Strategic Decision Making covers –(a) definition of the - business ,(b) products to be handled ,(c) markets to be catered to ,(D) functions to be performed , and (e) policies required to achieve the given strategic objectives. (1/2 mark) The features /major dimension of Strategic Decisions are – (3 marks) 1. Top-Management: problems calling for strategic decision should be considered by Top Management due to –(a) co-ordinate /harmonized thinking ,(b0 effect on various sub-systems in the organization , and (c) risk involved. 2. Resources : strategic issues involve commitment of resources , i.e. large amounts of Company’s financial investment, to venture into new area of business , employing more people with new set of skills in them , take over of another enterprise, etc. 3. Long –Term Effect :The results of strategic implementation should be analysed and reviewed on a long term basis, and not immediately. Strategic Decisions have an impact on long –term prosperity. 4. Furniture oriented : Strategic thinking involves predicting the future environmental conditions and how to orient for the changed conditions. 5. Multi functional Effects : Strategic decision –making involves an organization in its totality .They affect different section of the organization with varying degrees. 6. Environment factors: Strategic decision –making in organization involves orienting its internal environment to the changes of external environment .Hence , external environment factors have to be carefully analysed. Question 6 (4 Marks) 1. Meaning : A Strategic Vision is – (2 marks) (a) a road of a Company’s future, (b) providing specifics about technology and customer focus, the geographic and product market to be pursued, & (c) the capabilities it plans to develop , and the kind of Company that the Management is trying to create. 2. Elements: The three elements of Strategic vision are- (2 marks) (a) Coming up with a Mission Statement that defines what business the Company is presently in, and conveys the essence of “Who are and Where we are now? (b) Using the Mission Statement as basis for deciding on a long – term course making choices about “Where we are going?” (c) Communicating the strategic vision in clear, exciting terms, that initiates Firm-wide commitment. Question 7 (6 Marks)
Strategic Decision Making covers –(a) definition of the - business ,(b) products to be handled ,(c) markets to be catered to ,(D) functions to be performed , and (e) policies required to achieve the given strategic objectives. (1/2 mark) The features /major dimension of Strategic Decisions are – (3 marks) 1. Top-Management: problems calling for strategic decision should be considered by Top Management due to –(a) co-ordinate /harmonized thinking ,(b0 effect on various sub-systems in the organization , and (c) risk involved. 2. Resources : strategic issues involve commitment of resources , i.e. large amounts of Company’s financial investment, to venture into new area of business , employing more people with new set of skills in them , take over of another enterprise, etc. 3. Long –Term Effect :The results of strategic implementation should be analysed and reviewed on a long term basis, and not immediately. Strategic Decisions have an impact on long –term prosperity. 4. Furniture oriented : Strategic thinking involves predicting the future environmental conditions and how to orient for the changed conditions. 5. Multi functional Effects : Strategic decision –making involves an organization in its totality .They affect different section of the organization with varying degrees. 6. Environment factors: Strategic decision –making in organization involves orienting its internal environment to the changes of external environment .Hence , external environment factors have to be carefully analysed. Question 6 (4 Marks) 1. Meaning : A Strategic Vision is – (2 marks) (a) a road of a Company’s future, (b) providing specifics about technology and customer focus, the geographic and product market to be pursued, & (c) the capabilities it plans to develop , and the kind of Company that the Management is trying to create. 2. Elements: The three elements of Strategic vision are- (2 marks) (a) Coming up with a Mission Statement that defines what business the Company is presently in, and conveys the essence of “Who are and Where we are now? (b) Using the Mission Statement as basis for deciding on a long – term course making choices about “Where we are going?” (c) Communicating the strategic vision in clear, exciting terms, that initiates Firm-wide commitment. Question 7 (6 Marks)