pp 3-15 Flashcards
Strategic Management
The set of decisions and actions that result in the formulation and implementation of plans designed to achieve a company’s objectives
Strategy
large-scale, future-oriented plans for interacting with the competitive environment to achieve company objectives
Formality
the degree to which participation, responsibility, authority and discretion in decision making are specified in strategic management
Entrepreneurial Mode
The informal, intuitive, and limited approach to strategic management associated with owner-managers of smaller firms.
Planning Mode
The strategic formality associated with large firms that operate under a comprehensive, formal planning system
Adaptive Mode
The strategic formality associated with medium-sized firms that emphasize the incremental modification of existing competitive approaches
Company Mission
the unique purpose that sets a company apart from others of its type and identifies the scope of its operations
Long-Term Objectives
the results that an organization seeks to achieve over a multiyear period
Generic Strategies
fundamental philosophical options for the design of strategies
Grand Strategies
the means by which objectives are achieved
Short-Term Objectives
Desired results that provide specific guidance for action during a period of one year or less
Functional Tactics
short-term, narrow scoped plans that detail the “means” or activities that a company will use to achieve short-term objectives
Policies
predetermined decisions that substitute for managerial discretion in repetitive decision making
Strategic Control
tracking a strategy as it is being implemented, detecting problems or changes in its underlying premises, and making necessary adjustments
Continuous Improvement
a form of strategic control in which managers are encouraged to be proactive in improving all operations of the firm
