This paper will discuss in brief business definition, the role of the general manager and his/her importance within a media company, the advantages of strategic planning and how companies go about implementing these strategies|
This paper will discuss in brief business definition, the role of the general manager and his/her importance within a media company, the advantages of strategic planning and how companies go about implementing these strategies. It will also discuss the differences between Japanese and Irish companies, when it comes to the strategic planning process. First it is important to know and understand what strategic management is and why it is important in business today.
Heraty and Morley (2000) define strategies as sets of interlocking decisions that define the parameters of an organisation’s attempts to achieve long-term organisational objectives, they answer the question ‘How are we going to get where we want to go?’.
According to Thompson & Strickland (2001), crafting, implementing, and executing company strategies are the heart and soul of managing a business enterprise and are top priority managerial tasks. This would imply that although the planning process of the strategic plan is essential, it is more important that the plan is practical, do-able and managed efficiently.
Business owner/author Erika Anderson explains the importance of taking into consideration peoples actual skills, time, understanding, capabilities, values and motivation. She believes that this is the main reason why many companies’ strategic plans fail.
1.1 Business Definition
When defining your business it is important to ask the following questions; 1. What business are we in?
1. Who are your customers?
2. What’s their function?
3. Who are not your customers?
4. And why?
If the business is in Radio, the general manager will ask himself what the target audience is and what they can do for the station. In radio, the more listeners you have, the more advertisers you attract, hence more money coming into the business. It is also very important to look at the listeners who are not tuning into your radio station and figure out how their listenership can be gained.
A company needs to analyse its internal resources and external opportunities to provide a good overview of whether the company’s position is fundamentally healthy or unhealthy. This is achieved by performing a SWOT analysis. The external environment shows the opportunities and threats to the business, whereas the internal highlights the company’s strengths and weaknesses such as its resources and capabilities within the business.
Thompson and Strickland (2001), state that there are five tasks of strategic management and together these components define what strategic management means. * Develop concept of the business mission in order to visualise where the business is going * Translate the mission into objectives and achievable goals. For example, Ryan Air’s objective is to be the cheapest airline in Ireland whereas, Superquinn’s objective was to offer the best customer service and quality goods. * Craft a strategic plan that fits the business. This includes general objectives (e.g. increase the company’s market share by 20%) and specific objectives ( hire more staff) * Implement and put the plan into action
* Evaluate the results. It is important to keep evaluating in order to
1.2 Strategic planning and management
“Strategies have been variously defined as the determination of the basic long-term goals and objectives of an enterprise and the adoption of courses of action and the allocation of resources necessary for carrying out these goals.” (Thompson and Strickland 2001)
The term strategic management refers to the managerial process of forming a strategic vision, setting objectives, crafting a...