The Organization Structure In Strategic Management (Term Paper Sample)

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Strategic management
The consistent level of managerial activity that involves setting up goals and ensuring various decisions by the top management is in a position to achieve them, regardless of them being long-term as well as providing reliable responses that are adaptive in the short term is known as strategic management (Freeman, 2010). The strategic management offers an overall direction to any given organization. The aim of writing this paper is to discuss the components involved in the strategic management, the use of information technology and the technology tools in strategic management.
The process of strategic management consists of three main components and these include; the strategic analysis, the strategic choices and the strategic implementation. It is true that these elements are very vital in the business organization since it appraises the business as well as the industries in which the business firm is entailed (Pearce, eta. l, 1997). Addition to this, it also enhances a healthy competition which results in the definition of the attainable goals for both present and future as well as reevaluating each strategy. In its most logical sense, the components of strategic management process enable in fixing decisions that are tactical. Evaluating the strength and acknowledging any critical factors that are external which may assist in the influencing of the position of the firm and also enhancing factors which can help in the implementation of the company by use of these components. The primary goal of the strategic management is that it focuses mostly on mission, vision and beyond as compared with the excellent business planning. Based on setting up any given firm industry in a given place at a given time, the top management uses the concept of strategic management process to accomplish this setup. Strategic planning is essential as it helps concerning of assets of the firm’s opportunities as well as exposing the strengths and weakness that may lead to the adaption of the company positively. The presence of this forces and weakness assists in the development of an excellent strategic plan for a secure existence (Pearce, eta. l, 1997). 
The organization structure in strategic management
According to (Zheng, & McLean, 2010), organization structure describes how the responsibility, power, and roles are well coordinated, controlled, and how the information is transferred from one stage of administration to another and the way they are assigned. When the division lies within the top level management regarding the decision making and the control of departments is referred as centralized structure. On the other hand, the decentralized structure is based on the distribution of decision making power within the departments hence allowing them to enjoy the freedom to a certain degree. Four components affect organizational structures based on the strategic management, and this involves the environment, technology, Human Resource, and strategy. Concerning the environment, it is considered to be a volatile factor since depending on the way it changes it causes problems to managers regarding management. For these changes to be appropriately faced properly, the structure should be flexible hence decentralized authority will also be encouraged (Zheng, & McLean, 2010). Therefore different structure would require utilizing various strategies such that differentiation strategies which involve a construction that is flexible while a formal plan will need a low cost.
The type of technology also determines the organization structure used. For example, if a company has an operating system that is automated would prefer a structure that is more decentralized since the progress its employees will be well monitored hence making any immediate supervisor to provide guidance that is required (Burgelman, eta .l, 1996). The most commonly known structure within a firm is the functional structure; it involves various departments that are smaller and are identified using specialties, such as IT, finance, sales, logistics, and human resource among others. It enables the agencies to distinguish the products produced by each unit hence allowing the managers to have control over each group. Concerning the side of effectiveness, the functional structure is considered to be more reliable in both the small and medium firms which deal with a more modest amount of products and services. There is reporting structure that is frequently used for the project based teams, and this structure is known as the matrix structure. It is a more complicated structure that involves reporting relationships and is proven to be more flexible, and any change to it is rapidly accomplished. This arrangement is useful when it comes to a large organization having a large number of products as well as services (Burgelman, eta .l, 1996).
The concept of strategic mapping in strategic management
This concept is applied in the strategic management where most of the companies that are a part of the same firm and they are in a position of providing similar business models or strategies that are similar are joined together (Freeman, 2010). For example, the industries that deal with the fast food can be categorized into different fast food joints basing on terms of burgers or pizza regarding various variables like time, presentation or price among others. The dimension used to define such industries depends on the number and the composition of groups that are available within those sectors. The strategic management mostly uses the two-dimensional grid to justify any of their direct competitors, those having similar strategic models as well as their immediate rivals.
The concept regarding value chain analysis
The primary goal of this study is...