Strategic Management

• Management involves coordinating and overseeing the activities of others to achieve organizational goals

Strategic Management

• Strategic management is the process of formulating and implementing strategies to achieve long-term organizational goals and gain a competitive advantage
• Involves setting objectives, analyzing the competitive environment, evaluating internal resources, and making strategic decisions
• Key components include:
  • Strategic analysis
  • Strategy formulation
  • Strategy implementation
  • Strategy evaluation and control
• Different levels of strategy include:
  • Corporate-level strategy
  • Business-level strategy
  • Functional-level strategy
• Strategic analysis involves evaluating both the external environment (opportunities and threats) and the internal environment (strengths and weaknesses)
• Tools for external analysis include:
  • PESTEL analysis (Political, Economic, Social, Technological, Environmental, Legal)
  • Porter’s Five Forces
• Tools for internal analysis include:
  • SWOT analysis (Strengths, Weaknesses, Opportunities, Threats)
  • Value chain analysis
• Strategy formulation involves developing strategic options and choosing the most appropriate strategy to achieve organizational objectives
• Generic strategies include:
  • Cost leadership
  • Differentiation
  • Focus
• Strategy implementation involves putting the chosen strategy into action through organizational structure, resource allocation, and process management
• Strategy evaluation and control involve monitoring performance, comparing it against strategic objectives, and taking corrective action when necessary
• Strategic control focuses on ensuring that the strategy is achieving the desired results and adapts to changes in the environment
• Effective strategic management requires strong leadership, clear communication, and a commitment to continuous improvement
• Strategic management helps organizations to proactively adapt to changes in their environment and maintain a competitive edge
• Strategic planning is a subset of strategic management that focuses on the formal process of developing a strategic plan

Project Management

• Project management is the application of processes, methods, skills, knowledge and experience to achieve specific project objectives according to the project acceptance criteria within agreed parameters
• Project management has final deliverables that are constrained to a finite timescale and budget
• Key components include:
  • Initiation
  • Planning
  • Execution
  • Monitoring and controlling
  • Closure
• Project initiation involves defining the project's objectives, scope, and stakeholders
• A project charter is typically created during initiation
• Project planning involves developing a detailed roadmap for achieving the project's objectives
• Project planning includes defining tasks, estimating timelines, allocating resources, and identifying risks
• Tools like Gantt charts, PERT charts, and critical path method (CPM) are used for project scheduling
• Project execution involves carrying out the tasks outlined in the project plan
• Project monitoring and controlling involves tracking project progress, managing changes, and addressing issues as they arise
• Key performance indicators (KPIs) are used to measure project performance
• Project closure involves finalizing all project activities, documenting lessons learned, and obtaining stakeholder acceptance
• Effective project management requires strong leadership, communication, and problem-solving skills
• Project management methodologies include:
  • Waterfall
  • Agile
  • Scrum
  • PRINCE2
• Agile project management emphasizes iterative development, collaboration, and flexibility
• Risk management is a critical aspect of project management and involves identifying, assessing, and mitigating project risks
• Stakeholder management focuses on effectively engaging and communicating with project stakeholders
• Project management ensures that projects are completed on time, within budget, and to the required quality standards

Human Resource Management

• Human Resource Management (HRM) is the strategic approach to the effective management of people in a company or organization such that they help their business gain a competitive advantage
• Designed to maximize employee performance in service of an employer's strategic objectives
• Key functions include:
  • Recruitment and selection
  • Training and development
  • Performance management
  • Compensation and benefits
  • Employee relations
• Recruitment and selection involve attracting, screening, and hiring qualified candidates to fill job openings
• Recruitment methods include:
  • Job postings
  • Employee referrals
  • Recruitment agencies
• Training and development involve providing employees with the knowledge, skills, and abilities needed to perform their jobs effectively
• Training methods include:
  • On-the-job training
  • Classroom training
  • Online training
• Performance management involves setting performance expectations, providing feedback, and evaluating employee performance
• Performance appraisal methods include:
  • 360-degree feedback
  • Management by objectives (MBO)
  • Behaviorally anchored rating scales (BARS)
• Compensation and benefits involve designing and administering pay structures and benefit programs to attract and retain employees
• Employee relations involve managing the relationship between employees and the organization
• Employee relations includes:
  • Conflict resolution
  • Collective bargaining
  • Employee engagement
• HRM practices must comply with employment laws and regulations
• Key employment laws include:
  • Anti-discrimination laws
  • Wage and hour laws
  • Workplace safety laws
• Effective HRM practices can improve employee morale, productivity, and retention
• Human resource planning involves forecasting future staffing needs and developing strategies to meet those needs
• Talent management focuses on attracting, developing, and retaining high-potential employees
• Succession planning involves identifying and developing employees to fill key leadership positions in the future

Operations Management

• Operations management (OM) is the administration of business practices to create the highest level of efficiency possible within an organization
• Concerned with converting materials and labour into goods and services as efficiently as possible to maximize the profit of an organization
• Key areas include:
  • Production planning
  • Inventory management
  • Quality control
  • Supply chain management
  • Process design
• Production planning involves determining how goods and services will be produced
• Production planning includes:
  • Capacity planning
  • Scheduling
  • Resource allocation
• Inventory management involves managing the flow of materials and products to minimize costs and meet customer demand
• Inventory control techniques include:
  • Economic order quantity (EOQ)
  • Just-in-time (JIT) inventory
  • ABC analysis
• Quality control involves ensuring that products and services meet quality standards
• Quality control methods include:
  • Statistical process control (SPC)
  • Total quality management (TQM)
  • Six Sigma
• Supply chain management involves coordinating the flow of goods, information, and finances across the supply chain
• Supply chain activities include:
  • Procurement
  • Transportation
  • Warehousing
  • Distribution
• Process design involves designing and improving the processes used to produce goods and services
• Process improvement techniques include:
  • Lean manufacturing
  • Business process reengineering (BPR)
• Operations strategy involves aligning operations with the overall business strategy
• Technology plays a critical role in modern operations management
• Enterprise resource planning (ERP) systems integrate various operations functions
• Effective operations management can improve efficiency, reduce costs, and enhance customer satisfaction
• Forecasting is an important aspect of operations management, involving predicting future demand to make informed decisions about production and inventory levels
• Layout planning involves designing the physical layout of facilities to optimize workflow and efficiency

Financial Management

• Financial management is the planning, organizing, directing and controlling the financial activities such as procurement and utilization of funds of the enterprise
• Implies application of general management principles to financial resources of the enterprise
• Key functions include:
  • Financial planning
  • Investment decisions
  • Financing decisions
  • Working capital management
• Financial planning involves setting financial goals, developing budgets, and forecasting future financial performance
• Financial statements, such as the income statement, balance sheet, and cash flow statement, are used for financial analysis and planning
• Investment decisions involve allocating capital to projects and assets that will generate returns for the organization
• Capital budgeting techniques, such as net present value (NPV) and internal rate of return (IRR), are used to evaluate investment opportunities
• Financing decisions involve determining how to finance the organization's operations and investments
• Financing options include:
  • Debt financing
  • Equity financing
  • Retained earnings
• Working capital management involves managing the organization's current assets and liabilities
• Working capital includes:
  • Cash
  • Accounts receivable
  • Inventory
  • Accounts payable
• Financial risk management involves identifying, assessing, and mitigating financial risks
• Financial risks include:
  • Market risk
  • Credit risk
  • Liquidity risk
• Financial ratios are used to assess an organization's financial performance and stability
• Key financial ratios include:
  • Liquidity ratios
  • Profitability ratios
  • Solvency ratios
• Time value of money is a fundamental concept in financial management, recognizing that money received today is worth more than the same amount received in the future
• Corporate governance involves the system of rules, practices, and processes by which a company is directed and controlled
• Effective financial management is essential for organizational success and sustainability