Northcentral University’s –Executive Concepts in Business Strategy (2011) defines strategic management as “the process by which a firm manages the formulation and implementation of a strategy” (p. 1628). A strong strategic management plan involves 9 key elements: 1) Marketing 2) Workforce and operational management 3) Organizational Structure 4) International operations 5) Financial Accounting Management 6) Compliance and Legal Considerations 7) Internal control and evaluation 8) Information technology 9) Leadership. These elements are essential to not only establishing a firm business plan but revisiting and restructuring the details of this plan often will prove pertinent to ...view middle of the document...
Based on this company’s goals, objectives, and marketing venue, it is proposed that the type of marketing strategy used be the SWOT (Strengths, weaknesses, opportunities, and threats) analysis. Using a SWOT analysis will allow the company to strategize a business plan that well be well developed based on the where the company is in the current market as well as where it can become stronger based on factors such as the competitions current standings and past accomplishments.
Fahy (1999) argued that the SWOT analysis may have some flaws related to the outline of strategy. Perhaps this is because the SWOT analysis generally focuses on the business as a whole as it speaks directly to the respective market. Therefore, a SWOT analysis should only serve as a gateway to a more detailed plan of action. Identifying the areas of strengths and weaknesses is only a starting point to a broader avenue of issues.
Workforce and Operational Management
The second major element of a strategic business management plan is the workforce and operational management segment. This element is most often referred to as the employee relation management (ERM). ERM is a set of skills most notably related to human resource management because of the types of functions incorporated in this area. For instance, employee relations management encompasses situations such as settling disputes with employees, hiring and termination of employees, and benefits computation informations.
Although these are only a few of the major issues handled by ERM, the strategic management of this area is no less important than any other branch of the infrastructure of any organization. Lack of focus on this area of management can prove as destructive as with any other area. This can be proven within the hiring process. A strategically unsound ERM system can place an organization at risk for major liabilities such as discrimination lawsuits, security breaches, financial loss, etc.
Mayfield, Mayfield, and Lunce (2003) suggested that any framework for a HR system be “practical, applicable to current organizational issues, and flexible enough to address emergent trends” (p. 142). This type of strategic management plan would incorporate and design a plan of action and reference by which the company and employees can rely on for informational systems purposes that would be readily available to service that functions assigned to the human resource department.
The third element of strategic management is the organizational structure. Organizational structure is the “linking of departments and jobs within an organization” (Nelson & Quick, p. 237). Northcentral University’s – Basic Concepts (2011) goes on to further state that organizational structure also “defines how job tasks are formally divided, grouped, and coordinated” (p. 494). The dynamics of an organization can be determined by the process by which the organization itself has been structured. This can only be...