Critically analyse the proposition that strategic management is a creative process through which business strategy emerges over time.

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Strategic Management Essay

Topic 1: Critically analyse the proposition that strategic management is a creative process through which business strategy emerges over time.

Currently in any company decisions are taken in order to obtain the most perfect as possible ways of being generally the first in a market. Strategies, and more particularly the strategic management, are used as a basis of the good development of an organisation. It exists several systems of strategy, and it is at the organisation to find out which one is the most appropriate and the most efficient for its growth. Even if they are perfectly competent, authors and specialists are unable to give, to a specific company, the right strategy to follow, there are so many of them and sometimes managers are using several strategy at the same time. So as to be as effective as possible a company needs obviously to analyse its strength and weaknesses and look on what is already done by other company. This analyse will offer to the company abilities to organise itself for controlling the market and triumphing against the competitors. In order to discover the place of the strategic management in the emergent process and to learn about the emergence of strategies in a company, it is important to firstly define the strategy and the strategic management in the organisational context. Secondly, analysing the different schools of thought, which can offer to the companies a way to figure out what they are really suppose to achieve and to reach. And finally, it is necessary to detail if it is possible the strategic management as a creative process allowing the emergence of business strategy.

Giving a right definition of strategy is quite hard, it is important to notice that it can be apply in several sectors, and there are many authors who develop more or less this concept as to give the key issues for the future of organisation (Johnson et al. 2011) of a company for example. What managers and organisations do can be explained by strategies (Thompson and Martin 2005).

Strategy requires a good knowledge of the business, goals to reach in the future, and ways to action, as Macmillan and Tampoe (2000) state; strategy’s origin come from the ancient Greek: “strategy is knowing the business you propose to carry out” (Macmillan and Tampoe 2000 p.13). Nowadays, strategy can be define as a long-term direction and scope of an organisation (Johnson et al. 2009 and 2011, Elliott 2011, and Pettinger 2004), thus, advantages can be achieved in accommodating environment through its configuration of abilities and resources with the aspiration of meeting the stakeholders’ expectations (Johnson et al. 2009). The definition of strategy aspires with both the purpose and the means by which the aim will be achieved. That is why Macmillan and Tampoe (2000) suggest that strategy will be sensitive to values, culture and business opportunity. In order to be more competitive and distinguish from others companies, as Portter (2005) asserts an organisation has resources and competences that it needs to evaluate and accommodate to the external environment and the market, where it grows. Over years it will become efficient on the market and get value.

For Johnson (1987) it is clear that strategy can exist at a number of different levels in an organisation. Three main levels of strategy exist into an organisation,  (Johnson et al. 2011 and 2009) illustrate those notions: the corporate-level strategy, the business-level strategy and the operational strategies. Johnson et al. (2011 and 2009) define the corporate-level strategy as the top one, it become involved with the overall purpose and scope in an organisation and it also concerned the method by what business units’ parts get added value. It can as well affect the expectations of the owners, the shareholders, and the market, so it is important to be clear about this to determine other strategic decisions (Johnson et al. 2009). The business-level strategy, the second level, is about competition; Johnson et al. (2011 and 2009) introduce it as a way of including corporate strategy in individual businesses to compete in particular markets. Johnson et al. (2011 p.8) declare that this level of strategy “typically concerns issues such as innovation, appropriate scale and response to competitors’ moves”. The third and last level of strategy noted is relative to the operating ends of an organisation here are operational strategies. Operational strategies are involved on how the corporate-level strategy and the business-level strategy are issued in an organisation. Johnson et al. (2011 and 2009) state that this is in terms of resources, processes and people; for example Yahoo!’s designers, for the web-pages, are in all those businesses. Finding the right strategy depend on the decisions which are taken and the way the business wants to go to, the company has to consider either the external environment or the internal one.

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Strategic management definition is more or less the same as what strategy is. As strategies could not happen just by themselves, strategic management underlines the importance of the regard on strategy of managers (Johnson et al. 2009). It requires qualities, which are contradictory, and skills to deal with the demand of the context, it pay attention on three groups: the corporation, the customer, and the competitors (Joyce and Woods 2001), so the perfect strategic management is hard to do. Lynch (2009) describes this discipline, the strategic management, like the identification of the aspiration of an organisation and the ways ...

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