What is strategy? Strategy is a set of key decisions made to meet objectives.

It refers to a complex web of thoughts, ideas, insights, experiences, goals, expertise, memories, perceptions, and expectations that provides general guidance for specific actions in pursuit of particular ends. An organization can not operate effectively without a strategy, either developed explicitly through a planning process or evolved implicitly. What business are we in? What products and services will we offer? To whom? At what prices? On what terms? Against which competitors? On what basis will we compete?

If the organization asks these key questions and it has the answers, then there is a strategy in place. Strategy & Tactics Strategy and tactics are often confused as both are concerned with formulating and then carrying out courses of action intended to attain particular objectives. However, both are distinct in terms of their dimensions. The basic differences between the two are:

Aspects
Scale of the Objective Scope of the Action Guidance Provided Degree of Flexibility Timing in Relation to Action Focus of Resource Utilization

Strategy
Grand Broad and General General and Ongoing Adaptable, but not hastily changed Before Action Deployment

Tactics
Limited Narrowly Focused Specific and Situational Fluid, quick to adjust and adapt During Action Employment

Characteristics of Strategy Long term direction Achieve advantage Change scope of activities Commit major resources Build or stretch resources Major Impact outside the organization Entails significant risks Major effect on operational decisions Complex and cross-cutting interactions Changes values and expectations