Changing attitude of the companies to global gives relevance to strategic planning and implementation. An organizations strategic goal helps in directing the resources towards it. But strategic plan alone does not result in a successful implementation of the strategy. It depends upon the overall environment of the business i.e. its size, culture, market pressures etc. Studies show that strategic management led to increased performance of an organization in terms of its profit, market share etc. Strategic management decisions taken at all levels of management helps to evaluate and measure the benefits derived. It also helps in the creation of problem prevention culture in the organization. Strategic management offers a number of benefits to the organization practicing it.
People could realize the importance of their working and what are expected from them. Better delegation, coordination, monitoring, performance evaluation and control. Strength and weakness of the firm could be identified.
The word strategy has different meaning in different parlance. In business, there is no definite meaning and it is often used to mean a number of things. Alfred D Chandler had defined strategy as “the determination of the basic long term goals and objectives of an enterprise and the adoption of the courses of action and allocation of resources necessary to carry out these goals.”(Page no.26, Second Edition, Business Policy and Strategic Management, Azhar Khazmi). William F Gluek, a well known in the strategic management area has defined strategy as " a unified, comprehensive and integrated plan designed to assure that the basic objectives of the enterprise are achieved" (page no. 27, Business Policy and Strategic Management, Azhar Khazmi, Second Edition).&nbsp. Unified refers that the strategic plan joins all levels of an organization, comprehensive refers all aspects