Strategic thinking aims at looking for opportunities that are rare and building on them in order to maintain a profitable business development and expansion. This has to involve the creativity and proactive nature of all the employees and related people who participate in the daily operations of a company. Excellent strategic thinking creates a competitive edge for a business in form of created and added value (Aaker, 2001). The current business and market environment is volatile and has a consumer base that is very knowledgeable in terms of their needs. This paper highlights companies that face the same or related issues and have extensively applied strategic thinking in addressing the issues with the consequent outcomes.
Strategy is defined in two independent and simultaneous processes where the first strategy-making process is conscious and analytical, involving assessments of market structure, competitive strengths and weaknesses, the nature of customer needs, and the drivers of market growth. In this organization, one has proper knowledge on the information relating the management’s intended strategy. Emergent strategy is another one in the decision making of the organization. It is formulated on the procedure of cumulating the day-to-day decisions made by the managers, sales persons and the financial staffs.
Hierarchical Structure is the commonly used by most of the organizations across the globe. In this structure, the organization is under controlled by relatively few managers, the manager is in charge of few staffs and appointment of managers is strictly done on merit (Luther, 2001). The managers are expected to be fully in charge at all ranges within the management functions that include disciplining, encouraging cooperation and compliance. Most organizations are at different stages of growth, development, and capacity. The level of your organization may influence the organization’s structure. Every manager however, should work with the organization’s leaders to ensure that the structure can grow and expand along with its mission, mandates, staff, and programs. An effective structure facilitates management and clarifies relationships, roles and responsibilities, levels of authority, and supervisory or reporting lines.
Planning comprises of the capability of identifying opportunities, analyzing problems, allocation of the available resources, establishing firms’ priorities and needs. This also includes the establishment of policies and procedures, objectives and standards of performance, forecasts and budgets, programs and schedules (Garrow & Hirsh, 2008). The strategic plans reflect the thoughts, feelings, ideas, and wants of the developers and mould them along with the Association's purpose, mission, and regulations into an integrated document. The implementation in essence, pulls the plan apart and diffuses it throughout an organization. The plan must be accepted, agree upon its direction and implement specific actions.
It is of ultimate importance for any existing business to meet its supply and demand functions. This means that every business entity is both a consuer and supplier in the market environment. A sensible producer has to be as an equally concerned in their input source as they are for their output. Without protecting and supporting the source of raw materials, a production unit eventually lacks material resources to engage in its operations. The rise in the global economic downturn that has over time given rise to closure of many branches of business is one of the threats many businesses are facing.
Proper practices and interaction of diverse employees creates output synergy which translates to greater performance of both individuals and the company. Once every employee feels appreciated for whatever they are able to deliver and not who they are, they are able to overlook personal challenges focus more on the general productivity of the organization. There have been unique cases where workplace diversity has led to greater performance because the management tapped the division in a positive and competitive way. This is a very risky affair that needs excellent planning and execution. The management retains the differences but channel them towards reward oriented competition on output.
Developing and maintaining its competitive advantage which revolves around Branding. Creativity and innovativeness is the stronghold of any strong and well organized company. Since every market has to be shared by various players, a company has to keep its market share and snatch any more that is weakly held by its competition. Here marketing becomes a key factor in an attempt to retain as many customers and thus maintain or improve a company’s profitability.
Any global oriented or aspiring company cannot avoid a scenario whereby due to expansion into newer territories, they end up having a mixture of employees from other cultures and countries (Parmenter, 2011). The same is echoed by their consumer base. It is therefore prudent for the company to come up with ways of handling this scenario so as not to interfere with productivity or customer satisfaction. Multicultural diversity and affirmative action cannot be separated from any organization’s penetration into new territory over a large extend of geographical area. This often ensures that the staff and market niche is mixed up by having people from different backgrounds working together or sharing a consumer base. The human resource department has to embrace these changes and positively customized it recruitment programs to favour foreigners pre set portions of foreigners so as to effectively strengthen their marketing strategies and service delivery.
Diversity at the workplace is normally associated with different racial, ethnic and geographical backgrounds of employees. The mild subsets of diversity that have been generally absorbed and adopted in the work environment for sometime are the gender, age and physical body status (Luther, 2001). Diversity in whatever context can either build or destroy productivity within a work environment. This is the main reason why organizations have invested in education and application of proper leverage in engaging workplace diversity to boost productivity and also increase their competitive advantage over businness rivals. Diversity in a workplace directly reflects the interpersonal ability of the company and this goes a long way in increasing the performance either from within the workforce or customer loyalty. In some industries, the expertise and workforce needed restricts the application of diversity principles and good organizations thus need to train and develop global leaders. This type of leadership is able to determine alternative ways of embracing diversity with examples being public relation activities or marketing endeavours. There is always a chance to boost workplace diversity if proper consideration on the benefits intended is done.
The organizational team comprises of persons linked together with a common purpose on the benefits of the company. The persons in the group have the complementary skills that enable them to work smoothly. The focus is on the performance goals and their common purpose on research where they are held responsible. The taskforce of the organization is made up of experts who have knowledge in specific areas. This group is made up of relative smaller group and resources that are called upon to accomplish specific objective of which upon completion they are disbanded.
Master budget is the commonly used system in the budgeting process by most of the organization in tracking down the budget amounts against the control budget (Garrow & Hirsh, 2008). Performance budgeting, performance-based budgeting, and results-oriented budgeting are some of the names commonly given to the use of performance measures in the budgetary process in an organization. The system is useful as it restricts unauthorised persons from divisions, department and other places within the organization from accessing such information.
Performance is useful in the evaluation, controlling, budgeting, motivating, promoting, celebrating, learning and improving on the organization’s activities. The performance evaluation process involves multiples of procedures. The public managers in the organization have put in to put in place magic performance measures. The personnel of the organizations are held accountable to their duties and also consequences of breaching rules and regulation of the organization are in operation. Managers are able to access the required data that aid in improving the performance of the firm.
The democratic management style is the most preferred style of management. The style focuses on a collective contribution from employees in the workplace (Aaker, 2001). Managers value the active participation of the personnel in the working environment which enables them to have a sense of ownership that boosts their desire for more productivity and satisfaction. The democratic manager aims at team building, social harmony and corporation among the employees.
Proper managing of conflict is the key to success in every firm. These give way to better decision making, creative ideas and quality output in the firm. The organization uses the ‘Game theory’ method in the conflict resolution. The theory focuses on the competitiveness and cooperation of the employees.