Strategic Management: Formulation and Implementation

The Scope Of Strategic Management

J. Constable has defined the area addressed by strategic management as "the management processes and decisions which determine the long-term structure and activities of the organization". This definition incorporates five key themes:

* Management process. Management process as relate to how strategies are created and changed.

* Management decisions. The decisions must relate clearly to a solution of perceived problems (how to avoid a threat; how to capitalize on an opportunity).

* Time scales. The strategic time horizon is long. However, it for company in real trouble can be very short.

* Structure of the organization. An organization is managed by people within a structure. The decisions which result from the way that managers work together within the structure can result in strategic change.

* Activities of the organization. This is a potentially limitless area of study and we normally shall centre upon all activities which affect the organization.

These all five themes are fundamental to a study of the strategic management field and are discussed further in this chapter and other part of this thesis.