- March 9, 2013
- Posted by: essay
- Category: Term paper writing
To begin with, it should be noted that strategic management is one of the control functions apply to long-term goals of the company. Strategy formulation and its precise tools are the core instrument and a major sign of good management of the company. Moreover, strategic management implies the development and implementation of actions, which lead to long-term excess performance of the company above the competitors, according to The Macro Environment Analysis (2010).
Taking into account mentioned above, it can be said that strategy of the organization ”“ is an interrelated set of long-term measures or approaches in order to strengthen the vitality and power of the organization relative to its competitors. Organization’s strategy, in essence, is a set of rules for decision making, which the organization is guided in its activities. In turn, mission ”“ is the reason for the existence of the enterprise. The mission is defined in the strategic planning process, as the main aspect of strategy of the company, according to which the entire rest of the activity is being build. Its adoption can clearly identify the purpose of the company and does not allow managers to focus on personal interests. For example, Henry Ford defined the mission of his company as providing people with cheap cars, according to Carter McNamara (2010).
The choice of the mission gives the enterprise stability, as determined by the basic principles of its operation. To select a mission, the company needs to clearly define who will be its customers and what customers’ needs it will satisfy. Moreover, goals of any organization are build on its mission. Goals ”“ are the desired state of control object over time. In turn, the lack of strategy has drastic impact on the organization’s activity. Without a clear strategy it is impossible to effectively manage the organization, implement a control function and react to the changes in the external and internal environment of an enterprise.