18 Questions
What is the primary responsibility of the corporate level in strategic planning?
Defining vision and mission
How are budgets allocated to strategic business units (SBUs) based on their growth potential?
Based on their growth potential
What is the purpose of strategic business units (SBUs) analyzing threats and opportunities in their business environments?
To understand market trends
In the context of strategic planning, what do SBUs analyze in terms of their own resources?
Strengths and weaknesses
At what level of strategic planning are decisions made regarding the organization's overall purpose?
Corporate level
What is the main focus of developing marketing plans in the strategic planning process?
Product-level strategies
What aspect is important to consider when analyzing the availability of strategic resources?
Fit with strategic objectives
What does the strategic plan serve as for an organization?
Road map to reach strategic goals
Who among the three leading business strategists looks at strategy in comparison to the organization’s competitors?
Porter
When planning the implementation of a strategic plan, what is important to analyze?
Process necessary to develop a strategy
In Mintzberg's perspective, strategy is seen as a:
Dynamic process
What does Chandler emphasize in relation to an organization's strategy?
Structure fit with strategy
What is a critical aspect of a solid strategic plan?
Analyzing strengths, weaknesses, opportunities, and threats
Why is it important for all managers at different levels to be familiar with the strategic planning process?
To align all levels with the organization's mission and goals
What does a SWOT analysis primarily focus on in strategic planning?
Internal strengths and weaknesses, external opportunities and threats
How does an organization ensure that their strategic plan fits the purpose (mission) of the organization?
By aligning strategic goals with the organization's mission
What contributes to understanding the strategic position of a company in the market place?
SWOT analysis, resource sufficiency, and goal alignment with mission
Why is strategic planning considered a long-term process?
To allow time for assembling all required information for a solid overall strategy
Study Notes
Strategic Planning
- A clear corporate strategic plan can prevent many organizational problems.
- Sound strategic decisions are based on a solid strategic plan.
Levels of Strategic Development
- Depending on the organization's size, various levels contribute to the strategic planning process.
- The corporate level defines the organization's vision, mission, and purpose.
- The corporate level analyzes strategic business units (SBUs) for growth potential and allocates budgets accordingly.
Strategic Business Unit (SBU)
- An SBU is a unit that can act independently in the market place.
- SBUs analyze their strengths, weaknesses, opportunities, and threats in their business environments.
- SBUs contribute competitive analyses to the strategic plan.
Strategic Capabilities
- Analyzing strategic resources involves checking if the portfolio of business units fits with strategic objectives.
- It also involves analyzing market position, international markets, strategic alliances, and innovation areas.
Implementation of Strategic Plan
- Implementation involves developing a strategy, evaluating its feasibility, and managing the implementation process.
- It also involves analyzing the necessary corporate structure and systems to implement the plan.
Strategic Plan
- A strategic plan is like a roadmap to achieve strategic goals.
- It outlines where the organization wants to be in the near future.
- Strategy involves structure, competition, and dynamic processes.
Inclusions in a Solid Strategic Plan
- A solid strategic plan answers important questions about market position, strategic resources, and implementation.
- Strategic planning is a long-term process that involves assembling all required information.
- The strategic position of the company involves analyzing strengths, weaknesses, opportunities, threats, and corporate culture.
Key Questions in Strategic Planning
- What is the organization's strategic position in the market place?
- What are the organization's strategic resources and possibilities?
- How will the strategy be implemented?
Test your knowledge on corporate strategic planning processes, levels, and strategic business units. This quiz covers topics such as the importance of strategic plans, levels of strategic development, and the role of strategic business units.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
