Definition
STRATEGIC MANAGEMENT
Art and knowledge to formulate, implement, and evaluate cross-functional decisions that make the organization reach its goals.
(Fred R.David)
The focus: combining / integrating management, marketing, finance, accounting, production / operations, R & D, and management information systems to achieve organizational success (competitive and make a profit on the average)
Target Organization / Company
(Prof. DR. Purnomo Sidhi HS)
• Sales volume (number of goods / services sold in a unit of time)
• Income / revenue (how much money is generated from the incoming sales volume times the price set)
• Income / profit (how much profit is obtained, which is derived from revenues minus costs)
PHASE STRATEGIC MANAGEMENT
• STRATEGY FORMULATION: mission, value (value), and vision; SWOT analysis; long-term goals; alternative strategies
• IMPLEMENTATION STRATEGY: annual goals; programs and policies; leadership and motivation; allocation of resources
• EVALUATION STRATEGY: measuring achievement; necessary corrective action
BENEFITS STRATEGIC MANAGEMENT
the ORGANIZATION
• Helping organizations to be proactive rather than reactive
• Helps organizations make better strategy, using a more systematic, logical, and rational
• Assist the organization and management to determine the direction and goals more clearly
• Assisting organizations in improving coordination and empowerment
• Assist organizations in developing mutual understanding and commitment of the individual
STRATEGIC MANAGEMENT