Introduction
1. The underpinnings of strategic management hinge on managers gaining an understanding of competitors, markets, prices, suppliers, distributors, governments, creditors, shareholders and customers worldwide.
What Is Strategic Management?
2. Optimizing for tomorrow the trends of today is the purpose of strategic management.
3. Even though useful, strategic planning has been cast aside by corporate America since the early 1990s.
4. Resource allocation is included in strategy-formulation activities.
5. The terms strategic management and strategy implementation are synonymous.
6. A vision statement is, in essence, a companys game plan.
7. Strategy implementation is often considered to be the most difficult stage in the strategic-management process because it requires personal discipline, commitment and sacrifice.
8. The final stage in strategic management is strategy implementation.
9. Strategy formulation, implementation and evaluation activities occur at three hierarchical levels in a large diversified organization: corporate, divisional and functional.
10. One of the fundamental strategy evaluation activities is reviewing external and internal factors that are the bases for current strategies.
11. An objective, logical, systematic approach for making major decisions in an organization is a way to describe the strategic-management process.
12. Strategic management is an attempt to organize qualitative and quantitative information in a way that allows effective decisions to be made under conditions of uncertainty.
13. Analytical and intuitive thinking should complement each other.
14. According to Albert Einstein, Knowledge is far more important than intuition.
(f; difficult; p. 7)
Management by intuition can be defined as operating from the Ive-already-made-up-my-mind-dont-bother- me-with-the-facts mode.