Four Key Attributes of Strategic Management

Strategic Management must firstly be directed towards a companions goals and objectives. Typically the family impart be organized with a mission and batch developed, stating a advise and direction of the all overall scheme. The goals and objectives set by the managers coiffure as stepping stones to maintain that vision. These goals need to be transparent throughout the organization to allow the key players to achieve buy-in as the team moves towards accomplishing these goals.Secondly, the strategic perplexity of an organization must intromit multiple stakeholders in finality making . Typically stake holders thrust demands on different areas of the organization. Managers must realise the consequences of how certain decision will affect each stakeholder group. Stakeholders will include the owners, shareholders, employees, customers, suppliers, and the community . Decisions that may benefit the owners such as taking short(p) cuts in safety may have drastic effects on the employees or a local communitys environment.Decisions to cut cost in quality control and employee training may benefit the foot line of a come with for a short time, but finally will lead to a lighter product being produced and a insufficiency of consumer confidence or higher warranty claims of the end user. Third, strategic centering requires incorporating both short- boundary and long-term purviews. Managers must maintain a vision for the future as well as focus on the pass needs.Managers can be put in a position to be short sited to reach production numbers or sales goals by making decisions that dont coincide with those long term goals of growth. Salesmen with quotas may always look for the quick sale without respect for building a long term relationship with the customer. This can cause long term reputation issues and cause a family to develop a finish of poor service and trust. Strategic managers must fourthly recognize the tradeoff between effectiveness and efficien cy. This is described as doing the right thing or doing things right.Managers must adjudge decisions that guide the organization towards its overarching goals and perform actions which relieve oneself cost savings, best practices, and build a culture of a positive corporation. Sometimes doing the right thing may cost the order more money to stay on focus of the mission. Companies may make organizational decisions that inhibit the success of the organization. In a recent intelligence story, a ships company in West Virginia made a decision not to tale a chemical spill from its holding tanks into the wapiti River .This spill has now contaminated the drinking water supply of over 300,000 residents and sent some of them to the hospital. Freedom Industries made the decision not to report the spill until after the state Department of Environmental Protection had already traced it to one of their leaking tanks. Through this act of neglect and failure to report the leak, the company n ow creates a reputation of untrustworthiness and may face intelligent action which will significantly affect the stakeholders (both stockholders and local community).A local company in my business area has been known as a poor company to work for and has a reputation of a sour culture. This company has had safety issues and difficult times finding quality employees. The company deals in supplies to major automakers and has recently seen great growth due to the surge in automotive sales over the last several years. Now the company has a need for expansion of its building and added equipment to produce the needed loudness of parts to match the growth.Because they have had a short term perspective of the economy due to the downturn in 2008, the management has made decisions to correct the employees lower wages and fail to train them adequately which eventidetually have led to a 40% turnover rate. The company has recently worn-out(a) millions of dollars on the expansion and cant fi nd employees that are involuntary to work for them due to the reputation they have. Poor cultures within a company can have long term effect on its repeated growth and take many years to turn around even with the best strategic managers.