The 4-step Strategic Management Process

Learn the strategic management process.
Understand the 4 steps in the strategic management process.
Strategic management process: involves building a careful understanding of how the world changes and how those changes might affect one’s company.
1. Understanding of strategy and performance.
2. External/environmental and internal scanning. Examples: Tesla and Apple
3. Strategy formulation - develop specific strategies and actions - including choosing business-level (how do we compete in an industry) and corporate-level strategies (which industries should we compete in), as well as which geographic areas to compete in.
4. Strategy implementation entails crafting an effective organizational structure and corporate culture.
E.g., part of Apple’s success is due to its consistent focus on innovation and creativity that Steve Jobs described as like that of a startup.
IMBA242 Strategy Ch 1 Slides 46 48