The ambition of strategic management is to develop and sustain the company over the long term.
Strategic management, based on its understanding of internal and external issues, will be able to establish a map of its strengths in relation to the operational objective it wishes to achieve.
Strategic management is based internally on the analysis of the resources and skills available in the company and externally, with regard to its strengths and weaknesses, identification of its market opportunities and threats.
It is according to these 2 parameters for example that the company will launch a new product or will buy for example one of its competitors.
Industrialization highlights a need to organize tasks so that activities can flow from one end of the production chain to the other and deliver the right product at the right time. Then in the age of service, the customer comes to the center and wants personalization of what they buy.
Globalization today requires renewal very quickly. Organizational creativity therefore becomes an issue of differentiation for organizations, and even a response to the issue of survival of organizations
Strategic management drives the company
The decisions taken by strategic management have a direct impact on its cash flow or its reputation. It must now take into account the impact of its organization on its speed of adaptation.
To carry out its analyzes, decision-makers will need to rely on an efficient information system on which the speed of their decisions could depend.
To do this, it will establish an analysis of its strengths in terms of both resources and technology in order to integrate all the data useful for its decision-making into its dashboards. To do this, it will use strategic tools and digital tools and cross all the data to make his decisions.
This is why it will develop its management, its teams and its corporate culture in order to align its operational objectives and internal resources.
To achieve its strategic objectives, strategic management delegates execution to operational management.
This operational management has evolved, as we have seen over time. Moving from directive management to democratic management, thus adapting to the industrial and then digital development of the products offered by the company.
Complexity of issues
Taking into account the issues is essential for decision-makers and constitutes the basis of today’s strategic management
To learn more about the evolution of management over time, read Client culture is at the heart of Management 3.0
towards an organic management
Also discover strategic management in action
Author: Dominique Popiolek-Ollé, Transmutation leader, Agile Executive Coach, Founder of In Imago, management consulting and disruptive transformation.