Strategic management: lessons from success and failure

Area of Science:

• Business Administration
• Strategic Management

Background:

• Assesses research on the corporate planning process to determine its effectiveness.
• Identifies reasons why the potential of corporate planning to improve business performance has not been realized.

Purpose of the Study:

• To evaluate the success or failure of corporate planning.
• To examine current attempts to encourage strategic thinking and analysis among managers.
• To identify key factors for successful strategic planning implementation.

Main Methods:

• Literature review and assessment of existing research on corporate planning.
• Analysis of strategic analysis techniques, including portfolio analysis and scenarios.
• Examination of approaches to influence managerial perception and strategic problem definition.

Main Results:

• Corporate planning has inherent potential to enhance business performance.
• Significant barriers prevent the full realization of this potential in many organizations.
• Current methods to promote strategic thinking are insufficient on their own.

Conclusions:

• Planners and consultants must actively help managers broaden their strategic perspectives.
• Successful strategy generation requires shifting managers' perceptual boundaries of strategic problems.
• Effective action programs are essential for enabling successful competition in global markets.