(Tim Hannagan, Mastering @Strategic Management, 2002, Palgrave, New York, pg 60) Stakeholders are involved in the effects of strategic management because the actions and the development of the organization will result in change in their circumstances in one way or another.
Stakeholders can be described as individuals and groups who are affected by the activities.
“The balanced scorecard retains traditional financial measures.
But financial measures tell the story of past events, an adequate story for industrial age companies for which investments in long-term capabilities and customer relationships were not critical for success.
In terms of strategic management the major issue is to identify the relative power of the various stakeholders so that it is clear which of them is the most important to satisfy.
On the one hand, it can be said that form any organization the customer comes first, second and third because comes without the customer the purpose of the organization will not exit, on the other hand, there may be other stakeholders who if not satisfied have the power to bring the organization to an end.SWOT is an abbreviation for Strengths, Weaknesses, Opportunities and Threats.SWOT analysis is an important tool for auditing the overall strategic position of a business and its environment.For example, an strength could be specialist marketing expertise. External Factors: Opportunities and Threats are external factors.For example, an opportunity could be a developing distribution channel such as the internet, or changing consumer lifestyles that potentially increase demand for a company’s product.Strategic planning assumes and incorporates the likelihood of a changing environment that will require adjustments in the identified goals and the process of achieving them.Environmental Scanning Developing the environmental scanning structure. Searching for information resources Selecting information resources to scan. Determining special actions to take on the scanning results Scanning for the institution. There are several key stages of strategic planning process: “Strategy can be seen as an on going ‘positioning’ process for an organization and strategic planning can be seen as a separate activity reviewed at periodic well- defined intervals”.Other possible problems for M&S that were out limited TV advertising, its supply lines were relatively expensive, and it had difficulties with its product range and with the presentation of its clothes.Although the company recorded profits of over £1 billion in 19, there was a 23 per cent drop in profits in November 1998.You can view samples of our professional work here.Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UK Essays.