Scribd Logo
Upload

Welcome to Scribd!

  • Differences Between Strategic Management

    Uploaded by

    Kuntal
    10 views2 pages
    Strategic management involves long-term planning over 3 years or more, is the responsibility of top management, and has organization-wide implications for issues that are long-term, abstract, and unfamiliar such as mergers or restructuring. Operational management involves short-term planning of 1 year or less, is the responsibility of middle or lower levels of management, and has implications at the functional or work unit level for immediate, concrete, and familiar issues such as sales and production planning. Strategic management helps reduce uncertainty, link long and short-term plans, facilitate control and measurement, and has both financial and non-financial benefits while being a costly and time-consuming exercise.

    Original Description:

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    DOC, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    Strategic management involves long-term planning over 3 years or more, is the responsibility of top management, and has organization-wide implications for issues that are long-term, abstract, and unfamiliar such as mergers or restructuring. Operational management involves short-term planning of 1 year or less, is the responsibility of middle or lower levels of management, and has implications at the functional or work unit level for immediate, concrete, and familiar issues such as sales and production planning. Strategic management helps reduce uncertainty, link long and short-term plans, facilitate control and measurement, and has both financial and non-financial benefits while being a costly and time-consuming exercise.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOC, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as doc, pdf, or txt
    10 views2 pages

    Differences Between Strategic Management

    Uploaded by

    Kuntal
    Strategic management involves long-term planning over 3 years or more, is the responsibility of top management, and has organization-wide implications for issues that are long-term, abstract, and unfamiliar such as mergers or restructuring. Operational management involves short-term planning of 1 year or less, is the responsibility of middle or lower levels of management, and has implications at the functional or work unit level for immediate, concrete, and familiar issues such as sales and production planning. Strategic management helps reduce uncertainty, link long and short-term plans, facilitate control and measurement, and has both financial and non-financial benefits while being a costly and time-consuming exercise.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOC, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as doc, pdf, or txt
    of 2

    Differences between Strategic Management and Operational Management

    No Strategic Management Operational Management 1 year or less Middle or lower level resp Mostly routine decisions

    1. Time frame: 3 yrs or more


    2. 3.

    Top Mgmt responsibility Decisions are taken under ambiguous, uncertain, complex conditions

    4. Orgn wide implications

    Implications at functional or work unit level

    5. The issues are long term abstract & unfamiliar 6. Examples are mergers, diversifications, restructuring

    Issues are immediate, concrete & familiar Examples are sales and production planning, budgeting

    Benefits of Strategic Management a) It helps to reduce uncertainty b) It provides a link between long & short term plans

    -2c) It facilitates control d) It facilitates measurement by setting out objectives Strategic Management has both financial and non-financial benefits. Non-financial benefits are enhanced awareness of external threats, improved understanding of competitors strategies, reduced resistance to change,etc. Limitations of Strategic Management a) It is a costly time consuming exercise. b) May lead to non-fulfillment of expectations caysing frustration in senior executives. c) A negative drawback may arise if those involved in strategy formulation are not involved in implementation.

    You might also like