the techniques and
tools used by organizations to manage projects assures data integrity,
consistency in the company, and proper scheduling.

Importance
of Strategic Management Planning in Companies

Strategic
planning provides a sense of direction and measurable goals for an
organization. It helps a company define its strategic management. This helps
drive the firm’s growth over proper management methods focused on setting
goals. Some qualities of an effective organization are good management,
effective leadership, and open communications. By setting this up, making
changes when needed is effective and easy. When it comes to setting goals, nothing
achieves the task better than a well-thought plan. By focusing on the goal, the
firm benefits unison in movement. This keeps the company motivated on future
success (Sadler, 2003).