Strategic and Operational Management in Contemporary Organizational Environment

Key Issues of Strategic Management

Question 1

a) Strategic management can be defined as the continuous process of identifying and implementing appropriate strategies that allow an organisation to realise better performance and gain a competitive advantage in its operating environment. It is abroad discipline, but the main aspects of the strategic management process are:

Strategy Formulation

i. Analysing the organisations current internal resource and capabilities.

ii. Analysing current general external environmental factors that could impact the organisation.

iii. Generating, evaluating and selecting appropriate sustainable strategies at the corporate, business and functional levels of the organisation.

Strategy Implementation

i. Ensuring that appropriate leadership, management, staff, structures, systems and processes are available to realise the organisations formulated strategy.

ii. Monitoring and evaluating the performance of the implemented strategy. For two (2) of the above aspects of the strategic management process, research the key issues of each aspect. Then evaluate how the issues are likely to impact the strategic management practices of a global financial or banking organisation in its contemporary operating environment.

b) Operational management involves decision-making that is responsible for the transformation of resources into an organisations goods and services. This occurs in many different areas of an organisations operational business environment. For any two (2) of the following areas, research the key issues of decision-making in each area. Then evaluate how the issues are likely to impact the strategic management practices of a global automotive organisation in its contemporary operating environment.

i. Product/Service Design

ii. Quality Management

iii. Process & Capacity Design

iv. Location Strategy

v. Layout Design Strategy

vi. Human Resource Management & Job Design

vii. Supply Chain Management

viii. Inventory Management

ix. Scheduling

x. Facilities Management