Importance of Strategic Planning and Management in the Business Environment Introduction The following paper is a requirement of Workshop 1 of BUS 475 Integrated Business Topics. The requirement is to select a small business that I may want to start. Define strategic management and planning. Explain why a strategic plan would be important to the success of this business. Explain the four functions of management relative to creating and implementing a strategic plan. Small Business
A business that I have in progress is a shopping center with 42 locations for rent Dyamond Plaza, and in the same property a reception hall with a capacity of 500 people named Dyamond Salon. The property is location in Nogales, Sonora, Mexico close to the borderline of Nogales, Arizona and Nogales, Sonora. I am interested in this organization due to the popularity of party gatherings in the Mexican and Latino culture. In order to accomplish my goals and objectives the presence of strategic management and strategic plan is needed.
Strategic Management and Planning Strategic management is a systematic analysis of the factors associated with customers, competitors and the organization to provide the basis for rethinking the current management practices. Its objective is to achieve a better alignment of corporate policies and strategic priorities by formulating the company’s mission. Strategic management is the analysis of the company’s actions by evaluating the places where improvement is needed and required.
Strategic planning is the process of determining a company’s long-term goals and then determining the best approach to achieve its goals. Strategic planning is the path way to achieving the company’s change towards success. Why a Strategic Plan is Important A strategic plan is vital to the up bring of the organization I have in mind. In order to achieve the goals and objectives I have set for the company, the company must first have a plan to follow. The strategic plan is to determine the long-term goal of the company I have in mind.
The goals for the company are to be the number one reception hall in Nogales, Sonora, Mexico. In order to achieve the standards that I have proposed the company must know it’s true objectives and the obstacles that may stand in the way. Research will be needed in order to determine where the company currently stands and how it can move forwards towards it main goal. Four Functions of Management The four functions of management are as follows; planning, organizing, directing, and controlling.
Planning is the foundation of the four steps. In order to start the process the company or management must evaluate where the company currently stands and where in the future it would like to be. After determining the future the correct course of action must be taken. While planning the company’s external and internal factors are evaluated resulting in the company’s strengths, weaknesses, opportunities, and threats. Organizing is the where the course of action is carried out. The determination of the organizational structure is set.
The company divides the work of the changes into the appropriate departments and delegate authority with responsibilities. Directing is to influence the behavior of the company’s goals. The goal is to direct employees to be motivated and committed to the project and carry it out with no difficulties. The influence and be gained with motivation as mentioned, as well as with good communication, department dynamics, and department leadership. Controlling is to make sure the company’s objective and evaluation are being carried out.
Through controlling the company is able to identify any potential problems and work towards new solutions. The four functions of management can be used in creating and implementing a strategic plan. The planning, organizing, directing, and controlling are what are needed to successfully start or change a company. In order for my shopping mall and reception hall to be a success I must first plan out and evaluate my objectives. While doing so I can come across the company’s strengths, weaknesses, opportunities, and threats.
I can use this information to organize my strategy and perform to my best ability towards my company goal. Conclusion This paper was a requirement of Workshop 1 of BUS 475 Integrated Business Topics. The paper required to select a small business that I may want to start. Define strategic management and planning. Explain why a strategic plan would be important to the success of this business. Explain the four functions of management relative to creating and implementing a strategic plan.