Question

Do you think that this management approach of Strategic Thinking has the potential of creating a more unified management team or could it have the opposite affect?

What steps must the CEO take to bring everyone together?

Answer 1

Strategic management is the capacity building method that enables a company to generate value for clients, investors and society while operating in competitive markets. It involves analyzing companies ' inner and external environments to maximize resource utilization in relation to goals. Strategic management can rely on an organization's size and willingness to alter the company environment of the organisation.

The process of strategic management entails:

• Specifying the organization’s mission, vision, and objectives
• Developing policies and plans that are designed to achieve these objectives
• Allocating resources to implement these policies and plans

Strategic management is the duty of managers to attain competitive advantage by optimizing inner resources while seizing external possibilities and avoiding external threats.
While distinct companies have distinct internal conditions, these prospective characteristics can easily be viewed as generalized classifications. A value chain is a popular instrument used to do this.
A value chain defines supporting activities (staff abilities, technology, facilities, etc.) and main activities (acquiring inputs, operations, distribution, sales, etc.) capable of generating profit.

Strategic Thinking thus has the potential of creating a more unified management team .

The new C.E.O. creates a team to work directly with him in leading the organization.

As the C.E.O. contemplates a successor's decision, he modifies the framework to generate an executive team that involves a range of succession applicants, often by retiring or removing the present C.O.O. The team then becomes an arena for successors to be evaluated, selected and prepared. It offers an chance for the C.E.O. and the board of managers to observe the applicants as they communicate with prevalent company issues or, as one said, "on a level playing field." The C.E.O. is prepared to assess the value of the thinking of the applicants, their leadership abilities and the nature of their interactions in senior management. Thus, the executive team is created to provide an environment for a "horse race."

As the company's representative in the outside world, as the organization's symbolic icon, as the focal point for employees, shareholders, and sometimes customers, he has the potential for a presence that is larger than life. He is also, as institutional leader, the person the world— including the board, the shareholders, the economic community, and the public— sees as accountable for the company's achievement or failure.