Overview of Strategic Management– Nature & Scope- Defining Strategy- Concept of Strategic Management – Characteristics of Strategic Management- Approaches to Strategic Decision-making - Elements in Strategic Management Process.

1. By,
Amal George 1917003
Arun Alex 1917004
Haris Basha 1917008
Aiswarya R Mohan 1917018
Alphil Maria Joseph 1917019
Ankitha Thomas 1917021
Ansu Joy 1917022
Enu Chalissery 1917032
Tresa Mary Joshy 1917062
GROUP 1

2. SUMMARY

3. ● Strategic Management is all about identification and description of the
strategies that managers can carry so as to achieve better performance and
competitive advantage for their organisation. (Kotnour 2016).
● Functions of Strategic Management
1
2
3
4

5. Core of the Strategic Management Process
Strategy
Holding Open , Honest
Conversations ……..?
Identify the 3rd Core?

6. CONCEPT OF STRATEGIC MANAGEMENT
● Goals- Desired future objectives of an organisation.
● Objectives- Specific, measurable steps to attain the goals of the organisation.
● Strategies- Plan of action required to achieve the goals and objectives.
● Mission - The core of the business that helps business to reach the objectives.
● Vision- Future of the business that provide direction.

8. PITFALLS OF STRATEGIC MANAGEMENT
● Short Termism
● Ignoring External Trends
● Overconfidence
● Failure to employ best possible team
Identify the case study referred in the previous class to explain the pitfalls of
strategic management?

10. Characteristics of Strategic Management
● Objective oriented
● Future oriented
● Availability & allocation of resources
● Top management involvement
● Affects the firm long term prosperity
● Affects operational function of an organization
● Emphasis on environmental factors
● Competitive Advantage
● Control risk & increase return
● Searching for new sources advantage

11. 1. Objective Oriented
1. Future Oriented
1. Affects operational
function of an
organization.
1. Affects the firm long
term prosperity
1. Top management
involvement
● To formulate strategy every business should
know the objectives.
● Its directed towards the future position of the
organization through proper planning, and
taking proper decisions to ascertain the goals of
an organizations
● Strategic business units especially in areas
relating to customer-mix, competitive focus,
organisational structure etc.
● Look different, strategy differentiation is a
must.firm must invent new rules and new
games to become unique
● When the firm takes a particular strategy and
long term commitment towards that strategy
by the image and competitive advantage are
tied upon that strategy

13. ● To implement strategy properly, there is a need
of adequate resources and proper allocation of
resources. If it done in a better way, the
organization can attain its objectives.
● By analysing internal and external environment,
the organization can find out the strength and
weaknesses as well as opportunities and threats
to formulate the strategies.
● There are no need of strategies if there are no
competitors. Our strategies should tempt the
customers and competitors to grow more.
● A better strategy can avoid risks and maximise
the return by considering time.
● To be competitive and to get long term advantage,
firm should have new rules and new games to be
unique and to create wealth.
6. Availability &
allocation of
resources
7. Emphasis on
environmental
factors
8. Competitive
Advantage
9. Control risk &
increase return
10. Searching for
new sources of
advantage
● Searching for ne

14. STRATEGIC MANAGEMENT PROCESS

15. ● Strategic management process is ways for businesses to build
strategies that help the company quickly respond to new
challenges.
● Helps organization to find new and more efficient ways to do
business.

16. ELEMENTS IN STRATEGIC MANAGEMENT PROCESS
● Environmental Scanning
● Strategy Formulation
● Strategy Implementation
● Strategy Evaluation

17. ENVIRONMENTAL SCANNING
● Internal analysis
● External analysis

18. STRATEGY FORMULATION
● Process of investigation, analysis and decision making that provides the
company with the criteria for attaining a competitive advantage.
● Includes defining the competitive advantages of the business (Strategy),
crafting the corporate mission, specifying achievable objectives and setting
policy guidelines.

19. LEVELS OF STRATEGY FORMULATION

20. STRATEGY IMPLEMENTATION
● Involves putting strategy into action.
Management focuses on various steps and procedures to
execute their strategies and the order in which strategy should be
implemented.

21. STRATEGY EVALUATION
● Examining how the strategy is implemented as well as the outcomes of the
strategy.
● A process in which corporate activities and performance results are
monitored so that actual performance can be compared with desired
performance.

22. 1. Rational Analytical Approach
● Decision maker is intelligent and rational
● Consider all alternatives and its consequences
● Choose the alternative that gives maximum gain
● Establish ,rank and weight criteria

24. 2. Intuitive-Emotional Approach
● Take decisions on the basis of intuition
● Gut feeling/inner feeling
● Exclusive an art
● Most of the managers become emotional and
● nothing can change their behavioural

25. RESEARCH ARTICLE
Title : ‘Hit or Miss?’: The Role of Intuition in Decision Making
Authors : Cinla Akinci & Eugene Sadler-Smith
Published By : British Academy of Management Conference, Brighton, UK
Purpose : There are occasions where rational thinking does not suffice
for decision making. Top level executives rely on their
intuition to solve complex problems where rationality cannot
help.

26. Methodology : Critical incident technique (CIT)
Samples : 13 participants (3 females, 10 males); 6 Managing
Directors & 7 Executive Coaches/Directors.

27. Findings
Intuition is used in strategic decision making in the following cases :
1. Lack of data
2. Hurry to make a quick decision
3. Lack of time & resources for research
4. Situation is complicated
5. Uncertainties & lot of unknowns
6. Crisis with a lot of time to reflect
7. Judgement and not analysis

28. 3. Political Behaviour Approach
● As the decision affect variety of people and organisation
● Must consider all people and organisation in making decisions
● The stakeholder influence decisions of the corporations deciding
upon their strength
● Rule of power sharing

29. 4. Administrative Approach
● Recognized by Herbert A Simon
● Recognized that decisions are not always made with rationality
and logic.
● Bounded rationality suggest that their values and unconscious
reflects, skills limit decision makers, and habits;by less than
complete information and knowledge.
● Satisficing aims for satisfactory results than optimal solution

30. Mintzberg’s mode of decision making

31. 1. Entrepreneurial Mode
● Strategy is formed by the most powerful person who has the authority.
● Strategies are guided by vision of founder.
● Main focus lies on growth and opportunities.
● Main drawback -importance is not given to problems related to strategy.

33. 2. Adaptive mode
● Strategy is formed by multiple decision makers.
● Deals with adapting to changes.
● Finding solutions to existing problems.
● Not proactive but reactive approach.
● “Muddling through”

35. 3. Planning mode
● Systematic plan
● Involves :
○ Collecting information for situational analysis
○ Developing alternative strategies
○ Selecting the most suitable strategy
● Both reactive and Proactive

36. Mumbai Dabbawaala
Example

40. Hewlett-Packard (HP)
● American multinational information technology company
● Headquartered in Palo Alto, California, USA.
● Incorporated in 1947.
● Apart from computing and other access devices, the brand also sells imaging
and printing products as well as other related technologies, solutions and
services.
● Competitors - Acer, Lenovo, IBM, Canon etc.
● Its competitors are key companies who are also able to put similar strategies.

41. ➔ Problem - Presence of several competitors in the industry.
➔ Need a Strategy:
1. Distribute its products through Online.
2. Boost its present channels of distribution.
➔ Implementation:
1. Own Website
2. Contract with Walmart or Sears websites

43. REFERENCES
● https://www.ukessays.com/essays/marketing/the-strategic-management-process-for-hewlett-packard-corporation-marketing-
essay.php
● http://business-brownvisions.blogspot.com/2011/02/major-elements-of-strategic-management.html#.Xz1qk8gzbIU
● https://bizfluent.com/info-8233994-key-elements-strategic-management-process.html
● https://www.iedunote.com/strategic-management
● http://arts.brainkart.com/article/mintzberg---s-modes-of-strategic-decision-making---strategic-management-process-1198/
● http://rollno106.blogspot.com/p/unit-1.html
● https://www.fundable.com/learn/startup-stories/amazon
● https://www.youtube.com/watch?v=sFE8KUgyFXA
● https://www.businessmanagementideas.com/strategic-management/approaches-to-strategic-decision-making/19690
● https://www.history.com/news/why-coca-cola-new-coke-
flopped#:~:text=The%20outrage%20caught%20Coca%2DCola,emotional%20attachments%20to%20the%20brand.
● https://www.researchgate.net/publication/266177117_'Hit_or_Miss'_The_Role_of_Intuition_in_Decision_Making_1_'Hit_or_Mis
s'_The_Role_of_Intuition_in_Decision_Making