Life Education
What is strategy
Strategy is about choice, which affects outcomes. Strategy is about what to do, and more importantly what not to do.
A Strategy is a long term plan of action designed to achieve a particular goal. Strategy is differentiated from tactics or immediate actions with resources at hand by its nature of being extensively premeditated, and often practically rehearsed. Strategies are used to make the problem easier to understand and solve.
Strategy answers questions of "What" and "Why" or "Why not". Tactics answer questions of "When, Where, How, and by WHO".
Strategy are relative terms i.e. long or short is relative according to the nature of the business, the owner of strategy and therefore the scope of the strategy are also relative, for instance a multi-nation organization may have a strategy and it's divisions may be given a strategic direction, however, each division may have its own strategy which is defined within the scope of the strategic direction defined by the superior organization unit. These divisional strategies sometimes are the tactics of the supoerior organization.
A Strategy is a long term plan of action designed to achieve a particular goal. Strategy is differentiated from tactics or immediate actions with resources at hand by its nature of being extensively premeditated, and often practically rehearsed. Strategies are used to make the problem easier to understand and solve.
Strategy answers questions of "What" and "Why" or "Why not". Tactics answer questions of "When, Where, How, and by WHO".
Strategy are relative terms i.e. long or short is relative according to the nature of the business, the owner of strategy and therefore the scope of the strategy are also relative, for instance a multi-nation organization may have a strategy and it's divisions may be given a strategic direction, however, each division may have its own strategy which is defined within the scope of the strategic direction defined by the superior organization unit. These divisional strategies sometimes are the tactics of the supoerior organization.
Replies to This Discussion
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Permalink Reply by Linda on -
Dear Lian,
thank you very much of explaining a complex matter in such wonderful and easy-to-understand manner.
That is an art which I admire and honour.
Would you please help me and mind specifying the following "each division may have its own strategy which is defined within the scope of the strategic direction defined by the superior organization unit".
My questions here are:
a) How does a superior organization unit define the so-called "scope of the strategic direction"? I`d like to understand in more detail how this is executed on a practical feasible level.
b) How is it possible to keep an overview on the overall outcome in case the divisional strategies differ from
the main strategy , especially in multi-national organization, moreover with regard to the natural, potential frictional losses, e.g. local retailing versus international retailing (even exponentiated by e.g. international alliances?)
Thank you very much for your reading, listening and answering time.
Kindest regards
Linda Michalski
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