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STRATEGIC MANAGEMENT
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Introduction
The modern business world has been characterized by innovations and competitions. To
since its usually a backbone for any organization or business. The managers have the duty of
ensuring things are done correctly. Leadership in a company brings a vision and implementation.
However, the same company can only run efficiently through proper communication. An
excellent management requires skills like communication, planning, and delegation. Given that
todays economy has increasingly changed, creativity amongst employees is a very vital
requirement for a business or organization to succeed. Realizing this would, therefore, require an
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management motivates employees. Hence, they are enabled to generate new skills and ideas.
from one person to another. Communication consists of two types; verbal and non-verbal
it aids in managing changes in an organization. Managing change is very vital to any business.
Employees must always be made aware of the changes occurring through proper tools of
communication. This can be done through letters and meetings on the duration of that change.
quickly passed. Communication is vital in marketing as consumers can get reliable information
through the appropriate channel. Managers and marketers can develop effective forms of
financial and accounting, communication aids in ensuring efficient budget allocation and
spendings.Accountants and finance can provide analysis of how money was spent and the best
way to use funds so as to realize the success of any organization (David & David, 2011).
Given the complexity of work in businesses, a manager can never be able to carry out all
tasks assigned. A delegation of authority becomes a need. Through it, authority and power are
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divided, that is, it is distributed downwards to the other subordinates. When another person is
entrusted with doing part of the job, a business can be expanded as responsibilities become
the burden on managers by dividing the workloads, thereby enabling them to concentrate on the
other higher tasks. It also allows for a motivation of the employees. Tasks can also be carried out
very fast and efficiently hence time saving. Development of management is enabled too by
division of authority. It provides a ground for training and gives opportunities for growing and
learning to employees. Executives are also made, reserved and put to use when there is a need
Strategists are obliged to make decisions for the benefit of an organization. Decision
making, on the other hand, relies on data and information. To strategists, it is the gathered
information that makes up data. Without the information provided by data, strategist cannot plan
and produce services that would meet peoples needs.stategists process data and again turn them
Operation managers are often not directly involved in strategic formulation activities as
their roles are limited to the domain of product management, supply chain management, and
resource utilization. Their involvement would only mean slowed decision making and operation
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processes. For that reason, the delegation of authority is situated. It can become an office
weakness as office processes will be slowed down (David & David, 2011).
The acquisition of another firm to achieve desired objectives come with many
advantages;
It aids in reduction of costs of operations since the firms processes can be run on a broad
Enables increase in skills required for innovations thereby making an impact on the firm.
complex process that sees managers spending a lot of time in carrying out operations. If
employed all at once, their implementations can also prove to challenge. They may also lack
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proper planning as they would be excess as compared to the availability of resources (David &
David, 2011).
The first mover is that competitive advantage acquired by a company or business when it
manages to be the first in entering a given industry or market. The first mover has various
advantages; when a corporation is a first mover, it makes it possible for it to make an impression
that would be durable hence leading to constant recognition of its brands. Resources can be
easily controlled by a first mover and easily sustained in the event of switching brands (David &
David, 2011).
Outsourcing refers to an arrangement whereby one company enters into a contract with
another to provide services. An organization can opt to outsource information found necessary in
the management of the enterprise. Outsourcing in businesses takes many forms depending on the
needs of a firm. Companies can resort to outsourcing due to lack of labor in given processes
when there is an availability of cheap labor from another firm. Outsourcing makes a business be
run by a pool of expertise, and the critical tasks of an organization can be dealt with
appropriately. It reduces the costs of operations as well as making it easier to share risks due to
the involvement of more than one firm (David & David, 2011).
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Reference
David, F., & David, F. (2011). Strategic Management A Competitive Advantage Approach (15th
ed.).
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