Provides a destination for the organization.

It refers to the guiding light of the organization in order to get to the destination.

The purpose of Strategic Management is to exploit and create new and different opportunities for tomorrow from long range planning, in contrast, tries to optimize for tomorrow the trends of today.

Vision, Mission, Internal audit and External audit are under:

It includes the establishment of annual objectives, devise policies, motivate employees, and allocate resources.

It includes reviewing external and internal factors that are the bases for current strategies, measuring performance and taking corrective actions.

Strategy provides a cooperative, integrated, and enthusiastic approach to tackling problems and opportunities.

The code of business ethics can provide a basis on which policies can be devised to guide daily behavior and decisions at the work site.

Effective Strategic Management emphasize that the process should not be totally predictable, and setting must be changed to stimulate creativity.

Strategy can provide an objective view of management problems.

Defined as an art and science  of formulating, implementing, and evaluating cross-functional decisions that enable an organization to achieve its objectives.

It is also called as environmental scanning.

It is used by market analysts, as well as by business owners, to figure out how the industry dynamics work for the specific industry studied.

Unemployment rate, Gross Domestic Product and inflation rates.

Online booking, Automated Teller machine and Global distribution system

Life expectancy rate, death rates and number of child birth

Global warming, Deforestation and natural resources depletion.

Government regulations, election 2022, and Environmental protection laws.

In the internal audit process, once information is gathered, it should be assimilated and evaluated.

Both opportunities and threats can be key external factors.

Refers to an analytical tool used to determine whether a firm’s value chain activities are competitive compared to rivals and thus conducive to winning in the marketplace.

Requires gathering and assimilating information about the firm’s management, marketing, finance/accounting, production/operations and other departments.

Refers to the organization's strength which can not be replicated by the competitors.

Emphasizes that internal resources are more important for a firm than external factors in achieving and sustaining competitive advantage.

Refers to the process whereby a firm determines the costs associated with organizational activities from purchasing raw materials to manufacturing product(s) to marketing those products.

Identifies a firm’s major competitors and its particular strengths and weaknesses in relation to a sample firm’s strategic position.

Refers to the pattern of behavior that has been developed by an organization as it learns to cope with its problem of external adaptation and internal integration.

Organizational Culture can be an underlying reason for strengths or weaknesses in any of the major business functions.

External audit provides more opportunity for participants to understand how their jobs, departments, and divisions fit into the whole organization.

Building competitive advantages involves transforming organizational weakness into strength.

Organizational resources includes the manpower resources of the organization.

To successfully compete in world markets, managers must obtain a better knowledge of historical, cultural, and religious forces that motivate and drive people in other countries.

This function of management involve formulation of vision, mission and objectives of the organization.

Function of management that involves monitoring employees activities, keeping organization on track and making corrections.

It involves hiring, training and firing employees in the organization.

Refers to the functions and responsibilities of a certain job.

Refers to the qualifications or requirement for a certain job position.

Management information system’s purpose is to improve the performance of an enterprise by improving the quality of managerial decisions.

Refers to analytical tool used to determine whether a firm’s value chain activities are competitive compared to rivals and thus conducive to winning in the marketplace.

External Factor evaluation involve listing key internal factors as identified in the internal audit process.

External factor evaluation matrix includes listing key external factors of 10 to 20 factors including both opportunities and threats.

Multinational firms need a systematic and effective external-audit system because external forces among foreign countries vary.

The critical success factors in a EFE include both internal and external issues and the ratings refer to strengths and weaknesses.

Answer the question why does the business exists?

Answer the question what do we want to become for the organization?

In writing a vision statement it is important to avoid using jargon and buzz words and should use understandable terminology.

Good vision statements are short-term, describing the organization’s desired end-state well into the future.

The recommended length for a mission statement is more than 250 words and should be inspiring in the sense that it motivates readers to action.

Mission statement should reveal that the firm is socially responsible.

In writing and evaluating the mission statement, it should be informative, inspiring, enduring, and serve to motivate stakeholders to action.

The vision and mission statements provide a basis, or standard for allocating organizational resources.

Refers on how an organization behave during the process.

Refers to a statement on how an organization achieve something.

General statement of what needs to be done to implement a strategy.

Refers to a specific event with a specific timeline to achieve the goal.

Refers to a specific implementation plan on how to achieve an objective.

To be the world's leading restaurant providing an excellent service to customers.

Providing a good quality food and excellent customer service.

To use good quality ingredients in the restaurant.

To look for reliable suppliers.

To sell 250 computer unit for the month of September.

Objective should be specific, measurable, attainable, realistic and time-bound.

Published sources include customer surveys, market research, speeches at professional and shareholder’s meetings.

Unpublished sources of strategic information include periodicals, journals, reports, government documents, abstracts, books, directories, newspapers and manuals.

Refers to obstacles that prevent a company from exiting a market.

Buying bulk supplies to reduce its price.

Below are substitute products for salt except for:

Refers to the costs a consumer pays as a result of changing brands or products.

Organization may pursue forward integration strategy to gain control or ownership of suppliers.

Rivalry among competing firms increases when consumers switch brands easily.

Refers to the extent to which the type and amount of firm’s internal resources are comparable to a rival.

Defined as the number and significance of markets that a firm competes in with rivals.

For collaboration between competitors, both firms must contribute something distinctive, such as technology, distribution, basic research, or manufacturing capacity.

Bribery, wiretapping, and computer break-ins are considered ethical tactics under competitive intelligence mission.

Refers to systematic and ethical process for gathering and analyzing information about the competition’s activities and general business trends to further a business’s own goals.

An effective information system collects, codes, stores, synthesizes, and presents information that answers important operating and strategic questions.

In developing a vision and mission statement, it is important to select several articles about the statements and ask all managers to read these as background information.

An effective vision statement sets an abstract yet challenging goal.

Below are the reason for poor planning except for: