Strategic Management
Strategic Management is the creation of plans and objectives of a company for a long period. This allows a company to be able to succeed a lot in the future as the strategic management process helps in securing a future beneficial to all. Moreover, it increases the number of opportunities that the company gets along with the opportunities that the employees will be able to get from it. The idea and concept of changing continuously change as the company is allowed and made to follow a set direction for a very long time.
Further plans for the development of the company in terms of partnerships, collaborations, and expansion are also very clear and focused. However, where there are benefits there are drawbacks as well. Less or more that depends but there definitely are and have been mentioned below.
Disadvantages of Strategic Management
- Needs Proper Planning
Strategic Management process requires proper planning. The planning process needs to be made carefully, considering all the pros and cons along with the potential risks that come with it. The plan made should be a bit flexible to avoid any trouble that comes along the way. Instead, if the plan is flexible then the company may be able to deal with the upcoming problems in a better and more mature way.
- Technical Process
The process of strategic management is a very technical one where a lot of assessments have to be made before anything is finalized for any reason. There are a lot of interrelated components that need to be analysed before the process is completed because one factor can affect the other one and can either cause a very positive or a very negative change which can cost the company profits or loss. These factors may be internal like the number of people employed, the objectives of the company, and can also include external factors that can affect the process of decision making.
- Takes up a lot of time
It is important that the process made is aligned with all the normal operations that are going on. The process may interfere with the operational plans set for each day and instead of bringing profit to the business has started to impact it very negatively. There will be a decrease in productivity as well and it will be difficult to meet the sales target for the employees responsible for it.
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