What is Strategic management? Strategic management Process, Types, Advantages, Dis-advantages

Learn strategic management: its definition, the five-step process (goal setting, analysis, strategy forming, implementation, monitoring), SWOT and balanced scorecard, plus advantages and disadvantages

Key Takeaways

Strategic management is a structured, ongoing process linking mission, goals, analysis, and monitoring
The five-step process provides a repeatable framework for organizational decisions
SWOT and balanced scorecard are two widely used strategic management tools
Strategic management offers clear benefits in direction and measurement but demands time, cost, and accurate forecasting

What the video covers

Defines strategic management as planning, monitoring, analysis and assessment of what an organization needs to meet its aims and objectives
Strategic management is grounded in a clear understanding of the organization's mission and vision
Strategic planning, a subset of business management, sets short- and long-term goals and allocates resources to achieve them
Organizing functional areas so they harmonize is a major aspect of strategic management
The five-phase process: goal setting, gathering and analyzing information, strategy forming, strategy implementation, and monitoring
Monitoring compares desired outcomes with current outcomes and allows adjustments and new planning
SWOT analysis examines internal strengths and weaknesses and external opportunities and threats
Balanced scorecard evaluates performance across four perspectives: learning and growth, business processes, customers, and finance
Advantages include discharging board responsibility, providing a decision-making framework, enabling progress measurement, and offering an organizational perspective
Disadvantages include the need to anticipate the future accurately, high cost (especially for not-for-profits), and the complexity and time required

Chapters

What are the five phases of the strategic management process?

The video describes five phases: goal setting, gathering and analyzing information, strategy forming, implementing the strategy, and monitoring. Each phase builds on the previous one to align the organization toward its objectives.

What is the difference between internal and external factors in SWOT analysis?

Internal factors are the organization's strengths and weaknesses, while external factors are opportunities and threats outside the organization. SWOT helps leaders judge whether resources and abilities will be effective in the competitive environment.

What are the main disadvantages of strategic management?

The video notes that strategic management requires accurately anticipating the future, which is difficult and can ruin a strategy if it fails. It is also expensive, especially for not-for-profits, and its complex, long process demands significant management time and endurance.

Full Transcript — Download SRT & Markdown

Speaker A

in this video you are going to learn strategic management topics i have discussed are what is strategic management strategic management process types of strategic management advantages of strategic management and disadvantages of strategic management let's start the video strategic management can be defined as

Speaker A

the process of planning monitoring analysis and assessment of all necessities that an organization needs to meet its aims and objectives strategic management is based on an organization's clear understanding of its mission and vision for where it wants to be in the future and the

Speaker A

purposes that will guide its actions the process requires a commitment to strategic planning which is a subset of business management that involves an organization's ability to set both short and long-term goals strategic planning also comprises the planning of strategic decisions

Speaker A

activities and resource allocation needed to achieve those objectives having a defined process for managing an organization's strategies will help organizations make logical decisions and develop new goals quickly in order to keep pace with evolving technology market and business conditions

Speaker A

one of the major aspects of strategic management is to organize various functional areas of the organization effectively as well as to assure these functional areas harmonize and get together well strategic management process [Music] in general the strategic management

Speaker A

process typically includes five phases number one goal setting fixing short-term goals is an excellent way to start as they act as a direct blueprint in accomplishing long-term objectives separating roles and duties to people and team management should be carried

Speaker A

out at this basic stage the process provides every member of the enterprise with a mission that motivates them in the long run 2.

Speaker A

gathering information and analyzing [Music] the data gathered from within the organization and the market help in developing a constructive plan that acts as a foundation for strategic management this method allows the company to recognize internal avoidances that have

Speaker A

been affecting the operations of the organization 3. strategy forming in this step all the data and information collected are used to form a unique strategy that satisfies all the necessities and requirements based on the resources available the business has to control the asset

Speaker A

purchase and recruitment of experts identifying the capability of your resources becomes important in strategic management 4.

Speaker A

implement the strategy if the planning is the one side of the coin then implementing those plans is another side of the coin in this stage the employees involved in this process should have a clear idea of the plan and organizational goals to be

Speaker A

implemented with perfection number five monitoring the monitoring stage involves analyzing managing tracking and evaluating every step that is associated with the strategic management plan by this time you can compare the desired outcomes with the current outcome here you can do certain adjustments and

Speaker A

new planning if required now come to the types of strategic management the strategic management concept can be implemented in various ways here are two of the important strategies i will discuss 1.

Speaker A

swot analysis this analysis allows you to inspect internal and external factors internal factors are basically the strength and weaknesses that are present in your organization external factors are basically the positive and the negative factors which are opportunities and threats

Speaker A

respectively that present outside of your organization the swot method helps leaders decide whether the organization's resources and abilities will be useful in the competitive environment and to improve the strategies to remain successful in this environment 2.

Speaker A

balanced scorecard balanced scorecard age you find which facets of your business require improvements by breaking down the performance evaluation method into four areas known as legs these areas are learning and growth business processes customer perspectives and financial data

Speaker A

this method can generate timely reporting mechanisms that show all statistics associated with the growth of the company [Music] advantages of strategic management [Music] 1.

Speaker A

discharges board responsibility the first and the most important reason behind having strategic management is that it discharges the responsibility of the board of directors 2.

Speaker A

provides a framework for decision making [Music] the strategy gives a framework in which all staff can make day-to-day operational decisions and ensure that those decisions are all moving the organization in a single direction [Music] 3.

Speaker A

enables measurement of progress strategic management allows an organization to measure its success in the setting of measures of success the organization first decides what is crucial to its ongoing success and then forces the establishment of objectives and holds these crucial measures in

Speaker A

front of the board of directors and senior management 4. provides organizational perspective strategic management takes an organizational view and looks at all the components and the interrelationship between those components in order to produce a strategy that is excellent for

Speaker A

the entire organization and not a single component disadvantages of strategic management 1. anticipate the future environment one of the significant disadvantages of strategic management is that it requires the organization to anticipate the future environment in order to build up

Speaker A

plans and as we all know anticipating the future is not a simple task the conclusion is that if the future does not unfold as anticipated then it may cause ruin the strategy taken 2.

Speaker A

it is expensive in the not-for-profit sector there are many organizations that cannot afford to employ an external consultant to help them build up their strategy 3.

Speaker A

complex process it comprises the internal and external environments long-term and short-term objectives strategic control of the company's resources and last but not least it also has to look at the organizational structure this is a long process because a single

Speaker A

variation in one element can affect all the factors being a complex method it calls for lots of endurance and time from the management in order to execute strategic management if you want to read in details or download the pdf go through the link in

Speaker A

the description if you find the video helpful give us a like share the video and don't forget to subscribe to education leaves

Topics:strategic managementstrategic planningSWOT analysisbalanced scorecardstrategy implementationbusiness managementorganizational strategyadvantages and disadvantages

Get More with the SozAI App

Transcribe recordings, audio files, and YouTube videos — with AI summaries and speaker detection. 30 minutes free.

App Store Google Play

Or transcribe another YouTube video here →

Free tools: TXT to SRT · SRT Validator · Merge SRT · Subtitle to Text · All tools