1. MBA-502 Strategic Management Erlan Bakiev, Ph.D.

2. Chapter 2 The Strategic Management Process and its Components

3. Strategic Management Process
It is the sum of activities directed for data collection, analysis, selection, implementation of the decisions for the organization’s sustainability and sustainable competitive advantage

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5. Stages of Strategic Management Process
Selection of Strategies and Appointment Stage
Strategic analysis stage: the analysis of external business environment (macro environment and industry) and internal analysis
Strategic orientation stage: Mission, Vision and Goals
Stage of strategy formulation: General and Sub Strategies; Corporate, Competitive and Functional strategies
Strategic implementation stage: organizational structure, information systems, leadership style, corporate culture and management style
Strategic control stage: the control of the performance as a result of the implementation of the strategy and compliance with the strategic objectives

6. Selection of Strategies and Appointment Stage
The strategists,
is the person who starts activities related with strategic management process and takes place at every phase in this process; an employee responsible for strategic activities
Strategists are classified into two types :
Strategists in the Managerial position
Professional Expert Strategists

7. What type of strategist you can be to meet the needs of your company ?
Cynthia Montgomery
The head of strategy department at the Harvard Business School:
Why did you call your book The Strategist and who is your intended audience for it?
Can everyone become a strategist or is it only for a select few? Why?
How can you be a strategist in a company if you’re a young worker? What are the challenges and opportunities?
Can you give an example of a strategist at a major company and how they’ve made an impact?

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9. Strategists in the Managerial position
I) Strategists in the Managerial position
Business owners
Members of the board of directors
Business owners or appointed top level managers appointed by the board of directors
President
CEO (Chief Executive Officer)
II) Mid-level Manager Strategists
III) Low-level manager Strategists

10. Professional Expert Strategists
A professional appointed out of the organization and specialized in strategic management.
Specialized Strategists ;
Having strategic awareness,,
Having an ability to see the events from a wide angle, in a systematic approach,
Ability to collect information on strategic management and analyze it,
Besides analysis skill, having instict and foresight skills,
Having creativity and teamwork personal traits,
Good time managemend

11. Strategic Analysis Stage
is a process related to analyzing the current state of main and industrial environmental components of a business and evaluating its internal components

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13. ENVIRONMENTAL ANALYSIS
General / Remote Environmental Analysis
Political, Legaş, Economic, Socio-cultural, Demografic, Teknological and International(global) factors
Sectoral / Close Environmental Analysis
Definition of main sector, Competitive analysis ve Main opponent analysis
Internal Analysis of the Business
External Environment analysis determine opportunities and threts;
Internal analysis determine strength and weaknesses

14. Strategic Orientation Stage
Definition of the job the business diong (determining the type of product or service, which markets it will be realized and the planned technology to produce it)
Mission (The mission of the company is the cause of its existence)
Vision (The vision of the company is the expression of the state they wish to be in the future)
Goal and Objectives (The goal is desired results occured as a result of the work done by the business; objective is a concrete form of goal specified in a certain time of period)

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16. Stage of Strategy Formulation
Basic and Sub Strategies
Basic Strategies;
Growing Strategies
Donwsizing Strategies
Static Strategies
Mixed Strategies
Sub Strategies;
Related/ Unrelated Strategies
Independent (Internal) / Dependent (External) Strategies
Horizontal / Vertical Strategies
Active / Passive Strategies

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18. Stage of Strategy Formulation
Strategies Upon the Managerial Levels
Top Level (Organizational) Strategies;
Organizationa/Diversification Strategies and Withdrowing Strategies
Top and Mid Level Strategies;
Managemtn/competitive Strategies of the business; Cost Leadership; Differentiation and Focus Strategies
Low Level Strategies;
Functional (Segment) Strategies

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20. In the Strategy Selection Process the business does work on three themes ;
Identifying alternative strategies to meet environmental opportunities and threts that can be performed by the organization’s possibilities,
Determination of the criteria used in selecting alternative strategies,
The selection of the most appropriate strategic alternative

21. Strategic Implementation Stage
Establishment of appropriate organizational structure for strategies and mobilization of all business systems and resources
Selection, hiring and training of qualified human resources which is going to be employed in the organizational structure implementation of the strategies
Preparation of appropriate organizational atmosphere and lider/lidership that are qualified to develop management style for implementing strategic changes and applications

22. Strategic Control Stage
Starting from the stage of strategic awareness;
analysis, control of each selection and implementation stages and majing corrections if needed.

23. The Approaches on Starting Points in Strategic Management Work
Open Analysis Approach
Open analysis, is used for the intended strategy. Intended strategies; they are preparing strategies for reaching the final results that are cdesired by businesses

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25. The Approaches on Starting Points in Strategic Management Work
Opportunity Approch
Opportunity approach, is offering to reach the goal by finding attractive markets and using organizational/competitive strategies to make profit over above avarage.
Resource Approach
The resource approach, on the other hand, is paying attention to the assets and capabilities occured after its internal analysisi

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