 describe the Strategic Management Process.

 identify the importance of Strategic Plan and.

 associate the value of Organizational Vision, Goals, and Objectives towards an effective
strategic plan.

The term VUCA have been created/develop by the US Army War College back in the early 1990s to
describe the post-Cold War multilateral world, which was more volatile (it can change very fast),
uncertain, complex, and ambiguous than ever before.

In a business setting, the VUCA concept took off (become popular) after the worldwide financial crisis of
2008 and 2009. Since then, it has been highlighted intensely within the improvement of leadership
skills in different organizations. The concept describes a commerce environment characterized by:

HYPERCOMPETITION

When product/service offers and technologies are so new,

standards become unstable, and competitive advantage is no
longer viable.

COMPETITIVE ADVANTAGE

Refers to a company's resources and capabilities that enable it to

outperform its industry's competitors.

Resources are the organization's assets, knowledge, and skills.

Capabilities can be defined as the organization's ability to
effectively make use of its resources.

Ability to stay relevant through the period

OPERATIONAL EFFECTIVENESS

is performing similar activities better than rivals.

STATIGIC MANAGEMENT

(An academic environment with proper preparation by research and much more and it’s a continuous process
since we are living in a vocal world)

-a continuous process of strategy creation

-the science of creating, executing, and evaluating cross

-functional decisions to enable an organization to achieve its goals and objectives.

 THE STRATEGIC MANAGEMENT PROCESS

Strategic Analysis

Capability of the organization to possess relevant and related knowledge, abilities, foresight, and
systems thinking such that it can assess its own strengths and vulnerabilities, the pressing challenges
confronting the organization, as well as trends and opportunities (Consists of a systematic evaluation of
variables currently existing in the external and internal environments).

Strategy Formulation

Ability of the business to utilize resources optimally and II. Strategy Formulation sustainably for
maximum performance and productivity. (Designing strategies on the business and corporate levels).

Strategy Implementation

Ability to produce particular good or service at lower marginal and opportunity costs than its
competitors. (Employing these crafted strategies to achieve organizational set goals and objectives).

TYPES OF STRATEGIC PLANS

Medium/ Long-range plan

• 3-5, 10 or more years

Annual/ Yearly Plan

• Short-term
To aid organizations achieve
strategic direction, they need to
articulate and have a commonality
in Vision, Mission and Goals.

VALUES AND VALUE SYSTEM

VALUE:

• Inherent roots of motivation with

an individual, an organization, a
community, or nation

• Exhibited by Beliefs (cognitive)

and Attitudes (behavioral)

VALUE SYSTEM:

• Broader in scope;

• Involves organization’s dreams,

aspirations, interests, expectations,
philosophies beliefs, as well as
leadership and management styles
and ethical practices.

ORGANIZATIONAL CLIMATE AND CULTURE

• Organizational Climate - Regular and repetitive patterns of attitudes and behavior exhibited by
employees.

• Organizational Culture - Organization’s customary dress, language, behavior, beliefs, values, symbols
of status and authority.