Businesses in Kenya are progressing every day in their day to day operations. This brings up the need to formulate successful strategic plans for the future success of the organization and to also give them a competitive advantage over their rivals.
Strategic Management for Businesses in Kenya is the art and science of formulating, implementing and evaluating cross functional decisions that enables an organization to achieve its objectives. It is a very essential aspect that human resource managers should incorporate in their work.
Strategic Management for Businesses in Kenya can be classified into three steps;
- Strategic Formulation,
- Strategic Implementation,
- Strategic Evaluation
Strategic Formulation for Businesses in Kenya includes developing a business mission, identifying an organizations external opportunities and threats. It also includes determining internal strength and weaknesses, establishing long term objectives, generating alternative strategies and choosing a particular strategy to pursue.
Mission- Businesses in Kenya should identify the scoop of an organization operation in product and market turns.
External opportunities and threats- These are factors beyond the control of an organization e.g. economic, social, political, technological and competitive trends in the market.
Internal strengths and weakness- Businesses in Kenya should be able to control activities within an organization e.g. information, operations, research and development, marketing and finances.
Long term objectives- should be challenging, measurable, achievable, reasonable and clear.
Strategy- This is the means by which long term objectives will be achieved. They include geographical expansion, product development, market penetration, diversification, retrenchments, acquisitions, and joint ventures.
Strategic Implementation for Businesses in Kenya
Strategic Implementation for Businesses in Kenya requires an organization to establish annual objectives, policies, resource allocation so that strategies can be executed. This is an action stage:
Objective- Businesses in Kenya should establish objectives at the co-operate level and functional level in large organizations.
Policies- guide to decision making and repetitive or recurrent situations
Resource allocation- Businesses in Kenya should establish a central management activity that allows for strategy, implementation or execution. It enables resources to be allocated according to priorities, established by annual objectives.
Further information can be found in Business Training in Kenya
Strategic Evaluation for Businesses in Kenya
Strategic Evaluation for Businesses in Kenya monitors the results of formulation and implementation of activities. It includes measuring individual and organization performance and taking corrective actions when necessary.
NB: All strategies are subject to future modification because external and internal factors are constantly changing.
The three fundamental strategy evaluation activities Businesses in Kenya are:
Reviewing external and internal factors that are the basis for carrying strategies.
Measuring performance of Businesses in Kenya.
Taking corrective action
NB: Strategy formulation implementation and evaluation activities occur in three levels of management. Co-operate levels, strategic business, and functional levels of Businesses in Kenya