Levels and Functions of Strategic Planning
1.0 Introduction
A strategic plan is a high-level overview of the entire business, its vision, objectives, and value.CITATION MIK13 \l 1033 (Mikoluk, 2013) Strategic planning is also the process of developing and maintaining a strategic fit between the organization’s goals and capabilities and its external opportunities in order to maintain competitive advantage. Strategic plan helps manager to make fundamental decisions and define the action or steps that guide what the organization intends to achieve with a focus on the future. Strategy planning can be implemented at three different levels, which are corporate level, business unit level and functional level.
2.0 Corporate level strategy
Corporate level strategy pertains to the organization as a whole and the combination of business units and product lines that make up the corporate entity. CITATION Ric12 \l 1033 (Daft, 2012) Corporate level strategy is concerned with selection the type of business your corporation should be involved and with establish and coordination of that portfolio of businesses. In this level, question like “what business are we in” might be ask and planning is done by top level corporate managers, who responsible to define the issues that are corporate responsibilities, include identifying the overall vision, mission, and goals of the corporation, and the way in which businesses will be integrated and well managed.
3.0 Business level strategy
Business-level strategies are designed to pursue success in the industry in which a company competes. CITATION Tyl14 \l 1033 (Lacoma, 2014) Business level strategy focus with the question, “how do we compete?” Competitive strategy plays the main role in business level strategy, which helps company to differentiate their product and service from their competitors to increase market share. Business-level strategies also concern on fulfilling the strategic plan. For example, if company wants to create a new product line, the strategic decisions
A strategic plan is a high-level overview of the entire business, its vision, objectives, and value.CITATION MIK13 \l 1033 (Mikoluk, 2013) Strategic planning is also the process of developing and maintaining a strategic fit between the organization’s goals and capabilities and its external opportunities in order to maintain competitive advantage. Strategic plan helps manager to make fundamental decisions and define the action or steps that guide what the organization intends to achieve with a focus on the future. Strategy planning can be implemented at three different levels, which are corporate level, business unit level and functional level.
2.0 Corporate level strategy
Corporate level strategy pertains to the organization as a whole and the combination of business units and product lines that make up the corporate entity. CITATION Ric12 \l 1033 (Daft, 2012) Corporate level strategy is concerned with selection the type of business your corporation should be involved and with establish and coordination of that portfolio of businesses. In this level, question like “what business are we in” might be ask and planning is done by top level corporate managers, who responsible to define the issues that are corporate responsibilities, include identifying the overall vision, mission, and goals of the corporation, and the way in which businesses will be integrated and well managed.
3.0 Business level strategy
Business-level strategies are designed to pursue success in the industry in which a company competes. CITATION Tyl14 \l 1033 (Lacoma, 2014) Business level strategy focus with the question, “how do we compete?” Competitive strategy plays the main role in business level strategy, which helps company to differentiate their product and service from their competitors to increase market share. Business-level strategies also concern on fulfilling the strategic plan. For example, if company wants to create a new product line, the strategic decisions