Strategic Management: Relevance for Public and Non-profits

This discussion post explores the significance of strategic management in public and non-profit organizations. It emphasizes how strategic management prepares organizations for future opportunities, analyzes risks, and sets goals to achieve competitive advantage. The post highlights the importance of strategic management at all organizational levels, especially in dynamic business environments, and its relevance to both public and non-profit entities. It discusses how strategic management enhances decision-making, fosters coordination, and addresses challenges. Real-world examples of Oxfam Australia and Wesfarmers are used to illustrate the practical application and benefits of strategic management in achieving organizational objectives and maintaining a competitive edge. The post references key sources to support its arguments and provide a comprehensive understanding of the topic.

Importance of Strategic Management 0
Strategic Management
Relevance in public and non-profit
organizations
Student’s Name
11/24/2018

Importance of Strategic Management 1
Strategic management is the process that aims to prepare the organizations for opportunities
in the future and analyze the risk and market trends. It ensures that the goals of the firm are
set, and it outlines the primary issues in achieving objectives, the time and the resources
required in attaining goals of the organization. However, strategic management is the essence
of an absolute administration plan (Business Jargons, 2018).
In the light of growing complexity in the business environment strategic management is
required at all the levels of the organization as it provides the direction to the activities and
effectively contributes to sustaining its competitive advantage. Such increasing demand of the
competitive environment develops the need for the organization to rethink and adapt the
strategies and approaches. Strategic management is requisite to both the public as well as the
non-profit organization as it helps the organization to analyze the internal and the external
threats to its business and compete in the dynamic environment. It enables the organizations
to realize its strengths, weakness and trace a way forward. Analysis of swot of the
organization helps the companies to invest more in their valued competencies and capture the
larger market share. The process of strategic management focuses on reorienting corporate
objectives and prioritizes the objectives, which provides efficiency in operations and leads to
the attainment of customer satisfaction (Business and Management, 2018).
Strategic management is important to the non-profits organization as it unites the employees
towards achieving the objectives of the organization and enhances the decision-making
process, which leads to the development of coordination among the employees. It provides
the transformation in existing strategies to overcome the challenges of downsizing and
financial crisis and develops the ways to evaluate and control the actions of the firms
(Keegan, 2014).

Importance of Strategic Management 2
The relevance of strategic management is further illustrated through real-world examples-
Oxfam Australia is the non-profit organizations that aim to tackle the poverty and promote
equality among the community. The organization applies strategic management in the
working of the organization to unite the goals in one direction and attains efficiency in its
operations. The involvement of the process helps the company to overcome the barriers that
hinder the performance of the company (Oxfam Australia, 2018).
Strategic management helps the company Wesfarmers to maintain its competitive edge and
improves its brand image by fostering to the changing needs of the customers in an efficient
manner. It further regulates that there is transparency in the operations and effectively
manages the organization (Wesfarmers, 2018).

Importance of Strategic Management 3
References
Business and Management.(2018) Strategic planning in public sector [Online].Available
from: http://business.oxfordre.com/view/10.1093/acrefore/9780190224851.001.0001/
acrefore-9780190224851-e-128 [Accessed 24-11-18]
Business Jargons.(2018) Strategic Management[Online].Available from:
https://businessjargons.com/strategic-management.html [Accessed 24-11-18]
Keegan, T.(2014).Influencing organizational strategy. Scotland:University of the west of
Scotland.
Oxfam Australia. (2018)About us [Online].Available from: https://www.oxfam.org.au/what-
we-do/about-us/ [Accessed 24-11-18]
Wesfarmers.(2018) The Wesfarmers way [Online].Available from:
https://www.wesfarmers.com.au/who-we-are/the-wesfarmers-way [Accessed 24/11/18]