Strategy formulation and strategy implementation are interdependent processes designed to guide and ensure that a company or organization achieves its objectives. Both are part of an overall business management and corporate strategy scheme.Continue Reading
In the strategy formulation stage, plans and decisions are made regarding the organization's strategic goals and how to achieve them. The necessary forces, such as materials, labor and other resources that the plan requires, are assembled. The emphasis is on the effectiveness of the planned activities.
The implementation stage highlights efficiency and puts the plans into operation. As the plans become reality, the focus shifts to managing the processes. The strategic formulation plans are used as a guide to keep the implementation process on track and ensure that the overall goals remain in sight.Learn more about Managing a Business
Business strategy acts as a planning and organizational tool, helping companies set goals and objectives for long-term growth and development. Business strategy exists in two primary types, which are generic or general strategies and competitive strategies. Strategies act as outlines, helping businesses set goals several years out, then plan necessary actions, expenditures and tools necessary for achieving those goals.Full Answer >
Management strategies involve the creation and implementation of strategies and initiatives that help provide direction to an organization's staff and are essential in helping companies maintain a competitive edge. Management strategy initiatives analyze the internal and external strengths and weaknesses of organizations, and then the company drafts action plans that are used to make necessary changes. These strategies often improve efficiency, cut costs and increase productivity.Full Answer >
A quality policy should emphasize how important the company feels about providing high-quality products or services to its customers, and it should state that the company has controls in place for the implementation, monitoring and maintenance of its quality objectives. The policy can also show how meeting high-quality standards will help the company meet its operational goals, such as increasing its customer base or decreasing customer complaints.Full Answer >
Strategic management is important because it allows an organization to initiate activities, influence activities and be proactive rather than reactive in its strategy so that it has full control over its own destiny. Strategic management benefits all business ventures, including small business, for-profit, nonprofit and Fortune 500 companies.Full Answer >