Importance Of Strategic Planning And Management In The Business Environment Explain Why A Strategic Plan Would Be Important To The Success Of This Business. Explain The Four Functions Of Management.

953 words - 4 pages

The small business I would like to start would be a candy store. This paper will define strategic management, planning and explain why a strategic plan is important to the success of this business, and explain the four functions of management relative to creating and implementing a strategic plan.Strategic Management is the groundwork for a company's vision and allows a company to be ready to capitalize on opportunities. Strategic management is a process of evaluating a company's mission, establishing the company's design, developing the company's organization and relationships, and guiding the company's plan to execution to ensure that the management is consistent with the company's strategy. Strategic management also enhances or protects the company's interests and defines the way a company wants to expand or focus. Strategic management if often overlooked and should be the first step in defining a company's core values, mission, and product focus (Fazzini, 2008).Strategic planning is so important to the success of my business. Its size is what makes strategic planning so important because it means growth from small to a thriving international corporation. This is basically a growth plan. Meaning where wells it be 3 years from now or 5 years or 7 years from now. First he or she must focus on gathering data about the internal and external environment of their company. He or she must also consider outside socio-cultural factors and inside factors, including management style and workforce (Strategic Planning, 2007).One of the most important factors is having goals for your company. Make sure your goals are attainable and reasonable; follow the SMART rule - specific, measurable, attainable, realistic, and time-bound. By following this rule, it makes goals attainable.By being the owner, I have the yeah or nay when it comes to decisions. However, in order to have a successful business, your employees should have a say in some decision-making. This ensures that the company works together to obtain set goals.Finally devise an action plan. List possible and specific courses of action then choose what all you deem as most suitable. Define a schedule for everything but also give leeway for unexpected delays. During this time also set a budget.PlanningPlanning is a function where managers work together with others in the organization towards a common goal. Whether the goal is to increase profits or retaining employees is not the point. Working together and coming up with a plan to achieve that goal is. To be competitive in a local or global economy you need to begin by coming up with goals and create a plan on how to achieve them. Sometimes change is needed in leadership. Goals may need to be changed and updated from time to time. The planning stage will help in laying out these goals and the steps the organization will need to follow.OrganizingOrganizing an organization's resources is the next step toward success for any management team. What can a...

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