“Strategic Management consists of the analysis, decisions, and actions an organisation undertakes in order to create and sustain competitive advantages.”(Dess,Lumpkin,Eisner,2010) “Strategic Management is the process of identifying, evaluating and implementing strategies in order to meet the organisational objectives.” (Chris Jeffs,2008). Chris Jeffs(2008)says that strategic management provides with the tools necessary to study the internal and external environment and this is important as it helps in decision making. Johnson and Scholes however thinks strategic management apart from all that should also differentiate one organisation from another. He says that a match should be acquired between an organization and its environment which provides with a competitive advantage over others. (Johnson and Scholes cited in Russell Hoye, Aaron Smith, Matthew Nicholson, Bob Steward, Hans Westerbeek,2009) Russell et al. (2009)says that an organisation could be a successful one if the decisions it makes are qualitative and strategic in nature. Michael Armstrong, Tina Stephens (2005) simply say that strategic management means looking ahead at what they need to achieve in the middle or near future. Every organisation needs a purpose and a set of objectives. Strategic Management not only helps in providing those objectives but also achieving them in within a stipulated time frame even after considering a changing environment. Strategic management also helps in assessing the progress and results so as to make the organisation not only a successful one but also a sustainable one. Many organisations believe that in the sports industry it is not important to undertake strategic management due to its fast changing nature. They believe in implementing decisions as problems arise on a day to day basis. However this is fundamentally against what strategic management teaches us. It is true that on the field performances brings in uncertainty and chaos but strategic management prepares an organisation to adapt or deal with the situation. Fred R. David (2009) infact thinks that strategic management would be a failure if it fails to provide the organisation with a competitive edge. He cites an example of 2 company presidents who encounter a bear. One of the presidents takes out his jogging shoes, while the other president says ‘you cannot outrun a bear’. To this the first president replies, ‘Maybe I cannot outrun that bear, but I can surely outrun you’.(Fred R. David,2009)
The Strategic Management process
Aaron Smith and Bob Stewart (1999) mention that many authors may have their different techniques or methods. Charles W.L. Hill and Gareth R. Jones (2004) say that during this process it is important to keep a customer-oriented view of the organisation. While that may be true he says that they consist of the basic core.
Aaron et al.(2008)
1. Strategic direction – This is the starting point of any organisation. An organisation should create a mission statement, vision statement and organisation objectives. 2. Strategic analysis – Helps in familiarizing and monitoring the environment in which an organisation operates. Also provides the organisation with its own and competitors strengths and weaknesses. This is done by methods such as SWOT and Competitor Analysis. SWOT analysis – SWOT analysis is one of the most basic tools used to analyze the organisation with the industry conditions whether internal or external. SWOT stands for Strenghts, Weaknesses, Opportunities and Threats. Strength is resource or capability which drives an organisation towards completing its goals. Weakness is any inadequacy which prevents an organisational goal from being met, Opportunity is a positive scenario that could be exploited to help towards organisational goals and Threats is a circumstance which will...