Distinguish between Strategic and Tactical Management
Management 5000, Spring 2, 2013
1- Please distinguish between Strategic and Tactical Management and refer to the areas of application for each of them.
Strategic Management is the process of determining mission, vision, values, goals, objectives, roles and, responsibilities of an organization; its strategic plan. Tactical Management is the process of selecting among appropriate ways and means of achieving the goals and objectives of that strategic plan. Basically strategic managers (top-level managers) decide and plan what is going to happen in long terms (like five to ten years) and, tactical managers ( middle level managers) decide how is going to happen in short terms ( one to three years).
Strategic managers are the senior executives of an organization and are responsible for its survival, growth and overall effectiveness as well as its interaction with its external environment. This interaction requires them to work extensively with outside individuals and organizations. They usually establish goals that reflect both effectiveness (providing appropriate outputs) and efficiency (a high ratio of outputs to inputs). This goals can be: increasing market share, improving profitability, boosting return on investment, increasing productivity, improving customer service and contributing to society. Their key activities often include; establishing high performance standards, institutionalizing set of norms and values to support cooperation and trust and creating an overarching corporate purpose and ambition. Examples of this top-level managers are: the chief executive officer- who is the primary strategic manager and has authority over everyone else, chief operating officer and chief financial officer. Some innovative and global organizations have a chief information officer and even a chief security officer.
On the other hand, tactical...