Strategic management for companies is a process that enables project leaders, company stakeholders and individual team members to see the goals of their work. It is vital for any company, regardless of its size since it creates a sense of camaraderie among team members and the concept of a North Star to guide decisions.
This involves looking at both the external and internal environment to determine threats, opportunities and strengths and weaknesses of the business. The company creates a plan to reach its long-term goals. These plans could include implementing processes to ensure competitiveness as also identifying advantages and determining strategies to assist in the growth of the company.
The executive leadership team will then explain the plan to all teams. It can take a lot of time to gain the support for any strategic plan. The leadership team has to develop a system of continuous communication to ensure that the goals remain top of mind for employees.
The strategic planning process may be a continuous process and the business must be able to change its objectives to accommodate disruptions and new opportunities. This reassessment requires internal and external analysis, and the executive leadership team must be able to swiftly shift resources and change the strategic direction of the company.
One example of effective strategic management is the UAE’s Emaar Properties, which strategically constructed Dubai skyscrapers like Burj Khalifa and Dubai Mall to establish itself as a top-of-the-line destination. Another example is Australia’s “buy now, pay later” fintech Afterpay, which successfully capitalized on a shift in consumer preferences for flexible payment options.