PROCESS OF STRATEGY
THE PROCESS OF STRATEGY
The
process of strategy is cyclical in nature. The elements within it interact
among themselves. Figure-1 present the process for single SBU firm. The process
has to be adjusted for multiple SBU firms because there it is conducted at
corporate level as well as SBU levels as these firms insert SBU strategy
between corporate strategy and functional strategy. Initially, the process of strategy
was discussed in terms of four phases which are:
1.
Identification
phase
2.
Development
phase
3.
Implementation
phase
4.
Monitoring
phase
The process of strategy does not have the same steps as
stated by different authors.
According to C.K. Prahalad, the process comprises of five
steps. They are:
1.
Strategic
Intent
2.
Environmental
Analysis
3.
Evaluation
of strategic alternatives and choice
4.
Strategy
Implementation
5.
Strategy
Evaluation and Control
For our understanding, the process has been divided into
the following steps:
1.
Strategic
Intent
2.
Environmental
and Organizational Analysis
3.
Identification
of Strategic Alternatives
4.
Choice
of Strategy
5.
Implementation
of Strategy
6.
Evaluation
and Control
FIG-1 : STRATEGIC PROCESS