Importance Of Strategic Management

Introduction

Strategic management is a key element of every organization. It refers to the process of making strategic decisions, which set a long-term vision and direction for an organization. The major aim of strategic planning is throwing light on the unique strengths and potential weaknesses of an organization, thereby allowing it to identify new opportunities or threats that might hinder the performance of the organization. Therefore, the paper discusses the significance of strategic management and strategic planning, thereby focusing on the importance of values and goals. The paper also describes various factors affecting strategic planning, such as internal and external factors. It gives an account of certain global issues that impact

Employees play a crucial role in identifying values of an organization as they possess significant information about how the organization conducts business, its potential unethical practices, ethical weaknesses and unaddressed issues, thereby revealing the priorities of the organization. Consumers are equally important when a business identifies its goals and values. Obtaining consumer impressions about the business helps to gain knowledge related to the commitment of the organization towards customer service and satisfaction as they honestly reveal the true values of an organization and enable the company to maintain its reputation in the market. Since actions speak louder than words, keeping an eye on the media helps to gain information about organizational values. Since Seth GmbH is a specialized manufacturer of men’s shirts, the company values its commitment to its customers as superior to other areas. Seth GmbH believes that its values are crucial and absolutely necessary for succeeding in the

For the successful implementation of any strategy, it is essential for Seth GmbH to recognize how the internal attributes of the company interact effectively with the external environment of competitiveness. Some of the internal factors that impact strategic planning include infrastructure of the organization, such as its structure, hierarchy, mission, skills incorporated within the business through human resource, strengths and weaknesses in terms of technology, such as patents, equipment, and procurement. The primary activities of Seth GmbH, which impact strategic planning are inbound and outbound logistics, marketing and sales, operation and