GREATEST ADVANTAGES OF STRATEGIC
GREATEST SHORTCOMING OF STRATEGIC
RESPONSE TO MILTON FRIEDMAN’S ARGUMENT ON
SOCIAL RESPONSIBILITES OF BUSINESS6
Strategic management is essential for organisations. There are a few areas that I will be analysing to highlight their effects to an organisation.
Firstly I wish to discuss decision making, which I believe to be, the greatest advantage of strategic management. The decision making element provides an organisation a clearly defined framework to work within, however still allowing for flexibility to achieve its strategic direction. This strategic element allows executives, managers and operational staff to make decisions as and when, required within today’s ever changing business environment.
Secondly I will be highlighting what I perceive as being the greatest weakness within strategic management. It is imperative, in my opinion that organisations involved in- or utilizing strategic management, are fully aware of the biggest pitfall: the implementation of strategic management, which could potentially assist in the avoidance of this shortcoming.
Lastly, my response to Milton Friedman’s statements: “social responsibility of a business is only to maximise profits, and that this needed to be done within the law and “rules of the game” in which I reflect my disagreement as social responsibility is towards the environment, the staff, the community and it is the responsibility of the organisation to support all three areas.
Greatest Advantage of Strategic management
I am of the opinion that strategic management has many advantages, the greatest of them all being decision making. The decision making element provides a clearly defined strategic direction and an all encompassing framework in which adaptive and flexible management and subsequent...